Market Trends of United Arab Emirates E-Bike Industry
This section covers the major market trends shaping the UAE E-Bike Market according to our research experts:
Rising Adoption of E-bikes Across Various Sectors to Drive Demand in the Market
The electric bikes are slowly revolutionizing the two-wheeler industry with more efficient and powerful electric vehicles that are being released every year. Apart from being viewed as a cleaner and greener mode of transport for short distance, e-bikes, are finding varied uses across world in different sectors and applications.
While electric bikes said to be more expensive to purchase as compared to regular two-wheelers, the amount of money saved with respect to rising fuel costs is encouraging several players across logistics, food, delivery, tourism, etc. sector. Accordingly, the companies are investing in procuring these electric two wheelers and are entering strategic agreements with these vehicles manufacturing companies to gain notable edge over other competitors in the market. For instance, In May 2022, Motoboy Delivery Services (Motoboy), the UAE's first and only RTA-approved sustainable electric bike logistics solutions provider, has launched its innovative services across Dubai. Currently with a fleet of over 35 electric and traditional vehicles, Motoboy aims to achieve zero carbon emissions in the long run, aligning its business model with the Dubai Clean Energy Strategy.
Several Electric vehicle makers are also seeing traction in selling to e-commerce players, last-mile delivery providers and third-party logistics companies in a step to widen market access for green energy products in wake of supportive government measures. For instance, In January 2021, Dubai's Roads and Transport Authority (RTA) introduced a set of standards for the licensing of delivery services, in line with the steady growth of the industry. Thus, above mentioned developments and instances anticipated to enhance overall growth of the market during the forecast period.
Pedal - Assisted Segment of the E-Bike Market to Witness Significant Growth
Pedal assist is an operating mode on an electric bike where once it is activated, the motor kicks in while you are pedaling. The Pedal-assisted segment of the market is expected to witness significant growth over the forecast period owing to increasing interest among youth in sport activities like uphill cycling, etc., and the rising awareness towards a healthy and fit lifestyle expected to further propel demand in the market.
Further, advantages like better battery life, lower servicing needs, and the ability for users to choose from the three to five modes of pedal-assist depending on the model, etc. are anticipated to attract new users and likely to contribute to enhancing the overall development of the market during the forecast period. With the consistent technological advancements, pedelec manufacturers are focusing on enhancing the overall user interface, by designing and developing pedelecs that can be integrated with the riders' smartphones and can provide them with real-time information on the speed and battery status of their vehicles.
Moreover, continuous product upgrades and new model launches coupled with rising sports events and associated activities to encourage both existing and new players and are likely to encourage other players in the market. For instance, in February 2022, E-Bike Grand Prix (EBK GP), a new international cycling sport, launched its inaugural series in 2022, and the first race is said to be held in Dubai, UAE. The ten-race grand prix series will showcase groundbreaking E-Bike technology while working with global host cities to raise awareness of climate change challenges and promote cleaner, healthier cities.
Therefore, such active developments and attractive trends in the market are anticipated to encourage key players operating in the market and hence likely to contribute to the growth of the pedal-assisted electric bike segment of the market during the forecast period.
