Biking Booms in Seaside City to Drop an Average of 10 Percent, Said Stores Went out of Business

An NBDA Publication

July 1, 2010 Vol. 19, Number 11 Market Slides: Importers Drop 2009 Imports Pricing As The Hit New Lows Euro Plummets BY MATT WIEBE BY MATT WIEBE Bicycles are the answer to dependence VICENZA, Italy—As the euro tum- on fossil fuels, bles against the U.S. dollar, importers of growing carbon European brands are closely watching emissions, urban exchange rates. While some companies congestion, obe- minimize exchange rate fluctuations in sity and a variety their pricing, others are adjusting price of health issues—a sheets accordingly. perfect storm sure “The euro will definitely impact our to sweep new bike new pricing that came out on June 1. buyers into shops. So where were the North American pricing came down customers last year? 12 percent due to the strengthening of That was the big question as suppliers the U.S. dollar,” said Tom Kattus, North booked large orders with Asian build- America general manager for Campag- ers while retail orders slowed. The mis- nolo, which manufactures in Italy and match between market optimism and Romania. Continued on page 30 Greece’s financial crisis and eco- nomic difficulties in other euro zone Rural Shops Feel countries like Ireland, Italy, Portugal and Spain, drove the euro to four-year Sting of Economy, lows in early June. From a peak value of $1.60 in July 2008, it fell below $1.20

Forcing Closures Photo courtesy of Raleigh USA last month. And at a time of year when many companies are finalizing pricing, BY JASON NORMAN success in seattle the euro’s fall in value will have an im- The shrinkage of specialty bicycle mediate effect. stores in the U.S. over the last 10 years Mavic expects its revised pricing continued last year. In 2009 roughly 63 Biking Booms in Seaside City to drop an average of 10 percent, said stores went out of business. BY MARC SANI here point out that it’s STP not PTS. Mark Leydecker, Mavic’s managing di- That is the second lowest decline in t’s called STP—shorthand And this July is no different. Some rector. Mavic makes wheels and com- the past decade. From 2001 to 2007 IBD for the 202-mile Seattle to Portland 10,000 riders—the official cap—will hit ponents in France and Romania, and store closings in the double digits were Bicycle Classic. It’s an annual two- the pavement July 17. And if this year’s although Romania is outside the euro the norm. And considering that IBDs dayI ride-fest, held each July, and it puts ride follows years past, cyclists will swal- zone, Mavic prices Romanian manu- were fighting through a grim recession 10,000 cyclists on a string of back roads low some 26,000 sandwiches, 35,000 factured goods in euros. in 2009, that number looks positive. that links these two Pacific Northwest cookies and 11,000 fig bars, plus hun- But Leydecker points out that as “I was surprised there weren’t more cities. dreds of pounds of bananas, oranges part of a global company with vendors that went out of business,” said Jay And while Seattle often takes a back- and grapes. around the world, Mavic factors many Townley, who produced the U.S. Bicycle seat to Portland when the discussion Serving up those numbers is the Cas- variables into pricing. Continued on page 32 turns to bicycle-friendly cities, cyclists Continued on page 22 Continued on page 27

2 2 2 2

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- im most the where is level retail The capabilities like on LinkedIn or Facebook. or LinkedIn on like capabilities Marc Sani Marc — Markets. Global group billion $4.8 of revenue posted Nielsen

Source: NSGA Source:

the source for Redline BMX bicycles and parts throughout Canada. throughout parts and bicycles BMX Redline for source the in the suburb of Crystal City, Virginia. City, Crystal of suburb the in anyone, but users pay a monthly fee to have interactive interactive have to fee monthly a pay users but anyone, euiis Glmn ah ad Citi- and Sachs Goldman Securities, year Last usage. Internet and television

2009 2008 2007 2006 2005 2004 2003 2002 2001 2000 1999

ucts will catch fire.” 10 Pack Distribution in Burnaby, British Columbia remains remains Columbia British Burnaby, in Distribution Pack 10 fire.” catch will ucts short trips for residents and businesses businesses and residents for trips short enhanced listing. The open-forum site is accessible to to accessible is site open-forum The listing. enhanced Credit Suisse Securities, Deutsche Bank Bank Deutsche Securities, Suisse Credit measures and habits consumer follows 30

- prod these and commuting for bikes these of utility the realize soon will sumers signed to encourage the use of bikes for for bikes of use the encourage to signed ed in a free directory or pay $299 a year for an active, active, an for year a $299 pay or directory free a in ed Morgan Securities, Morgan Stanley, Stanley, Morgan Securities, Morgan that firm market-research a is Nielsen

- con and shops “Bike KMI. of Appleton Peter said Canada,” in categories ing - de program share bike and rental cost - includ be to information their submit can Companies of financial heavyweights including J.P. J.P. including heavyweights financial of said. filing the ments,

- grow fastest the of two in offering bike KMI’s out round will that and 29ers and D.C. recently opened City Hub, a low- a Hub, City opened recently D.C. The site launched last month with 4,000 contacts. contacts. 4,000 with month last launched site The Underwriting the IPO is a who’s who who who’s a is IPO the Underwriting pay- interest additional in million $47

performance bicycles in Canada. “Redline is leading the charge in cyclocross cyclocross in charge the leading is “Redline Canada. in bicycles performance Revolution Cycles in Washington, Washington, in Cycles Revolution 24-7 online,” Lucas said. Lucas online,” 24-7 in May 2006 near the market’s peak. market’s the near 2006 May in about add would rates interest in crease

KENT, WA—Kempter Marketing Inc. has begun distributing Redline adult adult Redline distributing begun has Inc. Marketing WA—Kempter KENT, different types of people on the saddle. saddle. the on people of types different ple will be prepared to pay for it—like an Interbike but but Interbike an it—like for pay to prepared be will ple aged buyout for more than $10 billion billion $10 than more for buyout aged in- percent 1 Every debt. floating-rate is

35.6

New retail concepts also aim to get get to aim also concepts retail New - peo that amazing so site Web this make to way a find - lever highly a in investors of group a by billion $4.7 obligations, current its Of

KMI Handles Redline Adult Bikes in Canada in Bikes Adult Redline Handles KMI

36.2

37.4

der’s Middle Cross. Middle der’s “I thought, I know there’s a market out there if I can can I if there out market a there’s know I thought, “I Dutch conglomerate VNU, was bought bought was VNU, conglomerate Dutch million. $147 of payments 38.1 40

38.7

39 - Boul like programs grassroots or year, from Bend Bike n Sport, which closed in March. March. in closed which Sport, n Bike Bend from Nielsen, formerly owned by the the by owned formerly Nielsen, debt met company the year, this of ter

40.3 . . www.ifdesign.de at available is information further and registration line ton, Wisconsin and Texas in the next next the in Texas and Wisconsin ton, down her day job at Edge and trying to pay off debt debt off pay to trying and Edge at job day her down sumer data collection and new media. new and collection data sumer - quar first the In debt. that on payments

41.3

- On 1-4. Sept. from show the during display on be will products award-winning - Washing Colorado, to curriculum ing Lucas spent nights populating the site while holding holding while site the populating nights spent Lucas as management has refocused on con- on refocused has management as interest in million $495 paid Nielsen

42.4

43.1 43.1

shafen Sept. 1 at 6 p.m. on the fashion stage in the Foyer-Ost (Foyer East). All All East). (Foyer Foyer-Ost the in stage fashion the on p.m. 6 at 1 Sept. shafen - rac bike mountain its expand to plans Working with Web site developer Dan Ellmore, Ellmore, Dan developer site Web with Working has shed many of its trade magazines magazines trade its of many shed has year Last obligations. lease capital and

- Friedrich in show Eurobike the during place take will ceremony awards The scholastic Cycling Association, which which Association, Cycling scholastic for the site. the for Over the last four years, the company company the years, four last the Over debt long-term in billion $8.6 down

nover Aug. 18. The gold award winners will be selected from all awarded entries. entries. awarded all from selected be will winners award gold The 18. Aug. nover - Inter National the School, to Routes ing, Lucas sat down and started writing a business plan plan business a writing started and down sat Lucas ing, pany’s 2009 revenue, or $192 million. $192 or revenue, 2009 pany’s pare help to IPO an through billion

50 - Han in prizes the award and entries the judge will experts of jury international that direction with programs like Safe Safe like programs with direction that - morn one panic of moment a in up Waking recession. opie ol 4 ecn o te com- the of percent 4 only comprised $1.75 raise to hopes it that prospectus

and sustainable product will be presented with the Eurobike Green Award. An An Award. Green Eurobike the with presented be will product sustainable and To be sure, strides have been made in in made been have strides sure, be To had sunk their entire savings into wouldn’t survive the the survive wouldn’t into savings entire their sunk had and ASR among other trade shows, shows, trade other among ASR and 240-page its in said company The

10-Year History of Participation Participation of History 10-Year

(in Millions) Millions) (in

tered in 18 categories. As in the past two years, one environmentally compatible compatible environmentally one years, two past the in As categories. 18 in tered riders ages out, Clements said. Clements out, ages riders became clear that the retail shop she and her husband husband her and she shop retail the that clear became includes Interbike, Outdoor Retailer Retailer Outdoor Interbike, includes Association. Dealers Bicycle National

- regis be can Products 30. July until concepts and products their submit to vited vitality after the current core group of of group core current the after vitality concept only came to fruition six months ago, after it it after ago, months six fruition to came only concept Its other division, Expositions, which which Expositions, division, other Its the to licenses it which , News Industry

- in are engineers and designers Manufacturers, Awards. Eurobike annual sixth the next generation of riders to ensure ensure to riders of generation next the since she started at Felt Bicycle eight years ago. But the the But ago. years eight Bicycle Felt at started she since Nielsen’s data collection arm. collection data Nielsen’s & Retailer Bicycle owns also Nielsen

FRIEDRICHSHAFEN, Germany—Online registration has opened for the the for opened has registration Germany—Online FRIEDRICHSHAFEN, The industry needs to reach out to to out reach to needs industry The divisions. Those two divisions make up up make divisions two Those divisions. Commission. Exchange & Securities the

for bike specifically,” — Beverly Lucas Beverly — specifically,” bike for Registration Opens for Eurobike Awards Eurobike for Opens Registration just going to be smaller,” Clements said. Clements smaller,” be to going just ers Watch” and “What Consumers Buy” Buy” Consumers “What and Watch” ers with filing June a to according public,

Source: NSGA Source: driven so many consumer markets is is markets consumer many so driven ated by what it calls its “What Consum- “What its calls it what by ated go to plans company, parent Interbike’s

the Yellow Pages pushed together and and together pushed Pages Yellow the point that boomer generation that has has that generation boomer that point - gener amount that of percent 96 with Holdings, NY—Nielsen YORK, NEW

bike-week.com for the most up-to-date information on the event. the on information up-to-date most the for bike-week.com To File for IPO to Pare Down Debt Down Pare to IPO for File To or the affluence, but the age. At some some At age. the but affluence, the or

contact Jennifer Liao at [email protected]. Go to www.taichung- to Go [email protected]. at Liao Jennifer contact “It’s basically LinkedIn, Facebook and and Facebook LinkedIn, basically “It’s “It’s not necessarily the maleness maleness the necessarily not “It’s

. For exhibition space and room bookings at the Evergreen, Evergreen, the at bookings room and space exhibition For . [email protected]

tion.

Interbike, Bicycle Retailer Owner Retailer Bicycle Interbike,

or 15.6% or

still available, hotel officials said. For information, contact Elton Ho at at Ho Elton contact information, For said. officials hotel available, still Elton.

- Associa Dealers Bicycle National the Lucas said the idea had been in the back of her mind mind her of back the in been had idea the said Lucas

or 8.3% or

5.9 million, million, 5.9

visitors. Currently the Tempus has sold out its exhibition space but rooms are are rooms but space exhibition its out sold has Tempus the Currently visitors.

Fred Clements, executive director of of director executive Clements, Fred her personal contacts collected over 15 years. years. 15 over collected contacts personal her

3.1 million, 3.1 or 3.7% or 3.1 million, 3.1 or 3.7% or

30-minute shuttle from downtown and offers a variety of riding terrain for for terrain riding of variety a offers and downtown from shuttle 30-minute tic: tic: n tla A now, it could be in 10 to 15 years, said said years, 15 to 10 in be could it now, Lucas, who began building the database with 800 of of 800 with database the building began who Lucas, Nicole Formosa Nicole — shops. Virginia two hits,” spring once business major for

tral: tral: n e C 1.4 million, 1.4 host resort for companies participating in Ride On. The Freshfields is a free free a is Freshfields The On. Ride in participating companies for resort host outh outh S tral: tral: n e C 1.4 million, 1.4 clist, and while that is not a problem problem a not is that while and clist, Pages pushed together and for bike specifically,” said said specifically,” bike for and together pushed Pages chise system and maintain ownership of of ownership maintain and system chise ready be to window month three a

outh outh S est W the Evergreen and Tempus in downtown Taichung and Freshfields Resort, the the Resort, Freshfields and Taichung downtown in Tempus and Evergreen the outh outh S est W - cy common most the be to continue “It’s basically LinkedIn, Facebook and the Yellow Yellow the and Facebook LinkedIn, basically “It’s brothers are no longer part of the fran- the of part longer no are brothers there’s and year the of time that had be tral: tral: n e C tral: tral: n e C

1-6, and SRAM’s annual Taiwanathon, held Dec. 5-8. This year’s key hotels are are hotels key year’s This 5-8. Dec. held Taiwanathon, annual SRAM’s and 1-6,

Well-educated, affluent, white males males white affluent, Well-educated, together into one comprehensive database. comprehensive one into together and Chesapeake, Virginia. The Conte Conte The Virginia. Chesapeake, and to dating good of plenty there’s months, outh outh S ast E outh outh S ast E

takes place Dec. 4-8. It’s the linking event between Ride On, which runs Dec. Dec. runs which On, Ride between event linking the It’s 4-8. Dec. place takes more than $100,000. than more supply chain of manufacturers, distributors and reps reps and distributors manufacturers, of chain supply ed ways with shops in Conyers, Georgia Georgia Conyers, in shops with ways ed 10 for expiring not that’s product all

www.taichung-bike-week.com,” organizers said. Taichung Bike Week officially officially Week Bike Taichung said. organizers www.taichung-bike-week.com,” er, with more than 28 percent earning earning percent 28 than more with er, Thebicycleindustry.com aims to bring the complete complete the bring to aims Thebicycleindustry.com McAhren and Bennett have since part- since have Bennett and McAhren have you year, previous the off write can

but due to the high interest it will be necessary to register at TBW’s Web site, site, Web TBW’s at register to necessary be will it interest high the to due but

- high or $50,000 of income household there just isn’t a one-stop shop where we can do it all.” it do can we where shop one-stop a isn’t just there had eight individually owned stores. stores. owned individually eight had You open. to time good really a “It’s or 15.5% or

December. “This amazing networking event is free to members of the industry, industry, the of members to free is event networking amazing “This December.

The majority of riders reported a a reported riders of majority The Lucas. “The daft thing is it’s stuff we do every day, but but day, every do we stuff it’s is thing daft “The Lucas. At the time, the franchise system system franchise the time, the At December. by operational be to plans

5.9 million, million, 5.9

3.4 million, or 9.1% or million, 3.4 3.4 million, or 9.1% or million, 3.4

350 guests filled the hotel’s main ballroom and organizers expect a repeat this this repeat a expect organizers and ballroom main hotel’s the filled guests 350

riders, or 34.7 percent of the total pie. total the of percent 34.7 or riders, a lot of other people have the same frustration,” said said frustration,” same the have people other of lot a K Ventures in a messy legal tangle. legal messy a in Ventures K and business retail the learn to Conte’s

tic: tic: n tla A Mid- or 6.6% or or 6.6% or

Week’s “Industry Dinner” Dec. 6 at the Evergreen Hotel. Last year more than than more year Last Hotel. Evergreen the at 6 Dec. Dinner” “Industry Week’s : : n tai n Mou : : n tai n Mou Kids ages 7-17 represented 13.1 million million 13.1 represented 7-17 ages Kids this into this Web site. This is very personal, but I know know I but personal, very is This site. Web this into this parted ways with former franchisor P & & P franchisor former with ways parted at working winter the spent George

2.5 million, million, 2.5 TAICHUNG, Taiwan—Taichung’s mayor, Jason Hu, will host Taichung Bike Bike Taichung host will Hu, Jason mayor, Taiwan—Taichung’s TAICHUNG, 2.5 million, million, 2.5 male—down from 46.8 percent in 2008. 2008. in percent 46.8 from male—down “I made a list of what I do and tried to cram all of of all cram to tried and do I what of list a made “I owners Charles Jr. and David Conte Conte David and Jr. Charles owners location. Vienna the operate to torney,

Mayor Hu to Host Taichung Industry Dinner Industry Taichung Host to Hu Mayor

- fe were percent 44.2 riders, all Of bicycle community to communicate more efficiently. more communicate to community bicycle Conte’s franchise last September after after September last franchise Conte’s at- estate real and triathlete a George, tral: tral: n e C tral: tral: n e C

club. information and allow people within the international international the within people allow and information McAhren and Bennett acquired the the acquired Bennett and McAhren Jason with agreement franchise 10-year est North North est W est North North est W

or 19.4% or or 19.4% or

swimming, bowling and workout at a a at workout and bowling swimming, She felt there had to be a way to compile that contact contact that compile to way a be to had there felt She other operations. other a signed have Bennett and McAhren

in order to better control operations in key international markets. international key in operations control better to order in

7.4 million, million, 7.4

7.4 million, million, 7.4 or 3.4% or ing, exercise with equipment, camping, camping, equipment, with exercise ing, Lucas. need additional training on POS and and POS on training additional need Vienna. in shop new the and stores or 18.3% or

past year, Dorel Industries has taken over distribution in the UK and Australia Australia and UK the in distribution over taken has Industries Dorel year, past

Pacific:

1.3 million, million, 1.3 - walk exercise behind in coming 2009, this guy?’ It’s that ridiculous to a certain extent,” said said extent,” certain a to ridiculous that It’s guy?’ this had the Conte’s name for decades or or decades for name Conte’s the had Maryland, Bethesda, and Virginia ton, Pacific:

6.9 million, million, 6.9

port its growing network of dealers and distributors located in the region. In the the In region. the in located distributors and dealers of network growing its port

NSGA’s list of top sports to seventh in in seventh to sports top of list NSGA’s which country, and asking, ‘What do you think about about think you do ‘What asking, and country, which be gradual as some franchisees have have franchisees some as gradual be Arling- own Bennett’s and McAhren

d: d: n gla En New

tral: tral: n e C

- sup better to service customer and distribution marketing, sales, all coordinate

Bicycle riding fell from sixth on the the on sixth from fell riding Bicycle ing each other about which distributor they’ve got in in got they’ve distributor which about other each ing McAhren said the transition would would transition the said McAhren are line in First 2012. August by name

Participation by Region by Participation ast North North ast E land, China, Singapore, Thailand, Indonesia and India. CSG Asia Pacific will will Pacific Asia CSG India. and Indonesia Thailand, Singapore, China, land,

drop of 1.5 percent. percent. 1.5 of drop - phon constantly is people of network huge “This their 5 percent annual franchise fee. franchise annual percent 5 their Freshbikes the to Maryland and ginia

- Zea New Korea, Australia, Japan, including Pacific, Asia across agenda growth

compared with 38.7 million in 2008, a a 2008, in million 38.7 with compared looking for foreign distributors. foreign for looking tem and PR and marketing support for for support marketing and PR and tem - Vir in stores Conte’s the of six sition

Asia Pacific, while streamlining operations. He is in charge of driving CSG’s CSG’s driving of charge in is He operations. streamlining while Pacific, Asia

The City of San Francisco’s bicycle bicycle Francisco’s San of City The clists,” she said. she clists,” - Ameri as transportation of means a six days last year, year, last days six found herself speaking frequently to industry friends friends industry to frequently speaking herself found n, nw aaae aaeet sys- management database new a ing, tran- to plan Bennett and McAhren

expanded role, Stein will work with CSG’s multiple brand business throughout throughout business brand multiple CSG’s with work will Stein role, expanded

growth. growth. - cy of number the in year every creases been the transition into using bikes as as bikes using into transition the been cans rode at least least at rode cans contacts in international markets tiresome. And she she And tiresome. markets international in contacts ventory management, buying and sell- and buying management, ventory fall. last Bennett

gram designed to keep customers engaged with the Cannondale brand. In a new new a In brand. Cannondale the with engaged customers keep to designed gram

past three years, helping to fuel that that fuel to helping years, three past - in double-digit major seen have cities One bright spot in the industry has has industry the in spot bright One - Ameri million Edge Composites, Lucas often found tracking down down tracking found often Lucas Composites, Edge Owners will also get training on in- on training get also will Owners Jody and McAhren Scott franchisees

- pro online an Group, Owners Cannondale as such programs through loyalty

than 200 miles of bike lanes over the the over lanes bike of miles 200 than New York City, Philadelphia, those those Philadelphia, City, York New like to see more,” he said. he more,” see to like Association 38.1 38.1 Association As vice president of global sales and marketing at at marketing and sales global of president vice As and triathlon bikes. bikes. triathlon and former by purchased was which chise,

turning around the business to growth after decline and also building consumer consumer building also and decline after growth to business the around turning

New York City has installed more more installed has City York New en ue up i participation— in bumps huge been er of them are actively involved. You’d You’d involved. actively are them of er Sporting Goods Goods Sporting industry.com was born out of personal frustration. personal of out born was industry.com and a greater focus on high-end road road high-end on focus greater a and fran- Fitness and Bicycle Conte’s former

CSG’s Japanese subsidiary to become a stronger and more successful company, company, successful more and stronger a become to subsidiary Japanese CSG’s

1992. 1992. “If you look at big cities there have have there cities big at look you “If - few concept; the support retailers most to the National National the to - thebicycle that admits Lucas OR—Beverly BEND, a name change, a redesigned Web site site Web redesigned a change, name a the for name new the is Freshbikes

Tokyo, was hired last year as vice president of the division. Since then, he has led led has he then, Since division. the of president vice as year last hired was Tokyo,

began tracking annual cycling levels in in levels cycling annual tracking began nications coordinator for Bikes Belong. Bikes for coordinator nications to measure—what’s the impact? I think think I impact? the measure—what’s to A c c o r d i n g g n i d r o c c A a new branding strategy that includes includes that strategy branding new a Virginia.

BY MEGAN TOMPKINS MEGAN BY

Sports Group Asia Pacific. Mario Stein, a former P&G marketing director in in director marketing P&G former a Stein, Mario Pacific. Asia Group Sports

ever since Transportation Alternatives Alternatives Transportation since ever - commu and analyst research Scheider, It’s also one of those things really hard hard really things those of one also It’s future ridership. future all existing Conte’s shops will take on on take will shops Conte’s existing all Vienna, in year the of end the by open

international distribution for its IBD brands with the solidification of Cycling Cycling of solidification the with brands IBD its for distribution international

Global Community Global 2008, and represents the biggest jump jump biggest the represents and 2008, ed in cycling infrastructure, said Kate Kate said infrastructure, cycling in ed use of time and resources or you don’t. don’t. you or resources and time of use centers, paint a promising picture for for picture promising a paint centers, Over the next two-and-a-half years, years, two-and-a-half next the Over to set is franchise Freshbikes the under

OSAKA, Japan—Dorel Industries has taken another step toward controlling controlling toward step another taken has Industries Japan—Dorel OSAKA,

boroughs. That’s up 28 percent over over percent 28 up That’s boroughs. - invest have that areas urban in cessful “You either see advocacy as a good good a as advocacy see either “You McAhren said. McAhren shop new first VA—The VIENNA, urban country’s the in particularly ress,

Dorel Industries Launches CSG Asia Pacific Asia CSG Launches Industries Dorel

ride bikes every day in the city’s five five city’s the in day every bikes ride - suc particularly been has This lifestyle. be spotty. be - prog of pockets but year, last U.S. the in

Global Briefs Global Under Freshbikes Franchise Freshbikes Under

Aims to Connect to Aims

study found that 236,000 New Yorkers Yorkers New 236,000 that found study on foreign oil and prioritize a healthier healthier a prioritize and oil foreign on also where buy-in among owners can can owners among buy-in where also Cycling participation dipped slightly slightly dipped participation Cycling

A recent Transportation Alternatives Alternatives Transportation recent A cans look to lessen their dependence dependence their lessen to look cans pact can be made, Clements said, but but said, Clements made, be can pact BY NICOLE FORMOSA NICOLE BY

Networking Site Networking New Virginia Shop to Open Open to Shop Virginia New Cities Grow Ridership While Overall Participation Slips a Tick a Slips Participation Overall While Ridership Grow Cities

Year in Review in Year

BIK 106538 - 2 - 106538 BIK 2 - 106538 BIK 2 2 2 2

19 www.bicycleretailer.com 13 www.bicycleretailer.com iyl Rtie & nuty es Jl 1 2010 1, July • News Industry & Retailer Bicycle iyl Rtie & nuty es Jl 1 2010 1, July • News Industry & Retailer Bicycle www.bicycleretailer.com 30 www.bicycleretailer.com 36 iyl Rtie & nuty es Jl 1 2010 1, July • News Industry & Retailer Bicycle iyl Rtie & nuty es Jl 1 2010 1, July • News Industry & Retailer Bicycle

tion market down, small start-up bike bike start-up small down, market tion Source: U.S. Department of Commerce of Department U.S. Source:

DuPont said. It will also eliminate spinning out on fast downhills. downhills. fast on out spinning eliminate also will It said. DuPont utd xettos f h transporta- the of expectations justed

sories for high performance and commuting cyclists. cyclists. commuting and performance high for sories

a much lower gear than any derailleur system, and they can climb steeper hills,” hills,” steeper climb can they and system, derailleur any than gear lower much a 8.2% Other 700c, At the same time large suppliers ad- suppliers large time same the At

5.0% 4.8% 6.1% 7.0%

Effetto Mariposa products; Connex chains; Cole Wheels, and a variety of acces- of variety a and Wheels, Cole chains; Connex products; Mariposa Effetto

sible. “The big advantage of this wide range is that a rider at a stop will start out in in out start will stop a at rider a that is range wide this of advantage big “The sible.

cent to keep up with suppliers’ forecasts. suppliers’ with up keep to cent

25.8% 26-inch distributor for Cantitoe Road’s BioFloat seatpost; AXA-Basta lights and locks; locks; and lights AXA-Basta seatpost; BioFloat Road’s Cantitoe for distributor 26.2% 28.1% 27.2% 28.7%

- pos are ranges greater though ratio, 6 to 1 a offer

edd o nrae oe hn 0 per- 10 than more increase to needed

Orbea and BH USA/Pivot Cycles. Cantitoe Road is a Colorado-based exclusive exclusive Colorado-based a is Road Cantitoe Cycles. USA/Pivot BH and Orbea

5.5% 24-inch 9.3% 9.5% 7.0% 6.4%

transmissions on the market. DuPont will initially initially will DuPont market. the on transmissions cent last year to 500,525 units. But sales sales But units. 500,525 to year last cent

held stints in sales and product development at Trek, Avid, Schwinn, Velimpex, Velimpex, Schwinn, Avid, Trek, at development product and sales in stints held

ity Drive offers much greater gear range than other other than range gear greater much offers Drive ity

28.9% 20-inch yrd t daes ny lwd per- 3 slowed only dealers to hybrids

28.7% 27.1% 29.8% 30.3% of sales. Bradley will develop Cantitoe Road’s sales and dealer network. He has has He network. dealer and sales Road’s Cantitoe develop will Bradley sales. of

- Infin investment. additional find help to summer

ever. Th e BPSA reports shipments of of shipments reports BPSA e Th ever.

31.6% sub-20-inch Kid’s FORT COLLINS, CO—Cantitoe Road has hired John Bradley as its director director its as Bradley John hired has Road CO—Cantitoe COLLINS, FORT 30.8% 30.5% 30.0% 27.6%

rideable prototypes under product managers this this managers product under prototypes rideable rnprain ie dd el how- sell, did bikes Transportation

Cantitoe Road Names Bradley Sales Director Sales Bradley Names Road Cantitoe

2005 2006 2007 2008 2009 Categories

on his patent-pending design, but he hoped to have have to hoped he but design, patent-pending his on customers never materialized. materialized. never customers

bottom bracket opening. DuPont didn’t offer details details offer didn’t DuPont opening. bracket bottom

bit of head scratching as to why these these why to as scratching head of bit Import Unit Market Share by Category by Share Market Unit Import

mission currently fits in a 100-millimeter diameter diameter 100-millimeter a in fits currently mission

levels of unsold bikes last year, and a fair fair a and year, last bikes unsold of levels designer of the equipment division. division. equipment the of designer

- trans The said. he transmissions,” other than drive

mism left many suppliers with historic historic with suppliers many left mism held a number of positions in product development and design including senior senior including design and development product in positions of number a held

sion relies on direct-drive forces. It’s closer to chain chain to closer It’s forces. direct-drive on relies sion

ers looking to park their cars. Th is opti- is Th cars. their park to looking ers in the outdoor market, having spent eight years with The North Face where he he where Face North The with years eight spent having market, outdoor the in

$1,134.77 $1,061.27 $1,126.99 $1,370.38 $1,093.36 Totals

- transmis my because efficiency percent 94 expect “We drive. chain traditional

in 2009 as suppliers waited for custom- for waited suppliers as 2009 in tailer and pioneer of the messenger bag. Bass brings extensive retail experience experience retail extensive brings Bass bag. messenger the of pioneer and tailer

$235.72 $212.08 $256.06 $334.60 $334.40 Other 700c, drive and other non-chain and derailleur systems are not as efficient as a bike’s bike’s a as efficient as not are systems derailleur and non-chain other and drive

second half of 2008 and remained strong strong remained and 2008 of half second - re Francisco-based San the Timbuk2, at position created newly a director, sign

a finished weight below Shimano XTR or SRAM XX. Planetary gears, viscous viscous gears, Planetary XX. SRAM or XTR Shimano below weight finished a

Imports of 700c bikes took off in the the in off took bikes 700c of Imports $447.18 $426.69 $459.34 $564.65 $403.50 26-inch - de and product of role the assumed has Bass CA—Greg FRANCISCO, SAN

lighter, which is what I’m shooting for,” DuPont said. The company is targeting targeting is company The said. DuPont for,” shooting I’m what is which lighter,

users were the next big thing. thing. big next the were users

Outdoor Veteran Joins Iconic Bag Company Bag Iconic Joins Veteran Outdoor

$89.10 $93.26 $75.63 $73.60 $50.20 24-inch

debated offering a hub but decided that frame mounting the transmission was was transmission the mounting frame that decided but hub a offering debated bet that bikes targeting transportation transportation targeting bikes that bet

$210.03 $190.24 $194.46 $238.66 $168.33 20-inch type of his Infinity Drive transmission, a continuously variable (CVT) design. “I “I design. (CVT) variable continuously a transmission, Drive Infinity his of type at $4 a gallon in summer 2008, suppliers suppliers 2008, summer in gallon a $4 at

- proto rideable first the finishing feverishly is cables, synthetic brake and shift to Massachusetts in 2006. 2006. in Massachusetts to $152.75 $134.67 $141.49 $153.42 $136.93 sub-20-inch Kid’s Ever since gas crested crested gas since Ever Utility/City Bikes. Utility/City

BOISE, ID—Tony DuPont, whose company Io DuPont produces Power Cordz Cordz Power produces DuPont Io company whose DuPont, ID—Tony BOISE, in the retail industry while in high school working for Paragon Sports. He moved moved He Sports. Paragon for working school high in while industry retail the in

2005 2006 2007 2008 2009 Categories

DuPont Devises Light, Efficient Transmission Efficient Light, Devises DuPont the national sales manager for Pedro’s. A Brooklyn, New York native, Low started started Low native, York New Brooklyn, A Pedro’s. for manager sales national the to dealers fell by 9 percent last year. last percent 9 by fell dealers to

U.S. Bicycle Import Value by Category (in millions) (in Category by Value Import Bicycle U.S. son’s network of wholesale distributors. Prior to working for Todson, Low was was Low Todson, for working to Prior distributors. wholesale of network son’s ciation reported its members’ shipments shipments members’ its reported ciation

manager. He’s responsible for sales to national sporting goods chains and Tod and chains goods sporting national to sales for responsible He’s manager. - h Bcce rdc Sples Asso- Suppliers Product Bicycle e Th

to retrofit most bikes to run about $500. about run to bikes most retrofit to

NORTH ATTLEBORO, MA—Bert Low recently joined Todson as its sales sales its as Todson joined recently Low MA—Bert ATTLEBORO, NORTH in 2008. 2008. in

work than we want to do,” he said. The company expects the seatpost and labor labor and seatpost the expects company The said. he do,” to want we than work

Todson Appoints Bert Low Sales Manager Manager Sales Low Bert Appoints Todson mated market size of 18.46 million units units million 18.46 of size market mated

19,615,408 19,615,408 18,062,321 18,109,053 18,451,584 14,837,653 Totals

what is necessary to drill a hole in an alloy bike and strengthen it again is more more is again it strengthen and bike alloy an in hole a drill to necessary is what

h ts on 0 ecn fo a esti- an from percent 20 down at’s Th

981,636 858,767 1,099,461 1,795,972 1,221,288 Other 700c, for carbon bikes only. “We know how to handle small holes in carbon. To do do To carbon. in holes small handle to how know “We only. bikes carbon for

market in 2009 was 14.8 million units. units. million 14.8 was 2009 in market

be drilled near front and rear derailleurs and levers, Calfee is offering the service service the offering is Calfee levers, and derailleurs rear and front near drilled be Minnesota, Iowa and Illinois in addition to southern states and Florida. and states southern to addition in Illinois and Iowa Minnesota, 5,145,094 5,080,160 4,918,550 5,294,668 3,829,805 26-inch

ing bicycle exports suggests the total total the suggests exports bicycle ing

leurs,” Calfee said. Because running Di2 wires internally requires small holes to to holes small requires internally wires Di2 running Because said. Calfee leurs,” to service dealers in the Great Plains from North and South Dakota east through through east Dakota South and North from Plains Great the in dealers service to

oetc rdcin te subtract- then production, domestic 1,822,620 1,714,106 1,259,439 1,175,257 821,497 24-inch

mal junction box in the bottom bracket area and then on to the levers and derail and levers the to on then and area bracket bottom the in box junction mal - tion with IBDs. Marin has also added Alexis Colin to its inside sales department department sales inside its to Colin Alexis added also has Marin IBDs. with tion

Adding total imports with estimated estimated with imports total Adding

5,629,122 4,895,612 5,404,990 5,590,241 4,282,929 20-inch

the wires run out the bottom of the seatpost, which go down to Shimano’s nor Shimano’s to down go which seatpost, the of bottom the out run wires the - - acquisi business new in specializing manager, accounts inside as years four for

ment of Commerce data. Commerce of ment

with Shimano’s electric group pushed the company to come up with the idea. “All “All idea. the with up come to company the pushed group electric Shimano’s with 6,036,936 5,513,676 5,426,613 5,095,446 4,682,134 sub-20-inch Kid’s chose to pursue opportunities outside the industry. Tieman has worked at Marin Marin at worked has Tieman industry. the outside opportunities pursue to chose

150,645 last year, based on U.S. Depart- U.S. on based year, last 150,645

president of Calfee Designs. Calfee bike owners who want to update their bikes bikes their update to want who owners bike Calfee Designs. Calfee of president manager, replacing Steve Glazer. Glazer, who had been with Marin for 10 years, years, 10 for Marin with been had who Glazer, Glazer. Steve replacing manager,

2005 2006 2007 2008 2009 Categories foreign manufactured bikes totaled totaled bikes manufactured foreign

shortly of the brands and bike models we will work with,” said Craig Calfee, Calfee, Craig said with,” work will we models bike and brands the of shortly NOVATO, CA—Marin Bikes has promoted Aaron Tieman to national sales sales national to Tieman Aaron promoted has Bikes CA—Marin NOVATO,

Total bike exports of domestic and and domestic of exports bike Total

U.S Bicycle Import Units by Category by Units Import Bicycle U.S Di2 wiring harness to update non-Di2 spec’d bikes. “We hope to post a database database a post to hope “We bikes. spec’d non-Di2 update to harness wiring Di2 Aaron Tieman Replaces Marin Bikes’ Glazer Bikes’ Marin Replaces Tieman Aaron

duction in the past 100 years. 100 past the in duction

a proprietary carbon seatpost with integrated battery and Shimano’s internal internal Shimano’s and battery integrated with seatpost carbon proprietary a

and probably the lowest domestic pro- domestic lowest the probably and

LA SELVA BEACH, CA—Calfee Designs offers a Di2 retrofit service using using service retrofit Di2 a offers Designs CA—Calfee BEACH, SELVA LA

the lowest fi gure over the last 10 years years 10 last the over gure fi lowest the

tions as a 19-year-old intern and worked at the company on and off for 21 years. years. 21 for off and on company the at worked and intern 19-year-old a as tions

Calfee Retrofits Carbon Bikes with Di2 Group Di2 with Bikes Carbon Retrofits Calfee

$240.13 $251.99 $232.90 $274.09 $284.36 Other 700c,

facturers to an estimated 89,500 bikes, bikes, 89,500 estimated an to facturers

spent several years as brand manager at Trek. Roe started at Hi-Torque Publica Hi-Torque at started Roe Trek. at manager brand as years several spent -

total domestic production of all manu- all of production domestic total $86.91 $83.99 $93.39 $106.65 $105.36 26-inch

at Rodale for several years. He also also He years. several for Rodale at Bike Mountain led and 90s, early and 80s

sourcing its bikes in Asia. Th is brought brought is Th Asia. in bikes its sourcing

further weight reduction. Ashima’s PCB brakes retail for $159 a wheel. wheel. a $159 for retail brakes PCB Ashima’s reduction. weight further $48.88 $48.88 $54.41 $60.06 $62.63 $61.11 24-inch

Mountain Bike Action Bike Mountain of editor was He . Action Motocross and Action in the late late the in

ufacturing plant last year in favor of of favor in year last plant ufacturing

While the caliper and brake lever are alloy, the master cylinder is composite for for composite is cylinder master the alloy, are lever brake and caliper the While

zine’s new editor. Espinoza most recently worked as features editor for for editor features as worked recently most Espinoza editor. new zine’s Road Bike Bike Road $37.31 $38.86 $35.98 $42.69 $39.30 20-inch

on t Bdod Pnslai, man- Pennsylvania, Bedford, its down

diaphragms on brake pads absorb vibration and noise better than metal pistons. pistons. metal than better noise and vibration absorb pads brake on diaphragms

ago. Veteran cycling journalist Zapata Espinoza has been named as the maga the as named been has Espinoza Zapata journalist cycling Veteran ago. -

mestic manufacturer, began winding winding began manufacturer, mestic $25.30 $24.43 $26.07 $30.11 $29.25 sub-20-inch Kid’s

stick, pad modulation and retraction is improved. Dupuis also said that rubber rubber that said also Dupuis improved. is retraction and modulation pad stick, after heading up the consumer publication since its rebirth more than three years years three than more rebirth its since publication consumer the up heading after

annae te at ag sae do- scale large last the Cannondale,

2005 2006 2007 2008 2009 Categories allows Ashima to lower the profile of the caliper. And since there is no piston to to piston no is there since And caliper. the of profile the lower to Ashima allows

Road Bike Action Bike Road of editor as down stepped has Roe CA—Brad VALENCIA,

Commerce.

hardware weighs 300 grams a wheel,” he added. Getting rid of the piston also also piston the of rid Getting added. he wheel,” a grams 300 weighs hardware

Zap Takes Reins as Road Bike Action Editor Action Bike Road as Reins Takes Zap

U.S. Bicycle Import Landed Average Unit Value Unit Average Landed Import Bicycle U.S.

million, according to the Department of of Department the to according million, phragm reduces the weight quite a bit. The entire brake including rotor and all all and rotor including brake entire The bit. a quite weight the reduces phragm

than the 10-year import average of 19.79 19.79 of average import 10-year the than

- dia synthetic a with piston metal the “Replacing

ported in 10 years, and 25 percent lower lower percent 25 and years, 10 in ported

and held senior marketing roles at L.L. Bean. L.L. at roles marketing senior held and product manager. J&B distributes Ashima’s brakes. brakes. Ashima’s distributes J&B manager. product

nt, h lws nme o bks im- bikes of number lowest the units, expected,” Cridler said. Cridler expected,” ingly these suppliers are developing a a developing are suppliers these ingly sold before they land. they before sold

ing and e-commerce efforts of The Vermont Country Store and Ross-Simons, Ross-Simons, and Store Country Vermont The of efforts e-commerce and ing works together,” said Chris Dupuis, J&B Importers Importers J&B Dupuis, Chris said together,” works

Imports dropped to 14.84 million million 14.84 to dropped Imports new store, our sales are stronger than than stronger are sales our store, new ae vlm i sal bt interest- but small, is volume Sales their simple steel city bikes are mostly mostly are bikes city steel simple their

- market the led also Marshall sites. Web retail major of number a for responsible During heavy brake input the entire diaphragm diaphragm entire the input brake heavy During

Steve Meineke, Raleigh USA’s president. USA’s Raleigh Meineke, Steve get around on. Even though we are a a are we though Even on. around get are homegrown. homegrown. are growing. McDermott said containers of of containers said McDermott growing.

marketing. Most recently she was president of Pace E-Commerce, where she was was she where E-Commerce, Pace of president was she recently Most marketing. during light lever action giving great modulation. modulation. great giving action lever light during

eryone got off to a very slow start,” said said start,” slow very a to off got eryone people are looking for simple bikes to to bikes simple for looking are people are European, but a surprising number number surprising a but European, are at Interbike and now it’s up to 40 and and 40 to up it’s now and Interbike at

sible for steering that brand vision and overseeing all aspects of the company’s company’s the of aspects all overseeing and vision brand that steering for sible so that the inner diaphragm presses on the pads pads the on presses diaphragm inner the that so

h wahr o a wl it Jn ev- June into well bad so weather the bit behind the other Portland, but many many but Portland, other the behind bit the Vegas show, some of these brands brands these of some show, Vegas the Th e company signed up eight stores stores eight up signed company e Th

- respon is Marshall riders. casual to cyclists dedicated from everyone reach to do the work of the piston. “The diaphragm is made made is diaphragm “The piston. the of work the do

matter what you sold last year. And with with And year. last sold you what matter “Our town infrastructure is quite a a quite is infrastructure town “Our corners at Interbike, or not exhibiting at at exhibiting not or Interbike, at corners Bikes with Chad Kushner. Kushner. Chad with Bikes

created a new brand, reflected in its retail, Web and catalog channels, designed designed channels, catalog and Web retail, its in reflected brand, new a created it presses on the pads, so Ashima just made the seal seal the made just Ashima so pads, the on presses it

“It was a challenging year for retail no no retail for year challenging a was “It tion bike retailer. retailer. bike tion ing, to name a few. Usually tucked into into tucked Usually few. a name to ing, McDermott, who co-founded Linus Linus co-founded who McDermott,

its retail store footprint to more than 90 stores nationwide. Performance also has has also Performance nationwide. stores 90 than more to footprint store retail its piston brakes roll out and retract with the piston as as piston the with retract and out roll brakes piston

closed. pede in Portland, Maine, a transporta- a Maine, Portland, in pede ci, Batavus, Brompton and Swrve cloth- Swrve and Brompton Batavus, ci, encouraged we launched,” said Adam Adam said launched,” we encouraged

its chief marketing officer. She joins at a time when the company is expanding expanding is company the when time a at joins She officer. marketing chief its phragm to deliver the performance of a 21-millimeter piston. Seals on traditional traditional on Seals piston. 21-millimeter a of performance the deliver to phragm

than 100,000 unwanted units as 2009 2009 as units unwanted 100,000 than Gillian Kitchings own Portland Veloci- Portland own Kitchings Gillian have thrived during the recession—Abi- the during thrived have went to Interbike last year and were so so were and year last Interbike to went

CHAPEL HILL, NC—Performance Bicycle recently named Cindy Marshall Marshall Cindy named recently Bicycle NC—Performance HILL, CHAPEL - dia patented a uses brake hydraulic PCB pistonless FL—Ashima’s MIAMI,

market reality left suppliers with more more with suppliers left reality market wanted,” said Josh Cridler, who with with who Cridler, Josh said wanted,” Other transportation-focused brands brands transportation-focused Other oping the bikes for the last fi ve years but but years ve fi last the for bikes the oping

Marshall Heads Marketing at Performance at Marketing Heads Marshall Ashima Turns Seal Into Bicycle Brake Piston Piston Brake Bicycle Into Seal Turns Ashima

but that wasn’t the sort of business I I business of sort the wasn’t that but his designs. his “We’ve been devel- been “We’ve

On the Move the On Tech Briefs Tech

“I worked in traditional bike shops, shops, bike traditional in worked “I aft er spending the last few years tuning tuning years few last the spending er aft ing new ventures. new ing Continued from page one page from Continued

Market Slides.. Market or mainstream branded bike in sight. in bike branded mainstream or parel company targeting urban cyclists cyclists urban targeting company parel were bullish, launch- bullish, were

tation bikes, with nary a road, mountain mountain road, a nary with bikes, tation ie, nw ie acsois n ap- and accessories bike, new a Bikes, on the same market market same the on

dealer channel specializing in transpor- in specializing channel dealer Rob Forbes recently launched Public Public launched recently Forbes Rob companies focusing focusing companies Year in Review in Year

success in seattle Guest Editorial

Folding Bikes. When gas prices spiked, most one-person shops to average one Topolino Enters sales of all bikes went into a tailspin— frame a week,” Walker said. Bike Dual-Sport Business Model Pans Out for Alpine Hut To Make a Visible Impact, Get to Know Your Our Own Backyard except folding bikes. Demand soared, Getting reliable sales numbers in the 26-inch BY MARC SANI as a variety of accessories and ap- Overall, Fisher estimates that his BY STEVE MEINEKE grams and met with office staff. been a thrilling challenge. But it’s taken munity of consumers. We’ve also em- Highly Competitive quickly depleting inventories and fi lling mainstream bike market is diffi cult, but Market ull up to the Alpine Hut on a bike parel. The store emphasizes women’s revenue-split between the two seg- his community is being trans- We finished at Recycled Cycles in the several years for us to build the momen- braced Seattle’s robust racing scene and suppliers with optimism. Th ose heady trying to fi gure out what 200 to 300 cus- Comfort and two of the friendliest shop dogs in the road and hybrid bikes, he said, noting ments is 60 percent ski and 40 per- formed by cycling and Seattle is a University of Washington area with a tum in our business so we can commit help sponsor teams such as Recycled sales did not continue in 2009. Th e year tom bike builders sold last year is harder. 10.3% Share industry are standing at the front door—tails that the women’s market has rapidly cent bike. microcosm of what’s happening tour from Steve Donahue and a guest Cycles and have become ac- Wheelchair Market ended slightly down, but suppliers esti- Walker, Security Bicycle Accessories’ Hybrid 20.4% Pwagging. And the store’s owner, Kyle Fisher, is just as expanded. It was Fisher’s dad, Ron, who got Tin almost every city nationwide. On May visit from SRAM’s Stan Day. tive in local road and cyclo- BY JASON NORMAN mate 35,000 folding bikes sold through John Cobb and others servicing small friendly. He also sells kids bikes. As for re- into the business in the mid-1970s. 18, we at Raleigh USA had the opportu- These people helped us understand cross events. BETHEL, CT—Bicycle wheel manufacturer Topo- specialty retailers last year. framebuilders estimate about 150 build- “We’re a neighborhood shop,” Fisher said, as Malu, pairs, Fisher and his staff do it all— A former ski instructor, who often nity to ride as a “commuter team” with the depth of work and commitment nec- Development of excep- lino Technology is introducing wheelchair wheels for Folders fi rst catered to the needs of ers are making close to 50 frames a year, his 13-year-old mixed mutt nuzzles his hand. Jack, a from complete builds to minor tunes. taught in South America when North local cyclists. essary to transform our businesses and tional and accessible moun- the first time this September, giving Spinergy, which RV, airplane and boat owners, and those with about twice that number making 26-inch Front downsized version of Malu, dashes from one visitor to For skiers, Alpine Hut is more hard- America was enjoying summer, he It was a great way to find out how dif- our communities. Leaders like these—as tain biking is also a priority. has offered wheelchair wheels for more than 10 years, markets still exist, but growth is coming fewer than 20. Th is puts small builder Road 14.9% Suspension the next, offering each a personal greeting. core. Skis are from K2—a popular decided to stay home and went to ficult it is for cyclists and companies like well as an army of advocates in the “Peo- We worked closely with the a little friendly competition. from multimodal commuters. production around 12,000 units. 24.3% 26-inch For skiers and cyclists, Alpine Hut has been a long- brand in K2’s original hometown— work at what was then called Mag- ours to make an impact nationally with- ple for Bikes” movement—are key to the Evergreen Mountain Bike Al- Topolino founder and president Raphael Schlanger, “For people having to drive to catch a Th e economy had an impact on small Rigid time Seattle favorite. And if you put any credence in plus Volkl and Head. While the store nolia Ski and Bike. out first getting a good look at what’s continued transformation of cycling in liance to support, create and formerly with Spinergy, has been working on the design train or bus into work, they take a bike custom frame builders last year, but not reviews posted on Yelp.com, Fisher has succeeded at has always focused on alpine skiers, He quickly discovered he had a happening in our backyard. our communities. protect sustainable mountain and testing of the wheels for several years, but the tim- along for the last leg between the station nearly the 9 percent drop experienced 0.2% making it the neighborhood go-to store. it had over the years become a go-to knack for retail. He was so good, that Among the group were Seattle’s A highlight was spending time with biking in Washington. We are ing hadn’t been right to launch until now, said Topolino and offi ce. And you cannot get a tradi- by BPSA members. Alpine Hut is unique. There are few dual-sport store for telemarkers—a sport Fisher the store’s owner decided to sell him mayor, Mike McGinn, Chuck Ayers, ex- Mayor McGinn. We met him at 7:45 especially excited about the Kids and Alpine Hut’s Kyle Fisher and sales and marketing director Geoffrey Falkner. tional bike into an elevator or most cu- “We certainly felt the impact of the 26-inch stores—ski and cycling—left in most major metro- has mastered. That segment, too, has his 13-year-old mutt, Malu the operation. Fisher soon changed ecutive director of the Cascade Bicycle a.m. at the Freemont Bridge on his daily grand opening of the Duthie Ryan Webb, director of sales and marketing for Spin- bicles, so folders make the most sense,” down economy, but our customers Miscellaneous politan areas. Over the years hundreds of ski specialty changed as telemark skiers began the name to the Alpine Hut and it’s Club, and other club members. Cascade commute. We followed him to City Hall Hill Mountain Bike Park in said Andrew Juskaitis, Giant’s global usually have the money saved and are Cruiser stores have shut their doors as that business has mi- shifting to randonee boots and bindings, Fisher said. been in the family ever since. is the biggest club in America and played where he shared his vision for a Seattle Issaquah where members 19% Raleigh USA’s Steve Meineke (left) rides along- product marketing manager. committed to making a purchase,” said 3.3% grated into sporting goods franchises, mountain towns The store stocks top-brand boots from Black Dia- Kyle and his sister bought the store from their father a major role in getting McGinn elected. Bike Master Plan. We hope the private side Seattle Mayor Mike McGinn on Raleigh’s of our Diamondback team Suppliers are still coming to terms Walker, who also is founder of Don and resorts. mond, Garmont and Technica. Boot fitting is Fisher’s five years ago. Kyle then bought his sister out at the Also joining us were Brian Foley, REI’s sector and advocates from the Cascade “Annual Seattle Commute Day.” played a small part in its de- with marketing folders to car and train Walker Cycles. 26-inch Dual Fisher offers locals a well-rounded choice of goods. specialty, which among skiers is considered a near art beginning of the year. cycling merchandise manager, and Steve Bicycle Club can help him achieve his velopment. commuters rather than people familiar Security’s Cobb also noted that much Suspension On the bicycle side, he stocks Felt, Raleigh and Dia- form. Ski tuning, base grinding, welds and boot fitting As for Fisher, 34, his goal is to keep Alpine Hut a Donahue, founder and co-owner of Re- vision for more routes. resources and increase our involvement We are now engaged in our commu- with cycling. of the custom bike business is young Source: BPSA 3.3% mondback with price points starting at $300, as well are a significant revenue center for the store. friendly, service-driven store. cycled Cycles. We will meet with McGinn soon to in the cycling community here and na- nity in a more meaningful way—a com- “Given what we have learned about bike customers interested in single- We rode on Seattle’s developing sys- learn more about how we can support tionwide. munity that contributes to our national our customers, it’s clear we have not speed or fi xed-gear off erings. and recreational bike riders. As new bat- lem for them,” said Larry Pizzi, presi- tem of bike lanes and on streets where him and to discuss “Best Practices” The bigger task at hand is to get more movement. We are proud of our Pacific been marketing ourselves eff ectively,” “I think this segment of the market is tery technology extends their range and dent of Currie Technologies. REI Anchors Bike Scene in Culture-Rich Seattle Market lanes are needed badly. We stopped transportation studies like those devel- safe places to ride. Besides our involve- Northwest home; it’s one of America’s said Steve Boyd, Dahon’s director of op- getting bigger and shows lots of prom- the bikes become more seamless to use, E-bikes still rankle some who don’t BY MARC SANI Hop on and take it outside where REI has a quarter- company supports various events sponsored by local at City Hall, REI’s flagship downtown oped from a recent trip to Europe led ment with Bikes Belong, Raleigh is now sweet spots. erations. ise even though the general bike market more customers are choosing them for understand what is so hard about ped- ew retail outlets rank as tourist mile (more or less) test track. Want to see if that Gore groups like the Cascade Bicycle Club, one of the largest store, and at Alpine Hut, a bike and ski by Chris Fortune and city officials from involved at all levels in the Seattle com- We welcome you—our friends and Topolino CarbonCore WX2.5 wheelchair wheels was tough last year,” he added. transportation. aling, and this resistance toward e-bikes attractions. Minnesota’s Mall of America comes cycling jacket leaks? Slip into the store’s unique testing in the nation. retailer, to meet with owner Kyle Fisher. Madison, Wisconsin. munity—with our dealers, the Cascade dealers—to come on a ride, enjoy the Small Custom Builders. Any anxiety “Th ere is noticeably more interest in by many bike shops makes further to mind. And then there’s REI’s flagship store in lab. Stand under a simulated torrent of rain and then All this takes place in a 100,000-square-foot building We spent time at the Cascade Club’s of- Rejoining the industry in 2004 and Bicycle Club, Bicycle Alliance of Wash- salmon and our fine wines. You don’t ergy’s wheelchair wheels, said that though few players Don Walker had when he launched the Electric Bikes. Last year two huge play- the category, but not a lot of new IBDs growth in the category diffi cult. Seattle’sF downtown Cascade district. decide. with 80,000 square feet of retail space. And let’s not fail fice where we were briefed on its pro- moving to Seattle to lead Raleigh has ington, local government and our com- want to miss Seattle. are in that market, it’s a category that remains competi- North American Handmade Bicycle ers, Trek and Sanyo, launched new e- are diving in. Retailers having the most However, Best Buy is continuing to For tourists with the slightest interest in outdoor Apparel? It’s a flourishing category in Seattle where to mention the 110-ton, 65-foot high climbing wall that tive. “It’s more competitive than it looks,” Webb said. Show fi ve years ago is long gone. Shows bikes, and America’s largest retailer of success with the bikes are family shops expand the number of stores that off er recreation, this mega‐store, which includes a 7,000‐ commuters abound and the weather makes knickers, can keep 15 climbers on belay. Spinergy, which also makes bicycle wheels, has seen imitating Walker’s concept have grown electronics, Best Buy, started selling e- selling kids and adult bikes up to $3,000. e-bikes, and the growth of transporta- square‐foot cycling center, is a must see. And shells, rain jackets, REI’s history is as unique as its flagship store thanks steady growth in wheelchair wheels over the last 10 so numerous, even he can’t keep up. bikes at 21 locations. Th ey are used to selling to a wide variety tion-oriented bike shops encourages local hotels promote it. For Seattle cyclists, arm and leg warmers to a Cascade mountaineer, Lloyd Anderson, and his years. But more recently the company has seen insur- While frame and bike sales from E-bike suppliers hoped those launch- of people and e-bikes don’t pose a prob- suppliers. it’s a store that does everything. Need a re- mandatory. Where wife, Mary. Anderson needed an ice axe and finding a ance company reimbursements decline as funds tight- small builders has grown, Walker es would grow the market for everyone. pair? Call in. Make an appointment. Drop else can you find quality axe in 1938 was a challenge. Anderson found en up with the recession. doesn’t think the number of full-time However, even those high-profi le intros off your bike. nine different styles one in an Austrian catalog and had it shipped to Seattle. “We’ll see what happens,” Webb said about Topolino builders has grown much beyond 50 to could not off set the down economy, and Import Dollar Market Looking for a new ride? Cruisers, hybrids, of arm and leg warm- He paid $3.50 for it. He soon began ordering equip- entering the wheelchair category. “Some people want 100 builders who make about 50 or so e-bike sales were slightly up or down de- Share by Category mountain, road and kid’s bikes—upwards ers from Pearl, Smart ment for others and with 21 fellow climbers launched to come in and grab a piece of it. It takes a while to get frames a year. pending on who you talk to. of 600 of them—are on the floor or hanging Wool and Novara? a co‐op, REI. a return.” “I think John Slawta at Landshark is Estimates for total units sold last year 2009 2008 2007 2006 from the ceiling. Brands? The Seattle store Rainwear from The group, led by Anderson, opened its first store Falkner said Topolino’s CarbonCore WX2.5 wheel- probably the top producing one-man in the specialty retail channel, including has them: Electra, Marin, Scott, Cannondale, Showers Pass, Gore in 1944 in Seattle’s historic Capitol district. Anderson chair wheels are the lightest in the everyday category, shop, and there are probably a few small Best Buy, are 50,000 units. 26-inch 41.2% GT and Dahon. And then there’s REI’s own and others line the didn’t hire an employee until 1953 when the store gen- weighing roughly 2.5 pounds for the set. multi-employee shops doing between Unlike folding bikes, customers for 40.8% 40.2% brand, Novara. store. Neatly ar- erated $72,000 in sales. That first employee was Jim “The biggest difference between ours and Spinergy’s 100 and 200 frames a year, but I expect e-bikes are split between transportation 36.9% Some suppliers in the U.S. would love to ranged. Easy to Whittaker, who in 1963 was the first American to sum- is the weight and ride quality,” Falkner said. sell Novara’s numbers—more than 100,000 spot. And simple mit Mt. Everest. (Anderson died in 2000 at age 98.) It Topolino’s wheelchair wheels will come in standard 30.6% units a year and growing. Brian Foley, REI’s to browse. And wa- was Whittaker who set REI on its controversial quest 150 137,704 700c, Other 24-inch (540) and 25-inch (559) sizes with a suggested U.S. Bike cycling merchandise manager, said Novara terproof panniers for expansion when he built the company’s second 24.8% 22.7% retail price of $1,180 per set. They will be compatible 20.4% has evolved into a solid meat-and-potatoes from Ortlieb—either store in 1973 in Berkeley, California. A faction on REI’s 111,811 with most wheelchairs from major manufacturers. Exports 120 107,388 brand. bright red or flashy board opposed launching a string of REI outlets, but “They are very durable—designed for everyday use,” Currently, the highest price point Novara yellow—are the they lost. by 20-inch REI’s cycling merchandise Falkner said. “They can take some abuse.” 17.9% on the floor is about $1,200, although in commuter’s choice in Today, REI has 110 stores. It counts more than 3.9 103,582 17.4% 17.3% manager Brian Foley Falkner said wheelchair owners will incur the cost Category 90 61,784 15.4% the past some Novara road bikes, Ultegra this oftentimes wet million members, each of whom paid $20 for a lifetime of these wheels initially, but Topolino is looking into equipped, topped out at $1,900 and some full-suspen- Northwest city. membership. Last year REI sales hit $1.46 billion and getting the cost covered by Medicare. Kid’s 12.7% sion mountain bikes hit $2,300. But high-zoot isn’t in REI also offers a host of cycling classes. Foley, an 18- member rebates topped $112 million. 60 12.6% Topolino will work with wheelchair distributors and sub-20-inch 12.5% 11.2% Novara’s DNA, Foley said. year REI veteran, said he began taking cycling classes Foley pointed out that REI has gone through the retailers to sell the new wheels in the aftermarket. The Tires > 25 inches Novara, a 23-year-old brand, has settled into a sol- at REI before he became an employee. “That was some same trends as the industry. In the 1970s it supported 47,063 54,121 41,200 company is also in talks with several OEMs. 30 40,338 35,396 id mid-price bicycle for family oriented consumers. 20 to 25 years ago,” he said. “I think we fill a niche in long-distance touring. Then came the boom in road It recently introduced the CarbonCore WX2.5 at the Tires < 25 inches 8.8% “We’ve really focused on our touring, commuter and this cycling community, and others, that some IBDs bikes. And later mountain bikes. Today, REI reflects 6.7% Abilities Expo in New Jersey. 24-inch 5.4% urban bikes. Those are the categories that we try to can’t fill,” Foley said. the same trends surfacing in local communities as ad- “The initial response was fantastic,” Falkner said. “It 2009 2008 2007 2006 2005 4.6% differentiate ourselves with,” he said. For example, various advocacy groups use REI’s vocacy takes on a greater role. “We absolutely try to was unbelievable.” Source: U.S. Department of Commerce Source: U.S. Department of Commerce So you want to check out a Novara mountain bike? spacious conference rooms to hold meetings. And the reflect that,” he said.

18 Bicycle Retailer & Industry News • July 1, 2010 www.bicycleretailer.com www.bicycleretailer.com Bicycle Retailer & Industry News • July 1, 2010 31 24 Bicycle Retailer & Industry News • July 1, 2010 www.bicycleretailer.com www.bicycleretailer.com Bicycle Retailer & Industry News • July 1, 2010 25

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