MOTOR TRADE IN NEW ZEALAND

Nelson Evening Mail, Volume LXIII, 16 July 1929, Page 8

MOTOR TRADE IN NEW ZEALAND

A VALUABLE SURVEY Some highly interesting stutisticaL.information in Vcgar.il lo the. registration, Hales, and distribution of motor vehicles in New Zealand has been compiled by the Market Research Bureau of the Charles Haines Advertising Agency, Ltd. Issued as a guide to motor vehicle manufacturers and distributors, brochure points out that at 28th February, 1929, there were 131,463 motor cars' registered in New Zealand, giving one car to eleven people, the same ratio as in Canada. In the United States the ratio is one car to five people, and even this ratio is approximated in Taranaki (one car to 5.53 people), which, with Hawkes. Bay (one car to 6.12 people) definitely outpaces the four metropolitan provinces in proportionate car ownership. Interesting -comparative figures indicate the competition of the. many makes of car, their prices, their comparative sales in relation to 'population, and their relative distribution, indicating the most popular makes in the various districts. It is estimated that 85 per cent, of all car sales at the present time are for closed models, with four-door, five-passenger model predominating. The compilers of the publication state: "Although the existing ratio of ownership to population in New Zealand is one in eleven, it has to be borne in mind that, on account of retail prices being practically double those operative in countries of manufacture, the per capita investment in cars in New Zealand would rank, a close second in a world analysis. In view of the undoubted period of prosperity that lies ahead of New Zealand, it is confidently anticipated thai, with a continuance of the present publicity and selling effort, sales during the next five years should reach 20.000 cars per annum. Allowing for an increase in •population in proportion to that experienced during the past five years, the population of New Zealand in the year 1934 should be 1,610,000. With the existing per capita automobile ownership of one in eleven this means (hat there will be 146,363 cars in New Zealand, an increase of 15.000 cans. Spread over . five years —i.e., provided that the ratio of ownership to population remains only stationary, the normal population growth alone allows for extra sales of 3,000 cars a year. An anticipation of a ratio of one car to every seven people is. however, only in lino with normal growth, and on this basis the New Zealand market should during ilie next five vears absorb 99.000 new cars-nearly 20,000 a year. At this date lo immediately reach a ratio of one car lo nine people the market would require lo absorb 30.000 cars."

Car soiling has its distinct, .seasons, and a graph of the year's sales is remarkable for its rise and fall in different mouths. The graph for 1928, as given iii (his publication, shows a distinct peak covering spring and December. For instance, July sales were a lit lie over 900 cars, but they proceeded to rise, sharply and consistently month bv mouth, 'culminating in a December sale of over 2,700. Christmas and New Ye.-ir holidays being over, the sales at onee drop back—the January total is about 1.100. The rise, lo peak ,s thus in (he lasl sis months of Hie year. The !ii.-I six months would probably be Hal and low, but the advent of Easter and of registration period seems lo cause a .-oh peak in April (1,250 cars) and May 11.101)). There is iml spare lo deal at the same leuglll with the analysis of the trade in commercial vehicles and motor cycles. Ibougll these are of equal inferesl and in some iospeefs of greater importance. The same remark applies to (lie portion of (he publication devoted lo lyres, motor spirils. and road finance. Th'' following sentence is worth nnliinr:- ''ln U.S.A. over three .million families have, two ears, and although (here are undoubtedly prospects in this 'direction in New Zealand, rim cognisance lias been taken of (.hem in estiniijiii« .(lie Dor-ninion's future, rnr requirements."