Motorcycle Market Size By Type, By Engine Capacity, By Application, By Geographic Scope And Forecast

Motorcycle Market Valuation – 2024-2031

The motorcycle market is projected for a robust growth trajectory in the coming years. Analysts predict the current valuation of valuation of USD 344.09 Billion in 2024 will reach USD 655.51 Billion by 2031. This growth is expected to occur at a CAGR of 8.39%, fueled by several key trends. The fast-growing middle class is emerging in developing economies, particularly in Southeast Asia and South Asia. This expanding demographic segment translates to a significant and increasingly affluent motorcycle customer base.

While the motorcycle industry faces some ongoing challenges, such as stricter emission regulations and safety concerns, a clear commitment to innovation is being demonstrated to address these hurdles. Furthermore, the anticipated growth of the electric motorcycle segment is presenting a compelling and sustainable option for future riders. This segment is being driven by government incentives for environmentally friendly vehicles and advancements in battery technology.

Motorcycle MarketDefinition/ Overview

A motorbike is a two-wheeled motor vehicle designed for personal transportation and powered by an internal combustion engine or an electric motor. Motorcycles are classified into four typescruisers, sport motorcycles, touring bikes, and dirt bikes, with each designed for a distinct purpose, such as long-distance travel, racing, commuting, and off-road riding.

Furthermore, their applications are wide-ranging, from daily commuting and leisure riding to law enforcement, military operations, and delivery services, making them a versatile and efficient method of transportation in both urban and rural areas.

How are rising disposable incomes in developing economies impacting the demand for motorcycles?

The rise of disposable income in developing economies is fundamentally transforming the landscape of motorcycle demand. This newfound financial freedom unlocks several key factors that are propelling motorcycle sales. Firstly, affordability becomes a reality.  For many in developing economies, motorcycles transition from an aspiration to a practical transportation solution. Smaller, fuel-efficient models offer an economical way to commute and navigate daily life, especially when compared to potentially unreliable or limited public transport options.

Beyond practicality, rising disposable income allows individuals to prioritize personal mobility and convenience.  The ability to afford a motorcycle signifies a shift away from dependence on public transportation, offering greater freedom and control over daily commutes. In some cases, motorcycles can even become aspirational purchases, particularly for younger generations. Owning a motorcycle can represent a sense of achievement and personal mobility, symbolizing a step towards a more fulfilling lifestyle. The burgeoning middle class in developing economies is another key driver fueled by rising disposable income. This demographic segment often prioritizes practicality and affordability, making motorcycles a compelling choice for individual and family transportation. Additionally, as infrastructure in developing countries improves, with investments in paved roads becoming more common, motorcycles become a more viable and attractive option compared to limited public transportation options.

The impact of rising disposable income extends beyond simply increasing overall demand. It can also influence the specific motorcycle segments that gain popularity. As people have more resources available, there may be a growing interest in larger motorcycles suitable for recreational riding and touring, catering to a desire for leisure and exploration beyond basic transportation needs.

However, it’s essential to consider some additional factors. The availability of financing options can further increase motorcycle affordability in developing economies. Additionally, fuel efficiency remains a primary concern even with rising disposable income, prompting manufacturers to offer more fuel-efficient models to cater to this essential need. Finally, competition within the motorcycle market in developing economies intensifies as disposable incomes rise. Manufacturers need to adapt by offering diverse options and competitive pricing strategies to capture a share of this growing market.

Will stricter emission regulations affect the growth of the Global Motorcycle Market?

Stricter regulations pose significant challenges for manufacturers. The need to comply with tighter emission standards necessitates investments in cleaner technologies. This translates to increased production costs, potentially leading to higher consumer motorcycle prices.  In the short term, this price hike deterred some budget-conscious buyers, causing a temporary dip in demand. Additionally, manufacturers are forced to discontinue older models that fail to meet the new standards, limiting consumer choice.

Category-Wise Acumens

What are the Drivers Propelling the Demand for Standard Motorcycles?

The standard motorcycle segment is estimated to dominate the market during the forecast period. Standard motorcycles provide an excellent blend of performance, comfort, and price. They are suitable for commuting, doing errands, casual cruising, and even modest off-road riding. Because of their adaptability, they are an excellent alternative for a wide range of riders with varying requirements.

Standards are more fuel-efficient than other sectors, such as sportbikes or touring motorbikes. This translates into lower operating costs, making them an appealing option for budget-conscious passengers, particularly in areas with high fuel prices.

Furthermore, standard motorcycles usually have a more upright riding position, comfortable seating, and a tolerable weight. These features make them easier to learn for new riders and less physically demanding for longer rides, attracting a wider spectrum of riders, including beginners and those looking for comfort.

How Does Personal Usage of Motorcycles Drive the Growth within the Market?

The personal use segment is estimated to dominate the market during the forecast period. Motorcycles are a cost-effective and fuel-efficient means of transportation for commuting, particularly in congested cities. They also offer a sense of independence and enjoyment for leisure riding, weekend vacations, and long-distance travel. This versatility for both functional and recreational purposes drives up demand for motorcycles in personal use applications.

Manufacturers offer a vast choice of motorcycle styles to meet a variety of personal preferences. From beginner-friendly cruisers and standards to powerful sportbikes and touring motorbikes, there’s a bike for every rider’s taste and purpose. This variation in the personal use segment broadens the market reach and appeals to a larger audience.

Furthermore, mid-capacity motorcycles strike an ideal combination of power, comfort, and price, making them popular for personal usage. They are suitable for both new and seasoned riders who want a versatile alternative for commute and pleasure riding. The growing popularity of this sector in personal use applications fuels market expansion.

Gain Access to Motorcycle Market Report Methodology

Country/Region-wise Acumens

How are stricter emission regulations and evolving infrastructure impacting motorcycle usage and ownership in the North American region?

Stricter emission regulations and infrastructure changes are reshaping the motorcycle scene in North America. Stricter regulations might throw a curveball in the short term.  Manufacturers could face higher production costs to meet clean air standards, potentially leading to price hikes and a limited selection of models for consumers.

However, this isn’t all bad news. Stricter regulations can act as a catalyst for innovation. Manufacturers may be pushed to develop cleaner technologies like electric motorcycles or more fuel-efficient models. This could lead to a long-term shift towards environmentally friendly options, attracting a new wave of eco-conscious riders.

The impact of infrastructure also plays a role. Investments in dedicated motorcycle lanes or improved road conditions could make motorcycles a more appealing choice, especially in urban areas with heavy traffic congestion. However, limitations in rural infrastructure might continue to be a hurdle due to safety concerns.  Ultimately, the future of motorcycles in North America hinges on navigating these challenges and opportunities. The motorcycle industry can ensure a smooth ride ahead by embracing cleaner technologies, adapting to infrastructure changes, and catering to consumer preferences.

How are consumer preferences for motorcycles evolving in different Asia Pacific?

The Asia Pacific motorcycle market is experiencing a fascinating shift in consumer preferences driven by a confluence of factors. Rising disposable income is leading to a growing demand for larger, more powerful motorcycles beyond basic commuter models. This translates to increased interest in adventure and touring motorcycles, catering to a desire for leisure riding experiences. However, scooters remain a dominant choice, particularly in densely populated urban areas.  While scooters are likely to maintain their popularity, a potential shift towards premium models offering larger engine capacities and enhanced features is emerging.

Fuel efficiency remains a significant concern for many Asia Pacific consumers, particularly in countries with high fuel prices. This continues to drive demand for fuel-efficient motorcycles, with electric motorcycles gaining traction in some markets. Notably, consumer priorities are evolving beyond just practicality. There’s a growing interest in a balance between functionality and performance. While features like fuel efficiency and storage capacity are crucial for commuting, consumers also seek some performance for occasional recreational use. Brand image is becoming increasingly important, with established brands that offer a sense of trust and reliability attracting more attention. Additionally, a growing interest in motorcycles with connectivity features, like GPS navigation and smartphone integration, highlights the desire for a more integrated riding experience. Safety is no longer an afterthought. Consumers are increasingly willing to pay a premium for features like ABS and airbags, with government regulations potentially mandating such features in the future.

Competitive Landscape

The competitive landscape of the motorcycle market is a complex ecosystem where established brands, new entrants, and technology providers collaborate and compete. Success hinges on understanding the evolving needs of riders, whether it’s a focus on brand legacy, cutting-edge technology, or niche market fulfillment. By delivering a compelling combination of performance, features, and brand value, players across the motorcycle market can position themselves for long-term success.

Some of the prominent players operating in the global motorcycle market include

• Honda Motor Co. Ltd. (Japan)
• Yamaha Motor Company Limited (Japan)
• Bajaj Auto Ltd. (India)
• Hero MotoCorp Ltd. (India)
• Piaggio & C. S.p.A. (Italy)
• Ducati Motor Holding S.p.A. (Italy)
• Harley-Davidson, Inc. (USA)
• BMW AG (Germany)
• KTM Industries AG (Austria)
• Royal Enfield (India)
• TVS Motor Company (India)

Latest Developments

• In April 2024, Italian manufacturer Ducati renewed its long-term technical partnership with Shell, with the two continuing to collaborate on engine lubricants.
• In March 2024, Royal Enfield announced that it is looking to energize its supply chain, with the opening of a new hub in the Netherlands that is reportedly handling spare parts and merchandise.
• In March 2024, the parent company of KTM, Pierer Mobility, bought a controlling stake in MV Agusta after the two-wheeler giant initially bought into the Italian brand in the autumn of 2022.
• In December 2022, Eicher Motors announced a strategic partnership with Stark Future SL, a Spanish company, to work together on developing the leisure electric motorcycle segment. As part of the collaboration, Eicher Motors’ Board of Directors approved an investment of €50 million for a nearly 10.35% equity stake in Stark Future.
• In September 2022, Hero MotoCorp’s board approved a $60 million equity investment in Zero Motorcycles, a California-based company specializing in electric motorcycles and powertrains.

Report Scope

Motorcycle Market, By Category

Type

• Standard Motorcycles
• Cruisers
• Sport Bikes
• Touring Motorcycles
• Dual-Sport Motorcycles
• Scooters
• Mopeds

Engine Capacity

• Below 125cc
• 125cc – 500cc
• Above 500cc

Application

• Personal Use
• Commercial Use
• Racing and Sports

Geography

• North America
• Europe
• Asia-Pacific
• Latin America
• Middle East and Africa

Research Methodology of Market Research

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Reasons to Purchase this Report

• Qualitative and quantitative analysis of the market based on segmentation involving both economic as well as non-economic factors• Provision of market value (USD Billion) data for each segment and sub-segment• Indicates the region and segment that is expected to witness the fastest growth as well as to dominate the market• Analysis by geography highlighting the consumption of the product/service in the region as well as indicating the factors that are affecting the market within each region• Competitive landscape which incorporates the market ranking of the major players, along with new service/product launches, partnerships, business expansions, and acquisitions in the past five years of companies profiled• Extensive company profiles comprising of company overview, company insights, product benchmarking, and SWOT analysis for the major market players• The current as well as the future market outlook of the industry with respect to recent developments which involve growth opportunities and drivers as well as challenges and restraints of both emerging as well as developed regions• Includes in-depth analysis of the market of various perspectives through Porter’s five forces analysis• Provides insight into the market through Value Chain• Market dynamics scenario, along with growth opportunities of the market in the years to come• 6-month post-sales analyst support

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