Premium bicycle segment commands double digit growth in India: Bonafide Research

Rising demand of premium bicycles is being engendered by growing number of Indians taking up cycling for sport, recreation, or exercise along with augmented appetite for branded and superior quality products. With a rapidly globalising Indian economy, rising standards of living and faster exposure to the latest technologies, the popularity of the premium bikes in the Indian market has engendered over the years. India is becoming increasingly sensitive towards environment and is taking up eco-friendly mode of transport. The lifestyles of Indians have changed in terms of need for adventure, outdoor fitness, sporting activity, group indulgence activities etc. And cycling has emerged out as a compatible solution for these needs as it addresses the issues of health, congestion on roads and pollution hazards. Further, today's young generation has an appetite for high quality goods, international trends and international brands which would be responsible for the growing cycling business in India. Indulgence of opinion leaders including Salman Khan, John Abraham and Sanjiv Bajaj have also made significant contribution in adoption of these high-priced bicycles. According to recently published report of Bonafide Research "India Bicycle Market Overview, 2016-2022", domestic players like Hero Cycles, TI Cycles, Avon and Atlas together constitute for almost 75% of the market revenues. International players who sell their bicycles in India and are giving tough competition to these domestic players include names like Shimano Inc., Giant Manufacturing Co. Ltd., Trek Bicycle Corporation, The Birmingham Small Arms Company Limited (BSA), Hercules Cycle and Motor Company Limited. They have well-known brands like Giant, Super B, Shimano, Kryptonite, Slime, Saris, Bontrager and Finish Line, Bianchi, Cannondale, Mongoose, Montra, Schwinn, Ducati and Swiss Scott. Despite of the fact that, India is the second largest producer of bicycles next to China and produces more than 17 million bicycles every year, the demand for bicycles is not at the expected level. However, lifestyle bicycle which includes fancy and premium bicycles has seen a remarkable growth in the last few years. Standard bicycle sales are almost flat due to social stigma and dishonour. Despite increasing income levels, people are not purchasing these standard bicycles. But thanks to the government schemes, this segment still holds maximum share in the market. A lot is happening in the bicycle market that is bound to change the current scenario and infuse some life again. The introduction of wide portfolio of lifestyle bicycles especially premium bicycles within high price ranges along with changing consumer preferences will drive the market further. Major companies operating in the bicycle market of India are Hero Cycles Limited, Tube Investments of India Limited, Avon Cycles Limited, Atlas Cycles Limited, Firefox Bikes Private Limited and Starkenn Sports Private Limited.