After the first quarter of 2024 we dug into the data to determine how a widespread oversupply crisis in the cycling industry was impacting our marketplace.
We saw that it wasn’t all doom and gloom, but noted that we’d need to see consistently stable demand in order to draw meaningful conclusions. Here’s what we found in the second quarter of 2024:
Demand Holds Steady
In Q1, we saw the first glimmer of hope that demand may be stabilising after the COVID lockdown-driven bicycle boom, and subsequent slump. Our Q2 data offers reassurance:
- Enquiries for Q2 2024 are up 5% year on year (see the graph below).
- This is a notable increase compared to Q1, which was down 1%.
- Historical data shows a seasonal decline in enquiries from Q1 to Q2, but the decline in 2024 is less sharp, indicating stabilising demand.
The Road Turns Up
Road has seen a 5% increase in enquiries year on year in Q2. This is somewhat unexpected in the build-up to winter, and suggests that we can expect positive momentum in the category.
The sub-50k price bands collectively showed the greatest increase in enquiries.
Gravel
Gravel has continued on a growth trajectory with an impressive 40% increase in enquiries in Q2 year on year. It’s the only category to show growth from Q1, suggesting that the gravel events that pepper the winter season have an impact on demand, or simply that demand in this category is still growing.
On a regional level the Western Cape continues to close the gap with Gauteng with a 52% increase year on year in Q2 in the Western Cape.
E-bikes
E-bikes continue to show year-on-year growth, with a 14% increase year on year in Q2. The Western Cape has now overtaken Gauteng in terms of enquiries with 260 vs 182 in Gauteng and this is one of the only categories where this the case.
Dual Suspension MTB
It’s positive to see dual suspension mountain bikes up marginally year on year in Q2, and showing no sign of the seasonal slump we’ve historically seen in this segment.
Hardtail MTB
Hardtail MTBs are flat year on year for Q2 after a strong Q1. Again with the majority of the enquiries focus on the under R25k price band. This reinforces the narrative of stability and suggests the market has found equilibrium.
The clear seasonal spike in annually in Q1 suggests that entry-level bikes are a “new year” or summer purchase.
Disclaimers:
- We are reporting on data from the Bike Hub marketplace only, which may not reflect the wider industry.
- Unique enquiries count one enquiry per user per ad, even if the user clicked multiple times or used multiple contact methods.
- User region data accuracy is based on IP address geolocation services by MaxMind, with 60-80% accuracy.
Thumbnail image credit: DALL·E
Keen to know more?
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