The cargo segment of the European e-bike market is expected to reach USD 0.61 billion by 2025, projecting a CAGR of 16.72% during the forecast period.

In the urban areas, the wide range of logistic deliveries consists of small shipments over short distances. Research commissioned by the European Union revealed that 25% of all goods and 50% of all light deliveries in urban environments could be fulfilled by cargo bikes. Additionally, the usage of cargo e-bikes was suggested to minimize adverse ecological, social, and economic effects.

The recent trends (as the demand for transport pertaining to e-commerce is increasing) reinforce the positive outlook for the electric cargo bikes market. For instance, companies, like Amazon, Walmart, and IKEA, have now started using cargo e-bikes for deliveries.

DB Schenker, a logistics company, based out of Europe, has been using e-bikes in the Hamburg region to carry shipments between different locations. The e-bikes used can carry a payload of around 250 kilograms. Also, in smooth flowing traffic conditions, these vehicles are capable of traveling at a speed of 25 kilometers per hour. The e-bikes also feature swappable batteries that help increase the range. DHL, another major logistics firm, introduced cargo bikes in its services for a more sustainable model for urban deliveries.

But cargo e-bikes are on the pricier side (some can cost nearly USD 8,000), which may defer individuals from procuring them, thus, hindering the market growth to an extent.

The German e-bike market is expected to reach USD 5.84 billion by 2025, projecting a CAGR 19.7% during the forecast period.

A total of 4.31 million bicycles were sold in the country in 2019, of which nearly 31.5% were electric (i.e., 1.36 million e-bikes). This was a steep increase, as compared to around 980,000 bikes in 2018. E-city/urban, e-trekking, and e-MTB bikes were the most preferred categories, accounting for nearly 94% of all the e-bike sales in the country.

E-bikes made in Germany continue to see high demand, as the country’s bike manufacturers exported nearly 440,000 e-bikes in 2018, which increased by 51% when compared to the export total of 2017.

Some of the major factors driving the sales in the e-bike market are the innovative features of the products, fully integrated batteries and drives, appealing designs, and the use of high-quality materials.

To meet the needs of the logistics businesses, players, like VW and Gazelle, introduced new e-cargo bikes at the IAA (Internationale Automobil-Ausstellung) Commercial Vehicles Show in 2018, at Hannover, Germany. Gazelle, one of the subsidiaries of Pon Bike Group, developed a cargo e-bike, Gazell D10 model, with joint-partners, namely, Aluca and DOCKR (mobility-as-a-service startup).