Hungarian Bicycle Market Continues To Grow

When the Hungarian bicycle industry first started to grow, it took everyone by surprise but they now find themselves among Europe’s leaders in the ever-growing market. In recent years, Hungary has pushed themselves safely inside the top 10 in terms of Europe’s largest producers and sellers of a variety of bikes.

Budapest, the country’s capital and home to nearly 2 million people, has become somewhat of a hub for the growth enjoyed in recent years. The bikes are reflecting the young and trendy looking environment as thousands of bikers take to the streets every single day. Cycling started off as a means of transport, as it does in many countries, but this has now changed as it has become a new lifestyle for many. Recently the Hungarian Cyclist Club launched what is known as the ‘Bike to Work’ campaign and this has taken cycling to a whole new level. Biking is not only becoming an efficient way to get to work but also a fashionable one. In addition to this, Budapest’s public bike system was launched in 2014 which allowed commuters to ride the greener option of bike around for as long as they required. The system offers 76 docking stations holding over 1,000 bikes altogether. The benefits for the environment are clear to see but there is also a fantastic incentive for the user as it costs very little if you plan to have the bike for less than 30 minutes; as there is a number of docking stations around town, it is a great way to get from A to B that doesn’t involve having to take the bike back to where you originally got it from. Ever since the introduction of the Budapest Bike system (BUBI), bike numbers has increased dramatically.

However, it isn’t just the capital that has seen the cycling boom, the whole country has benefitted in some way or another and one good thing that has come out of it is the cycling holidays that are now offered. As Hungary offers a host of flat, beautiful and historic paths, it has quickly become one of the most popular destinations for avid cycling fans. Although the altitude remains fairly constant, the wonderful landscapes offer a relaxing ride in an environmentally friendly way. Lakes, rivers, national parks, and ancient ruins can all be enjoyed on many of the routes if you wanted to relax but the country also offers competitive events including the ‘Bike around the lakes’ event as well as the ‘Tour de Lake Velence’. Many people from all around Europe also now enjoy cycling holidays in Hungary or in the surrounding countries to enjoy the three EuroVelo routes that pass through. EuroVelo 6 follows the Danube River and runs through Germany, Hungary, Serbia and more. EuroVelo 11 is known for its Natura 2000 protected sites and runs through Estonia, Latvia and of course, Hungary as well as many others. Finally, EuroVelo 13 is known as a historical route as many relics from the Cold War can be spotted as the rider passes Austria, Romania, Hungary and more.

Most of the Hungarian residents that ride bicycles are thought to live in small country settlements where around 50% of the village enjoys their bike on a regular basis. In total, around 4 in every 10 people aged over 15 rides their bike regularly in Hungary; this percentage reduces to around 2 in every ten in the capital, however this excludes the public bike system. Furthermore, nearly 40% of the population counts their bike as a mode of transport and uses it regularly as so.

Of course, the increase in interest of bicycles has meant that there are now more stores than ever before at around 1200. Between 50-65% of all these stores are specialist bike stores with the remaining selling bikes as well as other products (such as Tesco and Cora). This has meant that in 2013 alone, over 350,000 bikes were produced with an average selling price of just under €250. This is in the middle of the market with The Netherlands at the top charging, on average, nearly €800 followed by Germany at €520 and then Austria and Denmark at €450. On the opposite end of the scale, the average price of a bicycle in Bulgaria is just €75 as well as Cyprus, Lithuania, Latvia and Estonia who all have an average price of €100. Even though production and sales in Hungary still aren’t up there with the biggest countries in the industry, it is an area that continues to grow and with a top 10 place sewn up, things are looking up. The good news was worth celebrating when Hungary finally broke into the top 10 but since then, they have cemented their place with sights placed only above them. The rankings are made taking five factors into account which are; modal share, safety, market size, cycling advocacy and cycle tourism. With these statistics in mind, it was Denmark that came out on top followed closely by The Netherlands and Sweden. Even with the ‘big’ countries involved, it was Malta who came top of the cycling safety rankings despite being close to the bottom overall. If the rankings were to be based on market size alone, it would be Slovenia to take the crown.

However, it isn’t just in their home country that Hungarian bicycle manufacturers are booming, many companies are now pushing into different countries and different markets. Csepel, based in Hungary, has recently opened a new store in the Austrian capital of Vienna. The famous shopping street ‘Mariahilfer Strasse’ is home to the store and sells products only previously stocked in stores near the border including a number of mountain, city and children’s bikes. Csepel has struggled in recent years but the booming market has allowed them to shine once more by becoming trendy again. The expansion is thought to have been made as a result of Vienna’s large Hungarian community as well as the growth in interest. Tamas Sziromi-Nagy, Csepel’s Austrian Manager, said of the move “Here in Vienna, Csepel is not only a shop. We would like people who come to our store to feel the ‘Csepel sense of life’, to have a chat and to build a real community.” Csepel has also announced plans to open up more stores in Austria’s largest cities.

In terms of products, it is pedelec’s and e-bikes that are taking the market by storm with Gepida, Schwinn-Csepel, Genesis, and Tornado all available. Although Hungary’s level of production is increasing, it is thought that the majority of e-bikes are being imported from China but this is quickly changing.

Hungary has adapted well to the boom in bicycle sales as well as tourist visits by implementing cycle services (to the set European standard), repair shops, hotels as well as camping and catering facilities along the 2,000 kilometres of cycle track. In addition to this, marked routes have also been set out in a number of hilly, woodland regions which include national parks.  Many have seen the rise in sales of bikes as a positive as environmental concerns were first brought to light in the 1990s. Since many cars have been replaced by bicycles when it comes to traveling to and from work, these concerns have fallen way somewhat. Further adaptations have been made on public transport as many trains and routes now allow bicycles on board where this was a problem before. Certain routes that are marked with the bicycle icon allow bikes on the train for a small charge meaning that commuting to work via train is now easier than ever, especially if the journey from the users stop to their work is a fairly long one.

What does the future have in store?

So with Hungary now in 3rd place in terms of cycle use in Europe, what does the future have in store? The only way is up as Hungary attracts more and more visitors and locals realise that a bicycle is the best and most efficient way of getting around. In addition to this, the Hungarian government are well known for investing in the bicycle industry which perhaps gives them a ‘one-up’ when compared to the countries around them. The National Cycling Programme that is running from 2014-2020 has already seen good investment in Hungary and there are no plans for this to slow down. The National Cycling Programme has set up investment targets for all involved of just under €300 million over the seven year period which equates to around €43 million per year. Hungary is no stranger to investment in the bicycle industry though and hasn’t needed programmes in the past to boost their investment having been at the forefront of unlocking EU funding for many years.

Whether Hungary can catch the mighty Denmark or The Netherlands remains to be seen but one thing is for sure, they have surprised many over the past few years and with investment increasing and Hungary becoming an exciting cycling tourist destination, the future looks extremely bright!

Image provided by: © Csakisti | Dreamstime.com - International Cycle Race Photo