15 Biggest Bike Companies In The World
In this article, we discuss the 15 biggest bike companies in the world. If you want to read about some more bike companies, go directly to 5 Biggest Bike Companies In The World.
A motorcycle is a two-wheeled vehicle, often called a bike, consisting of a metal frame, an engine or an electric motor, and other mechanical and electronic components. It is a popular mode of private transport among the people of both developing and developed societies. The designs of motorcycles are based on the purpose they are built for. For example, sports bikes, cruisers, off-roading, long-distance traveling etc. Similarly, the engine and power capacities may vary, concerning the application. The popularity of motorbikes is mostly due to their cost-effectiveness and fuel consumption. The only downside of this mode of transport is its vulnerability to road accidents.
The current focus of the global motorcycling industry is towards reducing carbon emissions and introducing cleaner and greener technologies, better customer services, research and development, and improving mass production capacity and processes. As the global middle-class population grows, demand for efficient and cheap transportation methods is expected to climb dramatically in the coming years. Motorcycles are becoming more popular as a feasible option; hence, demand for motorcycles and scooters is expected to climb.
The consumer behavior and dynamics of the global markets both can help bike companies in the world redesign their strategies for growth in the future. Affordability and style are becoming the key factors to recapture customer attention. Heavy bikes have a niche market with a small target market; however, affordable and convenient bikes hold more demand today. Notably, there are more than 200 million motorbikes in the world, ranging from simple models to high-end superbikes.
In the year 2021, the global motorcycle market was estimated at $120 billion. With the rise in demand, it reached to about more than $127 billion in the year 2022. Fortune Business Insights predict that the motorcycle market will reach $223 billion by 2029. The Asia-Pacific is the largest market for motorcycles in the world with 8 out of the 10 largest countries by market located in Asia. The largest market in the world is China followed by India and Indonesia. In North America, the US and in Southern America, Brazil makes it to the top of the largest motorbike markets.
The major driving factors of the industry include the rising fossil fuel cost, awareness about cleaner technologies, use of state-of-the-art technology for luxury and the cost-effectiveness of the vehicle. Having small-capacity engines helps in reduced fuel consumption which directly benefits the user in financial terms. Considering developing countries, a bike is thought of as a cheap and effective mode of personal transport. Additionally, related to the point of fossil fuels and rising awareness on the issue of climate change, sales of electric motorcycles are on the rise as well.
Electric bikes are expected to outperform traditional motorbikes in a variety of ways, including fuel efficiency, silent operation, and low noise. Furthermore, as pollution limits tighten, demand for alternative modes of transportation is expected to surge. The current e-motorcycle market stands at about $400 million in the year 2022 which is expected to rise rapidly to more than $1 billion by the year 2027. Furthermore, the use of technology such as antilock braking systems and the introduction of slip clutch systems adds to the safety of the rider.
Despite all the advantages, motorcycles are prone to accidents. The two-wheeler is considered one of the most dangerous modes of road transportation in the world. Every year in the EU 6,800 people die in motorbike accidents. This is one of the restraining factors in the global motorcycle market growth. Some of the top firms working in the bike sector include Harley-Davidson Inc (NYSE:HOG), Ford Motor Company (NYSE:F), and Lightning eMotors, Inc. (NYSE:ZEV), among others discussed in detail below.
These were picked from a careful assessment of the bike industry. The details of each bike company are mentioned alongside a discussion around top firms in the sector in order to provide readers with some context for their investment decisions.
It is important to clarify that the word bike was used synonymously with motorcycles in this article. Traditional bikes, or cycles, as they are known in some places around the world, were not considered.
Photo by Zakaria Zayane on Unsplash
Biggest Bike Companies In The World
Market Capitalization: $1 Billion
Alberto Beggio established the Italian motorcycle company Aprilia in Noale, Italy, immediately following the end of World War II. The business began by making bicycles before transitioning to the production of scooters and small-capacity motorcycles. Beginning with motocross racing and moving on to a world championship-winning road racing programme, Aprilia has maintained a robust motorsport competition programme. Piaggio purchased the business in 2004.
Just like Harley-Davidson Inc (NYSE:HOG), Ford Motor Company (NYSE:F), and Lightning eMotors, Inc. (NYSE:ZEV), Aprilia is one of the biggest bike companies in the world.
14. KTM industries
Market Capitalization: $900 Million
Currently, KTM, an Austria-based firm, is Europe's top motorbike manufacturer. Nowadays, Pierer Mobility AG and Bajaj Auto jointly own KTM. Despite the pandemic's effects, KTM was still able to sell 212,713 motorcycles in 2020. In the MX2 World Motocross Championship, KTM has won 12 of the last 13 championships. In the Dakar Rally, it has won 18 straight races from 2001 to 2019.
Market Capitalization: $3.5 Billion
The Kawasaki motorcycle and engine company employs about 5,000 people across 12 production and sales divisions in 10 different nations. Their success is largely due to their universality. They serve a variety of clients. They sell motorcycles for a wide range of customers, ranging from $2,300 to $550,000.
12. Triumph Motorcycles
Market Capitalization: $737 Million
Triumph is the biggest British motorcycle manufacturing company. Triumph markets and distributes its products through a network of about 700 dealerships and six manufacturing facilities. When its sales reached a height of 60,628 units in 2017, Triumph had the highest level of annual sales. Due in major part to the effects of the pandemic, the company was only able to sell 48,993 motorcycles in the fiscal year 2020 that concluded on June 30 with a turnover of roughly $593.232 million.
11. Indian Motorcycles
Market Capitalization: N/A
Indian Motorcycles was acquired by Polaris in 2011. In addition to a network of over 200 dealers in North America, it has over 300 overseas dealers. 2020 saw a combined 330,000 unit sales for Indian Motorcycle and Polaris Slingshot. The largest market for them was North America, where they sold 190,000 units.
10. Harley-Davidson Inc (NYSE:HOG)
Market Capitalization: $6.8 Billion
Harley-Davidson Inc (NYSE:HOG) became well-known after providing bicycles with motors to American soldiers fighting in the First World War in 1903. As of right now, Harley-Davidson Inc (NYSE:HOG) has a network of 1,379 dealers spread all around the globe. Despite the pandemic's devastating effects on sales, Harley-Davidson Inc (NYSE:HOG) nonetheless managed to sell 180,248 motorcycles in the FY 2020, generating $4.05 billion in revenue. Large displacement cruisers, street motorcycles, and touring motorcycles are their areas of expertise. They don't produce sports bicycles. Harley-Davidson Inc (NYSE:HOG) is far more expensive than some of its rivals, with an average price of $20,338 in 2019.
9. Polaris Inc. (NYSE:PII)
Market Capitalization: $6.6 Billion
Polaris Inc. (NYSE:PII) is based in Medina, Minnesota, in the United States. Polaris Inc. (NYSE:PII) was established in Roseau, Minnesota, where it continues to maintain facilities for engineering and production. Up until January 2017, Polaris Inc. (NYSE:PII) produced bikes through its Victory Motorcycles subsidiary. Polaris Inc. (NYSE:PII) now produces motorcycles through the Indian Motorcycle subsidiary, which it acquired in April 2011. In 2021, they made total sales of $8.2 billion. Polaris Inc. (NYSE:PII) has been a leader in power sports products since 1954, providing enriching and innovative experiences for people to enjoy outdoor activities. Polaris has forward operations in over 100 countries.
Market Capitalization: $7 Billion
Hero Motocorp Ltd., formerly known as Hero Honda, is based in New Delhi, India, and produces Indian motorbikes and scooters. The largest two-wheeler manufacturer in both India and the world is Hero Motocorp. It has a market share of roughly 46% for two-wheelers in India. Hero Honda Motors was named 108th among the 200 most prestigious companies in the world by Forbes in 2006. The company's market value is more than $7 billion. The prominent bike models it sells include Hunk, Splendor, Glamour, and Deluxe.
Market Capitalization: $8 Billion
With 135 subsidiaries and more than 52,000 personnel, Yamaha Motors, with its headquarters in Iwata, Japan, runs its manufacturing and marketing operations from the island country. With an estimated five million motorcycles sold globally in the 2019 financial year and $15.3 billion in sales revenue, Yamaha has a strong following among enthusiasts of two wheels. After years of development and innovation, Yamaha is now able to provide goods of the greatest caliber at competitive prices. The company was founded in 1955 and holds a strong position in the ASEAN region, with 40% sales, which have been its strength since the 1990s.
6. Royal Enfield
Market Capitalization: N/A
Royal Enfield is the oldest global brand of motorcycles who are still in business. The Enfield Cycle Company of Redditch, Worcestershire, England, which created and produced the Royal Enfield Bullet, the longest-lasting motorbike design in history, produced the first Royal Enfield motorcycle in 1901. In 1990, Royal Enfield began working with the Indian automaker Eicher Group, which it later merged with in 1994. Right now, they are based in Chennai, India with annual revenue of over $1.1 billion.
Along with Harley-Davidson Inc (NYSE:HOG), Ford Motor Company (NYSE:F), and Lightning eMotors, Inc. (NYSE:ZEV), Royal Enfield is one of the biggest bike companies in the world.
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Disclosure. None. 15 Biggest Bike Companies In The World is originally published on Insider Monkey.