Bicycles: Global Growth Market
SAN JOSE, California – The world bicycle market is projected to reach in excess of 31 billion (US$ 61 billion) by 2010. In the period 2001 2010 the industry will have reached an average growth of 5.28% per year (CAGR) globally. Asia-Pacific, with a share estimated at
SAN JOSE, California – The world bicycle market is projected to reach in excess of € 31 billion (US$ 61 billion) by 2010. In the period 2001 – 2010 the industry will have reached an average growth of 5.28% per year (CAGR) globally. Asia-Pacific, with a share estimated at 47.36% in the year 2007, forms the largest bicycle market worldwide.
According to a recent report from Global Industry Analysts this region shows the fastest growth with of over 6.33% during the above-mentioned period. The leading segment during the period 2001 – 2010 is still sports bicycles with a growth above average of 6.15%.
This figure is strongly affected by the fact that cycling is one of the top leisure sports activities in the US. An overwhelming majority of nearly 95% uses bikes for health and leisure purposes and the rest uses it for transportation purposes.
Shorter life cycles
Global Industry Analysts states in its € 3,950 costing market report that bicycle demand is affected by technological changes, diffusion and short life cycles. These factors control the progress and guide the trends in the industry. Mass-production, the age-old belief is now being replaced by mass-customization. The bicycles manufactured in recent years are very advanced. These high technology and high-performance bicycles need more maintenance.
The global bicycles market is expected to grow at a steady pace in the near future. Growth is expected to arise from the increasing popularity of electric bicycles. China is the largest market for electric bicycles in the world and is expected to be the leader in the foreseeable future. The country accounts for a lion’s share of electric bicycles sold in major markets including Europe and the US. While exports to the US are in the form of complete units, exports to Europe are in the form of components that are assembled and sold under local brand names. Other potential markets include densely populated areas such as India and Africa.