As more cities prioritise sustainable and active modes of transportation, investing in bicycle infrastructure has become a central strategy for urban planners and local governments worldwide. From secure bike parking to dedicated cycle lanes, these facilities aren’t just beneficial for cyclists—they also offer a range of economic benefits for local businesses. However, this is a controversial topic among many local businesses in the UK, where there is a common belief that low emission zones, bike lanes and other cycling infrastructure reduce accessibility for car-driving customers and ultimately hurt sales. Yet, studies and examples from around the globe illustrate a different story: when cities invest in bicycle infrastructure, local spending often rises, foot traffic increases, and community vitality is revitalised.

Case Study: New York City’s Protected Bike Lanes

A notable example comes from New York City. In 2013, the New York City Department of Transportation (NYC DOT) analyzed the impact of a protected bike lane on 9th Avenue. The results were striking: businesses along the avenue saw a 49% increase in retail sales, significantly higher than the borough-wide average of just 3%. This surge in sales came as more cyclists and pedestrians flowed into the area, enjoying safer, easier access to shops, cafes, and restaurants.

Another study from NYC’s Manhattan neighborhoods showed that where protected bike lanes were added, foot traffic rose by 9%, leading to noticeable boosts in local spending. Businesses in the areas with bike lanes reported increased footfall, as bike lanes tended to bring more residents and visitors into the heart of retail zones.

Case Study: Melbourne, Australia’s Bicycle Network

In Melbourne, studies conducted by the Bicycle Network found that customers arriving by bike are high-value visitors. Cyclists tend to make smaller purchases per trip but visit more frequently, resulting in a cumulative spending advantage for local businesses. Specifically, research has shown that bike parking spaces can generate up to 5 times more retail revenue per square meter than car parking spaces. This high revenue-per-meter potential is a valuable metric for urban centers with limited space, demonstrating that bicycle infrastructure can deliver a substantial return on investment.

Case Study: Seville, Spain’s Cycling Transformation

Seville’s shift toward a bike-friendly model in the early 2000s brought impressive economic benefits. After implementing a comprehensive cycling network, the city saw a tripling of daily cycling trips within a few years. This uptick in cycling frequency translated into increased foot traffic in local neighborhoods, where cyclists frequented nearby cafes, restaurants, and markets. According to a study by the European Cyclists’ Federation, the transformation of Seville’s cycling infrastructure not only improved accessibility but also boosted the local economy by drawing residents and tourists alike to explore the area on two wheels.

Case Study: The Netherlands - A Model for Bicycle Infrastructure

The Netherlands, a country synonymous with cycling, has long benefited from robust cycling infrastructure, which supports local businesses. Studies have shown that in cities like Amsterdam and Utrecht, cyclists make up a significant proportion of retail customers, and their consistent visits result in higher overall spending. Research highlighted by the Dutch Cycling Embassy found that in Amsterdam, cyclists spend up to 30% more per month than drivers because they tend to visit local shops more frequently. This high-frequency spending adds significant value to the local economy.

Secure Bike Parking: A Catalyst for Customer Retention

Secure bike parking plays a crucial role in supporting local businesses. When cyclists know their bikes are safe, they’re more likely to make stops, stay longer, and even make unplanned purchases. A study in Portland, Oregon found that cyclists are 24% more likely to stop at businesses when they feel their bicycles are securely parked. In fact, Portland’s data suggests that by investing in secure bike parking, cities and businesses can effectively encourage local spending and improve retention rates.

Additionally, research indicates that bicycle parking spaces can fit many more customers in the same area as a single car parking spot, further amplifying the business potential in busy retail spaces.

The Takeaway for Local Businesses and Cities Alike

Investing in bicycle infrastructure is a win-win for both cities and local businesses. Cities become more sustainable, attractive, and accessible, while businesses see increased foot traffic and revenue. From New York to Seville, the evidence is clear: bike lanes, secure bike parking, and other cycling facilities benefit the economy, the community, and the environment.

As cities around the world continue to address the challenges of urban congestion and pollution, Hudjo remains committed to supporting these efforts by offering secure and accessible bike parking solutions. By making cycling convenient and worry-free, Hudjo is helping to unlock the economic potential of bike-friendly cities across the UK.

More about Hudjo

Hudjo is an Airbnb-style platform that offers a network of trusted locations around London where you can park your bike safely and securely, eliminating the risk of theft.

We encourage cycling and active travel across the city by providing you with a worry-free opportunity for bike parking within the spare spaces of small businesses such as cafes, bars, shops, and offices.

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