The European bicycle and e-bike market in 2024 faced significant headwinds from a protracted overstock situation and dampened consumer sentiment. While unit sales across most major markets continued to decline, the rate of contraction decelerated compared to the sharp drops of 2023, signaling a potential stabilization.
The market experienced a notable shift in revenue composition, with heavy discounting leading to a drop in average selling prices despite robust demand for e-bikes, which now dominate a significant portion of total turnover. External pressures, including global trade disputes and persistent geopolitical conflicts, have intensified the industry’s focus on European markets.
Europe is increasingly attractive due to favorable governmental policies and a growing emphasis on sustainable urban mobility. Key market trends included the continued dominance of e-bikes, the critical role of leasing models in sustaining sales, and stark variations in market performance across different European nations. Looking forward, the industry’s recovery hinges on effective inventory management, adapting to evolving consumer purchasing behaviors, and capitalizing on policy-driven initiatives that promote cycling.
Post-Pandemic Overstock Challenge
The fiscal year 2024 was defined by the lingering effects of the post-COVID-19 supply glut, which continued to be a significant drag on the European bicycle industry’s recovery. Unprecedented pandemic-era demand spurred a massive increase in manufacturing, leading to a surplus of inventory that overwhelmed distribution channels and retail partners. Three years on, this supply-side imbalance has not been fully resolved.
The consequences for industry stakeholders have been severe, with excess inventory translating into a substantial capital lockup for manufacturers, distributors, and retailers alike. Holding surplus stock is also a financially burdensome endeavor due to significant warehousing and logistics costs.
The rapid depreciation of these assets is even more damaging. Given the industry’s short product cycles, overstock quickly becomes outdated, forcing deep discounts to clear inventory and make way for current-year models. This widespread and aggressive discounting, with reports of even premium brands slashing prices by up to 50 percent, has had a profound impact on profitability. It has led to significant margin compression across the entire value chain, with numerous reports of manufacturers and brands entering administration over the last eighteen months underscoring the severity of this crisis.
Macroeconomic Pressures
The European market’s strategic importance has been amplified by external factors. The imposition of new tariffs on exports to the United States has eroded profitability and refocused manufacturers’ attention on Europe as a primary target.
This shift aligns with Europe’s legislative commitment to sustainable mobility. The European Union is actively encouraging cycling with new regulations, and cities like Paris are demonstrating how dedicated infrastructure and policy can drive a significant shift away from cars towards bicycles. Such urban transformations serve as a compelling case study for other European cities and reinforce the market’s long-term growth potential.
Despite these positive tailwinds, consumer sentiment remains weak across the continent. Lingering geopolitical conflicts, coupled with persistently high living costs driven by inflation, have created a climate of economic uncertainty. This has made consumers more cautious with their discretionary spending, particularly for big-ticket, durable goods like bicycles and e-bikes. This reluctance to invest directly contributes to the overstock problem, creating a feedback loop of low demand and persistent inventory.
Market Performance by Key Regions
A critical challenge in accurately assessing the industry’s health is the reliance on sell-in data – shipments from manufacturers to retailers – rather than real-time sell-out data – actual sales to consumers. This “blind spot” is a major systemic issue that can lead to miscalculations in demand and contribute to future oversupply situations. The discrepancy between sell-in and sell-out numbers in 2024 was pronounced, as retailers were heavily focused on liquidating existing stock before placing new orders. According to Germany’s Zweirad Industrie Verband (ZIV), nearly one in five bicycles and e-bikes sold in 2024 came directly from dealers’ inventories.
According to a per capita sales comparison by British retailer Paul’s Cycles, Norway and Denmark hold the top two spots for e-bike sales per capita, with Germany in fifth place and the United Kingdom ranking second to last. The introduction of governmental subsidies for e-bikes in Norway in 2024 boosted sales, highlighting the effectiveness of smart policies in promoting low-carbon mobility.
Germany: Market Bellwether
As Europe’s largest bicycle market, Germany serves as a crucial barometer. After a 13% decline in 2023, the downward trend slowed in 2024 with a 3.75% decline in total deliveries to 3.85 million units. E-bike sales showed resilience, dropping only 2.4% to 2.05 million units and increasing their market share to 53.25%. Conventional bicycles saw a steeper decline of 5.25% to 1.8 million units. Total turnover from bicycle sales fell 10.3% to €6.33 billion, a direct result of market-wide discounting. This compressed the average price per unit from €1788 to €1645, with the average e-bike price dropping from €2950 to €2650.
Austria and Switzerland: Contrasting Trends
Austria’s market showed signs of stabilization, with total deliveries down a smaller 6.1% to 395,426 units. Aided by leasing offerings and local subsidies, e-bikes proved to be a key growth driver, with deliveries increasing by 2.5% to 226,076 units and pushing their market share to a robust 57.2%. Despite this, total turnover fell 11.1% to €1.055 billion. In contrast, Switzerland’s market has not yet found its footing. Having plunged by over 20% in 2023, deliveries saw another 13.6% drop in 2024, totaling 341,142 units. The downward trend was slightly more pronounced for conventional bikes (15%) than for e-bikes (12%), and the e-bike market share, at 44.5%, remains below the 50% threshold.
Southern Europe: Divergent Paths
In Southern Europe, markets showed divergent paths. France contracted by 12.3% to 1.96 million units, with e-bike sales dropping steeper than conventional bikes, reducing their market share to 28.9%. However, revenue was down a more moderate 8.3% to €2 billion. Italy’s market showed remarkable stability, contracting by just 0.7% to 1.35 million units, and e-bike sales grew slightly. This pushed the e-bike market share to 20.2% and kept total turnover stable at €2.6 billion. Spain’s market contracted by nearly 10% to 1.1 million units. E-bike sales fell sharply by over 19%, lowering their market share to 17.7%. Despite this, Spain was unique in seeing a 4.5% increase in the average sales price to €1167, a trend that may be attributable to consumer preferences for higher-value road and mountain bikes.
The Low Countries: High E-Bike Penetration
The Low Countries, known for high cycling adoption, also saw contractions. Belgium’s market fell 4.7% to 540,356 units, but e-bikes maintained a dominant 50.9% market share. A noteworthy trend in Belgium is the speed pedelec segment, where sales of new units fell by 17.5% while the second-hand market grew by 18.3%. The Dutch market saw a 6.6% decline to 858,126 units, with e-bikes accounting for 47.6% of sales. The Netherlands also saw the rise of a new product category: fatbikes, with over 111,033 units sold, primarily through non-traditional online channels.
United Kingdom: A Unique Trajectory
The UK market continued its unique trajectory, with sales declining by a further 2% to 1,596,000 units, following an 8.6% drop in 2023. The e-bike market share remains remarkably low at just 9.15%, the lowest of the markets presented. This can be attributed to a combination of high living costs and less developed cycling infrastructure. The one bright spot was the high-end road and mountain bike segment, which saw some sales growth, suggesting a resilient segment of enthusiast consumers.
Importance of Leasing Models
In several key markets, particularly Germany, Austria, and Belgium, bicycle leasing models have been a critical buffer against low consumer sentiment. These models, often implemented as part of corporate benefits or governmental incentives, allow consumers to acquire high-value e-bikes at a more manageable monthly cost, effectively bypassing the barrier of a large upfront payment.
For retailers, leasing provides a stable, recurring revenue stream and encourages sales in higher-priced segments. Furthermore, these models are predominantly exclusive to the traditional Independent Bicycle Dealer (IBD) network, offering a strategic counter-balance to the growing competitive pressure from direct-to-consumer (D2C) brands and large retail giants.
The 2024 European bicycle market was a year of reckoning, characterized by a difficult but decelerating contraction. While the persistent overstock issue has created significant financial strain, the market is in transition with strong underlying drivers that promise future growth. The strategic pivot of global manufacturers towards Europe, coupled with legislative support for sustainable mobility and the continued adoption of e-bikes, provides a powerful long-term growth narrative.
For 2025, industry leaders must focus on several key strategic pillars. First, a more sophisticated approach to supply chain management and real-time data analytics is essential to prevent future oversupply crises. Second, leveraging the success of bicycle leasing models is crucial for driving high-value sales and supporting the vital IBD channel. Finally, businesses must continue to innovate, offering compelling products that cater to the evolving needs of urban commuters, recreational riders, and enthusiasts. While challenges remain, the foundational trends point towards a market poised for a more sustainable and profitable recovery in the coming years.