Tariffs & Internet Bikes & Big Box Competition, OH MY!
The modern retail world can seem a lot like that scene in the Wizard of Oz, where Dorothy and her pals bravely stride through the Dark Forest – constantly aware of the lions, and tigers, and bears around every corner. For IBDs in 2019 – the story’s the same. But by sticking together, Bike Shops across the country are finding the path to profitability clearer, easier, and more streamlined. Here’s how we’re helping IBD’s navigate just a few of the challenges 2020 will throw their way.
Minimize the threat of new tariffs in 2019
In May alone BRAIN released two updates (only a few days apart) sharing equally truthful and conflicting news about the new Tariffs facing the bike industry.
On May 10th, we learned Increased Tariffs will slam the market with price hikes on entry level and juvenile bikes. And then, just days later – we also learn that some domestic manufacturers are actually looking forward to the new price-shakeups.
With all that uncertainty – what are IBDs to do?
Many members across the country are implementing membership programs focused on profitability, repeat business, and better margins.
What have you done to protect your margins from new tariffs?
The threat of “Internet bikes” doesn’t have to be a threat
Direct to consumer brands don’t have to be a threat to the local bike shop. If you listened to the latest Channel Mastery podcast on BRAIN, Kristin Carpenter spoke with Canyon’s Blain Clark. In the interview – you’ll hear two key facts: 1) internet bikes can’t touch the local service and expertise of IBD’s and 2) Direct to consumer brands are digital marketing companies that sell bikes, plain and simple
So, how should IBD’s respond? By being the best they can.
It’s no secret that independent bike dealers are facing more competition, and The Bike Cooperative aims to help. Our newest partnership with Retail Toolkit helps IBDs double-down on their local advantage and use the scale of our network to make modern tools for better retail and marketing available to our members at exclusive pricing.
Corporate stores can’t compete with IBD expertise or locality
Are you worried about corporate competition as an IBD? As more big-box stores amp up the pressure in the bike space, it will become more important for members of The Bike Cooperative to utilize (and grow) our scale. Talk to your business consultant today to learn about the industry-leading tools and modern marketing tactics that membership grants you access to.