Giant's JT Thompson calls out competitors for non-IBD sales

NEWBURY PARK, Calif. (BRAIN) — Giant USA is calling out several of its U.S. competitors for selling outside the traditional IBD channel. In a sales letter sent to its dealers this week, John "JT" Thompson, Giant USA's executive sales director, included a chart (.pdf) that showed which of its major competitors sold consumer direct, or via sporting goods stores or online retailers.

Of the major brands, only Giant and Trek sell exclusively  through brick-and-mortar retailers in the U.S., according to Thompson's chart. For example, Thompson noted that Specialized sells some products (but not complete bikes) direct to consumers from its corporate website. Thompson worked at Specialized for 15 years prior to joining Giant in 2011.

He noted that Electra, which is now owned by Trek, sells through sporting goods stores and outdoor chains like REI. Accell's Diamondback brand is also sold through sporting goods chains and on Amazon.com, while Dorel's GT brand is sold by several online retailers.

"The way I see things our channel (the IBD) is under attack. We face the mega retailers of REI, Dick's, EMS, and big box; also, direct sales and mail order. A key strategy to save our way of life is to support those who work hard to support the IBD channel," Thompson said.

"Think about it, do you support brands that support REI, Dick's, big box, direct sales, or mail order?"

"Every time an IBD buys one of these products, a portion of that profit goes to aid these alternative distribution channels at REI, Dick's, big box, direct sales, or mail order. Help your competition? Do you think that's a wise move? IBD's who support these diversified distribution strategies and brands just don't get it."

It's far from the first time that Thompson and his former employer, Specialized, have clashed publicly, revealing the sometimes-bitter fight for floor space among the top IBD suppliers in the U.S. In 2012, for example, Specialized urged some of its dealers to stop selling Giant products.