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Why are quad prices going up?

Since the beginning of the pandemic, buying a quad has become a challenge. There has been a sharp increase in the price of quads. How can this be explained?

Over the past couple of years, people have found new hobbies that they can enjoy nearby. Many of them have chosen to buy a ATV. In addition, many existing quad riders have taken advantage of the constraints of the pandemic to upgrade their quads.

Of course, this caused sales to skyrocket and manufacturers quickly ran out of stock. Manufacturers tried to increase production, but the virus affected their employees, slowing the number of units produced considerably.

Manufacturers also experienced supply problems for some electronic components and even parts like shock absorbers. As if that wasn’t enough, transportation was also hit hard. Transportation times and costs almost exploded. This has only increased the time it takes to produce quads and the cost associated with the components.

The vast majority of manufacturers have adapted their production processes. In some cases, they have done incredible pirouettes in order to minimize production times. For example, it was not uncommon for partially assembled vehicles to be pulled off the assembly line and set aside until certain components arrived. The vehicles were put back on the assembly line later to complete the assembly.

In other cases, incomplete vehicles were sent to dealers. The missing parts were often electronic modules, dials or similar components. When these were available, the manufacturer would ship them to the dealer so that he could install them and finally deliver the quad to his customer.

In short, all of this created additional costs for the manufacturers. This is true both for the supply and for the logistics of producing and shipping the units. This increase in costs means that the price of the quads has to be adjusted upwards.

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In addition, manufacturers no longer offer the rebate programs we used to enjoy. It’s the law of offer and demand! Why give discounts when production is not keeping up with demand?

Manufacturers are also very attentive to the number of units produced. They must take into consideration the constraints related to the supply of components. This greatly delays the return to balance between offer and demand.

So I think this upward trend in quad prices will continue for the manufacturers’ ranges in 2023. These will be announced in the next few months. We will know then!

Have a great season everyone!

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