Tougher economic times and constantly changing technology are causing some riders to rent bikes rather than buy them, especially e-bikes.
Several bike shops in Tasmania are offering a six-month minimum rental deal on bikes through third party supplier Studio 19. Buyers can pick out the bike they want from their local store, then rent it for six to 36 months, with the option to purchase at any time.
A $4000 e-bike could be rented for $48.93 a week, or $1272 for six months.
My Ride Launceston Team Leader Ben Mather says the shop has offered the option for a while but has recently started promoting it as economic conditions have tightened.
“It’s a minimum six-month rental so you do pay a premium, but at the same time if you want a $5000 bike you can get it straight away and start riding.
“It’s no different to how people get new cars now. You get the latest model then upgrade to the next model."
Manager at My Ride Hobart Michael Borch says e-bike technology in particular is moving so quickly that people who like the latest gear prefer to rent.
“For the average recreational cyclist new e-bikes are a lot of money so this way they can dip their toe in and if they don’t like it after six months they can just hand it back.”
“The payments initially seem a little high, but it’s mostly for people who like the latest stuff. As soon as 12 months is over they can swap over for a new model.”
Like the Launceston store, My Ride Hobart has offered the rental option for a while, too.
“In the past few years people have had the disposable income to buy bikes outright, but in every industry people are watching their dollars a bit more now," he says.
Roll Cycles in Hobart and Launceston also offers the rental option but owner Byron Wallis says it isn’t as popular as other options like Humm.
“The Humm option is a buy-now, pay-later program and costs a few hundred dollars more by the end, so if you’re looking to keep the bike it’s a better option.
“Our account means customers can use it for bikes costing up to $5000 and we also have Afterpay available for smaller purchases up to $2000. Whatever they choose I make sure they understand the fine print and the difference in the options.
“We haven’t noticed an increase in people asking about finance options, we don’t promote them in the store but have them available if people ask for them."
Borch says bike sales have slowed since the high levels experienced during COVID-19.
Shops are being given incentives by some suppliers to discount older stock and move it out of warehouses as they get back into normal sales rhythms.