Wiggle/CRC future in doubt

[shaper]

Wiggle/CRC possibly going into administration https://road.cc/content/news/wiggle-reportedly-heading-towards-administration-304591

[IceCreamMan]

Wow…cycling going through a boom currently. Hope they stick around, I use CRC a lot. 

[EVOBIKES ONLINE STORE]

Well Wiggle/CRC DID manage to post a loss of 97 million Pounds for 2022...

Translated to ZAR that equates to a R2.2 BILLION loss in 365 days!!

[Jewbacca]

Just now, IceCreamMan said:

Wow…cycling going through a boom currently. Hope they stick around, I use CRC a lot. 

According to numbers, the boom is over.

This year has seen the doors closing globally of a number of big import agents, Direct to consumer brands, apparel companies and shops globally, as well as buyouts, takeovers and Intellectual property changing hands.

A large amount of those involved in the bike industry supply chain and distribution are really struggling to stay afloat or just aren't.

I'm not at all surprised

[IceCreamMan]

5 minutes ago, Jewbacca said:

According to numbers, the boom is over.

This year has seen the doors closing globally of a number of big import agents, Direct to consumer brands, apparel companies and shops globally, as well as buyouts, takeovers and Intellectual property changing hands.

A large amount of those involved in the bike industry supply chain and distribution are really struggling to stay afloat or just aren't.

I'm not at all surprised

While numbers may be slightly down when compared to the Covid boom the numbers are still higher than pre covid levels. If I look at the number of newish bicycles and amount of cycling happening in my area the sport (and usage of bicycles) of cycling is in a good place. 
 

maybe the supply chain is right sizing having become bloated during the frenzy. 

[Jewbacca]

Just now, IceCreamMan said:

While numbers may be slightly down when compared to the Covid boom the numbers are still higher than pre covid levels. If I look at the number of newish bicycles and amount of cycling happening in my area the sport (and usage of bicycles) of cycling is in a good place. 
 

maybe the supply chain is right sizing having become bloated during the frenzy. 

I'm not sure which news sites you read, but here are just a few articles highlighting how bad a shape the bike industry is in currently;

https://www.bicycling.com/news/a44811341/bike-industry-comeback-2023/

https://www.forbes.com/sites/carltonreid/2023/08/11/cycle-industrys-collapse-after-bike-boom-ends-this-year-say-analysts/?sh=6a33342766d9

https://www.showdaily.net/2023/08/why-are-bike-companies-going-out-of-business/

https://road.cc/content/news/brexit-blamed-uk-distributor-fli-ceases-trading-302665

Gorilla Gravity just announced it's closure along with a bunch of others

The bike boom I most definitely over

[IceCreamMan]

4 minutes ago, Jewbacca said:

I'm not sure which news sites you read, but here are just a few articles highlighting how bad a shape the bike industry is in currently;

https://www.bicycling.com/news/a44811341/bike-industry-comeback-2023/

https://www.forbes.com/sites/carltonreid/2023/08/11/cycle-industrys-collapse-after-bike-boom-ends-this-year-say-analysts/?sh=6a33342766d9

https://www.showdaily.net/2023/08/why-are-bike-companies-going-out-of-business/

https://road.cc/content/news/brexit-blamed-uk-distributor-fli-ceases-trading-302665

Gorilla Gravity just announced it's closure along with a bunch of others

The bike boom I most definitely over

Please read what I wrote. 
 

then peruse this site. https://www.statista.com/outlook/mmo/bicycles/worldwide

[Jewbacca]

Just now, IceCreamMan said:

Please read what I wrote. 
 

then peruse this site. https://www.statista.com/outlook/mmo/bicycles/worldwide

hahaha

The boom is over, companies are closing down and laying off huge amounts of staff all over the world at a pretty steady rate. Some big players too

The cycling industry is not in a good place.

[IceCreamMan]

1 minute ago, Jewbacca said:

hahaha

The boom is over, companies are closing down and laying off huge amounts of staff all over the world at a pretty steady rate. Some big players too

The cycling industry is not in a good place.

So, how to tell me you did not read my link by not saying I did not read the link. 

[Mtree]

[Headshot]

CRC has been around for years and was i think better run before the Wiggle buy out. What other options are there in the UK for we bargain hunting Saffers? 

I have used bike-discount.de before with good results.

 

some more

https://www.pinkbike.com/news/nukeproof-vitus-chain-reaction-cycles-and-wiggle-face-uncertainty-as-parent-company-restructures.html

Edited October 20, 2023 by Headshot

[ChrisF]

38 minutes ago, Jewbacca said:

hahaha

The boom is over, companies are closing down and laying off huge amounts of staff all over the world at a pretty steady rate. Some big players too

The cycling industry is not in a good place.

 

The number of 2022 models on special at various stores support your view that SA sales are down.

 

But some R100 billion spent on solar installations over the last year is impacting all sectors !!

 

Building plan approvals are at its lowest in 40 years, except for the covid lockdown period.

 

 

SA is in a tight spot.

 

 

Looking at lay offs at international automakers suggest tough times, for different reasons, in many other countries.

 

 

 

Cycling is just one of the casualties.

[Iwan Kemp]

44 minutes ago, IceCreamMan said:

So, how to tell me you did not read my link by not saying I did not read the link. 

• Revenue in the Bicycles market is projected to reach US$67.35bn in 2023.
• Revenue is expected to show an annual growth rate (CAGR 2023-2028) of 1.85%, resulting in a projected market volume of US$73.82bn by 2028.
• Bicycles market unit sales are expected to reach 138.30m bicycles in 2028.
• The volume-weighted average price of Bicycles market in 2023 is expected to amount to US$0.48k.
• From an international perspective it is shown that the most revenue will be generated in China (US$10,400m in 2023).

1. The answer lies in the bold words.
2. It doesn't mention actual profit in any of those statements
3. This includes all bikes, in all categories including cheap kids bikes, throw-away Chinese commuter bikes, delivery bikes, etc.

The wider industry as we know it in SA is not in good shape.

[IceCreamMan]

6 minutes ago, Iwan Kemp said:

• Revenue in the Bicycles market is projected to reach US$67.35bn in 2023.
• Revenue is expected to show an annual growth rate (CAGR 2023-2028) of 1.85%, resulting in a projected market volume of US$73.82bn by 2028.
• Bicycles market unit sales are expected to reach 138.30m bicycles in 2028.
• The volume-weighted average price of Bicycles market in 2023 is expected to amount to US$0.48k.
• From an international perspective it is shown that the most revenue will be generated in China (US$10,400m in 2023).

1. The answer lies in the bold words.
2. It doesn't mention actual profit in any of those statements
3. This includes all bikes, in all categories including cheap kids bikes, throw-away Chinese commuter bikes, delivery bikes, etc.

The wider industry as we know it in SA is not in good shape.

Yes, some of it goes into the theoretical realm but the fact remains that bike sales are higher than pre Covid levels. And the west is going through a cost of living crisis currently. 
 

bicycle sales are on the up given a move to healthier lifestyle and fossil fuel free environment. 
 

the ZA perspective is interesting and if one overlaid the recent census results and the numbers published by SARS about 18 months ago when analysing cycling as a sport I think it may give reasons as to why. 

[Meezo]

1 hour ago, Jewbacca said:

According to numbers, the boom is over.

This year has seen the doors closing globally of a number of big import agents, Direct to consumer brands, apparel companies and shops globally, as well as buyouts, takeovers and Intellectual property changing hands.

A large amount of those involved in the bike industry supply chain and distribution are really struggling to stay afloat or just aren't.

I'm not at all surprised

and have closed doors already... here in SA and Cape Town already

[throttles]

8.7% Price increase on SWORKS SL8 🤐

Launched at R230k now R250k 👀

 

Edited October 20, 2023 by throttles
image + math