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Eminent Cycles eyes more IBDs for hybrid sales model, will attend CABDA West

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The Eminent Haste frame.

SAN MARCOS, Calif. (BRAIN) — Mountain bike brand Eminent Cycles, sold largely consumer direct on the internet, is looking to expand its hybrid sales model and will attend this month's CABDA West show to meet with prospective dealers.

Launched in November 2017, Eminent currently sells through a handful of IBDs — mostly based around the company's home in San Diego County — but hopes to begin selling through more dealers as it expands from one 27.5-inch enduro model, the 160-millimeter-travel Haste, and adds two new 29er trail models this March. Eminent will display one of those new models in its CABDA West booth Jan. 16 and 17 at the Del Mar Thoroughbred Club Racetrack in Del Mar, California.

Relative to more established IBD brands, dealers participating in the Eminent sales program earn a smaller margin on sales but are not required to carry a large amount of inventory in store.

"Our business isn't designed to support the big Trek/Specialized-type 38 percent margin, but if we can get exposure through the better dealers and the service they offer and being the local expert in their community, we're willing to give up some of our margin to make that happen," said Paul Cusick, Eminent's sales and marketing manager.

"We can either ship you a frame and build kit and you assemble it, and there's a certain margin for that. Or if you want it completely assembled, we deliver it retail direct in our box, which is 95 percent assembled — you just have to put the handlebars and front wheel on. We can do that too, but there is a lower margin for that since we're doing a lot of the assembly and other work on our end," added Cusick, a former sales manager for Intense Cycles and Ellsworth Bikes.

The two new bikes set for release this March will allow Eminent to approach dealers in new regions of the country where enduro models may not be popular, Cusick noted.

"Our lineup as it stands today is heavily enduro and bigger travel, so it's somewhat limited where we can have a dealer because that can be tough to sell in places like the Midwest or any place that doesn't have that much elevation. But with the two new models we have coming out that are better suited to all-around trail riding, that opens up more opportunity to dealers throughout the country. The plan is that as the line expands, we'll expand our dealer footprint too," he said.

CABDA West will be Eminent's first dealer-facing show, and Cusick said the company is open to dealer suggestions about how it can work with shops.

"We can see what works for both sides. Our goal is to get more people on Eminent bikes, and if a dealer has an outside-the-box way of doing it, we're open to that. Even some of the dealers we already work with say they just want demo bikes and use them to sell. Other dealers say they want bikes on the floor or they want one for themselves and one on the floor. We've been really flexible, and being at a show like CABDA will let us meet face to face and hear what dealers are looking for," he said.

Eminent was founded by Jeff Soncrant, an avid mountain biker with more than 25 years of engineering experience in the automotive and sporting goods industries. He created the brand's AFS suspension system, which uses a floating shock, floating brake, and a long rocker arm designed to keep the rear wheel planted on the ground through small and large hits.

More information: eminentcycles.com.

 


Retailers, how much have your supplier's prices changed in recent months due to tariffs?

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VeloNews Brings Brand Back to Its Roots with Magazine Redesign and New Logo

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America’s #1 Bike Racing Magazine Unveils a Timeless and Authoritative New Look and Feel

Boulder, Colorado, USA — January 4, 2019 — VeloNews, the authoritative voice of cycling, will reveal a dynamic new look and logo for the magazine with its January/February issue, on newsstands January 8. The redesign evokes the 47-year legacy of VeloNews magazine while affirming its American leadership position in the sport for the years to come.

 Under the leadership of Editor-in-Chief Fred Dreier, the VeloNews team set out to create a new design and logo that reflects the brand’s position in cycling. “VeloNews was, is, and will continue to be a trusted authority in cycling journalism and in-depth storytelling,” says Dreier. He shares that the redesign is a “clean and clear mark that blends legacy touches from our storied past with a bold and timeless look that, like VeloNews, will live on for decades.”

 VeloNews magazine readers will enjoy the dynamic magazine redesign. The new look conveys a clean and simple feel that allow readers to easily navigate the content and sink their teeth into the in-depth storytelling and striking photography. More one and two-page stories fill the front of the magazine with more variety of stories and topics. VeloNews will dive into its vault of vintage photographs to bring historical elements back, a feature our readers asked for in our 2018 audience study. The team will compare today’s races to their humble roots, revealing the origin stories of today’s iconic cycling events. This new front-of-the-book format also gives room for quick-hit content about the latest cycling tech, training, and gear. Exciting new sections include Ask Coach Connor, where cycling coach and former elite amateur Trevor Connor shares his expertise on training questions; Cool/Want/Need, reviews on new gear and tech; and Talking Points, where VeloNews editors debate a hot topic in the sport. The feature well will go deeper with more photos, infographics, and illustrations readers can dig into. Along with these structural changes, VeloNews magazine moves to a tighter trim and premium cover and paper stock.

 The VeloNews logo is cut from a classic design feel. “The new logo exemplifies the VeloNews brand beautifully. It is timeless, authoritative, but still fresh,” says Heidi Carcella, Art Director. “With this new look, we return to our roots in American bike racing while affirming our authority as the trusted experts on bike racing.”

VeloNews magazine reaches a loyal reader that’s been with us for over nine years,” says Mark Gouge, Publisher. “We’re evolving to continue bringing cycling to life while catering to that dedicated audience that greatly appreciates the history of the sport.”

 The January/February issue has already been mailed to subscribers. Single copies will be available on U.S. newsstands and online on the VeloNews iTunes app, ZINIO, Amazon Kindle, Readr app, and Google Play on January 8th.

About VeloNews

Pocket Outdoor Media is the leading publisher in endurance sports. Pocket Outdoor Media brands influence and engage more athletes than any other through a combined print, online, and social audience of 44 million runners, cyclists, triathletes, and swimmers. Our brands include VeloNews, the authoritative voice of cycling; Triathlete, the world’s #1 triathlon resource;  Competitor Running, America’s leading website for performance-minded runners; Women’s Running, the world’s #1 resource for women runners; and VeloPress, the world’s leading publisher of books on endurance sports. Pocket Outdoor Media is headquartered in Boulder, Colorado and has an office in San Diego, California. See more at pocketoutdoormedia.com.

 

Opinion: Are electric scooters a threat to the e-bike industry?

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By Richard Thorpe

Editor's note: Thorpe is the founder and designer of Gocycle.

Before I present my thoughts, it is only fair that I provide an introduction and confess that I have been involved in the electric bike industry for more than 16 years. My electric journey began in 2002 when I left McLaren Cars to set up my own business, Gocycle, with the mission of developing the world's best urban electric bike.

Sixteen years on, and four models later, we are now an established industry player and continue to pioneer and push boundaries in our ongoing quest to design the perfect urban electric bike — and I truly believe that electric bikes are the best solution for personal, healthy, sustainable urban transport.

Silicon Valley Capitalizing on Public Transport Pressure

The electric scooter (e-scooter) boom has taken many by surprise, including those who set legislation in our cities. But, why have they taken off so quickly? It's a combination of Silicon Valley's deep pockets and relentless, possibly reckless, drive to deploy disruptive technology and the fact that cities are dealing with more pressure on public transport infrastructure than ever before with ever decreasing budgets. A match made in heaven. No city is going to turn down a company saying we will solve your transport issues, and guess what, you don't have to pay for any of it. We will supply all of the vehicles, service them, and support them. And they're electric — so they must be green and environmentally sustainable ...

Four Issues with Electric Scooters

The first immediate problem is that currently e-scooters have little or no legal right to be used on public sidewalks or roads — especially at the speeds they are capable of traveling of (15 mph+). That's a big problem for the safety of pedestrians as well as road users like cars, trucks, bicycles and motorcycles — not to mention the e-scooter user themselves. There are knee-jerk reactions already happening. In Denver, for example, local government officials are rushing through a bill to allow e-scooters to ride on roads. There appears to be little to no consultation with other important stakeholders like other road users. It's a recipe for future conflict and confrontation.

The second immediate problem is that, in my opinion, e-scooters are not well-suited for safe travel at speeds and distances greater than a few miles on roads. They are billed as "last mile" solutions. And this is exactly the negative nature of what they encourage — less walking and more sedentary lifestyles. Commuters that normally catch their train and walk that last mile are now presented with a solution to sit or stand on an e-scooter instead, then at their desk all day, and stand back to the station after work. Just watch Disney's "WALL-E" and you can see the dystopian future this could contribute to! With Type 2 diabetes on the rise we all need to move more and sit/stand less. I think that's a real problem with e-scooter solutions.

Looking further ahead, I'm not convinced that e-scooter companies have a plan in place for recycling all of the lithium batteries that are being left in our neighborhoods. What seems like a sustainable mode of transport could quickly become even more damaging to our environment in the future if this is not carefully considered. With the sharing economy there is little to no responsibility that comes with pride of ownership, and given that e-scooters can currently be left anywhere, it seems that there is little or no respect for local residents.

In addition, there seems to be a problem with the business model long term. When traditional docking station bicycles were first coming onto the scene many years ago, we were approached to provide a version of Gocycle as the e-bike. It became very clear in talking with the operators that the density required for having enough bicycles available to be "convenient" is orders of magnitude higher than any sharing program or docking station program currently has. We are talking about the density of bus stops — and even then, many people think more than half a mile to walk to a bus stop is not convenient.

So, in order to make e-scooters convenient for everyone to use, it would appear that you perhaps need maybe five times the number of available scooters compared to the number of actual riders. I'm not saying these companies can't be profitable with current levels of available units, but for e-scooters to become a genuine solution citywide — more than an interesting, fun, albeit sedentary way of getting about town — we are going to have to have huge numbers of them lying about everywhere.

Need for Consistent Legislation & Safety

Regulation needs to be fair and consistent for all modes of transport. If e-scooters are going to be allowed to share the road, they need regulations like bikes, electric bikes, cars, motorcycles and mopeds have.

I think there is a fundamental problem with e-scooters dynamically. They are just not engineered for high speed and long distances. A small pothole, expansion gap or speed bump presents a significant handling issue for even the most experienced riders considering e-scooters have wheel diameters about the same size as a person's hand. Most electric bikes are regulated to 20 mph in the U.S. and 15.5 mph in Europe. But that's just for motor assistance; we all know that the bicycle format is able to travel safely at much higher speeds downhill or even pedaled, and this allows bicycles to work well with residential and city speed limits and other road users.

So, considering this full speed envelop for harmony with all road users, an e-scooter's significantly slower safe operating speed appears to present a significant safety challenge. It's a difficult one. They certainly aren't going to last long on sidewalks — there's just too much conflict potential and speed differential with pedestrians, small children and prams.

The Electric Future

There is no doubt that it is an incredibly interesting time for personal sustainable electric transport in our cities. I believe that in the next five years we will continue to see a lot of confrontation and a bit of a mess as cities work out how best to integrate e-scooters, electric bikes and bike sharing modes into society. But the plus side of all of this is that we will see more and more people getting out of cars and trying out better forms of urban transport. That's going to create huge opportunities for electric bike dealers and OEMs trying to convert forward-looking consumers who are converting to using two-wheel electric vehicles for urban transport.

Long term, I believe that two to five socially responsible operators will emerge and cities will choose to work with only those that respect communities and work harmoniously with all existing legitimate road users. It's going to be interesting to see how it all ends up — perhaps cities will end up having to take over management of what these companies start because sharing may not always be that caring ...

Electric Scooters as a Catalyst

By now you will have a good picture of my feelings toward e-scooters, but I do genuinely believe, for all their faults, that the electric scooter boom can help to act as a positive catalyst for change in our cities, if properly legislated and if Silicon Valley doesn't "move too fast and break stuff," as they say. The more electric two-wheel transport solutions on urban roads the better.

Half the challenge of addressing pollution, the dominance of carbon and sedentary transport is motivating people to get out of their cars and onto the roads. The more people taking up alternative travel options the better, as this will inspire others to do the same. We have seen this in London with cycling. Over the years, cycling has become much more prevalent as users feel more confident when seeing other riders on the roads. There's a tipping point too that has started to become apparent at some times in the day and places where cyclists are the dominant form of vehicle.

But I think cities need to do more to make riding on two wheels safer. That's the main barrier to entry. They could do more to tackle theft also. My view is that high-level advertising campaigns are needed to raise the perceived value of every user out there on two wheels and help to build more mutual respect among road users. Government incentives to commute on bicycles or e-bikes would really help — these healthy alternatives will have a positive impact on reducing health costs.

Whether it is an e-scooter, e-bike or bike sharing, I believe that many users who try these systems perhaps out of curiosity, adventure or fun will discover that getting around town on two wheels is the way to go — it will become the norm. Making the step toward personal ownership and with that — unparalleled convenience — for example, so you can rely on your vehicle to be ready for you in the morning or after work, will be a no-brainer. So, I'm genuinely encouraged about the impact e-scooters can have on our business and the wider electric bike community and industry.

In summary, I do not see the electric scooter boom as a threat to the future of electric bikes. However, I truly believe that electric bicycles will become the dominant form of healthy and sustainable urban transport. They have so many advantages: They are healthy, almost all people feel safe and comfortable riding a bicycle, they have higher speed capability, can travel longer distances, and can carry more stuff like groceries or items for work. And bikes have been a universally accepted road user for more than a century.

Rotating Mass Media winding down Bicycle Times website

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PITTSBURGH (BRAIN) — Close to two years after suspending its print edition and moving exclusively online, Bicycle Times’ website is winding down, with content migrating over to the website and print magazine of fellow Rotating Mass Media title Dirt Rag.

“We’ll incorporate as much of the content into Dirt Rag as far as the more adventure, bikepacking, gravel type of content. Dirt Rag is much stronger than Bicycle Times, so we’ll build our viewership over there,” founder and publisher Maurice Tierney told BRAIN. “We’re going to be missing some of utility and commuter content (from Bicycle Times) — that probably won’t make it over to Dirt Rag in the near future. With our small staff, it’s important that we keep our energy focused.”

Bicycle Times ceased print publication with its 46th issue in March 2017 following about three years of declining advertising sales. But since shifting its focus online, traffic to the website has dropped off, Tierney noted.

“There was still interest from the industry to advertise on the Bicycle Times website. However, we weren’t getting the number of hits. When you spend a day or longer writing an article and it only gets so many hits, it just wasn’t worth it. It didn’t generate the readership to extract value from advertising,” he said.

“We need to focus on our core, which is Dirt Rag. We still have a print magazine with Dirt Rag and advertising support is strong there, so we have to keep our editorial energy and sales focus there.”

Rotating Mass is also looking to expand the events side of its business, which this year includes two Dirt Rag Dirt Fests in May in Pennsylvania and in July in West Virginia. Those events typically draw 1,500 to 3,000 participants, and Tierney said he’s looking into new locations in the Southern and Western regions of the U.S. to add some smaller events to Rotating Mass’ calendar. Another full-scale festival could be added in 2020, he noted.

Dirt Rag will also celebrate its 30th anniversary this year. “We’re really stoked to be able to continue to do that, and we’re thankful for all the industry support we get,” Tierney said.

Industry veteran Bill Shook launches design consulting business

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TAMPA, Fla. (BRAIN) — American Classic founder Bill Shook has launched a new mechanical design consulting business, Bill Shook Engineering LLC, serving clients both inside and outside the bike industry.

"It's pretty much any industry that needs mechanical design," Shook said, noting that he did work for a design engineering company involved in various industries while he ran American Classic. Shook closed American Classic's factory in Taichung, Taiwan, early last year and sold off the brand's remaining inventory. The company's IP remains for sale.

Shook is currently working with one client in the bicycle industry as well as a manufacturer of pumps and motors.

"I come up with ideas to solve problems and then design the parts and figure out how they're going to be manufactured. I'm really good at that, and that's pretty much what I did for our business in the bike sector," Shook told BRAIN. "I can do that for a lot of different industries, because the mechanical design is pretty much all the same. You're just solving problems trying to fit something into a space or coming up with a mechanism to make something happen."

One focus of the business will be designing fixturing and tooling as economically as possible without sacrificing product quality, Shook noted.

"To make something with a low enough investment in tooling but still get quality output is the goal. And of course, if you pay less for tooling the lower the price of the object is going to be. Sometimes you don't need to put a huge amount of money into the tooling to design the right solution," he said.

Shook holds bachelor of science and master of science degrees in mechanical engineering from Ohio State University. He founded American Classic in 1982.

Companies interested in working with Shook can contact him at billshook.engineer@gmail.com.

Rick Vosper: Welcome to Bike 3.0: The New Reality. Part 1

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By Rick Vosper

This is Part 1 of a two-part series exploring the new market dynamic for the specialty retail segment, how we got there, and how the industry can respond and adapt to the new reality. This section is primarily focused on the “how we got where we are today” part of the story. 

I note there is plenty of room here for alternative points of view and frankly, I expect a lively discussion. 

Bike 1.0: When Schwinn Ruled the Earth 

What I’m calling the 1.0 era is the postwar period of relative stability from 1950-75 (more or less). A single market leader, Schwinn, effectively controlled much of both the supply and retail sides of the specialty business channel. Schwinn had a well-organized, well-managed and marketed, vertically integrated supply chain based on domestic production. At the same time, it created, nurtured and maintained a strong network of semi-independent retailers.

The resulting dynamic was a largely stable market and birth of what we would now recognize as the modern independent bicycle retail landscape. But Schwinn’s efforts were so successful the company was subject to a restraint of trade lawsuit in 1957, dragging on for ten exhausting years. As a result, Schwinn abandoned its system of independent wholesalers/distributors, moved to an in-house distribution model and lost much of its control of retailers. (More about the lawsuit and other topics are available in the very thorough Wikipedia article on the history of Schwinn.)

Nevertheless, stability continued though the Bike Boom of the early to mid ‘70s and the death of the Bike 1.0 as Schwinn’s control inexorably declined as the result of a changing situation it failed to adapt to.

Bike 2.0: End of the Bike Boom, Rise of the Mountain Bike, and the Era of Perfect Competition

During the Bike Boom, lightweight dropped-bar imports had already claimed significant market share and with them, increasing power for their independent importers/ distributors. The trend continued and accelerated even as the boom turned to bust, with the initial introduction of quality Asian bikes, originally from Japan and later, as value of the yen climbed, from Taiwan and eventually mainland China. 

In parallel, a new era of US manufacturing of high-quality bikes from companies like Trek and later Cannondale began to impact the market. The table was already set for the mass introduction of mountain bikes in the early 1980s and all that came with them. 

The mountain bike’s success was not merely based on an exciting new product category, but on a new generation of leaner, more agile brands and an entirely new business model, one largely powered by Asian-based manufacturing and finance. Trek, Specialized, Giant, Cannondale, Shimano and every other major industry player today came of age during Bike 2.0.

It was also the Golden Era of the American independent bicycle retailer, eventually peaking at more than 6,100 shop locations (“doors”) in 2001 at the dawn of the 3.0 era.

With the increase in independent retailers and new brands, and fueled by the explosion of mountain bikes and cyclists hungry to purchase them, Bike 2.0 was a wide-open, Wild West-style marketplace. To be sure, by the mid-1990s a few brands (notably Trek, Giant, Cannondale and Specialized, in that order) were growing stronger and the market was beginning to stabilize. But the most notable dynamic was that of perfect competition— very broadly, a situation where no one brand or brands can achieve enough share to dominate and thereby control the market. Profits are low throughout the supply chain and consequently, both brands and retailers lack resources to overcome the inertia of a perfectly competitive market.

Bike 2.0 was a wide-open, Wild West-style marketplace 

The concept of perfect competition is core to the Bike 2.0 phenomenon. There are different definitions, but classically, a perfectly competitive market has four requirements:

  • A large and homogeneous market. There are relatively large and ongoing sources of supply and demand, and relatively little differentiation of brands or products. For the bike business, this was a time when bikes were defined in the brands’ own marketing literature by the Shimano components group bolted onto them.
  • Information availability. Consumers know what every brand costs. True with the publication of consumer buyers’ guides and “brand bibles,” even truer with the advent of the internet in the mid-90s and beyond.
  • Absence of external controls/low barriers to entry. Governmental regulation, limited resources, price controls or lack of capital do not impact the market or prevent new players from entering. Pricing is (relatively) uniform across brands and competing models.
  • Cheap and efficient transportation. Transportation costs do not create price or brand differentiation. Moving containers of bikes from Asia and around the United States was cheaper than domestic production, and more importantly, all brands’ costs were about the same. 

For all this, the mountain bike and post-mountain bike eras were times of rapid innovation, with new designs and ideas cropping up literally every few months — indexed shifting, clipless pedals, titanium and carbon frame and component materials; suspension systems, disc wheels, aero bars for road and bar extensions for mountain bikes; the rise of cycling eyewear and nutrition products — literally hundreds of new developments, many of which still collectively define the current market. 

But with notable exceptions like Dia-Compe/Cane Creek’s Aheadset, not one of these new ideas created a sustainable competitive advantage for their inventors because they were easily imitated and absorbed back into the perfect competition maelstrom. Conversely, the sheer rate of innovation made it difficult for any single brand or group of brands to achieve enough market traction to gain ascendancy.

As the mountain bike and then suspension mountain bike markets faded in succession at the turn of the century due to saturation, something had to give. And something — three somethings, in fact, did.

Welcome to Bike 3.0

By 1998, the industry was in contraction. “Flat is the new Up,” pundits chirped (in real terms, it was more like “Down is the new Flat.” In 1999, Bicycle Retailer summed up the industry’s malaise with the chilling three-word headline, “Doom And Gloom.” 

The contraction hit retailers hardest and first. With a historical average of just over 5,000 storefront locations between 1975 and 1995, the number of independent bicycle retailers (as defined by the NBDA) plunged from more than 6,000 in 2001 to 4,800 just three years later, a net loss of 1,300 storefronts or more than 20 percent net. 

In 1999, Bicycle Retailer summed up the industry’s malaise with the chilling three-word headline, “Doom And Gloom”

The number continued to decline, dropping steadily for the next decade, to less than four thousand retail locations in 2014, at which point the NBDA literally stopped counting. 

The current number of survivors under the NBDA definition is unknown. Other sources, which include sporting goods stores, businesses like the now-insolvent Performance chain and less traditional entities in their estimates, put this number much higher. 

The surviving retailers almost by definition are smarter, more agile, and more efficiently run businesses

So the first defining characteristic of Bike 3.0 in the new millennium is a finite and presumably declining number of dealers, with more than a third of locations lost over a period of 15 years, and probably more since. The flip side to this is that the surviving retailers almost by definition are smarter, more agile, and more efficiently run businesses with streamlined processes and better inventory turns. This is confirmed by the NBDA’s own Cost Of Doing Business reports. 

Instead of simply opening more retail locations, brands had to focus on creating strategic alliances with selected dealers and controlling as much floor space (and therefore, purchase budgets) as possible. (Much) more about this in Part 2 of this series.

The second defining characteristic is contraction and consolidation at the supplier side of the business. This began during the decline of Bike 2.0 in the 1990s with the demise, resurrection and subsequent consolidation of Schwinn and GT under various owners and currently under Dorel; Specialized’s disastrous acquisition of Monolith and short-lived partnership with Ritchey; the various equipment brands and sub-brands of Bell/Giro/Easton and others; Trek’s acquisition and integration of Fisher, Klein, LeMond and Bontrager, and the ill-fated consolidation of Raleigh USA and True Temper along with non-cycling businesses under the now-defunct Huffy umbrella. 

The trend continued — and continues today, and doubtlessly will continue to continue in the future — into the new millennium and the Bike 3.0 era. More recent examples include Trek’s acquisition of Electra, Felt’s acquisition by Rossignol and Mavic’s by Amer Sports; SRAM’s consolidation with Sachs, RockShox, Avid, Truvativ, Zipp et al; Pon’s acquisition of Cervélo and Santa Cruz; the emergence, growth, consolidation and now bankruptcy of Fuji/Breezer/Kestrel/Performance by ASI/ASE; Raleigh’s acquisition and rumored pending sale by Accell Sports, and many, many others.

Still other brands too numerous to mention have failed outright and disappeared from the industry radar without a trace as fast as they entered it. 

Third and finally, Bike 3.0 is defined by the rise of internet commerce, and with it the integration and subsequent disintermediation of once-discrete global markets and sales channels. Again, examples are both well-known and too numerous to mention here. 

None of this is either good or bad. It is simply the way things are. As an industry, we either accept the new reality, or ignore it at our peril. 

Next time we’ll explore the effects, market dynamics and strategies of doing business in the era of Bike 3.0, and two more potential disrupters just now beginning to affect the industry.

Rob DeMartini named CEO of USA Cycling

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COLORADO SPRINGS, Colo. (BRAIN) — USA Cycling has named Rob DeMartini as its president and chief executive officer. DeMartini joins the organization from New Balance Athletics Inc. where he spent the past 12 years as president and CEO. He will begin his new position in February.

"Our entire board and management team enthusiastically welcome Rob as our new CEO. His passion and ambition for both the future of USA Cycling and our sport is inspiring. He also brings the proven leadership, commercial skills and resources to elevate USA Cycling and to do more for our members, partners and athletes," said Bob Stapleton, USA Cycling's chairman of the board.

DeMartini replaces Derek Bouchard-Hall, who joined Assos of Switzerland as its CEO effective Jan. 1.

"As I join USA Cycling, I look forward to working closely with Chuck Hodge (chief of racing and events) in support of our members, event directors and race officials as well as Scott Schnitzspahn (vice president of elite athletics) to prepare our riders for the Tokyo 2020 Games," DeMartini said. "I am excited to join this capable team and very optimistic that we can better meet members' needs, grow the leadership role USA Cycling plays in our industry and make all disciplines of cycling stronger."

A passionate cyclist and athlete, DeMartini has ridden in the Pan-Mass Challenge bike-a-thon for the past 11 years along with participating in other cycling events. 

DeMartini joined New Balance from Tyson Foods. He previously spent 20 years at Procter & Gamble, where he held management roles with The Gillette Company, North American Snacks and Millstone Coffee. He also serves on the board of the Advanced Functional Fabrics of America (AFFOA), Welch's and Aloha Food; was chairman of the American Apparel and Footwear Association; and was a board member of KaBOOM! and the Two Ten Footwear Foundation.

 


Wolf Tooth updates MAP policy

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Burnsville, MN — Wolf Tooth has updated its U.S. minimum advertised price policy to be equal to the MSRP.

As of January 1st, Wolf Tooth has increased its MAP pricing by 5% so it now equals MSRP. The company says this is being done to simplify the MAP policy and enforcement.

"Wolf Tooth has always diligently enforced MAP to keep pricing stable across all channels," said Brendan Moore of Wolf Tooth. "This creates a level playing field for all our dealers and partners whether they are selling in a brick and mortar retail location, online, or both."

Enforcement of this new policy will begin on January 14 to allow time for dealers to update their pricing. Inquiries about these changes can be made to sales@wolftoothcomponents.com.

Klimat app adds weather conditions to Strava activity feed

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(BRAIN) — Klimatt is an app that can sync with Strava accounts so that weather conditions appear on the Strava activity feed.

The app has free and premium modes; a premium membership is $5 per year and offers more detail and customization options. 

More information at klimat.app.

Application period opens for QBP Equity and Diversity Internship

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QBP's Equity and Diversity Internship is now accepting applications. Eligible applicants include students who are members of underrepresented communities and identities and/or students with a demonstrated commitment towards advancing issues of diversity, equity, and inclusion.

2019 summer interns will jumpstart their career by working side-by-side with some of the most innovative people in the industry. They'll contribute to a growing network of fresh change-makers who influence the future of cycling.

"I learned something new every single day. It taught me more than any internship I've had before," said Sam Chihak, IT Support intern.

There are a variety of positions for college students across departments including marketing, engineering, IT, purchasing, and more. The internship will take place on June 10August 16, 2019 at the QBP headquarters in Bloomington, MN. For more details, check out the QBP Equity and Diversity Internship webpage. https://qbp.com/equity-and-diversity-internship

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About QBP
Quality Bicycle Products is in the business of bikes. From developing and building a diverse portfolio of its own brands to distributing the top names and best products in the industry, QBP is doing its part to further bike kind. With distribution centers in Minnesota, Pennsylvania, Nevada, and Colorado, QBP serves a network of more than 5,000 independent retailers. It strives to be an extraordinary business to partner with and to work for, and has made good on that goal for over 35 years. From extensive advocacy efforts to energy efficient facilities, everything QBP does is aimed at making the world a better place and getting more butts on bikes. For more information about QBP, visit qbp.com or contact Marketing Communications Manager John Sandberg at 952-941-9391, ext.1879 or john.sandberg@qbp.com

H2 sees growth in IBD sales

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Aliso Viejo, CA— Highway Two, leading North America distribution company, joint venture between Continental Tires and Selle Royal Group (fi’zi:k, Brooks, Selle Royal, Crankbrothers),sees substantial growth in IBD sales in 2018.          

 H2 President, Simon McNair had this to say about the growth.

 “It seems all we hear is bad news anymore with anything involving retail and the IBD.  We are super happy to report a 7% increase in our IBD sales YOY. We did a lot of things in 2018 to make it easier and more profitable to work with us and it is really paying off. I have been in the industry for 15 years and have personally been in at least 1,500 bike shops. The way we see the industry evolving is not all bad and I am excited about embracing the future. Our shop partners that are reevaluating and adapting their businesses are growing and thriving. We love bikes and the industry and are making sure that we will be here and growing for the next 25 years. If you aren’t happy with your current product mix, selection and margins, give us a call!” 

Highway Two, LLC is a joint venture between Continental Tires and Selle Royal distributing Continental, fi’zi:k ,Crankbrothers, Selle Royal, Brooks England, Kask, Abus, Knog and Osmo. 

 

 

Panasonic launches new e-bike line in partnership with Kent International

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Models will be sold under the Univega and Van Dessel brands.

LAS VEGAS, Nev. (BRAIN) — Panasonic is working with Kent International to launched three models of e-bikes that will be sold under Kent's Univega USA and Van Dessel brands. All the bikes will be powered by Panasonic batteries and motors and all models are being designed and assembled in the U.S.

"These entries strategically align with the well-seeded global two-wheel mobility craze and matches the accelerating demands of electric-assist bicycles for recreation, fitness and commuting changes seen in America," Panasonic said in a statement Monday. 

The line will include the Van Dessel e-MTB, named Captain Shred, and the Van Dessel gravel bike, the Passepartout. Bother were engineered and designed from the ground up around the new Panasonic GX0 motor. The e-MTB will be raced in this year's UCI-sanctioned eMountain bike world championship series.

"Panasonic is poised to elevate the exposure and growth of e-bikes, and because of that, Van Dessel is proud to bring two new performance e-bike models to the market, especially given their century-long expertise in the bicycling industry and providing connectivity across multiple industries," said Edwin Bull, the president and founder of Van Dessel. "We are eager to watch our customers experience our new e-bikes to support their lifestyles and technology-driven interests."

The Univega USA touring e-bike. named UVG-1, will feature Panasonic's X0 motor system, weighing in at 3.7kg and offering 80Nm of torque.

Panasonic claims to be the No. 1 e-bike drive system manufacturer in Japan, controlling with more than 40 percent market share there. It was also one of the early players in Europe's e-bike market. 

"Our strategic collaboration with Kent International Inc. allows us to expand our portfolio in response to the current tipping point we see in this mobility transformation, where the U.S. market is embracing the cycling culture now more than ever," said Reid Sigety, vice president of Panasonic's e-bike business unit. "Following our success in Asia producing e-bikes, we are excited to expand our portfolio drawing on the core strengths of our automotive group, and build on our vision to help electrify two-wheel mobility to meet consumers' demands for this fun, family-friendly bicycling option."

All three e-bike models will be available for sale late spring of 2019, with pricing to be announced at a later date. They will be on display in the Panasonic booth at this month's CES show in Las Vegas.

Watch for more details on the program in the Feb. 1 issue of Bicycle Retailer & Industry News

 

Katie Macarelli Joins Thorpe Marketing

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Boulder, Colorado – Cycling and Outdoor industry marketing service agency, Thorpe Marketing, is pleased to announce the addition of Katie Macarelli to its team. Macarelli has previously held roles in advocacy, media, and brand marketing, with Bicycle Colorado, 303 Cycling, and Feedback Sports, respectively.

"Katie and I first worked together on a social media project a few years back. I found her to be capable, professional, thoughtful, and generally fun to be around, and we've been something more than halfheartedly talking about actually working together ever since. I feel great about having her join our agency, and bringing her work ethic to the service of our clients. Especially, I value the breadth of her experience in marketing strategy and activation, communications, and in the cycling and outdoor categories," Said Jasen Thorpe, agency founder, of the hire.

Macarelli added, "Good marketing is honest and genuine. I've known/respected Jasen and his firm for many years. This is not only a logical fit but also one based on similar personalities, values and style."

In her role as Account Manager, Macarelli will oversee PR and Media Relations, social media and content marketing, affiliate commerce and advertising placement, and influencer/ambassador programs for several brands among Thorpe's clients. Katie also intends to continue to do her best to shun traditional motorized transportation and commute via human-powered bicycling, an e-bike, and/or e-car, as one does.

Play Sports Group Joins Discovery to Form Unique Global Cycling Platform

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Play Sports Group – home of market-leading cycling channels GCN, GMBN and GTN – becomes a subsidiary of Discovery Sports, creating the first global direct-to-consumer proposition for cycling community and dedicated vertical for valuable global demo

8 January 2019 – Bath, UK: The Play Sports Group – the digital sports media company behind market-leading cycling brands including Global Cycling Network, Global Mountain Bike Network and Global Triathlon Network – has joined the Discovery family as Discovery Inc, the global leader in real life entertainment, today announced purchase of a 71% controlling stake in Play Sports Group.

Discovery Inc originally took a 20% stake in Play Sports Group in February 2017, investing in Play Sports Group's expansion, and this additional investment sees Play Sports Group become a subsidiary of Discovery.

The deal combines Discovery's position as a primary TV rights holder for cycling events in Europe, through its leading sports brand Eurosport – covering major UCI World Tour races including all three Grand Tours and all five Monuments, along with the UCI World Championships – and the Play Sports Group, the world's foremost creator of cycling-orientated digital video, forming the first global vertical for cycling fans around the world.

Play Sports Group, founded in 2012 by cycling media innovator Simon Wear, and now a team of 140 world class cycling experts across content, creative, digital, marketing and sales services, owns and operates eight cycling video channels generating over 45 million video views every month, with 5.7 million social followers and 3.1 million YouTube subscribers. During 2018, Play Sports Group launched five new international channels, a consumer retail division and fan club, and broadcasts live racing on its YouTube channels and via Facebook Watch. Play Sports Group also includes the award-winning cycling media agency, SHIFT Active Media.

Simon Wear, Founder and CEO of Play Sports Group, said:
"I am tremendously proud and excited for Play Sports Group to join the Discovery family. As a fan- and community-focused business we could not be more perfectly aligned with Discovery's deep rooted history in serving passionate, specialist audiences with super high quality content.

"Since the Discovery investment in PSG in February 2017 we have worked progressively more closely with JB Perrette and his team, and during this time it has become increasingly clear that we share a vision of innovative direct-to-consumer business. The combination of Discovery and Eurosport's leading package of cycling rights, its resources, infrastructure and company vision with Play Sports Group's massive community of cycling fans means we have a phenomenal package. The opportunity to build a world class digital destination, in multiple languages, for cycling fans the world over is one that's just too good to miss."

Discovery's investment in the Play Sports Group strengthens the company's strategy of creating and owning key sports verticals around the world that attract a passionate fan base and have high growth potential across all screens. The new proposition creates opportunities to develop a significant direct-to-consumer offering for cycling fans around the world.

JB Perrette, President and CEO at Discovery Networks International, said:
"This is a hugely important investment that aligns fully with Discovery's broader strategy of super-serving passionate fans across screens with valuable demographics and growth potential. This deal underpins Discovery's principle sport focus of owning verticals, allowing us to offer fans the best possible experience and immerse them fully in the sports they follow every day."

Peter Faricy, CEO, Global Direct to Consumer at Discovery Inc., said:
"Our partnership with Play Sports Group accelerates our global direct-to-consumer sports strategy and gives us an unprecedented opportunity to create a single global cycling destination for fans around the world. Discovery and Play Sports Group share a consumer-obsessed philosophy centred on a deep understanding of super-fans and creating content that inspires, informs and entertains, taking them closer to the sports they love.

"We know the value Play Sports Group bring to our portfolio and we're excited by the possibility of building a 360-degree proposition that combines the strength of their digital-first, fan-centric content, alongside Eurosport's premium live broadcasting rights and existing direct-to-consumer platforms."

About Play Sports Group

Play Sports Group (PSG) is the world's leading digital sports media company focused solely on cycling and tri-sports. Combining a deep love of the sport with peerless expertise in video and digital distribution, PSG has built a leadership position in the market, with 45m monthly video views to 3.1m subscribers amongst the 5.7m social followers of its eight channels that include Global Cycling Network (GCN), Global Mountain Bike Network (GMBN) and Global Triathlon Network (GTN), along with the first two of a growing number of non-English language channels, GCN en Español and GCN Italia. PSG channel presenters are engaging, knowledgeable former professional riders from the very highest levels who connect with the fans, and with world class athletes, teams and races, bringing their audiences to the heart of the professional sport with unmatched authenticity. Headquartered in Bath, England, PSG also includes the award-winning cycling media agency, SHIFT Active Media who work alongside some of the biggest, most high-profile brands in the cycling world, and is backed by an investor group led by Discovery Inc.

For more information about Play Sports Group, visit www.playsportsnetwork.com.

About Discovery
Discovery, Inc. (Nasdaq: DISCA, DISCB, DISCK) is the global leader in real life entertainment, serving a passionate audience of superfans around the world with content that inspires, informs and entertains. Discovery delivers over 8,000 hours of original programming each year and has category leadership across deeply loved content genres around the world. Available in 220 countries and territories and 50 languages, Discovery is a platform innovator, reaching viewers on all screens, including TV Everywhere products such as the GO portfolio of apps and Discovery Kids Play; direct-to-consumer streaming services such as Eurosport Player and Motor Trend OnDemand; and digital-first and social content from Group Nine Media. Discovery's portfolio of premium brands includes Discovery Channel, HGTV, Food Network, TLC, Investigation Discovery, Travel Channel, Turbo/Velocity, Animal Planet, and Science Channel, as well as OWN: Oprah Winfrey Network in the U.S., Discovery Kids in Latin America, and Eurosport, the leading provider of locally relevant, premium sports and Home of the Olympic Games across Europe.


Air Fom Airless Cycling EU Distribution Deal with CODAGEX

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 Air Fom international is proud to announce that CODAGEX, Belgium, is our first exclusive Distribution Partner in the EU market, covering the Benelux market for Air Fom airless cycling products.

After discussions and user testing with the CODAGEX team, they are excited to carry the Air Fom airless cycling product range for their markets. CODAGEX is a premier IBD distributor with a long history of supplying top brands to the Benelux dealer base and now, Air Fom, is a resident Brand in their prestigious group.

CODAGEX will receive the Air Fom products in late Q1 in time to ship to IBDs for the spring cycling season.

Please contact CODAGEX or Air Fom for further information. Air Fom will be exhibiting at Taipei Cycle March 2019 visit our website for more details.

CODAGEX DESSEL,BELGIUM +32(0)14/34.74.74 www.codagex.be Air Fom Mark Peterman www.air-fom.com

Clif Bar returns as title sponsor of CampoVelo

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Saint Helena, Calif. (January 8, 2019) – The third annual CampoVelo will take place April 26-28, 2019 in Napa Valley, combining world class cycling, wellness, cuisine, libations, and fundraising into a unique three-day event in the heart of America’s preeminent wine growing region. Organizers are pleased to announce the return of title sponsor Clif Bar & Company and former professional cyclist and Chef Chris Cosentino is back with fellow cyclists, chefs, winemakers, and brewmasters with a winning recipe for a wellness weekend like no other.

By blending the best of the culinary world with cycling, hiking and yoga, CampoVelo, produced by Ride Napa Valley, has become an annual highlight in the Napa Valley. Over the course of the weekend, more than 20 featured guests (chefs, winemakers, pro-cyclists, and other notables), including Team CLIF Bar Cycling, will lead attendees in a myriad of activities designed to support and promote CampoVelo’s deserving beneficiaries. Each morning, featured guests will accompany the participants on hikes, in yoga sessions, and on mountain, road, and e-bike rides throughout Napa Valley. After hours of exploring the great outdoors on two-wheels or two-feet, Cosentino and friends will lead product demos, workshops, and prepare five-star meals for attendees.

“We are honored to return as the title sponsor of CampoVelo,” says Gary Erickson, founder and Co-Chief Executive Officer of Clif Bar & Company. “One of the best parts of CampoVelo is that it gives back to the community. As locals with local businesses, my wife and Co-CEO Kit and I are always proud to show off the Napa Valley and look forward to welcoming CampoVelo guests into our community.”

“We have another amazing CampoVelo planned this year with even more of my chef, athlete, and wine and beer making friends joining the fun,” remarked Chef Cosentino. “My passion for food, family, cycling, and fun is what I love to share with our guests over the CampoVelo weekend.”

The weekend begins in St. Helena on Friday, April 26th with a selection of road and mountain bike rides followed by lunch at Clif Family Winery’s tasting room. Opening day continues with wine & beer experiences featuring Clif Family Winery and Mad Fritz Brewing Company, a poolside party at Calistoga Motor Lodge and Spa, and an evening Welcome Reception with bites by Cosentino, wine & beer tastings, and craft cocktails at Calistoga’s Tamber Bey Vineyards. A ticketed five-course dinner hosted by Cosentino, Matt Jennings, Bryan Voltaggio and more paired with acclaimed Napa Valley wines and beer at Tamber Bey Vineyards will benefit No Kid Hungry.

Kick Saturday off with breakfast and a selection of rides and wellness activities throughout Napa Valley, followed by a Champion’s Lunch, culinary demos, and the CampoVelo Marketplace featuring an artisan assortment of food, drink, and wares to taste, test or buy.

Returning after its wildly popular (and often hilarious) 2018 debut, the “2019 Saturday Night at the Speedway” is a weekend highlight with epic bike relay races, live music, wine, beer, and food trucks at the Calistoga Speedway.

The weekend culminates in a BIG way at Napa Valley’s oldest winery Charles Krug Winery. Start the day with a BIG Breakfast followed by the BIG Ride, gran fondo style with three route options (35/50/80 miles), or a hike at Bothe State Park. The ultimate post-ride finale is the CampoVelo BIG Feast at the iconic winery with a menu curated by Cosentino and his chef friends, Charles Krug wines and Mad Fritz beers, play lawn games, enjoy live music, relax, and bid on must-have silent auction lots.

With the mantra “do good, one pedal stroke at a time,” CampoVelo benefits the Napa Valley Vine Trail Coalition and Chefs Cycle for No Kid Hungry.

In addition to Clif Bar & Company, other partners include Colavita, Bialetti, Giant Bicycles, Clif Family Winery, First Republic Bank, Liv Cycling, Trek Travel, Kollar Chocolates, Mad Fritz, CAPO Cycling, WD-40, Chef’s Warehouse, Whitehall Lane Winery, Calistoga Motor Lodge & Spa, Kara’s Cupcakes, and Grove 45.

For more information and the full weekend itinerary, visit www.campovelo.com.

 

Retail Imports Level Off After Rush to Beat Tariffs

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WASHINGTON, January 8, 2019 – Imports at the nation's major retail container ports have slowed down after a months-long rush to beat increased tariffs on goods from China, according to the monthly Global Port Tracker report released today by the National Retail Federation and Hackett Associates.

"With the holiday season behind us, the immediate pressure to stock up on merchandise has passed but retailers remain concerned about tariffs and their impact on the nation's economy," NRF Vice President for Supply Chain and Customs Policy Jonathan Gold said. "Retailers have also brought in much of their spring merchandise early to protect consumers against higher prices that will eventually come with tariffs. Our industry is hoping the talks currently under way will bring an end to this ill-advised trade war and result in a more appropriate way of responding to China's trade abuses that won't force American consumers, workers and businesses to pay the price."

U.S. ports covered by Global Port Tracker handled 1.81 million Twenty-Foot Equivalent Units in November, the latest month for which after-the-fact numbers are available. That was up 2.5 percent year-over-year but down 11.4 percent from the record of 2.04 million TEU set in October. A TEU is one 20-foot-long cargo container or its equivalent.

December was estimated at 1.79 million TEU, a 3.7 percent year-over-year increase. That would bring 2018 to a total of 21.6 million TEU, an increase of 5.3 percent over 2017's record 20.5 million TEU.

January is forecast at 1.75 million TEU, down 0.9 percent from January 2018; February at 1.67 million TEU, also down 0.9 percent year-over-year; March at 1.55 million TEU, up 0.6 percent; April at 1.69 million TEU, up 3.7 percent, and May at 1.8 million TEU, down 1.3 percent. February and March are typically two of the slowest months of the year for imports, both because of the post-holiday drop in demand and because of Lunar New Year factory shutdowns in Asia.

"There have been record-high levels of imports over the past several months, primarily due to raised inventories ahead of expected tariff increases," Hackett Associates Founder Ben Hackett said. "But we are projecting declining volumes in the coming months and an overall weakness in imports for the first half of the year."

Global Port Tracker, which is produced for NRF by the consulting firm Hackett Associates, covers the U.S. ports of Los Angeles/Long Beach, Oakland, Seattle and Tacoma on the West Coast; New York/New Jersey, Port of Virginia, Charleston, Savannah, Port Everglades, Miami and Jacksonville on the East Coast, and Houston on the Gulf Coast. The report is free to NRF retail members, and subscription information is available at NRF.com/PortTracker or by calling (202) 783-7971. Subscription information for non-members can be found at www.globalporttracker.com.

About NRF
The National Retail Federation is the world's largest retail trade association. Based in Washington, D.C., NRF represents discount and department stores, home goods and specialty stores, Main Street merchants, grocers, wholesalers, chain restaurants and internet retailers from the United States and more than 45 countries. Retail is the nation's largest private-sector employer, supporting one in four U.S. jobs — 42 million working Americans. Contributing $2.6 trillion to annual GDP, retail is a daily barometer for the nation's economy. NRF.com

About Hackett Associates
Hackett Associates provides expert consulting, research and advisory services to the international maritime industry, government agencies and international institutions. www.hackettassociates.com

 

Kask Utopia helmet developed with Team Sky

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CHIUDUNO, Italy (BRAIN) — The Utopia aero road helmet was developed with Team Sky and saves up to a claimed 6 watts when riding at 50 kph (31 mph).

It's designed for year-round riding in all climates and is designed to keep the rider cool, especially at high speed. Utopia has a breathable and quick-dry padding with a 5-millimeter layer of fast-wicking Resistex Carbon material that takes moisture away from the rider's head and moves it to the helmet's outer shell, contributing to a helmet that's comfortable to wear all day long.

Other features include nine vents to improve aerodynamics and cooling, internal channeling, the easily adjustable Octo Fit system for a comfortable fit on any head shape, and a washable eco-leather chin strap to prevent skin irritation.

Weight is 235 grams in size medium.

The Utopia will be available in all Kask territories by the end of January. Suggested retail: $300.

 

QBP Announces 2019 Dealer's Choice Details

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Through Dealer's Choice, QBP and participating brands are working to support retailers in an evolving marketplace, giving them more control over how they spend their money, and working to grow ridership and the health of the industry.

More than just another discount program, Dealer's Choice unites suppliers who support retailers by independently enforcing MAP, having channel integrity, and making great product. Paired with QBP's logistical excellence and QBP-facilitated community outreach opportunities, Dealer's Choice supports a more sustainable industry while keeping retailers front-and-center.

For 2019 Dealer's Choice features smaller up-front commitments, lower buy-in amounts on select brands, and includes four new brands: PDW, Lezyne, CeramicSpeed, and K-Edge.

"Dealer's Choice is much more than just another discount program. It is a realistic look at where the industry is at and what is needed to help our retailers succeed. By partnering with QBP, retailers are signing up for a sustainable strategy that will help them grow," said Chris Negrete, QBP's Director of Distribution Sales. "Although in its fourth year, we are just getting started and the momentum continues to grow for much needed change and long-term thinking. We'll continue to value feedback and keep building."

QBP customers can log into QBP.com, click on Dealer's Choice and start enrolling in brands today.

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About QBP
Quality Bicycle Products is in the business of bikes. From developing and building a diverse portfolio of our own brands to distributing the top names and best products in the industry, we're doing our part to further bike kind. With distribution centers in Minnesota, Pennsylvania, Nevada, and Colorado, QBP serves a network of more than 5,000 independent retailers. We strive to be an extraordinary business to partner with and to work for, and we have made good on that goal for over 35 years. From our extensive advocacy efforts to our energy efficient facilities, everything we do is aimed at making the world a better place and getting more butts on bikes. 

 

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