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Factors Fueling the Industry

The bicycle market in India is projected to grow at a CAGR of over 11%, during 2016-2021,on account of growing population base, Increasing discretionary spending ,rising health consciousness among people. In India, cycling is being swiftly adopted as a means to stay fit and as a popular recreational activity. Further, many of state governments have started construction of dedicated bicycle lanes in major cities to encourage cycling, as an environment friendly means of transportation. This is also projected to drive sales of bicycles across the country in the coming years.

Indian Premium Bicycle Market

As premium bicycle market serves tremendous opportunities for manufacturers, the domestic players will make footprints in this segment as well as the international players would enter the market along with the innovative premium models. This would build the competitive platform for manufacturers than ever. This will surely generate the equilibrium supply demand curve for Indian premium bicycle market.

High Import Duty Promotes Domestic Manufacturers

Due to the high import duty on bicycles the demand for imported brands has been negatively impacted. Thus, foreign companies are now building their manufacturing plants in India instead of importing the brands in the country. Though many brands have come in, access to elite cycling equipment is difficult in India. One has to import them paying not just the price but a high import duty (49.5% of the MRP) as well.

Premium Bicycle Industry

The trend of premium bicycle is emerging in India and therefore, the major domestic players are making efforts to grab this space.
The hi-end bicycle segment is new to the Indian bicycle industry. In the past few years, it has gained a market share of 6 % of the 6 million standard bicycles sold every year in India
Currently the market volumes around 350,000 high-end bikes and by 2020 this figure would likely to touch the one million mark. The majority of the high-end bicycles are imported and distributed by popular international brands.
The overall market is growing at around 2 to 3% on a yearly basis, while the ‘Super premium’ bicycle category is growing at 25-30%.
India sold around 15.5 million cycles in the year 2014, about the same as the previous year and the year before.
Premium bicycles segment is expected to grab about 7% of the total bicycle market in India by 2021.

About Section

Cycle World started its first store in 2011, In JP Nagar in Bengaluru. With a humble beginning and a vision of providing the best bicycles for the customer’s hard earned money.
The 2nd successful store was put up in E City, Hosa Road Junction, which is till date the highest performing store in Bengaluru, Karnataka.
In the year 2014, we set up our 4000 sq. ft. ware house in JP Nagar, Bengaluru and initiated our first franchise model in Sarjapur Rd, diagonally opposite to Columbia Asia hospital and then 4th store in Hosur, Tamil Nadu.
We indulged in more Market research and promotional activities like conducting regular rides and setting up stalls in apartments & tech parks to cater to more customers and build our brand base as any Bicycle company in India did not offer more than 6 brands including National & International products.
Our R & D lead us to on board more National & International bicycle brands and specific models for the Indian market. Also, we set up our 5th franchise in Kalyan Nagar, opp. Motherhood Hospital.

“Cycle World Riders Club flagged off in 2011 , with beginning of our Cycle World Store in JP Nagar and had grown to strong 102 + riders in Year 2017, we expanded more with our 6th Store in Malleswaram, 18 th Cross signal.
Year 2018 – 7th store in Banashankari, 2 stage.
8th – Whitefield, Varthur Kodi, diagonally opp. Varthur Kodi. (2nd Successful store of Our Hosur, Franchise owner.)
9th store – TC Palya, Main Signal.
Year 2019 – 10th Store – Udupi, near Mangalore, Karnataka.
11th Store – Kanakpura Rd, Bengaluru.
12th Store – Erode, Tamil Nadu.
13th Store – Hubli, Karnataka.
We are coming up in Chennai, Mumbai, Madhurai, TN and Hyderabad in 2020!

This is the short profile and synopsis of the growth of Cycle World and we have also initiated the process of producing our own Alloy and Sports Cycle Brands.

Awards and Recognitions

List of Awards Won By Cycle World

Highest Sales Volume – 1st Place in Kids Cycles – Hero Cycles – Year 2018 (South India)
Highest Sales Volume – 1st Place in Electric Cycles – Hero Cycles – Lectro – Year 2019 (South India)
Highest Sales Volume – 2nd Place in MTB Cycles – Hero Cycles – Year 2019 (India)
Fastest growing Bicycle franchise in South & Central India

Franchising - Procedure

Step1 – Franchisee Interview
Step2 – Business Plan & Support Presentation & Discussion
Step3 – Location Zero In
Step4 – Cycle World Official Visit , Inspection and Market Research
Step5 – Franchisee Visit to Cycle World, Head Office. (Bengaluru, Karnataka, India)
Step6 – Franchise Agreement
Step7 – Store Legalities
Step8 – Store Interiors & Branding
Step9 – Stock Planning
Step10 – Training of Franchise Personnel
Step11 – Marketing Drive Both ATL & BTL (Minimum 10 days & Race / Ride conducted as required)
Step12 – Open For Business
Step13 – Constant follow and upgrade

Roi

The investment required for a Franchise set up is up to 25 Lakhs depending on Store location, Ownership and city of business.
The Net Profit of minimum 5% of Investment is being achieved year after year by all Cycle World, Franchises.
A Break Even is easily achievable within 20 Months of Business and minimum 10% growth in Market per annum is achieved. The Customer base & Demand of the cycle industry is growing at Minimum 15% per annum.

The business arena is open with less competitors and unlimited customer opportunity as, in last 4 years the Customer age group from Age 3 to Age 16 and rarely above age 30, has evolved to Age 3 to Age 70, our oldest customer being so.
There is huge boom in sales in Age 30 to Age 45 category and increasing every day
We are glad to offer all our expertise and knowledge gathered over the last decade in the cycle industry and share our name & brand with you to build a better India, provide more opportunities, definitely reduce pollution point by point and promote a healthy sustainable life Style.

Franchise