To stimulate the industry’s growth, according to a report from market research company Mintel, an increase in discounts applied to bicycle prices would be necessary. In 2023, the UK saw an 11% drop in bicycle sales, totaling a loss of £1.9 million.
However, Mintel projections indicate an annual increase of 12% in 2024, driven by a decrease in the British cost of living and widespread discounting across the sector.
Large accumulated stocks resulted in large discounts
Following a period of commercial growth during the pandemic, consumer demand has declined, resulting in brands and retailers having substantial levels of accumulated stock.
In response, many have launched reduced price sales, with the Sigma Sports store offering up to 50% off bike models, while others such as Halfords and Decathlon have even reduced prices by 20%.
Mintel’s data goes so far as to predict that bicycle sales in Britain will reach almost £1 billion this year. This could then rise to £1.5 billion by 2028.
Canyon CEO reveals discount campaign
In recent comments to British website Cyclingweekly, Canyon CEO Nicholas De Ros Wallace explained that “massive discount campaigns” have proven to be beneficial for his brand.
“This not only led to increased sales, but also inspired new and existing customers to interact and engage with Canyon,” he said, “and ultimately grow the cycling community.”
Although Canyon’s sales volume increased 23% year-over-year in the third quarter of 2023, the price reduction negatively impacted the company’s profits.
