On-road Motorcycles - Nigeria

Nigeria

Highlights

The On-road Motorcycles market segment in Nigeria is expected to generate a revenue of US$725.20m in 2024.
This revenue is projected to experience an annual growth rate (CAGR 2024-2029) of 2.57%, resulting in a market volume of US$823.30m by 2029.
The unit sales of On-road Motorcycles market in Nigeria are estimated to reach 390.80k motorcyles in 2029.
In 2024, the volume weighted average price of On-road Motorcycles market in Nigeria is expected to be US$2.05k.
When looking at the international landscape, it is evident that India will generate the highest revenue in the On-road Motorcycles market segment, reaching US$21.50bn in 2024.
In Nigeria, the on-road motorcycle market is experiencing a surge in demand due to the country's heavy traffic congestion and the affordability of motorcycles as a mode of transportation.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The On-road Motorcycles market in Nigeria has been experiencing steady growth in recent years, driven by customer preferences for affordable transportation and the country's unique local circumstances.

Customer preferences: In Nigeria, motorcycles are a popular mode of transportation due to their affordability and ability to navigate through traffic congestion. Many Nigerians prefer motorcycles for their daily commute, especially in urban areas where public transportation can be unreliable. Additionally, motorcycles are often used for commercial purposes, such as delivery services, due to their efficiency and cost-effectiveness.

Trends in the market: One of the key trends in the On-road Motorcycles market in Nigeria is the increasing demand for fuel-efficient and environmentally friendly motorcycles. With rising fuel prices and growing concerns about pollution, customers are seeking motorcycles that offer better fuel efficiency and emit fewer emissions. Manufacturers are responding to this trend by introducing models that are more fuel-efficient and equipped with cleaner engine technologies. Another trend in the market is the growing popularity of electric motorcycles. While still relatively niche, electric motorcycles are gaining traction in Nigeria due to their lower operating costs and reduced environmental impact. As the country's electricity infrastructure improves and more charging stations become available, the demand for electric motorcycles is expected to increase.

Local special circumstances: Nigeria's road infrastructure is often inadequate, with poorly maintained roads and limited traffic management systems. This has created a need for motorcycles that can handle rough terrains and provide reliable transportation in challenging conditions. As a result, there is a demand for motorcycles with durable suspensions, off-road capabilities, and strong engines. Furthermore, Nigeria has a large informal economy, with many individuals relying on motorcycles for their livelihoods. This includes motorcycle taxis, known as "okadas," which provide transportation services to passengers. The popularity of okadas has led to the emergence of specialized motorcycles designed for commercial use, with features such as larger seating capacity and storage compartments.

Underlying macroeconomic factors: Nigeria is experiencing rapid urbanization and population growth, which is driving the demand for affordable transportation options. As more people move to cities and seek employment opportunities, the need for reliable and cost-effective transportation becomes crucial. On-road motorcycles offer a practical solution for individuals and businesses looking to navigate congested urban areas. Additionally, Nigeria has a young and growing population, with a significant portion of the population falling within the working-age bracket. This demographic factor contributes to the demand for motorcycles as a means of transportation and income generation. In conclusion, the On-road Motorcycles market in Nigeria is developing due to customer preferences for affordable transportation, the need for reliable transportation in challenging local circumstances, and underlying macroeconomic factors such as rapid urbanization and population growth. The market is witnessing trends towards fuel-efficient and electric motorcycles, as well as specialized models for commercial use. As the country continues to develop, the demand for on-road motorcycles is expected to further increase.

Data coverage:

Data encompasses B2C enterprises. Figures are based on motorcycle sales and revenue excluding scooters/mopeds under 50cc category.

Modeling approach / Market size:

Market sizes are determined by a Bottom-Up approach, based on a specific rationale for each market segment. As a basis for evaluating markets, we use manufacturer websites, national statistics offices, motorcycle associations, motorcycles sales websites. Next we use relevant key market indicators and data from country-specific associations such as GDP per capita, consumer price index, consumer spending, and population. This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. For example, the forecasting is done on a make level for Motorcycles, using a mix of standard approaches, e.g., exponential smoothing, and uses parameters which best fit the historical data. The main drivers are GDP per capita, consumer price index, consumer spending, and population.

Additional Notes:

The market is updated once a year.