Second hand bikes - depreciation

[RiderOnTheStorm]

To the contrary, current price drops are a direct result of over supply caused by reduced demand.

I don't disagree with your comment when looking at the near term.

My point was different though. I was looking at the big picture. Based on market research data I've seen, the global demand for e-bikes has actually been increasing in the past 8 years and is predicted to continue to grow at a steady rate until 2030. E-bikes will no longer be a niche market.

As manufacturers increase their production volumes (to meet demand), they will be able to lower their cost and ebike pricing will continue to drop as a result. With lower pricing for new bikes, used bikes that were purchased at a premium rate just a few years ago, will have lost significant value.

Obviously this is an oversimplification which doesn't take into account any future crisis that could affect these trends.

 

[irie]

I don't disagree with your comment when looking at the near term.

It was the near term that your below post addressed.

With the growing popularity of e-bikes, manufacturers are increasing their production volumes, lowering their cost hence the customer price drops we are seeing more recently. This trend will continue for some time in my opinion.

 

[jackamo]

Wondering if the rest of the world is having a marked increase in bike depreciation. Here is Aus i have noticed a rapid deprecation versus bike holding their value as was the case a year ago.

Last year I sold a Focus Jam2 for 70% purchase price after 2 years of ownership and could have easily got 80% if i was greedy.

My H30 Rise 2022 was purchased at May 22 for $10K Aus .. its 15 month old and even with brake / upgrades ($1500) bikes here of same ilk a going for $6000.

Any opinions welcomed.

Covid .

There's a world wide glut of second hand bikes that were bought during covid and now after 1 or 2 rides and sitting in the shed for a year the owners are trying to sell them

 

[Wilbur]

Do shops actually trade second hand bikes where you are? It's never been common in NZ, but with the heavy depreciation of s/h ebikes it may become a thing just to get bikes moving...

 

[Kevlasultanpus]

Plus there’s the Covid bubble effect, a lot of bikes purchased when people had more time on their hands, and they’re hitting the used market now that people don’t or have lost what interest they had.

Not sure if it’s impacting Aus the same, but a lot of people are being squeezed by the cost of everything these days (mortgage/rent, food and bills here in the UK) and there is less spare cash about.

Supply chains have also freed up a bit the last year or so, more stock around and retailers are also discounting quite readily on some emtbs to try and counter that a bit and keep the money coming in.

My ‘not an economist’ 2p worth anyway!

yeah...Aust is akin to UK re rising costs / inflation and the cash rate (mortgages) ...so yes people doing it tough and perhaps less demand. Still lots out riding which is a positive.