From transportation to fashion, the evolution of the bicycle market from mid-to-high-end
2025-04-08
From transportation to fashion, the evolution of the bicycle market from mid-to-high-end
From "citywalk" to "cityride" to the recent "night ride in Kaifeng" craze, the popularity of cycling has remained high in recent years. Despite the hidden dangers of traffic safety and bicycle maintenance, cycling remains popular, and has evolved from a new trend of low-carbon travel to a lifestyle that opens up social circles.
Behind this is the bicycle market in transition. According to data from the China Bicycle Association, in 2023, China's total bicycle production will reach 48.83 million, of which the production of bicycles above 1,000 yuan will reach 12.15 million, accounting for 24.9%, and mid-to-high-end has become an important development trend in the bicycle market.
At the same time, as more and more people join the cycling sport, the market for cycling-related products, including clothing and equipment, continues to expand, and cycling clubs and even the second-hand bicycle market have also benefited from this wave of dividends.
How bicycle companies can catch this wave of traffic is a question that the entire industry in transition is thinking about closely. Can this cycling trend really penetrate the market, help bicycle companies regain the consumer groups covered by shared bicycles, and then open up new market space?
The rising cycling economy
"We conservatively estimate that there will be 100 million cycling enthusiasts in China in 2029, among which the proportion of road bicycles will be very high, which is a huge market opportunity." At the 2024 China International Bicycle Exhibition, Zhao Yuewu, the brand director of Decathlon North Asia Road Cycling Sports, made such a bold judgment.
"We conservatively estimate that there will be 100 million cycling enthusiasts in China in 2029, among which the proportion of road bicycles will be very high, which is a huge market opportunity." At the 2024 China International Bicycle Exhibition, Zhao Yuewu, the brand director of Decathlon North Asia Road Cycling Sports, made such a bold judgment.
In 2020, China officially proposed to strive to achieve "carbon peak" in 2030 and "carbon neutrality" in 2060. In order to encourage green travel, many cities are constantly improving infrastructure such as bicycle lanes to provide better conditions for cycling.
With the popularity of the concept of national fitness, cycling has gradually changed from a means of transportation to a lifestyle. The cycling economy is rising.
According to iMedia Consulting data, the scale of China's bicycle market has reached 194.07 billion yuan in 2021, and it is expected to maintain steady growth in the next few years. By 2027, the market size is expected to grow to 265.67 billion yuan.
Behind the "cycling craze", bicycle brands, cycling equipment, cycling clubs, and even the second-hand bicycle market driven by social platforms are welcoming this wave of dividends.
Entering options such as "cycling routes", "cycling equipment", "cycling outfits", and "cycling weight loss" in Xiaohongshu, the number of notes is more than 10,000, and cycling outfits are even more, with more than 20,000 notes.
Entering options such as "cycling routes", "cycling equipment", "cycling outfits", and "cycling weight loss" in Xiaohongshu, the number of notes is more than 10,000, and cycling outfits are even more, with more than 20,000 notes.
Tmall data shows that from January to August 2024, Tmall's cycling category transactions increased by 77.8% year-on-year, among which bicycles, cycling clothes, cycling shoes, cycling helmets, and cycling glasses became the five categories with the fastest transaction growth. In Tmall's "Double 11" promotion, the sales of all cycling categories increased by more than 40% year-on-year, and the sales of bicycles increased by more than 80% year-on-year.
On November 7, JD Sports released the "2024 Winter Cycling Equipment Guide", which showed that winter cycling has become a new trend: the sales share of online winter cycling equipment has expanded significantly, and the proportion of winter cycling caps has reached nearly 50%; and cycling platforms (equipment used to simulate cycling indoors) have become a new trend in winter cycling. During JD's "Double 11", the transaction volume of multiple cycling platform brands increased by more than 3 times year-on-year; from a regional perspective, Beijing, Guangdong, and Jiangsu have also become the three provinces and cities that love winter cycling the most.
Bicycles are not only popular in China, but also show strong export momentum.
At present, China has formed three major bicycle cluster industrial belts in Tianjin Bohai Bay, Jiangsu, Zhejiang, Shanghai, and the Pearl River Delta, forming a complete industrial chain and supporting system, with annual trade volume accounting for about 60% of the world.
At present, China has formed three major bicycle cluster industrial belts in Tianjin Bohai Bay, Jiangsu, Zhejiang, Shanghai, and the Pearl River Delta, forming a complete industrial chain and supporting system, with annual trade volume accounting for about 60% of the world.
From 2020 to 2022, the bicycle market has experienced explosive growth. In 2021, China's bicycle production was 76.397 million units, and exports were 69.232 million units, a year-on-year increase of 14.8%, and the export value reached US$5.108 billion. In 2022, China exported 41.74 million bicycles, a year-on-year decrease of 39.6%, and the export value dropped to US$372,100. After entering 2023, although the overall demand growth in the bicycle market has slowed down, the export volume cannot be underestimated. According to CCTV News, China's bicycle production in 2023 was 48.83 million, and exports were 39.648 million, accounting for 81% of the total production.
In terms of price, data from the China Economic Industry Research Institute showed that the average export price of China's bicycles in 2021 was US$73.75 per vehicle, and the average price in 2022 was US$89.15 per vehicle. By 2024, the average export price from January to August was US$56.92 per vehicle, a decrease of 22% compared with US$69.57 per vehicle in the same period of 2023.
Judging from the performance in the first three quarters of 2024, the bicycle market has gradually begun to recover. According to data from the China Business Industry Research Institute, from January to September 2024, China's bicycle exports reached 36.05 million units, a year-on-year increase of 20.4%.
According to data from the China Industry Information Research Network, the global bicycle market size is expected to grow at a compound annual growth rate of 4.20% from 2024 to 2029, from US$56.16 billion to US$69 billion.
Especially in Europe, Southeast Asia, Africa, North America and other places, due to the popularization of environmental protection concepts and urban traffic congestion, bicycles are gradually becoming a new choice for people to travel.
From small profits but quick turnover to high-end
The number of registered bicycle-related companies in China has increased year by year. According to Qichacha data, the number of registered bicycle-related companies in China increased by 110.6% in 2023 to 1.48 million, nearly 27 times that of the same period in 2014. As of August 15, 2024, there are about 3.482 million bicycle-related companies in the country.
The number of registered bicycle-related companies in China has increased year by year. According to Qichacha data, the number of registered bicycle-related companies in China increased by 110.6% in 2023 to 1.48 million, nearly 27 times that of the same period in 2014. As of August 15, 2024, there are about 3.482 million bicycle-related companies in the country.
The scale of bicycle companies is not large. Even the industry leader Shanghai Phoenix (600679), the highest historical revenue has just exceeded 2 billion yuan (2.058 billion yuan in 2021), and the profit has been hovering around tens of millions for many years, with the highest just exceeding 100 million yuan (104 million yuan in 2021).
From "a means of transportation" to "a popular sport", young people are driving the revival of cycling.
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