Report Coverage
This report covers the sale, maintenance and repair of motorcycles and parts, and the factors influencing the sector’s success, including the growing delivery sector. While there are no local manufacturers, the report includes comprehensive profiles of 18 companies including importers of major international brands such as BMW, Honda, KMSA Distributors (Kawasaki), Suzuki and Tuning Fork (Yamaha). Profiled companies that sell parts or service motorcycles include Max Motorcycle Parts, Triumph, which was appointed as the local Triumph motorcycle distributor last year, and Fire It Up, which was recently awarded the official importer rights for MV Agusta.
Introduction
This report focuses on the South African motorcycle sector, which continues to experience declining sales. All units and parts are imported as no motorcycles are manufactured locally, and the weakening rand and constrained economy are placing additional pressure on already constrained consumers. The weakening rand has caused the cost of bikes to more than double in the past two years. Revenue of members of the Association of Motorcycle Importers and Distributors (AMID) was approximately R1.42bn in 2018, down from R1.57bn in 2017. However, sales of small motorcycles under 500cc grew by 12.5% to 10,819 units compared to 9,617 in 2017. This was mainly attributed to the growth of the fast food delivery sector which uses small bikes for deliveries. There were 15,359 new motorcycles registered for road use in South Africa in 2018, compared to 23,304 in 2015.
Strengths
• Established, experienced importers.
• Support of the motor industry for car-linked brands such as BMW, Honda and Suzuki in terms of research and development and new technologies.
Weaknesses
• High costs of setting up a new franchised dealership.
• Shortage of technicians.
• There is no local manufacture.
• Very susceptible to local currency depreciation.
Opportunities
• Growth of the small bike market due to increasing demand for fast food delivery services.
• If the sector promotes the benefits of motorbikes, they can be an affordable option for commuting.
Threats
• Deteriorating economic outlook.
• Deteriorating roads and road safety could result in commuters opting for vehicles instead of motorcycles.
Outlook
South Africa’s motorcycle industry is expected to continue to be battered by declining sales as the country’s economic and political outlook remains uncertain. With all products imported, the weak and volatile rand is resulting in escalating costs of bikes and parts. Association of Motorcycle Importers and Distributors director Lachlan Harris said although BMW launched four significant new models in 2018, “time will tell if the market has an appetite for these expensive models”. The small bike sector, however could see increased sales as result of the continuing growth of online food delivery businesses.
The Sale, Maintenance and Repair of Motorcycles and Parts Industry in South Africa
2019
Full Report
R 1 900.00(ZAR) estimated $98.97 (USD)*
Industry Landscape
R 1 330.00(ZAR) estimated $ 69.28 (USD)*
Historical Reports
The Sale, Maintenance and Repair of Motorcycles and Parts Industry in South Africa 2016-10-27
R 1 900.00(ZAR) estimated $98.97 (USD)*
View Report Add to CartTable of Contents
[ Close ]| PAGE | ||
|---|---|---|
| 1. | INTRODUCTION | 1 |
| 2. | DESCRIPTION OF THE INDUSTRY | 1 |
| 2.1. | Industry Value Chain | 2 |
| 2.2. | Geographic Position | 3 |
| 3. | SIZE OF THE INDUSTRY | 3 |
| 4. | STATE OF THE INDUSTRY | 4 |
| 4.1. | Local | 4 |
| 4.1.1. | Corporate Actions | 6 |
| 4.1.2. | Regulations | 7 |
| 4.1.3. | Enterprise Development and Social Economic Development | 8 |
| 4.2. | Continental | 8 |
| 4.3. | International | 9 |
| 5. | INFLUENCING FACTORS | 10 |
| 5.1. | Economic Environment | 10 |
| 5.2. | Rising Operating Costs | 10 |
| 5.3. | Technology, Research and Development (R&D) and Innovation | 11 |
| 5.4. | Labour | 12 |
| 5.5. | Cyclicality | 13 |
| 5.6. | Environmental Concerns | 13 |
| 6. | COMPETITION | 13 |
| 6.1. | Barriers to Entry | 14 |
| 7. | SWOT ANALYSIS | 14 |
| 8. | OUTLOOK | 15 |
| 9. | INDUSTRY ASSOCIATIONS | 15 |
| 10. | REFERENCES | 16 |
| 10.1. | Publications | 16 |
| 10.2. | Websites | 16 |
| APPENDIX 1 | 17 | |
| Summary of Notable Players | 17 | |
| COMPANY PROFILES | 20 | |
| BMW (SOUTH AFRICA) (PTY) LTD | 20 | |
| C DEYSEL | 23 | |
| COMBINED MOTOR HOLDINGS LTD | 24 | |
| FIRE IT UP CC | 27 | |
| HARLEY-DAVIDSON AFRICA (PTY) LTD | 29 | |
| HONDA MOTOR SOUTHERN AFRICA (PTY) LTD | 31 | |
| HUSQVARNA MOTORCYCLES SA (PTY) LTD | 33 | |
| KMSA DISTRIBUTORS (PTY) LTD | 35 | |
| KTM MOTORCYCLES SA (PTY) LTD | 38 | |
| MAX MOTORCYCLE PARTS SA (PTY) LTD | 41 | |
| MOTO UNO RACING CC | 42 | |
| RODEO DRIVE CARS (PTY) LTD | 43 | |
| SMITH MINING EQUIPMENT (PTY) LTD | 45 | |
| SOUTHERN AFRICAN MOTORCYCLES (PTY) LTD | 47 | |
| SUZUKI AUTO SOUTH AFRICA (PTY) LTD | 49 | |
| TRIUMPH SOUTH AFRICA (PTY) LTD | 52 | |
| TUNING FORK (PTY) LTD | 53 | |
| V - TWO CYCLES CC | 56 |
