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18-10-2021

The challenge of bike logistics

The global pandemic has triggered a veritable bicycle boom – especially in the e-bike sector. According to Statista, around 1,950,000 e-bikes were sold in Germany alone in 2020. The reason is obvious: closed borders made holiday travel difficult, which meant that relaxing days had to take place at home. Bike and tracking tours included. However, this bike boom presented the industry with an enormous challenge: bike logistics. Because all the bikes ordered had to find their way from the manufacturer to the dealer and to the new owners. Not easy at all, as bike logistics and transporting the bikes is a complex undertaking. We have dedicated ourselves to the topic of bike logistics and describe the challenges currently facing the industry.

Bikelogistik

The storage and transport of bicycles is called bike logistics.

Why the bike boom is so strong

Bike logistics must fulfil high standards when it comes to storage, handling and transport. This is because two-wheelers are not simply palletised goods that can be stored and stacked at will. This makes storage and order picking as well as transport by truck, rail or container complex. In addition, bike logistics was always subject to strong seasonal peaks – at least until 2020. This means that demand increased rapidly in the spring months. Bike logistics companies therefore had to handle three times the usual amount of bikes.

Another trend that has – fortunately – catapulted the demand for e-bikes enormously is the ever-increasing desire for sustainable and low-emission transport. E-bikes are now a versatile alternative to cars or public transport. This is also reflected in bicycle logistics. At Schäflein AG, 80 per cent non-e-bikes and 20 per cent e-bikes were still stored and transported in the warehouses in 2012. While the ratio reversed for the first time in 2017, today an incredible 90 per cent of e-bikes are stored, picked and transported at Schäflein.

 

Why is bicycle logistics so complex?

Transporting the bikes is a particular challenge for bike logistics specialists. The fragile bikes cannot simply be stacked or stretched on a pallet. The loading of the means of transport also illustrates the complexity of bike logistics: the bikes are getting heavier and heavier thanks to better technology, and the high-quality items also need to be protected from damage by good packaging. And storing the bikes also takes its toll. Special forklifts, racks and specially designed swap stanchion racks are designed to simplify and speed up storage and order picking. This is because the current demand is so enormous that incoming bikes are turned over again within a very short space of time.

The companies to be supplied and the delivery quantities also vary greatly. Bicycle logistics is also very fragmented, especially for high-end bicycles. This is because specialist dealers often only order small quantities of e-bikes and classic bikes. Bike transport must therefore be much more flexible and customised in order to meet customer requirements.

 

The current challenges of bike logistics

Up to 35,000 bikes per month are handled in the Schäflein bike hall in strong demand months. However, demand is currently higher than the number of bikes available. This is because the supplier market for bicycle components in Asia is facing major challenges due to the pandemic. Some companies and production facilities have had to close completely at times. This is delaying and disrupting the entire bike logistics supply chain. In addition, container prices continue to rise. The delivery of components that are urgently needed by bike manufacturers is therefore becoming even more expensive.

At the same time, the aftermarket and spare parts business in the bike industry is also growing. The demand for accessories and components is increasing in line with the bike boom. In addition to trailers and roof racks, this also includes small parts such as replacement batteries, bike lights and baskets.

 

How to do bike logistics right

It is therefore important for logistics companies to offer customers flexibility, speed and modern transport and storage methods when it comes to bicycle logistics. Only then can the demands placed on bike logistics be met.

However, specialised bike logistics companies can meet these challenges. For example, by flexibly compiling orders and maximising efficiency through additional weighing on the forklifts and automation solutions in Warehouse Logistics 4.0. Another success factor for bike logistics is transparency in shipment tracking. All movements must be recorded and brought together on a central platform. Dealers and end customers need information on order status and history.

In addition to the efficiency of delivery times and routes, it is also important to make order picking as effective as possible. After all, the end customer naturally wants to use their ordered e-bike as quickly as possible. For warehouse logistics, this means above all short distances and low replenishment costs. This is why, for example, frequently requested items – so-called fast-moving items – are stored in a separate, easily accessible area in the Schäflein logistics centre. B and C articles, on the other hand, are stored in high-bay warehouses with a picking area at floor level. The removal of the wheels is also optimised: Induction-guided stackers are used here, which always maintain the ideal distance from the racking so that the picker can concentrate fully on the picking process. Each of the 20 loading bays in the new warehouse can deliver or dispatch 2,500 bicycles a day.

 

How to master the challenge of bike logistics:

  • Reduce the frequency of damage to a minimum
  • Special equipment and technology for the safe transport of wheels
  • Fast and flexible storage and order picking
  • Real-time tracking and tracing as well as information on order status and history – for both B2B and B2C customers
  • Transparent supply chains
  • Value-added services such as additional bike assembly and packaging
  • Handling areas specially designed for bicycles
  • The shipping of bicycles and e-bikes must be smart and sustainable

The outlook for the bicycle industry and bike logistics is clear: further growth is expected. The manufacturers’ association Cycling Industries Europe (CIE) and the European Cycling Foundation (ECF) predict that an additional 10 million bicycles will be purchased per year in Europe alone by 2030. In other words, an incredible 47% increase in sales. Manufacturers, logistics providers and retailers must therefore continue to be able to rely on a transparent network for transport, storage, delivery and supply. In addition to minimising the damage rate and efficiency, the focus is increasingly on sustainable and intelligent route planning and transport.

Here you can find out everything about our bike logistics services. (only in German)

 

 

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Just give us a call or write to us. We look forward to hearing from you.

Schäflein AG

Am Etzberg 7

97520 Röthlein

phone: +49 (0) 9723 9069-0

fax: +49 (0) 9723 9069-150

email: info@schaeflein.de