UK bike sales take pause, cargo movement powers on

UK bike sales are down by a quarter against pre-COVID levels, according to the Bicycle Association, while eBike sales have stalled. The one growing area, however, is eCargo bikes, sales of which increased by 37% in the 12 months to May 2022, compared with the previous year.

According to preview figures provided by the Bicycle Association from their upcoming report on sales in the first half of 2022, total cycle market volume and value are down by 28% and 26% respectively in the first half of 2022 vs the first half of 2021. It says 2022 may be the ‘low water mark’ of a post-Covid slump, with recovery likely to be slow, held back by global and local market forces.

Ebikes are now 30% of overall bike purchases because mechanical cycle sales declined. The market value in 2022 is 16% higher than in 2021 because of rising prices, the specialist segment, and eBikes, but overall sales have now fallen to 25% below the 2019 level.

Despite this, cycling is up 33% on pre-pandemic levels, according to the Department for Transport figures, with a sharper increase to 39% above pre-pandemic levels since March when fuel prices started to increase.

The BA’s Steve Garidis reiterated calls for an eBike purchase subsidy, which he says “have been an incredibly effective tool for governments in Europe to accelerate uptake of eBikes”.

“It’s clear looking at the sales data – particularly comparing the UK with European countries like Germany and France – that we risk being left behind here. However, eBikes clearly have huge potential which could be unlocked here in the UK too with the right policy measures and incentives with sufficient scale.”

He added investment in cycle infrastructure and safe cycle parking were crucial to boost everyday cycling trips, adding “e-bikes are generally higher value and fear of cycle theft and lack of adequate secure storage at major destinations is a significant barrier.”

The BA says UK bike sales trends remain a long way behind many mainland European countries, where eBikes are 23% of all cycle sales and overall cycle sales are growing. In total, 165,000 eBikes will likely be sold in the UK in 2022, on a par with recent years.

Hybrid bikes and kids’ bikes were two segments to have lost market share versus 2019 figures.

The reasons for the UK slowdown include the cost-of-living crisis allied with increasing bicycle prices, and a weak pound against the dollar. Inflation has also reached a 40-year high. Meanwhile, sales of cycles were likely brought forward by the pandemic, so people who might have bought a bike in 2022 bought early during lockdowns, displacing later purchases.

Demand remains strong in enthusiast cycles, however, such as carbon road bikes, gravel bikes and e-mountain bikes. E-cargo cycles are also a good news story, growing 37% in volume to 8,000 to 10,000 units to the 12 months ending May 2022, with the household to business cargo cycles ratio roughly 50:50.

The BA says excess stock is now building at the lower-priced end of the market, including cycles and PAC products like helmets and clothing; this trend was illustrated in yesterday’s Giant Group financials. Meanwhile import volumes are rising, by 12% in 2021, and are still tracking 15% above 2019 levels.

The BA forecasts the total market value for 2022 will be £1.9 billion, 19% ahead of 2019.

Weekend cycling growth, meanwhile, is up 66% with warm, dry weather a likely factor. The charity believes the fuel crisis is pushing people out of their cars and onto two wheels for some trips. Duncan Dollimore, head of campaigns at Cycling UK, said: “Rising fuel prices have triggered some people to think about their transport choices, switching some of their car journeys to cycling. But too many people don’t feel like they have that option because they don’t think our roads are safe enough to cycle on.”

Cycling UK points out there may be 16.5 million unused bicycles in people’s sheds, and the BA suggests the second-hand market may be strong and growing.

Further detail on UK bike sales trends, plus further forward-looking insight in the UK bike retail market can be obtained with CyclingIndustry.News’ annual market study. For those looking for bespoke insight into the marketplace we are now recruiting sponsors for our 2023 study, with partners invited to collaborate in the process to gain tailored understanding. To enquire about either the current or next year’s study, contact the editor here.