A National Powersports Auctions (NPA) video says that the used powersports market is already beginning to recover. Although they do say that significant challenges still remain, they see stats that indicate that the used moto market is already in recovery mode.
NPA says that used retail powersports sales are accelerating. Both dealers and vendors are reporting spikes in year over year sales and demand. They also point to the “significant bumps” in powersports manufacturer’s stock as some manufacturers outperformed Wall Street’s expectations in light of COVID-19.
From their point of view, NPA says that in general, recreational industries remain bullish. They say this is in line with people wanting to enjoy the outdoors and participate in activities like camping, boating, and powersports.
Auction trends are also positive. Recent auctions have near records in attendance, conversion, and price retention.
There has also bee a year over year rise in volume for the first time in over a month. Key stats are 94% conversion, 95% price to book, and a 24% rise in auction volume. Those numbers reflect the outcome that nearly every single category show price improvements over the prior weeks.
NPA also mentions the Comp 60 metric. It compares price to a 60 day average and it hit a 24 month high. This validates a market resurgence from the COVID-19 market collapse in mid-March.
According to NPA, the above indicators show that the used powersports marketplace is stabilizing. They see growth fueled by consumer demand, dealer optimism, and strong lending ability.
Other factors may apply to the market’s resurgence. Whether stimulus checks play a part in the used market’s recovery is not clear. But according to NPA, the used powersports market is just beginning to heat up. Let’s hope that the same will happen to the new powersports market as well.