Nice work, again, by our awesome folks at GOOD magazine.. This is probably the most direct correlation between gas prices & bike sales I’ve seen in a long time.. In a 2008 survey, 95 percent of bike store owners said customers cited high gas prices as a reason for their bike-related purchases
(Source: TreeHugger; HuffingtonPost & Bike Europe)
While news of the four-wheel variety remains bleak with news that GM is on the brinkof bankruptcy, news for the two wheel set is mostly good. In fact, more bicycles were bought in the first quarter of 2009 than cars and trucks. Dennis Markatos @ HuffingtonPost points out, the news isn’t all good. Overall, bicycle sales are down 30 percent for the year, but the good news is that bikes are outperforming cars. In total, around 2.6 million bicycles were sold, compared to less than 2.5 million cars and trucks. That doesn’t mean all is well for the American bicycle market and it is hard to say that bicycle sales are unfazed by the recession. In units the Americans imported 1.1 million bicycles less this year. Remarkably the average value increased by 37.2% in the same period. The average FOB value now stands at US$ 96.60 against US$ 70.41 in 2008.
But that percentage drop is slower than the35+% drop in sales for cars and trucks. Since nationwide gasoline prices are now rising above $2.40 per gallon at the pump, we may see another wave of US residents shifting to bicycles for their everyday trips. The large savings from riding a bike over short distances rather than driving can help consumer confidence and support economic recovery.
Dennis also points out that gas prices are on the rise, making it possible that the trend will continue for a while.
(Source: Financial Times)
In one of the most striking signs yet of the conflicting pressures buffeting the automotive industry, some new cars are now selling more cheaply than used vehicles.
A shortage of good-quality used cars combined with aggressive discounts offered on many new ones by retailers and manufacturers now mean that some new cars can be had for as much as £1,000 less than used ones in good condition.
Parker’s, the car-buying price guide, on Wednesday said it had spotted a new Vauxhall Corsa available from one dealer for £5,995 – nearly £500 less than a used model with 5,160 miles on the clock selling for £6,494.
The guide also spotted a Mazda 6, available new for £11,485 from car supermarket Cheap-Cars-Online, being sold used with 2,500 miles on its clock for £1,000 more, at £12,499.
“For the first time, used cars are more expensive than new,” Parker’s said. It noted that the shift was not across the board, but said this was the first time it had seen used cars command a premium over new ones since the guide’s launch in 1972.
In recent months used car prices have been climbing in the UK and many other big markets, including the US, because of a shortage of available stock as new car sales plummet and recession-squeezed consumers shift to second-hand models.
Manufacturers including Vauxhall – owned by struggling General Motors – and Peugeot-Citroën are offering steep incentives on new cars to keep their inventories low as they contend with their slowest sales in decades.
The financial squeeze faced by many dealers and the rise of car supermarkets and brokers have also contributed to the downward pressure on new-car prices.
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