|
Forecast Period
|
2025-2029
|
|
Market Size (2023)
|
USD 2.9 Billion
|
|
CAGR (2024-2029)
|
7.28%
|
|
Fastest Growing Segment
|
Motorcycles
|
|
Largest Market
|
India
|
|
Market Size (2029)
|
USD 4.4 Billion
|
Market
Overview
Asia-Pacific Two-Wheeler Instrument Cluster Market was valued at USD 2.9 Billion
in 2023 and is expected to reach USD 4.4 Billion by 2029 with a CAGR of 7.28% during
the forecast period. The Asia-Pacific two-wheeler instrument cluster market has
been experiencing significant growth, driven by advancements in automotive
technology and a rising demand for enhanced rider experiences. The increasing
preference for digital instrument clusters over traditional analog displays is
one of the key factors contributing to market expansion. Riders are seeking
more intuitive, feature-rich dashboards that offer real-time data such as
speed, fuel efficiency, navigation, and connectivity options. With the growing
adoption of electric two-wheelers in the region, the demand for advanced
instrument clusters that offer precise battery indicators and performance
metrics is also on the rise. This shift in consumer preferences toward more
technologically advanced solutions is fostering innovation and growth in the
sector.
Several
trends are shaping the development of the two-wheeler instrument cluster
market. The integration of connected technologies, such as Bluetooth, GPS, and
smartphone connectivity, is transforming the riding experience. Riders can now
access real-time information, communicate with other devices, and even control
various functions via the instrument cluster. Moreover, the focus on safety
features, including alert systems for speed, fuel levels, and maintenance, is
gaining traction. Manufacturers are incorporating adaptive displays that adjust
to different lighting conditions, improving visibility and ease of use. As
technology becomes more sophisticated, instrument clusters are evolving into
smart systems that provide a wide range of functionalities, further enhancing
the riding experience.
Market
Drivers
Growth
in Consumer Demand for Advanced Features
The
demand for advanced features in two-wheeler instrument clusters is rapidly
increasing as consumers seek more convenience and control over their riding
experience. Modern riders expect digital dashboards that provide not just basic
information like speed and fuel levels but also GPS navigation, real-time
traffic updates, and connectivity to smartphones. These advanced features cater
to the needs of tech-savvy consumers who prefer multifunctional devices,
enhancing both the performance and safety of their vehicles. Manufacturers are
responding to this demand by incorporating more intelligent, customizable
displays that offer various functionalities in one compact system. The
integration of digital interfaces allows riders to personalize the dashboard,
making it more user-friendly and visually appealing. With rising disposable
incomes and a shift toward premium motorcycles and electric vehicles, the
demand for these feature-rich instrument clusters is set to grow in the
forecast period.
Shift
Toward Electric Vehicles
The
rising adoption of electric two-wheelers is significantly influencing the
instrument cluster market. Electric motorcycles and scooters require
specialized instrument clusters to display real-time data such as battery life,
charging status, power usage, and regenerative braking efficiency. These
specific requirements drive the demand for more advanced and accurate
instrumentation in electric vehicles, which tend to have different powertrain
configurations than traditional gasoline-powered models. As electric vehicles
become more popular in the Asia-Pacific region, manufacturers are focusing on
creating clusters that can cater to these unique needs, contributing to the
growth of the overall market. The push for more sustainable transportation
solutions further accelerates this trend, making electric two-wheelers a
prominent feature in the automotive industry.
Focus
on Safety Features
The
growing emphasis on rider safety is another crucial driver in the expansion of
the two-wheeler instrument cluster market. As safety regulations become more
stringent across the region, motorcycle manufacturers are incorporating more
safety-related features into their vehicles. Instrument clusters now display
alerts related to tire pressure, engine performance, and maintenance schedules,
ensuring that riders are constantly informed of potential issues that may
affect their safety. In some cases, advanced clusters feature warning systems
for weather conditions, fatigue monitoring, and collision alerts, integrating
features typically seen in high-end cars. The rise in road safety concerns
among consumers is motivating manufacturers to invest in innovative
technologies that can prevent accidents and protect riders, driving the demand
for next-gen instrument clusters.
Advancement
in Connectivity Technology
The
ongoing development of connectivity technologies in the automotive sector is
another key factor driving the growth of the two-wheeler instrument cluster
market. With the increasing number of smartphones and IoT devices in use,
riders now expect their two-wheelers to integrate seamlessly with other
technologies. Instrument clusters with Bluetooth connectivity, mobile app
synchronization, and real-time diagnostics are becoming more common in
motorcycles and scooters. Riders can now access various apps, receive incoming
calls or messages, and even control music directly through their instrument
clusters. As the demand for connected vehicles grows, instrument clusters are
evolving into hubs of information that extend beyond vehicle metrics, offering
an integrated and personalized riding experience.
Government
Regulations and Emphasis on Emissions Control
Stricter
government regulations around emissions and fuel efficiency are contributing to
the growth of the two-wheeler instrument cluster market. Governments in many
regions are imposing regulations that require motorcycle manufacturers to
enhance the fuel efficiency of their vehicles, and instrument clusters play a
crucial role in monitoring and displaying this data. By providing real-time
information on fuel consumption, engine performance, and emissions, the
clusters help riders optimize their driving habits for better environmental
compliance. As these regulations become more stringent, manufacturers are
increasingly focusing on incorporating instrumentation that helps both riders
and manufacturers meet new environmental standards, driving demand for more
advanced and precise instrument clusters.
Key
Market Challenges
High Cost of Advanced Instrumentation
A major challenge in the two-wheeler instrument cluster market is the
high cost associated with developing and integrating advanced features. Digital
and connected instrument clusters are significantly more expensive to produce
compared to traditional analog systems. The complexity of integrating multiple
functions like GPS, Bluetooth, and real-time diagnostics into one system drives
up production costs. For manufacturers, offering these high-tech features at
competitive prices while maintaining quality and functionality can be a
difficult balancing act. This cost barrier can deter some price-sensitive
consumers, especially in developing markets where affordability is a key
consideration. The high upfront costs for advanced instrument clusters can thus
limit their widespread adoption in certain segments of the market.
Technical Challenges in Integration
The integration of various advanced technologies into a single
instrument cluster presents a significant technical challenge for
manufacturers. As consumer demand for multifunctional displays grows,
manufacturers must ensure that the clusters are capable of seamlessly handling
complex systems like Bluetooth connectivity, navigation, and ride diagnostics.
The integration of all these technologies in a compact and durable unit that
can withstand harsh riding conditions without compromising performance is no easy
task. Issues like power consumption, system responsiveness, and the robustness
of the display in various weather conditions must be carefully addressed.
Overcoming these challenges requires constant innovation and research, which
can strain the resources of manufacturers, especially smaller firms.
Market Fragmentation
The two-wheeler instrument cluster market is highly fragmented, with
various manufacturers competing for market share. This fragmentation presents
challenges for companies in terms of maintaining consistent product quality,
meeting diverse consumer needs, and navigating complex supply chains. Different
market segments require different instrument cluster solutions, from
entry-level motorcycles to premium electric bikes. As each segment demands
specific features and designs, manufacturers need to invest in a broad range of
products to cater to varied customer preferences. This diversity of consumer
needs creates complexity in production, marketing, and distribution, making it
harder for companies to scale and achieve economies of scale.
Consumer Resistance to Change
Many traditional two-wheeler riders are hesitant to adopt digital and
connected instrument clusters, preferring the simplicity and familiarity of
analog displays. This resistance to change poses a challenge to the growth of
the market, especially in markets with a long-standing preference for
conventional motorcycle designs. Some riders are concerned that digital
displays could be too complicated to operate, or that they may increase the
risk of malfunctions, leading to a reluctance to embrace new technologies.
Convincing this segment of the market to switch to more advanced systems
require addressing concerns about reliability, ease of use, and the actual
benefits of upgrading. Overcoming this consumer resistance is a key hurdle for
manufacturers.
Supply Chain Disruptions
Disruptions in the global supply chain can impact the availability of
key components needed to manufacture two-wheeler instrument clusters. As the
market becomes more reliant on advanced electronic components and digital
technologies, any shortage or delay in the supply of critical parts such as
semiconductors, sensors, and display units can severely affect production
timelines. Given the highly competitive nature of the automotive industry, any
delays or shortages can result in missed opportunities, increased costs, and
reduced market share. Manufacturers must work on strengthening their supply
chain resilience and diversifying their sources of key components to mitigate
the risks associated with these disruptions.
Key Market Trends
Integration
of Smart Features
The
integration of smart technologies into two-wheeler instrument clusters is a
growing trend that is reshaping the market. Consumers are increasingly
expecting their vehicles to offer features like voice recognition, artificial
intelligence-based systems, and personalized settings, which are already
commonplace in other sectors like automotive and consumer electronics.
Instrument clusters that can integrate with smart home devices, adjust based on
weather conditions, and even provide real-time traffic information are becoming
more popular. This trend is leading to the development of smarter clusters that
use data analytics to optimize the riding experience. As riders embrace the
convenience and functionality of these smart systems, the demand for such
advanced clusters is expected to rise.
Focus
on User Experience and Customization
The
emphasis on enhancing user experience is evident in the growing demand for
customizable instrument clusters. Riders no longer want a one-size-fits-all
dashboard but instead expect the ability to personalize their displays
according to their preferences. This trend is pushing manufacturers to create
more flexible systems that allow users to change display themes, rearrange
widgets, and select which data points they want to see. Furthermore,
touchscreens, haptic feedback, and improved interfaces are being incorporated
to enhance interaction. As customization options become more advanced,
manufacturers can attract a broader customer base, from everyday commuters to
professional riders who require specific data for their unique needs.
Sustainability
in Design and Materials
As
environmental concerns continue to rise, the use of sustainable materials in
the production of two-wheeler instrument clusters has become a key trend.
Consumers and manufacturers alike are becoming more conscious of the
environmental impact of manufacturing processes. The push for eco-friendly
designs has led to the adoption of recyclable materials, energy-efficient
displays, and low-impact production methods in the creation of instrument
clusters. Furthermore, there is a growing emphasis on reducing the carbon
footprint of the entire vehicle, with many electric two-wheelers and hybrid
models relying on instrument clusters to monitor and optimize energy
consumption. This trend aligns with global sustainability initiatives and is
expected to gain further momentum in the coming years.
Adoption
of Augmented Reality (AR) and Virtual Displays
The
rise of augmented reality (AR) technology is becoming an exciting trend in the
two-wheeler instrument cluster market. AR systems can overlay important data
onto a rider's field of vision, allowing them to access crucial information
like speed, navigation, and road alerts without taking their eyes off the road.
Virtual displays that project key metrics onto the helmet visor or windshield
are also becoming more popular, enhancing the rider’s focus and safety. This
technology takes the user experience to the next level, providing more
immersive and intuitive interfaces. As AR technology matures, its integration
into two-wheeler clusters is expected to become more widespread, particularly
in high-end motorcycles.
Rising
Popularity of Connected Motorcycles
The
trend toward connected motorcycles is significantly transforming the
two-wheeler instrument cluster landscape. With more motorcycles becoming
internet-enabled, riders can now access real-time data, connect with other
vehicles, and even use cloud-based services for ride tracking and vehicle
diagnostics. Instrument clusters are evolving into central hubs that offer a
seamless integration of various connected devices, such as smartphones,
wearables, and helmets.
Segmental
Insights
Vehicle Type Insights
The
two-wheeler instrument cluster market is segmented by vehicle type, with
distinct needs and functionalities for each category. Motorcycles, which remain
a popular choice among consumers, require instrument clusters that can display
performance-related metrics like speed, fuel efficiency, engine health, and
temperature. In the case of motorcycles, riders demand more robust,
weather-resistant, and highly visible displays to ensure performance is easily
tracked during various road conditions. With advancements in digital
technology, motorcycle instrument clusters are evolving, offering riders more
intuitive displays that include GPS navigation, smartphone connectivity, and
real-time diagnostics. These motorcycles often appeal to both urban commuters
and long-distance riders, each seeking improved convenience and safety.
Scooters
and mopeds, while similar to motorcycles in some respects, cater to a different
demographic with distinct preferences for their instrument clusters. These
vehicles are typically used for short-distance urban commuting, and as a
result, the focus for their instrument clusters tends to be on simplicity and
ease of use. While traditional analog displays are still common, there is an
increasing shift towards digital displays that provide essential information
such as speed, fuel levels, and maintenance alerts. The growing popularity of
scooters, especially in congested urban areas, is prompting the development of
lighter and more cost-effective instrument clusters. These displays are
designed to offer critical data at a glance, ensuring ease of use and promoting
a streamlined riding experience.
Electric
two-wheelers represent a rapidly growing segment with unique requirements for
instrument clusters. These vehicles require specialized displays to monitor
battery life, energy consumption, and regenerative braking performance. Since
electric two-wheelers lack the traditional engine systems found in motorcycles
and scooters, their instrument clusters must provide real-time insights into
battery health, remaining range, and charging status. In addition to the basic
performance metrics, riders also seek enhanced connectivity, including mobile
app integration, to track the health and performance of the electric vehicle.
As electric vehicle adoption continues to increase, the need for advanced,
accurate, and user-friendly instrument clusters becomes more pronounced in this
segment. Riders of electric two-wheelers are looking for features that provide
convenience, sustainability, and efficiency, all of which are addressed by
evolving instrument cluster technologies. Each vehicle type demands unique
design and technological considerations, driving manufacturers to innovate and
cater to the specific needs of each group of riders.
Country
Insights
India emerged as the dominant market for
two-wheeler instrument clusters in 2023, driven by its large two-wheeler
population, rapid urbanization, and increasing adoption of digital and
connected technologies. The country has one of the largest markets for
motorcycles and scooters, with millions of units sold annually across urban and
rural areas. As the primary mode of transportation for a significant portion of
the population, motorcycles and scooters play a crucial role in daily
commuting. With rising disposable incomes, a growing middle class, and the
expanding youth demographic, the demand for more advanced, feature-rich
two-wheeler instrument clusters has surged. The shift toward digital
and connected instrument clusters is particularly noticeable as Indian
consumers seek more functionality in their vehicles. Riders are increasingly
looking for features such as GPS navigation, real-time diagnostics, Bluetooth
connectivity, and smartphone integration. The convenience offered by digital
displays, which provide easy access to essential information like fuel levels,
speed, engine health, and maintenance alerts, is appealing to a broad consumer
base. The motorcycle and scooter segments in India, once dominated by basic
analog displays, are now transitioning to more advanced digital systems to
cater to the growing consumer demand for tech-savvy solutions.
Electric two-wheelers are
also playing an increasingly significant role in India's two-wheeler market,
further driving the demand for specialized instrument clusters. As India pushes
toward more sustainable transportation options, electric scooters have gained
popularity in urban areas due to their cost-efficiency and environmentally
friendly attributes. Instrument clusters for electric two-wheelers are designed
to monitor key metrics such as battery life, energy consumption, and charging
status, which are essential for electric vehicle users. With government
incentives and policies aimed at promoting electric mobility, the demand for
these advanced instrument clusters is set to grow in the coming years.
In rural areas, where
motorcycles are often the preferred mode of transport, the focus is more on
affordability, durability, and simplicity in instrument clusters. However, even
in these regions, there is a noticeable shift toward digital displays, driven
by the desire for more accurate and easy-to-read information. As Indian
consumers become more accustomed to digital technologies and smartphones, the
appeal of advanced instrument clusters with integrated features continues to
grow, making India a key market for innovation in two-wheeler instrumentation. The dominance of India in
the two-wheeler instrument cluster market in 2023 can be attributed to its vast
two-wheeler consumer base, the rise of electric vehicles, and the increasing
demand for more advanced, connected, and user-friendly features. These factors
combine to create a dynamic market environment where technology and innovation
are driving the adoption of next-generation instrument clusters.
Recent
Developments
- In July 2024, MediaTek and
JioThings recently introduced a "Made in India" smart digital cluster
and smart module tailored for the two-wheeler market. This collaboration
combines advanced chipsets with IoT solutions to improve digital experiences
and accelerate market entry for OEMs. The focus is on supporting the growing
electric vehicle (EV) segment, highlighting India's growing influence in global
tech innovation. The partnership is expected to play a key role in transforming
mobility in the country.
- In November 2024, Royal
Enfield’s Flying Flea C6, the company’s first-ever electric motorcycle, gained
attention at EICMA 2024. Alongside the bike’s debut, the motorcycle introduced
a new instrument cluster that enhances the rider’s experience with advanced
features tailored to electric vehicles (EVs). This instrument cluster, a key
component of the Flying Flea C6, offers critical information such as battery
status, range, and performance metrics, all in a modern, easy-to-read
interface. Eicher Motors' MD and CEO, Siddhartha Lal, revealed that the Flying
Flea C6 would first launch in Europe and the US, where the market for premium EVs
is growing. While India may not be a priority market for the launch, Lal
remains confident the bike and its advanced features, including the innovative
instrument cluster, will be well-received.
- In October 2023, NXP
launched its connected digital cluster reference platform for two-wheelers,
enabling OEMs to integrate essential instrument cluster features while
supporting a wide range of connectivity options to enhance the rider
experience. Key features included three-way Bluetooth pairing between a
smartphone, the digital cluster, and headphones. This allowed for functions
such as rider and passenger music sharing, location features like "find my
bike" in a parking lot, phone-based navigation, and EV charging
statistics.
Key
Market Players
- Bajaj Auto Ltd.
- DENSO Corporation
- Triumph Motorcycles Ltd.
- Koito Manufacturing Co., Ltd.
- Robert Bosch GmbH
- Kawasaki Heavy Industries, Ltd.
- Valeo S.A.
- Hero MotoCorp Ltd.
- Nisshinbo Holdings Inc.
- Continental AG
|
By Vehicle Type
|
By Instrument Cluster
Type
|
By Display
Screen
|
By Country
|
|
·
Motorcycles
·
Scooters/Mopeds
·
Electric Two-Wheelers
|
·
Analog
·
Digital
·
Hybrid
|
·
Normal
·
TFT/LCD
|
·
India
·
China
·
Japan
·
Taiwan
·
Indonesia
·
Vietnam
·
Rest of Asia-Pacific
|
Report Scope:
In this report, the Asia-Pacific
Two-Wheeler Instrument Cluster Market has been segmented into the following
categories, in addition to the industry trends which have also been detailed
below:
·
Asia-Pacific
Two-Wheeler Instrument Cluster Market, By Vehicle Type:
o
Motorcycles
o
Scooters/Mopeds
o
Electric
Two-Wheelers
·
Asia-Pacific
Two-Wheeler Instrument Cluster Market, By Instrument Cluster Type:
o
Analog
o
Digital
o
Hybrid
·
Asia-Pacific
Two-Wheeler Instrument Cluster Market, By Display Screen:
o
Normal
o
TFT/LCD
·
Asia-Pacific Two-Wheeler Instrument Cluster Market, By
Country:
o
India
o
China
o
Japan
o
Taiwan
o
Indonesia
o
Vietnam
o
Rest
of Asia-Pacific
Competitive Landscape
Company Profiles: Detailed
analysis of the major companies presents in the Asia-Pacific Two-Wheeler
Instrument Cluster Market.
Available Customizations:
Asia-Pacific Two-Wheeler
Instrument Cluster Market report with the given market data, TechSci
Research offers customizations according to a company's specific needs. The
following customization options are available for the report:
Company Information
- Detailed
analysis and profiling of additional market players (up to five).
Asia-Pacific Two-Wheeler Instrument Cluster Market is an upcoming report
to be released soon. If you wish an early delivery of this report or want to
confirm the date of release, please contact us at [email protected]