The Bike Bag is said by the developer to be a "devastatingly simple product that solves the age old problem of gift wrapping children's bikes for Christmas."
Each brightly coloured festive bag includes an A2 Cycle Safe Poster. 20p from the sale of each bag will be donated to RoSPA and Sustrans.
It's In The Bag's Sue Claughton said:
"The Bike Bag is an excellent point of sale product that offers bike retailers the opportunity to increase their revenue and support road safety for children. And because it solves a problem everyone can identity with, it will almost sell itself.
"Anyone who has struggled to wrap a child's bike for Christmas will know just how difficult it is to do well."
The Bike Bag is secured with the Velcro fastenings and is recyclable and re-usable. It is designed to fit cycles with 16 to 20-inch wheels. The retail price of the bag is £6.95.