BERLIN (dpa-AFX) - In the Corona years, the bicycle industry was booming - but now manufacturers and sellers are in a difficult phase. The consequence for consumers: some dealers have now lowered their prices or still plan to do so. In various areas, there is a decline in demand, the warehouses at manufacturers and dealers are now often still full after months of supply bottlenecks, said Reiner Kolberg, spokesman for the bicycle industry association, the German Press Agency.

This was also shown on Friday by an evaluation of the Ifo Institute on the price expectations of German companies. The monthly index of price expectations fell in the bicycle trade from April to May by almost 50 points to minus 21.8, which means that prices there will probably fall by a majority. The index consists of the percentage of business owners who want to increase prices minus the percentage who want to decrease prices.

In the years 2020 to 2022, the bicycle industry experienced extremely successful times despite, or perhaps because of, the Corona pandemic. Cycling was usually compatible with the rules of contact, and the risk of infection was low in the open air. Accordingly, demand rose sharply. However, because supply bottlenecks hampered production at the same time, prices also rose.

The production ramp-up was followed by the Ukraine war, high inflation, great financial uncertainty among many people - and thus a drop in demand. Retailers are partly left sitting on their goods and have to respond with discounts. "The situation is not easy currently. But for the coming years we expect a significant increase in demand," said Kolberg.

But is that even possible, or is the market saturated after the Corona years and everyone equipped with a fancy new two-wheeler? No, you can't speak of market saturation, Kolberg says. "There is no saturation, but right now there is no run either." Almost every household has a coffee machine, but no one would think of talking about market saturation. The industry could also attract bicycle buyers again with new innovations.

The prospects for e-bikes and cargo bikes in particular are good, he said. "In the mountain bike segment, 90 percent of the bikes sold are currently e-mountain bikes," Kolberg said. Although the purchase price for cargo bikes is high, the running costs are significantly lower than for a car, for example./nif/DP/zb