Revenue for motorcycle dealers has stalled. Motorcycle sales are limited by the discretionary incomes of consumers and the diminishing recreational and leisure time available for riding. The used motorcycle market also limits the sales of new motorcycles. Demand for smaller cheaper motorcycles to be used as a substitute for less fuel efficient cars is increasing. This is regardless of the greater affordability of smaller, cheaper and more fuel efficient cars. (Source: Wu,T. IBISworld. Jun 2017)
FCAI MEDIA RELEASE
21 June 2016
The peak body representing Australia’s All Terrain Vehicle (ATV) distributors has thrown its support behind the Queensland Government’s new safety campaign and is encouraging other states and territories to take this progressive approach to rider education.
The Federal Chamber of Automotive Industry (FCAI) has been a passionate advocate of known safety practices including helmets, rider education and following manufacturer recommendations, and believes that the Worksafe Queensland “Ride ready” program closely mirrors the initiatives that the FCAI advocates.
Only last month, the FCAI-developed 5 Star Safe ATV User Guide was released by quad bike distributors to their retailers as part of a more focussed approach to safety.
At the launch of the new Worksafe Queensland plan in Caboolture last weekend, Industrial Relations Minister Grace spoke about the unfortunate case of a young boy sustaining a serious head injury whilst riding a quad bike without a helmet as an example of how riders must follow a number of known safety practices in order to ride safely. The seven-year- old child made a full recovery but the incident served to again reinforce the necessity for rider education, regardless of age.
The public safety campaign, which kicks off this week on social media and will be followed by a short film, aims to raise awareness of the importance of wearing helmets, completing rider training, not overloading quad bikes, and keeping children and passengers off adult-sized and single seat ATVs.
“These same safety practices have been promoted by the industry for many years, so we intend to support and promote the Queensland campaign in order to improve safety outcomes for all ATV riders,” said FCAI Chief Executive Tony Weber.
“We know that helmet wearing rates amongst ATV riders is disappointing low, and we also know that helmets are the most effective safety device for ATVs; one that has been shown to reduce head injuries by up to 64 per cent during ATV incidents,” Mr Weber added.
“Thanks to the profile that a government-supported program can bring, we can only hope these important safety messages reach a broader audience.”
The FCAI’s ‘5 Star Safe ATV User Guide’ outlines how riders can improve safety outcomes with a number of tips, including a vehicle selection guide where users are encouraged to select a ‘fit for purpose vehicle’ using a vehicle selection matrix.
The 5 Star Safe ATV User Guide, an ATV safety video and further safety information can be found on the FCAI’s www.atvsafety.com.au website.
For more information, contact:
(0499) 188 133
Many motorcycles are purchased for recreational purposes, therefore sales of motorcycles are very responsive to economic conditions. In figure 2, the rate of revenue growth declines sharply in the aftermath of the Global Financial Crisis (GFC), and it is not until 2010-11 that the industry sees a return to positive growth. The decline in growth was somewhat off-set by people purchasing motorcycles and scooters as a cheaper form of transport amongst rising fuel prices. The agricultural sector has also seen an increased demand for All-Terrain Vehicles. In figure 3 it is possible to see an upsurge in the number of enterprises and businesses operating in the Motorcycle dealer industry just prior to the GFC, this is mirrored in figure 2 with the upsurge in employment growth. These numbers then proceeded to decline until 2013 when the industry reached some sort of natural balance between supply and demand. Forecast for the motorcycle dealers industry is positive with moderate growth predicted over the next 5 years. However, this industry is always very susceptible to changes and economic conditions and/or government regulations.
Gathering industry intelligence and undertaking high-quality analysis of the skills needs and proﬁle of the current and future workforce.
Auto Skills Australia, the Automotive Industry’s Skills Council produces an Industry Environmental Scan annually as part of a broader role in gathering industry intelligence and undertaking high-quality analysis of the skills needs and proﬁle of the current and future workforce. A key finding of the 2015 Scan is that it is time for government and stakeholders to formulate a cohesive policy framework around the new identity of the automotive industry. This will require an understanding of the critical issues facing each sector as well as clearly deﬁned policy outcomes that are measurable and can be implemented. To read the 2015 ASA Automotive Environmental scan please download the PDF below.
Based on IBISWorld data, the Australian automotive industry is comprised of the following industry components:
The Australian automotive industry is going through a period of unprecedented change culminating in the closure of car manufacturers Toyota, Holden and Ford, in Australia in 2017. The impact of these closures will mean an abrupt decline in the forecast of employment and revenue growth between 2016 and 2018. These closures will have the biggest impact on businesses involved in manufacturing, whether it be the vehicles themselves, or parts for vehicles. However, the industry will continue to adapt and evolve. Businesses involved in wholesale and retail will benefit from greater access to imported vehicles and parts. There is already evidence that new car sales are on the rise driven by a combination of low interest rates and Government incentives. And as long as there are more vehicles on the road there will be a need for servicing and repair. So it is forecast that the Australian automotive industry as a whole will return to a period of positive growth sometime after 2018.
For more information please download the .pdf below