Bicycle Retailer

The Latest Cycling News

Total news: 585
Last news: March 11, 2010 08:00:00

LAGUNA HILLS, CA (BRAIN)—Bicycle Retailer and Industry News is looking for Sea Otter submissions for its Show Guide that will be handed out at the show.

All news submissions should be sent to managing editor Lynette Carpiet at lcarpiet@bicycleretailer.com.

All product review submissions should be sent to web editor Jason Norman at jnorman@bicycleretailer. Product can include completes and frames in addition to new accessories, components and clothing. Just make sure the bike is available for demo at Sea Otter.

Remember to send product info, high res image, suggested retail price and booth number.

All Sea Otter calendar submissions should be sent to reporter Nicole Formosa at nformosa@bicycleretailer.com.

Deadline for submissions is Friday, March 26 (although submissions will be treated on a first come, first serve basis, with limited space for the Show Guide.) - [Read more]

NEWBURY PARK, CA (BRAIN)—Industry veterans Russ Okawa and Bruce Schofield were among five Giant USA employees laid off last week as part of a company restructuring.

Okawa (pictured), 59, worked at Giant for 10 years, handling dealer services. He said the news caught him by surprise, but thanks to a generous severance package he has time to consider what’s next.

“At this point, I need to step back and ask if I really want to stay in the bicycle industry. I really haven’t known any other life,” he said.

Okawa’s first job as a teenager was at Canoga Cycle Center. From there he joined Mongoose when Service Cycle owned it. He later spent 10 years at Sachs, but left after SRAM bought the old-line European company. He joined Giant USA after a stint with KMC.

His presence around the office will be sorely missed, said one former Giant employee.

“That guy totally kept that place together. He ran all the inner workings of Interbike; he started the coffee every morning before anybody got there. If anybody didn’t know anything, Russ knew it. He did all the Web site updates, any promotions, getting binders done. He was the guy that got literally everything done,” the source said.

Other employees let go were Tiffany Brown, women’s program manager, Gustavo Corona, who worked in the warehouse, Christa Clinton, an administrative employee and Schofield, a GRP merchandising coordinator who’d been with the company for eight-and-a-half years, according to several sources.

Giant declined to comment on layoffs, but issued a press release saying the company had streamlined its marketing strategy.

“In order to stay competitive in the current US economic downturn, as well as prepare for growth in the future, Giant USA has restructured to become more cost efficient and operationally effective. The restructure includes removing silos within marketing, and centralizing all marketing efforts under one team. This means marketing and branding efforts for Giant for Women and Giant Gear will no longer have separate marketing managers, but instead be integrated within the overall marketing plan and managed by Brad Klipping, Giant USA marketing manager.

“Further, the restructure integrates marketing, merchandising and product management under one leadership structure in order to bring the right products and programs to market in a more holistic manner to maximize the growth of our brand.

Giant has also removed redundancies in programs and personnel, while investing deeper in critical projects that will drive consumer demand for Giant products and brand at retail, along with programs to help our retail partners improve their capabilities. This includes PR, web communication, retail merchandising, retailer education, and consumer outreach programs such as demos and key national events.

Giant has taken great leaps forward in the development of the Giant brand, products, and our retail presentation in the past few years, and we are committed to that continued development with new and exciting products and programs coming in 2010.”

Last November, the company restructured its inside sales team, letting two reps go at that time. The company also trimmed two other employees from its Giant Retail Partnership program last year.

—Nicole Formosa and Marc Sani

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SANTA CLARITA, CA (BRAIN)—Corsair Bikes have new owners as Mike Flaherty and Froggy Khu of Atomlab, along with Pablo Tafoya—the designer of Corsair frames—have purchased the company from original founder and industry veteran Doug Stuart.

“The big common denominator is Pablo,” Flaherty said. “I met him years ago. He actually designed our clipless pedal. We just always had a similar vision even though he comes from downhill and I come from BMX.

“He brought the opportunity to my attention and it seemed like a really good fit,” he added.

Stuart, who founded the mountain bike company in 2007, is now overseeing sales and marketing with the newly formed U.S. subsidiary for SR Suntour. He had been with Full Speed Ahead before that.

Flaherty said that Tafoya will play a much more central role in the brands direction and vision. Ralf Hauser, former editorial director and co-founder of Flow, Twentysix and Decline magazines will also be working with Corsair. Hauser, who is currently based in Austria, will be developing the new Web site that should be launched within a few weeks, while also helping with marketing and media relations.

Corsair will continue to build on its innovative designs and advanced linkage technology, according to Atomlab’s original founder Flaherty. Atomlab was founded in 1996, taking off quickly with its popular Flatboy pedal, which was ridden by some of the top downhillers at the time like John Tomac, Myles Rockwell and Brian Lopes. Today Atomlab makes mountain bike products as well as BMX.

Atomlabs new distribution company, Dirtec Direct (dirtecdirect.com), which now distributes Atomlab, Black Market and Sensus, will now handle distribution for Corsair Bikes in the United States. However, Corsair will remain a completely separate brand from Atomlab. International distribution will continue to be handled by Corsairs current international distributors, with no significant changes to pricing or dealers.

“The new management at Corsair places a huge importance on pro-rider involvement, feedback and sponsorship,” Flaherty said. “Corsair is currently finalizing a new team of elite riders, which will be announced later this month. Development of brand new product for the 2011 season is already under way and we hope to get some serious riding hours in on the prototypes soon.”

The new direction of the company will be portrayed in every aspect of its structure, from branding to marketing and in the product itself, so expect changes in the future, Flaherty added.

Corsair Bikes will now be located in Santa Clarita, California.

For more on this story including what Flaherty’s goals are with Corsair be sure to read the April 1 issue of Bicycle Retailer and Industry News.

—Jason Norman - [Read more]

LAKELAND, FL (BRAIN)—The Trek Bicycle Store in Lakeland, Florida, has shuttered after seven years in operation. The shop was the first retailer-owned Trek Concept Store to open back in November 2002, shortly after the Wisconsin-based bike manufacturer introduced its concept store model.

Former sales rep for Gary Fisher, Trek, Klein and Lemond brands Don Griffith opened the original 5,000-square-foot shop, which was built up from scratch and featured 20-foot ceilings and display racks on rollers.

Reasons for its closure are unknown and attempts to reach Griffith at the store were unsuccessful as the shop’s phone number is no longer in service. Also, the store’s Web site is no longer up.

At the time Griffith’s store opened, Trek owned and operated three Trek Bicycle Stores, according to an article published by Bicycle Retailer and Industry News in its January 2003 issue.

The Lakeland store just off of U.S. Highway 98 had undergone a recent remodel, according to David Luppino, owner of Tampa Bay area store Just Ride Bicycles, who knew Griffith since he was his sales rep long before he opened shop. Luppino, who’s owned various shops in the Tampa Bay area over the years, said Griffith helped him get Trek into one of his stores back in the day.

—Lynette Carpiet - [Read more]

WASHINGTON, D.C. (BRAIN)—Armed with talking points and brightly colored bike lapel pins, more than 700 leaders of the bicycling industry and advocacy movement took Capitol Hill by storm yesterday.

“What a euphoric moment for bicycling,” Tim Blumenthal, executive director of Bikes Belong, told the audience gathered in the Senate Dirksen building to wrap up a successful lobbying day during the National Bike Summit.

Delegates from 48 states, including local bicycle retailers, industry executives, elected officials and user groups had 465 scheduled meetings with members of Congress and their staffs.

Attendees asked their senators and representatives to sign on to several key pieces of legislation including the Active Community Transportation Act of 2010 (H.R. 4722) introduced last week by Rep. Earl Blumenauer. The legislation would create a $400 million annual fund to grant money to communities to complete networks for bicycling and walking.

As a result of one meeting, Oregon Senator Jeff Merkley said he would introduce a companion bill in the Senate on the bill, dubbed Act Act.

To cap off the day, Secretary of Transportation Ray LaHood joined Rep. Blumenauer at the congressional reception. LaHood, who climbed up on a table in order to make himself heard in the packed room, thanked Blumenauer for turning him onto the livable communities movement.

“From my very first day, he said, ‘LaHood, get with the livable communities,’” said LaHood, who stepped into the post last January.

“People want to live in livable communities. People want walking paths and biking paths and opportunities for families to hang together and have fun,” LaHood said, adding that every nice weekend he and his wife ride the C&O Canal Trail.

LaHood noted the recent TIGER grants issued by the Department of Transportation included substantial funding for bike paths. The Transportation Investment Generating Economic Recovery (TIGER) included awards totaling more than $43 million to complete nonmotorized transportation networks in Philadelphia and Indianapolis.

And LaHood said we could expect more support for bike-related projects from the Department of Transportation.

“You have a full partner in Ray LaHood and many full partners at the DOT,” he said.

—Megan Tompkins
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WASHINGTON, D.C. (BRAIN)—The clanging of a cowbell sounded continually last night, each time signifying the entrance of a U.S. senator or representative to the Bikes PAC fundraiser. The bell was needed to quiet a room filled with close to 100 influential industry members in attendance at the event at the Monocle restaurant in Washington, D.C.

The fundraiser set a record for Bikes PAC funds raised in a single evening of $25,000 and drew 10 senators and representatives from both sides of the aisle. One of the wait staff at the Monocle, an institution on Capitol Hill, expressed surprise at the number of representatives who showed up to address the group.

“It was a beautiful thing seeing one member of congress standing having a drink and listening to another member. It felt like bicycling had arrived,” said Tim Blumenthal, executive director of Bikes Belong and host of the event.

Among the attendees were cycling supporters Congressman Earl Blumenauer of Oregon, Congressman Tom Petri of Wisconsin, and Congressman Peter DeFazio of Oregon, all of whom have consistently defended bike interests.

The representation of members from both sides of the aisle showed the bipartisan nature of cycling interests. More than one guest noted that bicycling has the ability to cross over agendas and party lines in a town where everything is a partisan issue.

And cycling seemed to resonate on a personal level with elected officials, regardless of party affiliation. Almost every member of congress shared their own positive bike story.

Congressman Frank LoBiondo of New Jersey spoke of riding bicycles on the boardwalk. Congressman Charlie Dent spoke of the strong influence of bicycling in his Pennsylvania district, home of the Trexlertown velodrome. Senator Tom Carper of Delaware spoke of his shared love for biking with his two sons, one of whom is on the MIT cycling team.

Iowa Senator Chuck Grassley, ranking member of the senate finance committee, spoke of mountain biking in Telluride, Colorado, in the summer. Eleanor Holmes Norton, Representative for the District of Columbia, voiced her support for adding bike lanes on Pennsylvania Ave. Representative Bob Corker of Tennesee proudly stated that he was from the home of Litespeed.

Scott Brown, the newly elected Republican Senator from Massachusetts, showed the passion and competitive spirit of a real enthusiast for the sport. “You have an ally—someone who gets it,” Brown told the audience.

If there was any uncertainty expressed during the evening it was over the transportation bill, which has been sidelined due to lack of funding sources. But Blumenauer assured those gathered that due to the opportunities to tie cycling to climate change, energy and healthcare the end result for cycling will be profound.

“The enthusiasm and contributions were record,” said Blumenthal. “It felt hopeful even though the transportation bill is not going anywhere. It’s still uncertain, but it felt timely and powerful.”

—Megan Tompkins

PHOTO: Senator Tom Carper of Delaware addresses Bikes PAC fundraiser attendees while Congressman Earl Blumenauer of Oregon looks on.
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WASHINGTON, D.C. (BRAIN)—Google’s announcement at the opening plenary session at the National Bike Summit yesterday that it is adding biking directions to Google Maps was met with resounding applause.

“As many of you know, the challenge we face in advocacy is how do we get more people out on bikes? Bike-to-Work Day is a great way. But how can we scale that up so we can ride every day? How can we provide guidance to our friends and families and transfer that knowledge in a way that makes them feel comfortable with the routes?” asked Peter Birch, a Google product manager and avid cyclist.

“At Google, we love problems of scale. We’ve done directions for driving, directions for transit and directions for walking. Everyone asks us, ‘What about biking?’ I’m very proud to say bicycling directions for Google maps is live and available.”

This new feature includes: step-by-step bicycling directions; bike trails outlined directly on the map; and a new "Bicycling" layer that indicates bike trails, bike lanes and bike-friendly roads. The directions feature provides step-by-step, bike-specific routing suggestions—similar to the directions provided by its driving, walking, or public transit modes. Users simply enter a start point and destination and select "Bicycling" from the drop-down menu. The route is optimized for cycling, taking advantage of bike trails, bike lanes, and bike-friendly streets and avoiding hilly terrain whenever possible.

“We’re really showing our commitment to maps for people, not just cars,” Birch said. “However people want to get around, by car, by foot, by transit and now by bike, we’re offering as part of a growing movement to create greener and more sustainable communities. We’re hoping tools like Google maps can help accelerate biking in cities that are already great for biking.”

Shannon Guymon, product manager for Google, who led the project said the feature has been in the works for over two years. But, she said, the company was challenged because it used outside sources for map data that didn’t include bike trails and bike routes.

Google began managing its own map data in October and at that time began pulling bike route information into its data sets. Guymon said it’s been a main development focus since then, with five dedicated engineers working to develop the algorithm to find the best cycling routes.

In launching this beta version, which offers biking directions throughout the U.S., Google has input cycling route data for 150 major U.S. cities. It also has input more than 12,000 miles of trail data provided by Rails-to-Trails Conservancy.

Birch said over the next several months it hopes to extend its coverage of bike trails and routes as well as improve the quality of cycling directions. To do so, it’s counting on retailers and advocates who are plugged into local cycling communities to provide feedback. A mechanism to add trail information is built in directly to the Web site under the link: Report a Problem.

According to Guymon, this has been the most requested addition to Google Maps, showing up regularly in forums and in an online petition that received 50,000 signatures. “Cyclists have certainly been very vocal in asking for this feature so they better start searching,” Guymon said.

Walking directions account for 10 percent of Google Maps searches. Guymon said it will be interesting to see what percentage of searches are by bike.

“In the tight-knit cycling community word started spreading immediately. We expect a spike around the launch and then as the climate and attitudes toward cycling change we expect more use,” Guymon said.

Visit http://maps.google.com/biking to try out the new feature.

—Megan Tompkins

PHOTO: Google engineer John Leen demos the new Google bicycle feature for Robbie Webber of Bike/Walk Madison at the Bike Summit.

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MONTREAL, Quebec (BRAIN)—Dorel Industries’ bike business grew by 11.3 percent in the fourth quarter of 2009, propelling the segment to a year-end sales increase of almost 4 percent.

Revenue increased to $175.6 million in the fourth quarter of 2009 compared with $157.8 for the same period in 2008.

Two-thirds of the increase can be attributed to new business acquired, including the particular success of Hot Wheels, a UK distributor bought by Dorel last October, said Martin Schwartz, CEO of Dorel Industries, during a conference call Wednesday to discuss the company’s fourth-quarter and year-end earnings.

The remaining revenue was generated by the Cycling Sports Group, Dorel’s IBD division, which posted sales gains of 25 percent in the fourth quarter.

"The overall significant year-over-year improvement in bikes was a clear sign that newer models, particularly in the Cycle Sports Group division, are being well accepted by dealers," Schwartz said. "…The Cycling Sports Group Europe dealers also reacted well to new models and we are optimistic about prospects abroad.”

Dorel owns Cannondale, GT, Mongoose, Schwinn, Iron Horse, Sugoi, Pacific Cycle, Charge Bikes and accessories brand PTI.

For the year, Dorel’s Recreation and Leisure segment, which includes its specialty and mass market bike business, was up 3.8 percent, from $656.6 million in 2008 to $681.3 million last year.

The company did not break down numbers, but said in a press release that organic sales dropped by just over 3 percent due to a decline in mass-market sales, partially offset by growth in lower priced bikes within CSG.

Earnings from operations fell 4.9 percent from $41.8 million in 2008 to $39.8 million last year.

“With the recession, consumers purchased less high end products, trading down to lower priced items, which carry lower margins. In addition, some of the segments competitors chose to discount their lines early in the year, resulting in an erosion of overall industry profitability,” the company said.

Looking ahead, Schwartz said Dorel would expand its custom branded apparel business (through Sugoi) and improve P & A in the IBD channel.

For more details on Dorel’s bike business including plans for the Iron Horse brand in 2010 be sure to read the April 1 issue of Bicycle Retailer & Industry News.

—Nicole Formosa - [Read more]

BETHEL, CT (BRAIN)—Topolino Technology expects first quarter sales to more than double last years results.

These exceptional sales are being driven by the launch of the companys high end wheelset, the TrueBlack CTR2.0. For the first time in their history, Topolino has changed the composition of its carbon composite spokes, increasing the carbon content 50 percent and creating an all black spoke. The Carbon Core yellow and black striped spoked wheels continue to be produced and remain top sellers in bike shops across the country.

Topolino first showed the new TrueBlack wheelsets at Interbike last September. "We knew the excitement was there for our TrueBlack spoked wheels, but we seriously underestimated the level of demand," said Rafe Schlanger, president and founder of Topolino.

CTR wheelsets are now shipping to IBDs across the country, but dealers are encouraged to get their orders in to ensure timely delivery.

"With our existing March orders we will more than double our sales for the first quarter 2010, versus a year ago," Schlanger said. "Dealer demand has exceeded supply, and we are shipping as fast as possible to keep our retailers in stock and our back orders manageable. As each Topolino wheel is hand built here in Bethel, Connecticut, we are ramping up capacity to meet the demand." - [Read more]

WESTPORT, CT (BRAIN)—Annual sales for Fox Racing Shox fell 7.8 percent in 2009, but the company saw signs of recovery in the fourth quarter with double-digit growth during the last three months of the year.

Fox reported net sales of $121.5 million in 2009 compared with $131.7 million in 2008 and $105.7 million in 2007. In the fourth quarter, revenue rose 13.4 percent, from $30.6 million in 2008 to $34.6 million for the same three-month period last year.

Bookings for 2010 are well ahead of 2009 for this time of year, said Joe Massoud, CEO of Compass Diversified Holdings, Foxs parent company.

The decrease in sales for the year comes from a $12.7 million decline in the mountain biking sector “due to the impact of the global economic recession, which created excess capacity in the industry, particularly in the first half of the year, according to an annual report filed by Compass to the Securities and Exchange Commission.

International sales totaled $84 million in 2009—$35.6 million of that to Taiwan—compared with $92.5 in 2008 when Taiwan business accounted for $44.8 million.

In 2010, strategies for further growth include expanding revenue powered vehicles business, similar to last year’s partnership with Ford for the F-150 Raptor Off-Road Truck, seeking opportunities for international growth and growing aftermarket sales, which declined $2.4 million in 2009 to $29 million.

"The sale of aftermarket parts typically carries higher gross margins than a similar OEM sale," the company said. " Fox is further investing in its aftermarket sales infrastructure to foster sales growth in 2010 and beyond. One of the simplest and most effective ways for customers to improve their performance is the purchase and installation of an aftermarket Fox suspension product when compared to the expense of purchasing an entirely new platform."

Fox sells its suspension products for mountain bikes, snowmobiles, all terrain vehicles, motorcycles and off-road vehicles to more than 200 OEM and 7,600 aftermarket customers.

—Nicole Formosa - [Read more]

LAGUNA HILLS, CA (BRAIN)—The Taipei Cycle Show gets underway next week and Bicycle Retailer & Industry News will deliver daily coverage of the four-day event. Each day manufacturers, suppliers and North American retailers will receive a link via email to a multi-page PDF newsletter filled with detail about trends and products, event coverage and newsmaker interviews.

Readers who visit the magazine’s Web site also can read the newsletters.

“We produced a similar series with up-to-the-minute coverage while at Taichung Bike Week,” said Marc Sani, the magazine’s publisher. “So many readers, including retailers, sent notes thanking us for the coverage that we decided to increase coverage for the Taipei show,” he added.

Staffing this year’s show is staff editor Nicole Formosa and Sani. Companies exhibiting at Taipei can send information about new products, mergers, acquisitions or other news to Nicole at nformosa@bicycleretailer.com or to Marc at msani@bicycleretailer.com. Sani also can be reached in Taipei on his cell phone at 949-322-8392.

In addition, advertising and sponsorship opportunities are still available. If your company wants to reach the broadest market possible during the show, please contact Robert Torrico, associate publisher for sales, at (949) 206-1677 ext. 204 or email him at rtorrico@bicycleretailer.com.
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VANCOUVER, WA (BRAIN)—SR Suntour has formed a new U.S. subsidiary to drive aftermarket growth, tapping longtime U.S. manager Darrell Voss to head up the operation and former FSA president Doug Stuart to oversee sales and marketing in North America.

SR Suntour North America will be run from Vancouver, Washington, as a division of the Chang Hua, Taiwan-based suspension and component manufacturer.

Voss, who has led SR Suntour’s U.S. activities for the past 11 years will direct the new venture and will also play an integral part in product development. Stuart, who led FSA in the U.S. from 1999 to 2006, will head up aftermarket sales and marketing.

After leaving FSA, Stuart established Corsair Bikes, which he recently sold to a buyer that has not yet been announced.

The company has also brought on support staff for the Vancouver office and has hired an OEM salesperson who will be introduced before starting April 1, Stuart said.

Stuart said he and Voss have known each other for many years and began talking last summer about forming a U.S. branch of the storied company, which has roots dating back nearly a century.

“I put together some proposals. Darrell had been putting together some proposals to the ownership in Taiwan. With the work he did and the work I did, we put together a plan for the new business with myself being involved in it,” Stuart said. Stuart said he was attracted to SR Suntour for the opportunity to work with Voss, whom he described as having good acumen on both the business and technical side, as well to work for a vertically integrated company that controls its own manufacturing.

It also gives him the chance to mine the knowledge and experience he gained at FSA, another component manufacturer with its own factory.

“It was a nice step as far as being involved with a company that has the potential to do similar and potentially bigger and better [things] than FSA,” he said.

Stuart will focus on achieving a better balance between SR Suntour’s aftermarket and OEM business. Currently, OEM sales account for about 90 percent of revenue for SR Suntour, the industry’s largest suspension manufacturer.

“I think if we could get the aftermarket business up to 25 to 30 percent in the midterm, I think that’s pretty good,” he said.

To do that, Stuart will start by establishing a demo program to get consumers interested in buying SR Suntour’s suspension and component products. He also plans to hold service clinics with dealers to help create better relationships with retailers.

“It’s a big country and we’ve got a long ways to go, but we’re going to start at it and go step by step,” he said.

SR Suntour’s history dates back to 1912 when freewheel maker Maeda Industries was established. Over the decades a number of mergers occurred between Maeda Industries, Mori Industries, Sakae Ringyo (SR) and Suntour. In 1987 chairman Daisuke Kobayashi and the management team of SR moved the company to Taiwan and in 1995 the SR Suntour company of today was formalized.

SR Suntour operates three factories located in Chung Hua, Taiwan, Shen Zhen, China and Kunshan, China. These factories are vertically integrated for aluminum and magnesium casting and forging, drawing, CNC machining, spring manufacturing, and final painting, finishing and assembly. SR Suntour also operates a sales and service office and warehouse based in Germany.

—Nicole Formosa

Photo: Doug Stuart - [Read more]

WASHINGTON, D.C. (BRAIN)—Columbia, Missouri may not be top of mind when it comes to bike-friendly cities. But Columbia’s fifth-term mayor Darwin Hindman, who championed the city’s Katy Trail, is putting this Midwestern city on the cycling map.

“The Katy Trail is crowded with users. Now our obligation is to get our streets crowded with users using bikes for commuting as well as recreation,” Hindman told more than 700 leaders of the bicycling advocacy movement and industry at a reception in Washington, D.C. last night.

The reception kicked off the National Bike Summit, which culminates Thursday when more than 400 meetings with members of Congress are scheduled with delegates from 48 states, including local bicycle retailers, industry executives, elected officials and user groups.

Mayor Hindman said delegates need to stress the importance of funding at the local level to their Congressional representatives. “We need to point out how important it is to get money to the cities where people live,” Hindman said, adding that one reason Columbia has seen bicycling rise is due to grassroots support.

Attendees will visit Capitol Hill to ask their senators and representatives to sign on to several key pieces of legislation including the Active Community Transportation Act of 2010 (H.R. 4722) introduced last week by Rep. Blumenauer and the Urban Revitalization and Livable Communities Act.

Andy Clarke, president of the League of American Bicyclists and host of the Summit, said there’s no question of the importance of support at the local level. “Earl Blumenauer’s Act provides a real source of funding in cities that truly hunger to get on with the job,” Clarke said.

Clarke said record attendance at this year’s summit shows how far the cycling movement has come since the first event 10 years ago. But he said that first summit, when 120 people gathered at the Washington Plaza Hotel, established many ongoing elements such as great speakers and an amazing collaboration of ideas.

“The Summit and bicycle movement is on the rise," Clarke said. “As cycling grows, so do the number of reasons why we need even more Americans to ride bicycles. Weve got 100 more people than last year, and when we first did this in 2001 we had fewer than 150 people.”

Among the attendees at this year’s Summit are 150 local bicycle retailers. The NBDA granted $30,000 in scholarships to first-time and returning dealers to make it affordable for them to participate.

—Megan Tompkins
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COSTA MESA, CA (BRAIN)—Space is still available for retailers interested in attending the NBDAs March 15-16 Profitability Project in Atlanta, Georgia.

The fourth season of the Profitability Project kicked-off in Florida, Feb 17-18. The dynamic process brings together successful industry retail leaders from non-completing markets across the country to learn, brainstorm, evaluate and strategize together to create more successful models for each of their retail stores.

When dealers return to their stores and apply what they learned they will witness direct bottom-line improvement, said Dan Mann of The Mann Group, the third-party retail expert management firm that facilitates the program based on the successful “Twenty Groups” or “Mastermind” programs in other industries.

The program has generated positive feedback from retailers like Mike Nix of Liberty Bicycles in Asheville, North Carolina, who said the event is "The best single thing, business-wise, that I’ve ever done.”

Business sessions use actual facts and figures from participating members’ current sales and administrative data to formulate key performance indicators such as sales per square foot, payroll percentage of revenue and inventory turns. Participants deliver their store’s data to the event management team who then compile the data anonymously to utilize within the program.

Sales and marketing sessions also focus on the sharing of best practices and how they can be applied.

Current topics include social marketing, customer rewards, loyalty/retention programs and recognizing and embracing new market opportunities.

One of the most popular aspects of the program is the in-store Feedback Report Card. Each event is held within a participating member’s market that has agreed to have the group judge their store on numerous categories assessed on a scale of one to 10.

Outside signage, lighting, store layout and design, service department, restrooms and more are on the report card. These reports are given to the host-dealer, and areas of improvement are recommended for implementation.

“Simply, the best investment of my time ever," said Doug Newman, owner of The Bike Route in Naples, Florida who hosted and participated in the February event. "Sharing KPIs with fellow non-competing dealers along with a visit and critique of the host bicycle store has consistently moved us along to the next level. When another group forms, sign up. You wont regret it.”

Group 1 meetings are underway, but space is still available to join Group 2 in March 15-16, 2010 in Atlanta, GA. Each group will meet twice a year in alternating member locations, once in the spring and once in the fall. There is an administrative fee associated with joining the group ($1,500 for each six-month period) and you must be an NBDA member to participate.

To join the next group in Atlanta, contact Dan Mann at the Mann Group by email at info@manngroup.net or phone (828)645-0974. To join the NBDA visit www.nbda.com.
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RANCHO CUCAMONGA, CA (BRAIN)—InCycle opened its fourth Southern California shop last Friday in Rancho Cucamonga at the base of the San Gabriel Mountains in San Bernandino County.

InCycle Inc. purchased the prime 5,500-square-foot Foothill Blvd location for $1.06 million back in January.

“That is absolutely the only reason we’re here. We were able to purchase the property,” said Mark Smits, one of two InCycle partners. “Obviously to own the property is way better than to lease. We’ve been in business almost 20 years and none of our other buildings are purchased. The mortgage is in line with the business we think we’ll do here. It’s a good position to be in.”

Smits said he’d been eyeing expansion in Rancho Cucamonga for eight years, but sidelined the project when competitor Redlands Cyclery moved into town last Christmas.

“They beat us to the punch. It kind of took the wind out of our sails,” Smits said. But, when the opportunity came up to purchase the space, Smits couldn’t pass it up.

“It all kind of worked out,” he added.

InCycle’s other shops are in Pasadena, San Dimas and Chico.

“A lot of our customer base comes from East of San Dimas, in this area. We’ll get a lot more of the repeat business and attract more friends and family of customers who already patronize our shops,” Smits said.

The Rancho Cucamonga location will carry the same primary three brands as the other shops: Cannondale, Specialized and Electra.

Smits foresees his sales being pretty evenly split between mountain and road product with a good amount of fixed gear and family business as well.

The new shop is located at 9110 Foothill Blvd in Rancho Cucamonga.

—Nicole Formosa
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WEST JORDAN, UTAH(BRAIN)—Reynolds Cycling has added a direct purchase option to consumers on its Web site, but the companys CEO says the move should not take sales away from its retailers.

“After extensive consideration, we realized that not all of our potential customers have access to, or want to purchase Reynolds Cycling products via existing sales channels, so we decided to implement an e-commerce option," said Dean Gestal, Reynolds Cycling CEO. “All of our Reynolds Cycling wheels and accessories will have our manufacturer’s suggested retail pricing, so there should be no impact on dealer sales.”

Effective immediately, Reynolds Cycling is offering a “Buy it Now” e-commerce option on www.ReynoldsCycling.Com for U.S. consumers.

"Our e-Commerce option in the USA will be the first step for direct-to-consumer web sales," said Jonathan Geran, head of U.S. sales & marketing for Reynolds. "Our goal for the e-Commerce element of our Web site is to allow the consumer to choose their fulfillment location from our dealer database drop down menu. This will enable Reynolds Cycling dealers to earn margin and build a relationship with a consumer who purchases his wheels on line through Reynolds Cycling.”
- [Read more]

SALT LAKE CITY, UTAH (BRAIN)—Steve Miller, president of the Tour of Utah cycling race, confirmed the events dates and sponsors on Monday.

The USA Cycling sanctioned pro race will be Aug. 17 to 22 and Zions Bank is returning as presenting sponsor of the Tour for the fourth year, Miller said.

"I am pleased to be able to confirm the August 2010 dates for this years race," Miller said. "We had such an enthusiastic response to the 2009 event that local communities along the course are excited to see the Tour return, and last years participants have provided feedback on how to make the race even tougher.

"In addition, based on last years success, all existing sponsors have chosen to return making increased commitments to the race through cash, trade, advertising and marketing."

Dubbed as Americas toughest stage race, the tour will consist of a prologue and five stages covering central and northern Utah. Once again, the Tour of Utah is on the official National Racing Calendar.

The race begins with The Salt Lake Convention and Visitors Bureau Prologue on Tuesday, Aug. 17 and ends Sunday, Aug. 22 with the Park City to Snowbird Ski and Summer Resort "Queen" stage.

The remaining five stages will include the University of Utah Health Care Ogden to Research Park road race, the Heiden Davidson Orthopedics criterium in downtown Park City, the teamgive time trial at Miller Motorsports Park, and the XANGO Thanksgiving Point to Top of Mt. Nebo road race.

Race route details will be announced soon.

Additional sponsors include Utah Toyota Dealers Association, KJZZ 14, 1320 KFAN, POWERADE, Glacéau vitaminwater, FFKR Architects, Bingham Cyclery, First Endurance, Canyon Bicycles, PROBAR, I.J. and Jeanne Wagner Jewish Community Center, Sheraton Downtown Salt Lake City, Edge Composites, City of Ogden, and Shimano.

"The support we receive from Zions Bank, as well as the rest of our sponsors, is important to the success of the Tour of Utah," Miller said.

The Tour of Utah will also include a non-competitive ride for enthusiast cyclists the Saturday before called "The Ultimate Challenge." Detailed information for The Ultimate Challenge will be released soon.

For more information about the Tour, click the link above. - [Read more]

MONTEREY, CA (BRAIN)—With more than five weeks left until the Bicycle Leadership Conference, registrations are already ahead of last years total.

"With a stronger agenda, new host hotel right on Cannery Row, Thursday dinner at the Aquarium, we have a lot more appeal," said BLC director Ray Keener. "Then, when you get the likes of John Burke and Mike Sinyard signed on, the industry takes notice."

Panel discussions on this years agenda covers topics such as the economy, market demographics, industry consolidation, the market-buy-sell cycle, effective marketing messages and federal funding for cycling.

Other speakers scheduled include principals from Norco, Dorel Industries recreation and leisure division, Scott USA, Crankbrothers, Raleigh, Electra and Camelbak.

"This year’s conference promises to be the most productive in years," added Sea Otter Classic CEO Frank Yohannan.

Discounted conference room rates at the host hotel, the Monterey Plaza Hotel & Spa expire on Sunday. Ask for the BLC rate.

To see the entire list of current attendees, agenda, or to register for BLC, click on the link above. - [Read more]

SANTA CRUZ, CA (BRAIN)—Santa Cruz Bicycles has purchased Swobo outright, buying out Tim Parr’s minority interest in the company.

Parr said the two sides were working on “tweaking his role” where he would have stayed on board, but at the end of the day Parr decided the role just didn’t fit his apirations and goals.

“I made a personal decision [to leave] on top of [the business decision that was made by Santa Cruz Bicycles]," Parr said. Parr added that he had a “good working relationship” with Santa Cruz Bicycles owner Rob Roskopp.

Santa Cruz Bicycles originally bought the company in 2001 from Parr. Swobo’s original founder Parr stepped back into the picture in 2004 as a minority owner. Swobo was founded in 1991 by Parr.

Swobo, originally built on its popular bike apparel, really came into its own when Sky Yaeger came on board as managing director in 2006, launching the company’s first bike line. The Northern California company’s single speeds and fixies became an instant hit with the urban crowd.

“Given the economic climate we were doing pretty well,” Parr said. “We were positioned well for the future.”

As far as Parr’s future is concerned, he said he’s in no rush to make a decision on his next move—and where it will lead him.

“I like the bike industry,” Parr said. “But what I really like are bikes” and getting more people on them.

Last September Swobo consolidated operations and opened up a new sales office in Santa Cruz, California, near its warehouse. In conjunction with the new office opening, the Sausalito, California office closed.

Parr can now be reached at tim_parr@me.com.

—Jason Norman - [Read more]

VALENCIA, CA (BRAIN)­­­­—Intense Cycles former director of sales and marketing Paul Cusick has taken the position of global sales manager at Sixsixone.

"I have nothing but positive memories of my time here at Intense and wish them nothing but the best in the future," Cusick said in an e-mail blast to industry friends. "Sixsixone simply offered a more attractive package and the potential of combining two of my passions, mountain bikes and motocross, in one career." - [Read more]