Chris NewbyFraser Posted February 13, 2019 Posted February 13, 2019 If this can happen in the US, the worlds second largest cycling market, imagine how tough it must be for retailers in smaller markets to keep business going.Follow this link: https://www.velonews.com/2019/02/news/all-performance-bike-shops-expected-to-close-by-march-2_483352?utm_source=VeloNews&utm_campaign=b9125566f6-EMAIL_CAMPAIGN_2019_02_11_10_29&utm_medium=email&utm_term=0_7cbc7e57b1-b9125566f6-78078233&mc_cid=b9125566f6&mc_eid=c9592f8cb8
Eddy Gordo Posted February 13, 2019 Posted February 13, 2019 Another one closed late last year. Cant recall who.
DieselnDust Posted February 13, 2019 Posted February 13, 2019 That sort of model just doesn't work when the market is contracting. Overheads are too high and stock devalues too quickly while sales are slow. just burning money basically. There are better places for investors to get a good return.
bikebloke Posted February 13, 2019 Posted February 13, 2019 Evans cycles in the UK just announced (xmas time) that they where closing lots of their stores permanently but would remain an online retailer i think big chain cycling stores (and others) are being hit hard by online and smaller speciality LBS (where you go get personal service and your physical bike serviced and advice etc ) and the global recession which is making the collective retail money pit shallower . think cyclelab/sportsman warehouse versus (insert name of your favourite LBS who isnt the cheapest but you like them so it doesnt hassle you ).
Dubber Posted February 13, 2019 Posted February 13, 2019 I've done a lot of shopping at Performance Bikes over the last couple weeks since the announcement. News broke here just after Christmas - since then they have been clearing stoke at less 50% plus... They were nice stores in that you could pick up just about anything you needed for cycling - from kids stuff to indoor to mtb to racing. I think the problem they ran into was their brand variety was limited. They were Fuji and Kestrel distributors. While nothing wrong with those brands I would expect demand was limited. None of the market friendly big names like Scott, Giant, Spez etc... They will be missed, but fear not - there are probably 5 other bike shops within a mile radius of these guys (well, in my hood anyway)...
Pure Savage Posted February 13, 2019 Posted February 13, 2019 Its a shift in the market, cyclists dont enjoy the chain store vibe. People value a quality user experience. Look at ECC, Crown, JOC etc. A retail store not gonna cut it with useless staff and no vibe.
Dubber Posted February 13, 2019 Posted February 13, 2019 If you have time to kill, have a listen to the insiders view on why they are closing... https://soundcloud.com/user-562497687/pod-ep-125-why-performance-bicycle-stores-are-closing
Dubber Posted February 13, 2019 Posted February 13, 2019 Its a shift in the market, cyclists dont enjoy the chain store vibe. People value a quality user experience. Look at ECC, Crown, JOC etc. A retail store not gonna cut it with useless staff and no vibe.Agreed. Most of the stores that seem to be doing well this side have a whole host of things going for it.They all have a full on coffee shop as minimum (not like the little 'hut' in CWC). A lot have a bar where there is local draft on tap and a few have a full on restaurant. I suppose diversification helps, but it all adds to the atmosphere of the store... https://www.fullcyclebikes.com/about/the-tune-up-pg148.htm https://oskarbluesfooderies.com/cyclhops-bike-cantina/
Pure Savage Posted February 13, 2019 Posted February 13, 2019 Agreed. Most of the stores that seem to be doing well this side have a whole host of things going for it.They all have a full on coffee shop as minimum (not like the little 'hut' in CWC). A lot have a bar where there is local draft on tap and a few have a full on restaurant. I suppose diversification helps, but it all adds to the atmosphere of the store... https://www.fullcyclebikes.com/about/the-tune-up-pg148.htm https://oskarbluesfooderies.com/cyclhops-bike-cantina/Agreed, from a lot of the stores I have ended up following on Insta, a lot of them organise rides, fondo's, build up bikes for customers etc. A good bike shop going forward probably should not rely on selling bikes.
Chris NewbyFraser Posted February 14, 2019 Author Posted February 14, 2019 Being a true-blue Giant product supporter, I popped into the Giant shop in the sea-side holiday town of Shelley Beach (Kzn), expecting to have a truly good 'fix'. Although the owner was friendly and helpful, the shop environment was clinical, with no special flavour, vibe or any atmosphere aimed at parting me from my money or getting me back again. If this is the required Giant image, then I cannot see the branded shops being a success.
DieselnDust Posted February 14, 2019 Posted February 14, 2019 Agreed, from a lot of the stores I have ended up following on Insta, a lot of them organise rides, fondo's, build up bikes for customers etc. A good bike shop going forward probably should not rely on selling bikes. nope its not about selling bikes anylonger. You're selling a lifestyle that is evolving. Just being technically good and having good brands isn't enough. Customers want to identify with the shop and the brands
Plentipotential Posted February 14, 2019 Posted February 14, 2019 Its a shift in the market, cyclists dont enjoy the chain store vibe. People value a quality user experience. Look at ECC, Crown, JOC etc. A retail store not gonna cut it with useless staff and no vibe. That just about sums up shopping at Edgars.
Wayne pudding Mol Posted February 14, 2019 Posted February 14, 2019 That's why they are not going to exist much longer!but first they are going to drain taxpayers by way of a 3 billion buck loan.....
Wayne pudding Mol Posted February 14, 2019 Posted February 14, 2019 nope its not about selling bikes anylonger. You're selling a lifestyle that is evolving. Just being technically good and having good brands isn't enough. Customers want to identify with the shop and the brandsMy LBS just upgraded and although has always identified with a particular brand, I used to like it. Now they look slick and really have said brand in your face. The service is great and the owner is a shrewd operator but I preferred it pre the re branding and facelift. But, their mechanics are great so I will continue to support the workshop until my skills improve. I just find the new look soulless. It's a brave move to identify so heavily with one brand.
Ozzie NL Posted February 14, 2019 Posted February 14, 2019 nope its not about selling bikes anylonger. You're selling a lifestyle that is evolving. Just being technically good and having good brands isn't enough. Customers want to identify with the shop and the brandsYou in the business?
DieselnDust Posted February 14, 2019 Posted February 14, 2019 You in the business? I was but these days I just keep a close watch how it is developing. Might jump back in one day
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