Breaking news: Most bike shop owners are male, white, age 52

exteriorA new study shows that 89% of bike shop owners are men, 96% are white, 66% are baby boomers (age 48 to 67) and 26% Gen X (age 26-47).

The source is the new annual bicycle dealer survey from the National Bicycle Dealers Association, conducted January 2013, Gluskin Townley Group, 1,996 sample, 287 responses, 14.4%).

Demographic information on bike store owners was collected for the first time in this version of the NBDA’s survey. As a result, we can now verify that aside from maleness, whiteness and age that: Continue reading “Breaking news: Most bike shop owners are male, white, age 52”

Selling too much? Here’s a solution.

skisWant a smaller bicycle industry? In Tim Petrick’s view that will happen if companies move away from selling to specialty retailers and instead embrace sporting goods stores and e-commerce sites.

“The future of the wintersports and bicycle industries would be very different if products were only available on aisle 12 of a sporting goods store or on the Internet,” Petrick said. “The world that would evolve from that would be much, much smaller than what we have right now.”

Petrick is a 40-year snow industry veteran and is president of global sales, marketing and Continue reading “Selling too much? Here’s a solution.”

Poll: price competition is blazing

Internetpol2Internet price competition is now a “major problem” for 76% of bicycle dealers in a new Internet poll, and may also be a major threat to their businesses within two years.

Early returns on a May 7-8 NBDA on-line poll of NBDA bicycle dealers also shows that many are taking some action to deal with the new competitive landscape. 96% say they now consider Internet and MAP (Minimum Advertised Price) policies from vendors when choosing products to sell in the store.

The NBDA asked IBD participants in the 354-member NBDA E-Group forum a series of Continue reading “Poll: price competition is blazing”

Margins and survival: a primer

glassof waterIs it possible for a bicycle store to sell a bike for a 36% profit margin and lose money?

It happens every day. It has happened every day for many decades. It is happening as I type this sentence. Here is a primer on the process.

First a review of the math for those who are new to this concept (apologies to those who know this already). At a basic level for a retail business, please consider the difference between Continue reading “Margins and survival: a primer”

End tax discrimination NOW

mainstreetIn a world where both houses of the U.S. Congress are often paralyzed by partisan divisions, a rare bit of light escaped with a hard-earned victory for those who believe in tax fairness. The U.S. Senate has passed the Marketplace Fairness Act of 2013 (S.743) by a vote of 69 to 27.

The legislation would give states the authority to require remote sellers (Internet retailers Continue reading “End tax discrimination NOW”

Taking aim at Internet competition

ibdsummit2013As an independent bicycle retailer, do you use a company’s policies on MAP pricing and Internet distribution to help you select products to sell in your store?

The answer was a decided YES during a vigorous panel discussion at Interbike’s IBD Summit in Monterey, California, April 18.

The panelists pictured are from left Charlie McCorkell, Chris Holmes, Mike Hamannwright Continue reading “Taking aim at Internet competition”