Hairy Posted July 9, 2020 Share Specialized Begins Selling Equipment Through Backcountry & CompetitiveCyclist.com https://www.pinkbike.com/news/specialized-equipment-is-now-available-on-backcountry-and-competitivecyclistcom.html This article is in my mind the beginning of the big s going "on-line". Some of the comments at the end are the usual Spaz bashing sessions, and then this interesting one. " Trudeez (3 hours ago) @ratedgg13: you're completely right. Evil S is cooking up something. It seems like we are back to how they were ten years ago when all you heard about is how sharty of a company they are. It seems like every day the hits come with them recently. In the last few months, in my area they have: called all terms due immediately, any shop that had inventory on 90 or 180 terms was ordered to pay immediately, right at the start if covid no less. Fired many senior engineers (this was nationwide) claiming cutbacks due to covid and not being able to support hiring back staff, and then rehiring a workforce of younger engineers and fresh college grads no mind paid to pensions, retirements, insurance etc. Signed up the local BMW dealership to be a turbo dealer, so that the local little guys were muscled out. To me it feels like they're doing everything they can to squeeze out the LBS. My prediction is that there will then be "specialized premium service centers." All bike sales will be handled online, and if you need service your only option is the service center, the LBS will not have access to the parts or tools to service the bikes (a-la a BMW dealership) and your tune up is going to go from costing $150 to costing $500 overnight. Granted this is just my prediction, based on nothing in particular. But just agreeing that it definitely seems like they're up to something." Capricorn, DieselnDust and daveno7 3 Link to comment Share on other sites More sharing options...
DR ◣◢ Posted July 9, 2020 Share That really is a very specialized move from them. Link to comment Share on other sites More sharing options...
Nick Posted July 9, 2020 Share The big S has been online overseas for some time now through Specialized.com. The news here is them doing it through online third-party dealers.Which sort of goes in the opposite direction of that comment you posted. If the plan has to have total control of the retail channel, surely they'd do it through Specialized.com and not open it to online third-party dealers.Also, what parts will Specialized plan to withhold so they can overcharge and make millions? They have been moving away from propriety parts and these days it's really just the Brain and maybe some parts for the aero bikes. Most parts are off the shelf. Hairy, MBMtbGirl, stefmeister and 6 others 9 Link to comment Share on other sites More sharing options...
Hairy Posted July 9, 2020 Share The big S has been online overseas for some time now through Specialized.com. The news here is them doing it through online third-party dealers. Which sort of goes in the opposite direction of that comment you posted. If the plan has to have total control of the retail channel, surely they'd do it through Specialized.com and not open it to online third-party dealers. Also, what parts will Specialized plan to withhold so they can overcharge and make millions? They have been moving away from propriety parts and these days are the Brain and maybe some parts for the aero bikes. Most parts are off the shelf.The last time the S brand made a big move, was when they took their brand out of many a loyal local LBS and they started up the concept stores. There was a thread or two about this a good couple of years ago on this site. It will be interesting to see where this new approach goes in the near / medium term future. Will they start to phase and push out the local bike shop concept and move to a mostly on-line platform. I have two concept stores that I frequent in Cape Town. Both of these are exceptional in service, staff and stock on the floor. It would be a disaster if history repeats itself and they in turn get the short end of the stick from the S brand going on-line via third parties. Side joke .... it is rather funny that they signed up a BMW dealership as a turbo dealer Quagga 1 Link to comment Share on other sites More sharing options...
DieselnDust Posted July 9, 2020 Share Specialized Begins Selling Equipment Through Backcountry & CompetitiveCyclist.com https://www.pinkbike.com/news/specialized-equipment-is-now-available-on-backcountry-and-competitivecyclistcom.html This article is in my mind the beginning of the big s going "on-line". Some of the comments at the end are the usual Spaz bashing sessions, and then this interesting one. " Trudeez (3 hours ago) @ratedgg13: you're completely right. Evil S is cooking up something. It seems like we are back to how they were ten years ago when all you heard about is how sharty of a company they are. It seems like every day the hits come with them recently. In the last few months, in my area they have: called all terms due immediately, any shop that had inventory on 90 or 180 terms was ordered to pay immediately, right at the start if covid no less. Fired many senior engineers (this was nationwide) claiming cutbacks due to covid and not being able to support hiring back staff, and then rehiring a workforce of younger engineers and fresh college grads no mind paid to pensions, retirements, insurance etc. Signed up the local BMW dealership to be a turbo dealer, so that the local little guys were muscled out. To me it feels like they're doing everything they can to squeeze out the LBS. My prediction is that there will then be "specialized premium service centers." All bike sales will be handled online, and if you need service your only option is the service center, the LBS will not have access to the parts or tools to service the bikes (a-la a BMW dealership) and your tune up is going to go from costing $150 to costing $500 overnight. Granted this is just my prediction, based on nothing in particular. But just agreeing that it definitely seems like they're up to something." Interesting...haven't done any fact checking on the accusations being made in the PB post so I won't comment on that.re the online, the canyon/yt-industries/ other direct to consumer models seems to have gained a lot of traction and thats something that a company has heavily geared toward property as Specialized is, has to consider at least diversifying toward. If not they sit with high overhead that will be poor return on investment (paid a premium for and can only sell low) Standardised parts is not an indication of more diversified service offering as they can still specify their own network to retain the warranty. They can build it into the warranty requirements much the same as many auto's do. This is more easily implemented in the E-bike market where the prediction is that these will become the preferred mode of transport for the middle class professionals in the future. I saw somewhere that S was offering service plans with the current Epic for 2yrs.... So there you have it, that's a lock in mechanism. Much like the auto industry that will appeal to a certain type of person (especially those receiving company or government grants for using their bicycle). it appears to be a natural progression for a bicycle company trying to reposition itself as an alternative transport company in the future. it won't appeal to many people, me included, but there's not much one can do to stop it because you know.... socialism benefits everyone Hairy 1 Link to comment Share on other sites More sharing options...
DieselnDust Posted July 9, 2020 Share The last time the S brand made a big move, was when they took their brand out of many a loyal local LBS and they started up the concept stores. There was a thread or two about this a good couple of years ago on this site. It will be interesting to see where this new approach goes in the near / medium term future. Will they start to phase and push out the local bike shop concept and move to a mostly on-line platform. I have two concept stores that I frequent in Cape Town. Both of these are exceptional in service, staff and stock on the floor. It would be a disaster if history repeats itself and they in turn get the short end of the stick from the S brand going on-line via third parties. Side joke .... it is rather funny that they signed up a BMW dealership as a turbo dealer May be they did try to kill of the LBS through pushing their own model but this has been unsuccesful. If anything it has reinforced loyalty to the LBS in the market where people care about small business. It has weeded out the LBS that was unprepared to deal with the model S pushed. That wasn't very nice.Some of the concept stores are owned by Specialized as they front the capital for you complying with their franchise template so they will feel nothing by foreclosing on those stores that are not working for them economically. Others are independently owned but Specialized branded, These stores will be better off as they have more power to determine their own destiny. Link to comment Share on other sites More sharing options...
LazyTrailRider Posted July 9, 2020 Share I have two concept stores that I frequent in Cape Town. Both of these are exceptional in service, staff and stock on the floor. I've been buying bikes and bike parts since the early nineties from countless bike shops. The concept stores I have supported over the last couple of years (Freewheel primarily, but also Stellenbosch and most recently Tygerberg) have given me significantly better service than any other shop I've supported over the years. Recent example: I ask Tygerberg if they have a rare jersey in stock (the other two did not). Yes, they do. I'm in the Southern Suburbs, so can they ship it? Response: Shipping is expensive for just a jersey, so one of the team will drop it off at my house on the way home the next day. I mean, c'mon! Hairy, Robbie Stewart, MBMtbGirl and 3 others 6 Link to comment Share on other sites More sharing options...
Nick Posted July 9, 2020 Share It will be interesting to see where this new approach goes in the near / medium term future. Will they start to phase and push out the local bike shop concept and move to a mostly on-line platform. I wouldn't read more into this than them simply trying to give the consumer more options. Currently the LBS has a monopoly which does limit sales to people who can or like to visit stores. Going online is a very easy way to suddenly increase your customer base in a way that physical stores cannot. Selling on Backcountry & CompetitiveCyclist exposes them to so many more customers. It's also not a binary thing. The two sales channels can coexist. There are different customers. Some will like retail and some will like online. You'll surely make the most sales servicing both. I'd expect to see that being the future plans. Robbie Stewart, slickjay007, Hairy and 5 others 8 Link to comment Share on other sites More sharing options...
DieselnDust Posted July 9, 2020 Share I've been buying bikes and bike parts since the early nineties from countless bike shops. The concept stores I have supported over the last couple of years (Freewheel primarily, but also Stellenbosch and most recently Tygerberg) have given me significantly better service than any other shop I've supported over the years. Recent example: I ask Tygerberg if they have a rare jersey in stock (the other two did not). Yes, they do. I'm in the Southern Suburbs, so can they ship it? Response: Shipping is expensive for just a jersey, so one of the team will drop it off at my house on the way home the next day. I mean, c'mon! I see you jersey and I raise you to service levels my LBS is in Somerset west, I live in Muizenberg, same day service if all parts available including Chris King spares.come on pull my other leg Other LBS is on a wine farm. same day service if parts available and I do some wine tasting while I wait and grab a proper steak burger.pull my pinky. ScaredShiftless and LazyTrailRider 2 Link to comment Share on other sites More sharing options...
Hairy Posted July 9, 2020 Share I've been buying bikes and bike parts since the early nineties from countless bike shops. The concept stores I have supported over the last couple of years (Freewheel primarily, but also Stellenbosch and most recently Tygerberg) have given me significantly better service than any other shop I've supported over the years. Recent example: I ask Tygerberg if they have a rare jersey in stock (the other two did not). Yes, they do. I'm in the Southern Suburbs, so can they ship it? Response: Shipping is expensive for just a jersey, so one of the team will drop it off at my house on the way home the next day. I mean, c'mon!Good LBS! DieselnDust 1 Link to comment Share on other sites More sharing options...
Hairy Posted July 9, 2020 Share I wouldn't read more into this than them simply trying to give the consumer more options. Currently the LBS has a monopoly which does limit sales to people who can or like to visit stores. Going online is a very easy way to suddenly increase your customer base in a way that physical stores cannot. Selling on Backcountry & CompetitiveCyclist exposes them to so many more customers. It's also not a binary thing. The two sales channels can coexist. There are different customers. Some will like retail and some will like online. You'll surely make the most sales servicing both. I'd expect to see that being the future plans.I sure do hope this is the case .... my "Spidy Senses" are out on this one. DieselnDust 1 Link to comment Share on other sites More sharing options...
Hairy Posted July 9, 2020 Share I see you jersey and I raise you to service levels my LBS is in Somerset west, I live in Muizenberg, same day service if all parts available including Chris King spares.come on pull my other leg Other LBS is on a wine farm. same day service if parts available and I do some wine tasting while I wait and grab a proper steak burger.pull my pinky.That is not 100% fair .. you can't compare other bike shops to Williams Bike Shop .. apples with apples DieselnDust 1 Link to comment Share on other sites More sharing options...
LazyTrailRider Posted July 9, 2020 Share I see you jersey and I raise you to service levels my LBS is in Somerset west, I live in Muizenberg, same day service if all parts available including Chris King spares.come on pull my other leg Other LBS is on a wine farm. same day service if parts available and I do some wine tasting while I wait and grab a proper steak burger.pull my pinky. Yup, they're obviously not the only provider of excellent service. Other notables recently are Lyne (a stem delivered within 9 hours) and Custom Bikes, a bar shipped within an hour of ordering and delivered from JHB 48 hours later. Hairy and DieselnDust 2 Link to comment Share on other sites More sharing options...
MarcHD Posted July 9, 2020 Share The big S has been online overseas for some time now through Specialized.com. The news here is them doing it through online third-party dealers. Which sort of goes in the opposite direction of that comment you posted. If the plan has to have total control of the retail channel, surely they'd do it through Specialized.com and not open it to online third-party dealers. Also, what parts will Specialized plan to withhold so they can overcharge and make millions? They have been moving away from propriety parts and these days it's really just the Brain and maybe some parts for the aero bikes. Most parts are off the shelf. Interesting all this.... I'm on a closed FB group comprised mainly of US based industry members (bike shop owners, distributors et al) and they are going absolutely mental over this news. Apparently many stores have had a Specialized shop open without warning down the road from a decade long dealer and start stocking the very bikes said dealers were being told were still a few months away in delivery dates... I'm not suggesting anything with this post as I by no means have the facts, merely forwarding info direct from dealers* in the 'States (*who might have the wrong end of the stick) Hairy 1 Link to comment Share on other sites More sharing options...
DieselnDust Posted July 9, 2020 Share Interesting all this.... I'm on a closed FB group comprised mainly of US based industry members (bike shop owners, distributors et al) and they are going absolutely mental over this news. Apparently many stores have had a Specialized shop open without warning down the road from a decade long dealer and start stocking the very bikes said dealers were being told were still a few months away in delivery dates... I'm not suggesting anything with this post as I by no means have the facts, merely forwarding info direct from dealers* in the 'States (*who might have the wrong end of the stick) reading around the webs it appears that there is a lot of banter around this suggesting that where theres smoke there fire.on a side bar note, i hope that whatsapp group doens't talk about pricing or distribution or carving up markets or or or...neh Link to comment Share on other sites More sharing options...
Headshot Posted July 9, 2020 Share All I know is the bike industry is rapidly pricing itself out of my reach. DieselnDust, shaper, SCD and 3 others 6 Link to comment Share on other sites More sharing options...
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