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What decides resale value?

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  • What decides resale value?

    Guys,

    What decides re-sale value? Is it the engine quality or brand or technology it features or the volume of bike sales or just the "perception" that this bike should fetch a high resale value?

    I see that Hero Honda splendor has a good resale value compared to say, for instance, Yamaha bikes. Does this mean that Yamaha bikes are inferior to Hero Honda bikes? Or is it the maintenance? I own Splendor. I changed the battery once, tyres twice in my whole 10 years. So, I would say that it incurred me less maintenance cost, but, it's just me, heavily dependent on the rider. For others, this bike might put a bit hole.

    I think it may go like this.

    The rider sees a good bike, (good - according to his requirements), passes his feedback to others and it just cascades. Even people are ready to buy those "good" bikes when sold as "second-hand". This increases in volume and on average it fetches a good value.

    Thanks

  • #2
    Interesting discussion approved.

    I think the main thing that decides the resale value is the perception in the peoples' mind about that particular brand. And that perception is built upon the experience the society in general has had with that particular brand over the years.
    (Been There Done That) x 3.25

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    • #3
      for me the factor affecting resale >>
      for noob>the particular brand or particular model that he heard to be good from friends,peers.
      for experienced ones>the condition of engine,tyre,km covered,overall conditions.
      in second hand market sometimes brokers unreasonably increase resale value of particular model.
      and the question remains why do i race?
      every finishing line is the begining of a new race.

      #i have learnt to manipulate my own adrenaline and the perception of biking is different.
      #overkill is underrated.
      #how random roads may appear there is always a destination.sigpic
      #i don't subscribe to co-incidence,either it is the rider or the other moron on the road

      (:)people keeps on saying add spark to life, bajaj got hold of that idea and added an extra spark to bike.

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      • #4
        The seller finds excuses as to how the bike has lost its value, like it is a Bajaj bike, it has scratches, its servicing is due, it has completed so many years, needs parts replacement, etc, etc.

        The buyer finds excuses like its a Hero Honda, well maintained, used by single owner, never gave any problem, just returned from service, etc, etc.

        Both sets of excuses lead the buyer and seller to a price range they feel is acceptable. Like seller thinks 35,000 to infinity is acceptable price and buyer thinks that Zero to 30,000 is acceptable.
        So, equilibrium is reached somewhere between 30,000 to 35,000 depending on negotiation.

        If the price ranges don't intersect, someone would have to compromise or the deal doesn't happen.

        What this basically means that even if Bajaj bikes are of high value to me, I will cite this as an excuse to get a good deal. Everybody's objective is to get a good deal, no matter what reasons they give for it and whatever the truth is.
        ---
        Brotherhood, Rules, Freedom. Xbhp.
        Indian riding = Alertness, Anticipation and Adjustment.

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        • #5
          Another important factor is the market share of the particular model.

          For eg, Splendor dominates sales in Commuter 100cc segment. It commands more resale value. And Yamaha Crux's sales is very low. So, in resale market also, the value is lower as very few people are 'in the look-out' for Crux.

          If the model has stopped production(Hero Honda Street,TVS Fiero F2) or worse, the manufacturer itself cease to exist (LML Freedom,Kinetic Blaze), then resale value is very poor.
          Grip. Twist. Ride-with Menacingly FAST Apache 180 ABS!
          TVS Apache 180 ABS (Sep 2011-)
          Yamaha Libero LX (Feb 2006-Sep 2011) sold


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          • #6
            I feel mostly 3 Points decides the Resale value of a Bike..

            1.Brand

            2.Bike Condition

            3.Model is in Production or Discontinued
            Don't Honk Unnecessarily

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            • #7
              Your Urgency has the 1st impact on resale value
              https://www.facebook.com/harishtheboss

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              • #8
                Reply

                Originally posted by qdetty View Post
                Guys,

                What decides re-sale value?

                Thanks
                Hi
                According to me, some important factors determining the resale value are:
                1) time period for which a particular vehicle was used for.
                2) the overall condition a bike presents by the way it looks (trust me a bike says a lot)
                3) test ride
                4) Economy of the bike
                5) Resale value in comparison to other bikes
                6) Finally, as pointed above, The brand name.
                Kolkata-Sikkim triplogue- http://www.xbhp.com/talkies/tourer/2...s-calling.html

                Kolkata-Deoghar-Parashnath-maithan-usri falls trip- http://www.xbhp.com/talkies/tourer/3...irst-time.html

                Kolkata-Konark-Puri triplogue- http://www.xbhp.com/talkies/tourer/3...nark-puri.html

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                • #9
                  Originally posted by Satyamzma View Post
                  I feel mostly 3 Points decides the Resale value of a Bike..

                  1.Brand

                  2.Bike Condition

                  3.Model is in Production or Discontinued
                  this pretty much sums it up.....
                  sigpic

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