Motorcycle Market Forecast 2024-2031: Manufacturing, Production and Issues

The motorcycle market in 2024 is navigating a dynamic landscape marked by technological innovation and changing consumer tastes. Strong growth is particularly evident in regions like Asia-Pacific and Latin America where the urbanization of rising middle-class income is becoming more prominent thus fueling demand for efficient two-wheeled transport. If we compare motorcycle transportation to other automobiles, motorcycles are more convenient because they are smaller and more manoeuvrable than cars, allowing riders to weave through traffic and reach their destinations faster, especially in congested urban areas.

The Motorcycle Market is growing at a CAGR of 5.50% and was estimated at worth USD 100 Billion last year 2023. The forecast period suggests that it will grow at a valuation of 153.47 Billion USD by 2031. This market has enormous potential because of its key factors which include the rise in disposable incomes from families and individuals, urban density and changing consumer preferences towards recreational activities that drive the market growth.

Why is a motorcycle the best seller?

Motorcycles are considered convenient for several reasons -

Motorcycles are smaller and more manoeuvrable than cars, allowing riders for better traffic navigation to weave through traffic and reach their destinations faster, especially in congested urban infrastructure.
Motorcycles generally offer better fuel efficiency than cars, making them a cost-effective option for commuting and reducing environmental impact.
Finding parking is often easier with a motorcycle, as they require less space and can fit into areas that cars cannot, which is especially beneficial in crowded cities.
A Motorcycle are typically less expensive to purchase and maintain than cars, making them an attractive option for budget-conscious consumers.
Many motorcycles offer versatility in use, from commuting to leisure riding and adventure touring, catering to a wide range of consumer needs and preferences.

These factors make motorcycles a popular choice for many people around the world, particularly in regions with heavy traffic and urbanization.

Demographic Profile for Motorcycle Market

Age

Motorcycle consumers are often divided into several key age groups. Typically younger adults (18-30 years) are new entrants into the workforce, often attracted to sports and entry-level motorcycles for both commuting and recreation. Middle-aged adults between 30 and 50 years are consumers who often have higher disposable income and may purchase motorcycles for leisure or as a lifestyle choice, opting for touring cruisers, or high-performance bikes. A group of older adults (50+ years) might focus on comfort and luxury, leaning towards cruisers and touring motorcycles. They might also be interested in classic and collectable motorcycles.

Gender

Traditionally, the motorcycle market has skewed predominantly male, but there's a growing number of female riders who are driving changes in the market, including the types of models offered and the marketing approaches used.

Income Level

Varies widely; lower-income consumers might prefer smaller, more economical motorcycles for daily transportation, while higher-income consumers often view motorcycles as luxury or hobby vehicles.

Geographic Location

Urban consumers might favour scooters and lightweight motorcycles for manoeuvrability and ease of parking, while suburban and rural consumers might prefer larger bikes suited for longer rides and varied terrains.

Psychographic Profile

Consumers might be lifestyle riders, adventure seekers, or use motorcycles for practical commuting. Lifestyle riders often participate in motorcycle clubs and community events.

Many motorcycle buyers value freedom, adventure, and the sense of community found among fellow riders. Environmental concerns are also leading some consumers towards electric motorcycles. Motorcycle enthusiasts often enjoy outdoor activities and are likely to be interested in automotive technology, travel, and sports.

Behavioral Profile

Some consumers use motorcycles as their primary mode of transportation, while others use them for weekend rides or special occasions. Many riders are highly loyal to specific brands, which is often reflected in their purchase behaviour. Brands like Harley-Davidson, BMW, and Honda, for instance, have devoted followings. Factors influencing motorcycle purchases include cost, brand reputation, model reliability, fuel efficiency, and the availability of after-sales services. There is increasing interest in motorcycles equipped with advanced technologies, such as ABS, ride-assist and connectivity features.

Economic Profile

Motorcycle sales often correlate with broader economic sensitivity issues like climate, economic downturns can reduce discretionary spending on items like motorcycles.

Different types of motorcycles (e.g., sports, cruisers, touring) attract different consumer segments based on their specific needs and lifestyle choices.

Understanding these profiles can help in tailoring marketing strategies, product development, and customer service approaches to meet the needs and preferences of different consumer segments within the motorcycle market.