Segway: Some have serious use for vehicle while it's a gimmick for others

Yet another mode of transportation is quickly gaining popularity and posting healthier sales, partly due to soaring gasoline prices.

Segway Inc., maker of the unique personal transporters, said its sales surged 50 percent in 2007 compared to 2006. And during the first quarter this year, sales have climbed 25 percent compared to the same period last year. If the trend continues, this year could outpace last year even further, dealers said.

So who's buying?

More individuals, suburban police departments and security firms, shopping malls, golf courses, warehouses and other businesses.

"When gasoline reached $4 a gallon, it doesn't take much to figure out what's better," said Jim Reynolds, owner of the Segway of Chicago dealership in West suburban LaGrange. "The Segway only costs about 25 cents a day to charge up."

After all, a Robert Hall International survey in May found that 44 percent of workers say higher gasoline prices have affected their commute and they're changing the way they get to work as a result.

For short commutes, the two-wheeled Segway can carry one person and only needs the nearest electrical outlet to recharge. It has no accelerator or brakes. Riders use their weight to control direction and speed, usually up to 12 mph, said Reynolds.

The company was founded in 1999 by inventor Dean Kamen, who opened a manufacturing plant in Bedford, N.H., in 2001. A year later, the transporters rolled off the assembly line. They were first sold on Amazon.com, and shortly thereafter dealers started to open around the country. Now, basic, off-road and golf course Segway models are sold, ranging from around $5,000 to $6,000 depending on features or customization.

In 2004, the U.S. Department of Transportation began looking at the safety of Segways and other forms of nonmotorized and motorized vehicles and many states started approving the devices for use. Illinois amended its state vehicle code in 2003 to allow Segway use.

The private company doesn't publicly report income, but Reynolds, along with a Chicago dealership confirmed their sales have surged more than 25 percent so far this year, compared to last year.

"It sometimes takes municipalities and businesses a year or two to get something like this into their annual budgets," Reynolds said.

Companies that purchased Segways for use by their workers in warehouses or for security detail include Marriott, Disney, Fed-Ex, Boeing, Qualcomm, Texas Instruments and others.

So far this year, Segway has sold 225 machines to Simon Property Group Inc., owner and operator of shopping malls nationwide, including Gurnee Mills and Chicago Premium Outlets in Aurora, where the transporters are used. Target also purchased them for about 150 stores.

Then there are companies like Rieke Office Interiors, that used a Segway for a one-year marketing plan and then turned it in for resale.

The Elgin company even held a one-night special event for its customers so they could get mini-lessons and ride it for kicks.

"It was for people who would visit our showroom and wanted a cool experience," said Rieke President Chris Matus.

But Segways often have a more serious use; police departments in Chicago, Aurora, Bartlett, South Elgin and Barrington use them to save gasoline and enhance their patrol details.

While the towns said they haven't formally compared the Segway energy use, officers estimated they saved around $100 a day since they're not idling or cruising a gas-guzzling squad.

"It's paid for itself so far," said Barrington Police Deputy Chief Jerry Libit.

The Barrington Police Department bought a Segway last year and is considering more. It's been useful patrolling bicycle and walking trails, commuter lots and the downtown area, especially during special events and festivals, said Libit.

"It's great for the street fests and events because you're higher than the rest of the crowd, and you can see what's happening and react quickly," Libit said.

Mike McGuigan, Bartlett's police sergeant and a Segway instructor, said his department has two and is considering more to replace the bicycle unit. The transporter has been flexible and quicker than foot patrol - and very quiet.

"We even caught two people who were burglarizing the golf course's pro shop," said McGuigan. "We just rode right up to them and surprised them because there wasn't any noise."