Action cycling CT

[BigDL]

1) Giant would not pull supply due to a competitor up the road. The competition board would have a field day with that and it makes no commercial sense. That would be like Specialized stopping any stores nearby their Concept stores from stocking Specialized components. 

 

2) Investors don't just walk away from successful businesses. 

 

Not being nasty, but I sense some face saving stories there. Hope that it works out for them though. 

[More Wood]

1) Giant would not pull supply due to a competitor up the road. The competition board would have a field day with that and it makes no commercial sense. That would be like Specialized stopping any stores nearby their Concept stores from stocking Specialized components. 

 

2) Investors don't just walk away from successful businesses. 

 

Not being nasty, but I sense some face saving stories there. Hope that it works out for them though. 

 

BMT was a Specialized supplier in Stellenbosch. They had a huge sale of all Specialized stuff and stopped carrying the brand altogether. This was just before they started finishing up the concept store. So it seems Specialized do not supply shops nearby a concept store.

[BigDL]

From your description, the shop stopped stocking specialized. That does not mean that Spez stopped supplying them.

[splat]

BMT was a Specialized supplier in Stellenbosch. They had a huge sale of all Specialized stuff and stopped carrying the brand altogether. This was just before they started finishing up the concept store. So it seems Specialized do not supply shops nearby a concept store.

Same with Bridge, Olympic Cycles and a few others around Cape Town.

New concept stores now open in CBD, Claremont and Durbanville.

[PhilipV]

From your description, the shop stopped stocking specialized. That does not mean that Spez stopped supplying them.

BMT did not have a say in the matter. Neither did a shop in Paarl or cyclefunatic in Durbanville. Spez pulled the rug from under them.

So I won't be surprised if the same happened to Action.

[(Deon)]

These single brand concept stores with millions in furnishings set in lavish locations may soon feel the pinch of a weak rand.

[Matchstix]

For me the problem wit a concept store is that you need to push your product.

Now good mechanics and informed sales people are sometimes hard to find and due to the "stability" or salaries(might be mistaken) that can be offered by by big brands with a concept stores, they can afford to employ people like this. However this can turn some of these people into sales pitch zombies that have to push the product. As soon as bikeshops can't be honest about a product it sucks

[GLuvsMtb]

For me the problem wit a concept store is that you need to push your product.Now good mechanics and informed sales people are sometimes hard to find and due to the "stability" or salaries(might be mistaken) that can be offered by by big brands with a concept stores, they can afford to employ people like this. However this can turn some of these people into sales pitch zombies that have to push the product. As soon as bikeshops can't be honest about a product it sucks

So how do you know that Giant / Scott are not driving sales by shops with some sort of incentive scheme to owners / sales staff? If Giant has an all expenses paid trip for the staff of "shop of the year" to Mauritius, and Scott sends the "shop of the year" to Goudini for a weekend, which one would you push?

[Matchstix]

I will push the brands I think is good, not 1 single brand.

[Beefy]

I heard that Giant told Action that they had to accept changes to the nature of their agreement of it would terminate / lapse.

 

As I understand it Action couldn't afford the new terms and so had to end the agreement. The loss of revenue has resulted in the need to move premises.

[Captain Fastbastard Mayhem]

I heard that Giant told Action that they had to accept changes to the nature of their agreement of it would terminate / lapse.

 

As I understand it Action couldn't afford the new terms and so had to end the agreement. The loss of revenue has resulted in the need to move premises.

wow... this with one of the biggest pushers of Giant in CT. 

[Hairy]

Not the first time giant have tried to bully the store either. ......

[Capricorn]

Not the first time giant have tried to bully the store either. ......

 

so much for concept stores co-existing with bike shops equitably. I'll bet these changes to agreements are the norm when a concept store comes to town,and not quite to the benefit of the LBS as before. But lets just all sigh and shrug and say "its business".

[Hairy]

So any feedback as to the new store addy?

 

When  cycling past this morning the store looks like it is mostly moved over already

[QuintinS]

Anyone know whats happening. To Let signs in shop windows although Marco is still trading. Moving or shutting down? Hope the former.

Marco's shutting down the retail part of his operation. Moving to a workshop only in Paarden Eiland.

The rent was too high to justify staying on... combined with the fact that Dragon Sports shafted him with a change to their dealership agreement with him, so that if he wanted to remain a Giant Dealer he'd have to invest a Sh*tton of capital into buying bikes from them outright. in the region of a bar.. for stock.

[Hairy]

Marco's shutting down the retail part of his operation. Moving to a workshop only in Paarden Eiland.

The rent was too high to justify staying on... combined with the fact that Dragon Sports shafted him with a change to their dealership agreement with him, so that if he wanted to remain a Giant Dealer he'd have to invest a Sh*tton of capital into buying bikes from them outright. in the region of a bar.. for stock.

any confirmation of his new addy yet?

 

dragon trying to secure a "safer" market for their concept store down the road .... I wonder?