Industry Trend Analysis - Motorcycles Gaining Popularity As Income And Congestion Challenges Loom - MAR 2018
BMI View: Ghanaian consumers ' personal transportation preference s are shifting towards motorcycles as the citie s become more congested and consumers struggle to afford passenger cars .
The increased congestion in Ghana's big cities coupled with the affordability constraints of the consumer are shifting personal transportation preferences from passenger cars to motorcycles. We forecast that the popularity of motorcycles will overtake that of passenger cars by 2019 with the motorcycle density per 1,000 of the population reaching 23.1, increasing from 20.1 in 2017 and overtaking that of passenger cars at 22.4 vehicles per 1,000 of the population for the same period, which is up from 25.9 in 2017.
Motorcycle segment growth will also outperform the passenger car segment in 2019 and exceed the registration volumes in the same period. We forecast that motorcycle first registrations will grow 3.7% in 2019 to reach 30,417 units whereas passenger car registrations will expand by 3.0% and come in under motorcycles with 29,585 units in the same period ( see ' Pressures Remain But Long-Term Growth Outlook Is Stable ', December 14 2017).
|Motorcycles Popularity On The Rise|
|Ghana - Motorcycle & Passenger Car Density|
|e/f = BMI estimate/forecast. Source: BMI, NRSC|