TO: Bob Biller, CEO - Bike Lights Inc

FROM: Priyam Mishra, Consultant – McKinsey & Company

DATE: July 6, 2021

SUBJECT: Better Cycling Lights Outline

As we know bicycling is a very powerful way of exercise and has increased in popularity in
demand over the benefits of health. However, this has also led to a rise in bicycle accidents in the
recent years. About 818 people have lost their lives to bicycle accidents as reported by a 2015
National Highway Traffic Safety Administration study. In particular, these have been reported in
the hours of 6 and 10 pm due to the lack of light on the road.

1. Background
a. Statistics
i. In 2015, 818 people have been killed in bicycle/car collisions. There was a
12.2% increase from 2005 and six percent rise from the next year. About
45,000 people were estimated to be injured bicyclist. However, the
pedestrian injuries estimate is only a fraction of the crashes reported to the
police. According to the NSC, the cost associated with bicyclist injuries
and fatalities has rose to over $4 billion per year. In 2014, the average age
of bicyclist killed by motor vehicles is 45 years old.

b. Validation for product need

i. “According to a 2012 National Survey on Bicyclist & Pedestrian
Attitudes & Behaviors, around one-third of all injuries suffered by
 bicyclists occurred when struck by other vehicles, particularly trucks,
SUVs, etc. An article from the NHTSA stated, bicyclist deaths occurred
most often between 6p.m. & 9p.m. (20%) and in urban areas (71%). The
vast majority of the cyclists killed, most being male (88%), were mostly
males that were between the ages 20 & 24 years old” (“Will Corpus
Christi ever be ‘bike friendly’?”).  
ii. “The Fatality Analysis Reporting System (FARS), The Insurance Institute
for Highway Safety/ Highway Loss Data Institute (IIHS/HLDI), and The
National Highway Traffic Safety Administration (NHTSA)” are all groups
that recognize this as a growing & prominent issue (“Four Deadliest
Roads in the United States are Houston”).  

2. Analysis of Prior Solutions

a. Summary
i. There is information learned from the existing products shows the basic
functionality of the bicycle lights. For example, we know that LEDs are an
effective way to be the primary light for it to be a durable and effective
solution to address the problem. From this knowledge, we know to include
a LED light in our final product to make an effective and everlasting
product. Additionally, we know that the power sources are not embedded
in the current solution in the market. Including the part will separate our
product from competition. Overall, from the analysis, we learn the flaws
and positivity of the current products so they can be better addressed in
our product.
b. Existing Solutions

Bell Lumina 800 Bike Light

i. Bell Light
1. The major benefits of this product are primarily the use of LED
lights, easily rechargeable battery, and high power of 35 Lumens.
Some of the drawbacks include being expensive, no power source
included on the bicycle, and only having a two-hour runtime.
 Bicycle tail light
US 8770808 B1, Apr. 15,2010
ii. Generic Patent
1. The major benefits include the use of halogen lights, easily
rechargeable battery with micro-USB port, and practicality since it
can be attached to a human body. The negatives include the lack of
an aesthetic design, power source being on the body, and lacking
durability.

3. Solution Requirements
a. Summary
i. Our product must produce sufficient lighting, which is higher than 35
lumens, to make bicyclists more visible at night & in darkness. Using its
own 7,000 mAH lithium battery that recharges itself using solar power
gathered throughout the day, it provides the system with more than 20
watts of electricity to run all throughout the night/dark.
b. Requirements for Design
i. Must have rating higher than 35 lumens
ii. Must be a component of the bike’s body once installed
iii. Must not affect the rider’s comfortability 
iv. Must be reasonably priced (under $30), relative to production costs
c. Design Specifications by Priority
i. System must have higher than 35 lumens rating
ii. System must stay attached with the bike
iii. System must be solar powered with its own power bank
 Market Growth Potential

4. Market
a. Statistics
i. There is an upward trend in the sale of bicycle in the recent years due to
the concern of the environment along with the rise in population.
According to Technavio, 217.5 million units of bicycle light were sold in
2016. The forecasted growth for the product is at a rise in the recent year
and there is promising growth that is being shown.
b. Obstacles
i. Well established brands like Bell and Garmin
ii. Suppliers willing to host our product
iii. Competition with other types of lights such as Side Lights
c. Factors that lead to more sales
i. Rising obesity in the 114 nations in the continents of the Asia, Europe, and
Americas
ii. Necessity to see in the dark for lower income areas which don’t have
motor vehicles
iii. Online marketplace and sponsored ads
iv. Countries promoting the reduction of CO2 emissions
v. Rise in tourism after lockdown
Based upon the data presented in this document, it is very clear to see that there is a dire need for
safer and more efficient bicycle lights in today’s day and age. Upon further digging, it can also
be seen that there is definitely a market that exists that meaning our product will have a high
penetration rate so there is a clear path to profit which exists. Overall, a secure and less
expensive light has great potential for most adult buyers and will make riding a bike during the
night much safer.

WORK CITED

Academy. “Bell Lumens.” Academy.com,

www.academy.com/webapp/wcs/stores/servlet/Product_10151_10051_4851509_-1?
gclid=Cj0KCQiAi7XQBRDnARIsANeLIetevupUD2v_GYWGhdKZpWxIjJ_xwJA0rheTp-
5moDo4WGzwclrBYN8aAt-FEALw_wcB. Accessed 1 July 2021.

Amazon. Awpeye Light, 25 Feb. 2020, www.amazon.com/Awpeye-Headlight-Taillight-Multi-Purpose-

Waterproof/dp/B07V6CLHS9/ref=sr_1_1?
dchild=1&keywords=cheap+bike+lights&qid=1625173384&sr=8-1. Accessed 1 July 2021.

---. External Battery, 9 Mar. 2020, www.amazon.com/INIU-High-Speed-Flashlight-Powerbank-

Compatible/dp/B07CZDXDG8/ref=sr_1_9?
dchild=1&keywords=7000+mah+external+battery+pack&qid=1625173430&sr=8-9. Accessed 1
July 2021.

Business Insider. “Global Bicycle Lights Market to Grow at a CAGR of 9% through 2021, Reports
Technavio.” Www.businesswire.com, 31 May 2017,
www.businesswire.com/news/home/20170531006069/en/Global-Bicycle-Lights-Market-Grow-
CAGR-9%C2%A0Through. Accessed 1 July 2021.

Google Generic. “Bicycle Tail Light.” Google.com, 7 July 2017, www.google.com/patents/US8770808.

Accessed 1 July 2021.

Google INC. “Helmet Mounted Bicycle Lights.” Google.com, 21 June 2016,

www.google.com/patents/US8733989. Accessed 1 July 2021.

NHTSA. “Bicycle Safety.” NHTSA, 9 Sept. 2016, www.nhtsa.gov/road-safety/bicyclists. Accessed 17

Feb. 2021.

PedBike. “Pedestrian & Bicycle Information Center.” Www.pedbikeinfo.org, May 2019,

www.pedbikeinfo.org/data/factsheet_crash.cfm#No1. Accessed 1 July 2021.

Technavio Group. “Bicycle Lights Market by End-User and Geography - Forecast and Analysis 2020-
2024.” Technavio, 1 June 2020, www.technavio.com/report/bicycle-lights-market-industry-
analysis.
Persistence Research. “Bicycle Light Market: Global Industry Trend Analysis 2013 to 2017 and Forecast
2018 - 2028.” Persistence Market Research, 2019, www.persistencemarketresearch.com/market-
research/bicycle-light-market.asp.

Falcon, Meagan. “Will Corpus Christi Ever Be ‘Bike Friendly’?” FOGHORN NEWS, 26 Aug. 2014,
www.foghornnews.com/2014/08/will-corpus-christi-ever-be-bike-friendly/.

Baumgartner Law Firm. “Four of Deadliest Roads in the United States Are in Houston.”
Baumgartner Law Firm, 24 Sept. 2018, baumgartnerlawyers.com/blog/four-of-deadliest-
roads-in-the-united-states-are-in-houston/.