Volume 7, Issue 2: Fall 2011

 

Motorcycling Consumption: A First Look at Peer-to-Peer Motorcycle Renting

Diego Varela  

As a relatively young motorcycle rider, I have seen the motorcycle industry’s decline in recent years, mainly in western countries such the US and Europe. There is no doubt that the recent economic turmoil has helped fuel this decline, but there is also evidence that something has changed within the industry that we cannot ignore, which has more to do with the overall alignment between motorcycling and the people’s needs (particularly those of newer generations).

 

The negative image of motorcyclists and motorcycling (reckless riding, drink and riding, road accidents, environmental impact on CO2 emissions, etc.), and the cost and economies of motorcycling are currently two of the main barriers to motorcycling adoption. In Europe, governments have also made it more and more difficult for people to get their licenses and to ride motorcycles.

 

As a motorcycle lover and rider, one of my biggest passions is to generate debate and discussion around controversial topics, in this case the sustainability of motorcycling. I believe in motorcycling as a way to experience life and as an activity that should be preserved.

 

I have chosen peer-to-peer motorcycle renting, as it is a concept that no doubt will be with us soon, and that could address some of the factors affecting younger generations, particularly the cost and the environmental concerns of? motorcycling. The success of this concept is based on rational factors: cheaper and cleaner motorcycling. However, we must not forget that emotional and other “irrational” elements need to be considered when discussing the potential adoption of this trend.

 

In trying to provide support for the factors that, I believe, are important in judging whether this concept will succeed, I have chosen the car industry as an example, in those cases where there is not relevant literature in the motorcycle world.

 

The Costs of Motorcycling Today

 

From the moment we enter the world of motorcycles, and even before we do, we go through a transformation process. This process involves fantasizing about the motorcycle, the ride, the landscapes and the roads and the people we will ride with. The degree of intensity of these emotions and feelings varies from person to person and this, to some extent, is the best measure of how attached we are to our “toy.”

 

Despite their dreaming and fantasizing, motorcyclists today are faced with a new socio-economic reality. The cost of living has risen exponentially. From food, to education to electronic gadgets, everything continues to put pressure on our wallets.

 

In addition, motorcycle manufacturers have fallen into the inertia of developing and building bigger, “better” and more expensive motorcycles year after year. The larger engine sizes and high-tech features, such as GPS devices and ABS braking systems, have made motorcycles as, and sometimes even more, expensive than cars.

 

Faster and more powerful motorcycles, combined with untrained riders and alcohol, have increased the number and seriousness of motorcycle-related accidents. As a result, the cost of insurance has also increased. Governments, in trying to stop people from getting into motorcycling, are making the test more difficult and more costly. Motorcycle parts and accessories/clothing manufacturers have created a whole industry around motorcycle related products, which only adds to the overall cost of ownership.

 

Additionally, motorcycles, as cars do, contribute to the pollution of our atmosphere through CO2 emissions. The exponential growth of motorcycles around the world, added to increases in engine size and power, has given the motorcycle a significant role in polluting our planet. For some this represents a concern and therefore a barrier to adoption motorcycling. A strategy that would significantly reduce the number of motorcycles on the road, while still allowing people to ride, would perhaps make environmentally concerned individuals think about it twice.

 

In summary, riding a motorcycle today, however small, is not cheap, neither for the rider nor for the environment. The bigger and more powerful the motorcycle, the more the costs.

 

Motorcycles, Emotions and Feelings

 

Referring to automobiles, Mimi Sheller has argued, “Car consumption is never simply about rational economic choices, but is as much about aesthetic, emotional and sensory response to driving” (Sheller 222). I think we can draw a parallel with motorcycles and riding. Indeed, there seems to be much more of an emotional connection between motorcyclists and their bikes than with cars.

 

There is no doubt that when we talk about motorcycles, emotions always play an important role. Having worked in several research projects throughout my career, I have seen people going from smiling to jumping to arguing (and sometimes crying) in a matter of minutes while talking about their relationship with motorcycles.

 

For some riders, motorcycles only represent a functional vehicle that takes them from point A to point B. A motorcycle or a scooter is something that saves them money, that reduces the commuting time or that makes parking easier. However, even in those cases, I would argue there is some of sort of emotional response to riding, not necessarily in a romantic sort of way but perhaps more attached to the adrenaline rush or thrill derived from riding as opposed to driving. There are certainly exceptions to every rule, but we are not going to discuss those here.

 

It has been proven that emotional responses configure consumption decisions: “Pleasure, fear, frustration, euphoria, pain, envy; emotional responses to cars and feelings about driving are crucial to the personal investments people have in buying, driving and dwelling with cars” (Sheller 224). With motorcycles, as with cars, there is an “emotional investment” that cannot be underestimated. This emotional investment drives how attached we are to our motorcycles and what they mean to us.

 

As powerful as advertising from manufacturers can be, the thrill coming from riding a motorcycle, the desire for rebellion and freedom, and the passion for collecting motorcycles, are not driven by advertising imagination. These are feelings and emotions generated strictly by our interaction with motorcycles.

 

But with emotional investment come additional complications.  As Sheller argues, “Emotional investments in the car go beyond any economic calculation of cost and benefits, and outweigh any reasoned arguments about the public good or future of the planet” (236). Does this emotional attachment to our motorcycles prevent us from renting them or sharing them with a “stranger”? This—and other related questions—will be addressed in the sections below.

 

The Car Industry: Do Motorcycles Always Follow?

 

Since I first joined the motorcycle industry, right after college, I have noted the similarities between the motorcycle and the car industries. They have always shared history when it comes to trends. I have heard this statement many times: “The motorcycle industry is like the car industry but 10 or 20 years behind.” Examples of this truism can be found in safety features (ABS, airbags) first available in cars and then motorcycles, manufacturing systems, supplier-manufacturer relationship development, etc.  

 

I am going to use an example of a relatively recent development within the car industry that could well transform the motorcycle industry in the coming years: the concept of peer-to-peer car rental services. This concept differs from the already existing car (Zipcar) or motorcycle (Jupiter) sharing services in that these companies do not “sell” a share of ownership of a fleet vehicles (they own) to individuals, but instead, enable a platform for people to rent out a share of a vehicle that they own but they are not using much or at all. (I am not going to go into the technological details of how this happens, as I feel that the mechanics, although interesting and intriguing, are somewhat irrelevant for the purpose of this paper.)

 

A number of companies already enable peer-to-peer car rentals over the Internet and through smart phones in California. On the other side of the pond, Whipcar has seen significant growth over the last two years. Thousands of people are renting their cars out for hours or days for cash. As these companies state, the target of their services are the people whose cars are parked and not being used 90% of the time. In 2010, there were in excess of 500,000 members of car sharing programs (Shaheen and Cohen, 2010), which are typically more expensive and limiting than peer-to-peer car renting, the concept I am elaborating on with this paper.

 

Some of the barriers to the adoption of the peer-to-peer concept in the car industry are lack of trust, fear of damage and/or theft, etc. Obviously we would not want anybody to damage our car or misuse it, so we can understand the initial reluctance to embrace such a service. However, these companies have obviously anticipated this and have put the mechanisms in place to address these fears. From insurance to background checks to rules for those with a driving record that could represent a risk for the owners of the vehicles, they have managed to, at least apparently, lower these barriers and get people to try it. This was not an easy task since, in the case of California, it involved changing the law around personal vehicle insurance to guarantee that the owner’s policy would not be void when an individual rented his vehicle to other people.

 

Another mechanism to create and galvanize trust over time includes using online reviews for both the owner and the renter. Services such as Ebay or Amazon.com have benefited from the addition of this feature to their services, to the point that there are consumers who would not buy anything from a seller that does not have a minimum number of good reviews.

 

The Concept of Motorcycle Peer-to-Peer Renting: Benefits and Drawbacks

 

But would people feel as comfortable about renting their motorcycles to other people as they do their cars? At the end of the day, we motorcycle riders all know that riding a motorcycle and driving a car is not the same thing. The skills necessary to operate a motorcycle safely are significantly more complex than for driving a car. Although there are a lot of bad drivers on the road, they have the luxury of being protected inside that “box.” Motorcyclists don’t.

 

If we think of it in purely rational terms, we can pretty much assure that the numbers in terms of cost and utilization would be worse. On that basis alone, a much stronger case will need to be made for motorcyclists than for drivers to adopt the peer-to-peer concept.

 

However, being able to ride other people’s motorcycles would mean that we could have different experiences, try different types of motorcycles in a very inexpensive way and without the hassle of ownership. Wouldn’t that be appealing?

 

From a behavioral economics perspective, we also know that “people only change behavior if they are motivated to do so, and different people have different motivations and different biases that cause or prevent such behaviors” (Young and Caisey 136). When it comes to people’s perceptions about whether motorcycling is a costly or polluting activity, we need to consider making other rational arguments.

 

Some motorcycles, especially the lower engine displacement ones, are hands down more economical and less polluting than cars. They can be used for short, easy trips and for most day-to-day activities. This is where the motorcycle shines when it comes to environmental friendliness.

 

However, there are also other motorcycles that may be better than cars on gas mileage, but may be as bad for the environment, and sometimes even worse, than cars when we put all the elements together (tires, parts, etc.).

 

This is where the concept of peer-to-peer motorcycle renting can shine. Why would someone want to own a motorcycle if s/he is only going to use it a few weekends a year? Wouldn’t it be much easier and cheaper to rent somebody else’s?

 

While there might be strong arguments to defend the adoption of the peer-to-peer concept, there are still elements that are purely individual to each of us. Despite the generic “benefits” of adopting such a concept, each of us will adopt it (or not) in our own way.

 

But one real question remains: is the emotional attachment to our motorcycles so strong that not even the rational arguments can convince us to rent or share our beloved “toys” with strangers?

 

Motorcycle Peer-to-Peer Renting: Could this Work?

 

If we take the car industry as an example, we could assume that indeed this concept could work. With the right mechanisms in place (insurance, background checks, etc.), a service like this could succeed. However, we should not underestimate the impact of the emotional attachment we have to motorcycles, which is as powerful, perhaps more powerful, than rational appeals. Would this work for everybody who has a motorcycle parked in the garage and not in use? Of course not.

 

As useful as it was to use the car industry example, a more in-depth analysis of the benefits and drawbacks of this concept for motorcycles is necessary. This could potentially involve a study to gather data from motorcyclists.

 

For now, I guess we can wait and see what happens as new companies enter this segment of the market that, no doubt, is set to change the way we consume motorcycles in the near future.

 

Works Cited

 

Maxwell, Simon.  “Negotiating Car Use in Everyday Life.” Car Cultures. Ed. Daniel Miller, Oxford: Berg, 2001. 

 

Motavalli, Jim.  “How to Rent Your Car for Fun and Profit.  Mother Nature Network, June 1, 2011.

http://www.mnn.com/green-tech/transportation/blogs/how-to-rent-your-car-for-fun-and-profit

 

Niedermeyer, Edward.  “Are You Ready For: Peer-To-Peer Car Rentals?” The Truth About Cars, June 8, 2011.

http://www.thetruthaboutcars.com/2011/06/are-you-ready-for-peer-to-peer-car-rentals/

 

Sheller, Mimi. "Automotive Emotions: Feeling the Car.” Theory, Culture and Society 21.4/5 (2004): 221-42.

 

Young, Stephen and Vivienne Caisey.  "Mind Shift, Mode Shift: A Lifestyle Approach to Reducing Car Ownership and Use Based on Behavioral Economics and Social Marketing." Perspectives in Public Health 130 (May 2010): 136-142.

 

 

Links

 

www.whipcar.com

www.relayrides.com

www.justshareit.com

www.buzzcar.com

www.getaround.com

 

 

 

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