As we welcome spring and warmer months, we typically welcome price increases in the powersports market. However, that may not be the case this year, Black Book says.
Here’s why we aren’t seeing what we typically do for powersports this time of year:
Values are still well above normal
Unlike the rest of the automotive world, powersports has not seen a rise in values over the past several months.
Psychological impact on consumers over real numbers
These are luxury goods, so as the economy goes, it tends to impact that. But it’s less about actual economic numbers and more about consumer confidence that impacts the powersports market, i.e., talk of recession scares people off versus an actual recession.
Time of correction back to pre-Covid
Powersports is one segment that consumers spent money on during the pandemic. As we near another summer, a lot of supply and manufacturing is ramping up, but there is no sign of powersports prices increasing, and that’s because of easing demand and already elevated values.