Top 4 Reasons Why Investing In Bicycles?
The way we move within the same city is changing. The mode of transport consumption evolves from the traditional position of displacement in a private vehicle owned, as the only form of travel, to a model that integrates sufficient information from all existing modes of transport so that the user can both personalize their trip how to access these quickly and comfortably, completely transforming the travel experience conceived up to this moment. This integrated set of possibilities is known as Mobility as a Service (MaaS), including both the transport network and the telecommunications infrastructure and the payment systems for the service.
The popularity of this new model of shared mobility is motivated by economic, social, and environmental factors. So, why investing in bicycles is a good idea? Let’s dive in.
Catalyst #1: Growth
Bicycle sales began to pick up steam. Cycling industries are thriving, and they are critical to the EU’s green recovery. The bicycle market is expected to expand from 20 to 30 million bikes by 2030.
An annual growth rate of 15% is expected for e-bikes, with 18 million bikes sold by 2030.
In 2019, 3.7 million e-bikes were sold. E-bike sales prediction by 2030 in the EU28 will hit 17 million per year. The revelation is that the recent declines in the traditional bike industry, caused by bike sales being replaced by e-bike purchases, will come to an end in 2020.
“E-bikes are the most powerful instrument for change. We are way ahead of electric cars.” — Kevin Mayne, CEO of Cycling Industries Europe
Catalyst #2: Green Transition
Cycling industries generate new green employment and economic growth. We want to contribute to the Green Transition. We want to support the industry and develop green jobs in Europe.
The cycling and cycle tourism industry has great economic potential. There are an estimated 750,000 bicycle-related jobs in the pan-European region. Doubling the share of bicycle use in the European Union would create an additional 400,000 jobs and an additional € 3.5 billion business volume in bicycle retail sales. More than 76,600 people would be employed in green and healthy transport each year if major European cities reached Copenhagen’s bicycle modal share.
According to CIE’s new survey results, “94% of companies are planning to increase staff in the next two years. 54% have already done so.”
The EU produces roughly 20 million bikes each year, with electric bikes accounting for 3.33 million of those sold in 2019. This increase has come from a modest starting point, but it has increased significantly. Electric bike sales are expected to reach 13.5 million units by 2030. The new investment in e-bikes comes as cycling is surging around the globe, with bike sales and especially e-bike sales hitting record numbers.
The EU Mobility Atlas report depicts Europe’s mobility landscape and its evolution over time. Electric bike sales currently represent 17% of total bicycle sales in the EU. For example, electric cargo bikes combine the joy, thrill, and health advantages of riding with the utility of a minivan. Electric bike sales are growing at a far faster rate than electric car sales in Germany.
As far as sales trends go, 60% of electric bike sales at the checkout in Europe are predominantly made in the EU. Poland, Italy, the Netherlands, Bulgaria, and Romania are projected to be major recruiters of people working in the bicycle industry.
“EU countries need to recognise that cycling investments are the best way to structurally improve people’s mobility patterns while creating green jobs and boosting the economy.” — Manuel Marsilio, General Manager of the Confederation of the European Bicycle Industry
Catalyst #3: Benefits To Society
One bike trip generates benefits to society, reducing public health costs, congestion, and GHG emissions.
Shared mobility platforms are losing strength, and the consumer chooses to have his own bicycle that can be properly cared for and disinfected and comfortable to transport. Within the sector, the growth of electric bicycles has emerged as the ideal means to move around cities in a non-polluting way. The health crisis has further accelerated growth projections for this sector.
Doubling the current level of bicycle would prevent 30,000 premature deaths, mainly due to increased physical activity, with indirect economic benefits that would amount to 78,000 million euros per year. Don’t you know how to get rid of that tummy? Cycling as transportation is an activity that provides numerous health benefits, including burning calories, improving cardiovascular health, and strengthening the lower back.
The emission of gases by cars and other vehicles has become the main problem in the world's cities. Riding a bicycle implies a much more sustainable option when it comes to circulating through an urban environment since it does not pollute and encourages respect for the environment at all times. Doubling the current level of bicycle would reduce greenhouse gas emissions by eight million tons of carbon dioxide equivalent (CO2), with indirect economic benefits of 1.1 billion euros a year.
The e-bike is an excellent way of changing a car journey into a bike journey. The key to the change is to make a company bicycle the same no-brainer as a company car was in the past. We are already doing this for short-distance trips. How many times have you ridden in a car, and it took longer to park than to drive? The bicycle saves time since after the tour you will not have to park it anywhere.
Catalyst #4: Momentum
The bicycle sector is experiencing a great boom since the European Commission and governments recommend the bicycle as an ideal means of transport due to COVID-19. It guarantees to maintain social distance, and it is also an economical transport that does not need a large expense for its maintenance.
There is currently a scarcity of components and OEMs will have to decide whether to increase production. Even big automakers (Tesla, Aston Martin, Audi or Harley-Davidson) have embarked on the new two-wheeled challenge. This momentum reflects how bicycles tend to continue to do well.
In particular, it’s a major shift in terms of European public policies. The first pan-European plan to promote the use of bicycles begins, which will provide a triple benefit to our societies: boosting the local economy with more green jobs, increasing people’s health and actively protecting our climate.
Belgium is in the lead in relative numbers, having budgeted €473 million, equal to 8% of its Recovery Plan, for cycling investments such as the construction of cycling highways in the northern region of Flanders and around Brussels. Italy is committing to build 1,770 km of cycling paths and will invest €600 million in reinforcing cycling mobility. Romania will invest €120 million to develop 3,000 km of touristic cycle routes and complete the EuroVelo 6 long-distance cycling route. Slovakia has budgeted €100 million to build 200 km of high-quality cycling paths. Latvia has included the development of cycling infrastructure for daily mobility in its Recovery Plan. France is earmarking €100 million to finance its national cycling plan and is also set to introduce a scheme for people to scrap their cars in exchange for hefty premiums to purchase e-bikes in its new climate law. — ecf.com
Summary
- The European bicycle market is growing fast, from 20 to 30 million by 2030.
- This expansion contributes to the Green Transition, supports the industry and develops green jobs in Europe.
- Bikes generate benefits to society at many levels, reducing public health costs, congestion, and GHG emissions.
- There is a major shift suggested by European public policies.
Europe bets on the bicycle in the race towards a healthier and more sustainable future.
We provide digital tools to make cycling accessible for everybody. The well-being of people is strongly linked to daily mobility.
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Thanks for reading.
