News Article

Biretco Closes German Offices

Industry- & Retail Organizations

BIKE EUROPE: BREDA, Netherlands (October 26) – The international retail organisation Birectco will close its German offices in Mönchengladbach as per December 31st, 2004. The activities on the German market will be continued from the company’s European headquarters in Breda, Netherlands. Even so, Biretco expects to open its 35th Profile shop in Germany before the […]

BIKE EUROPE: BREDA, Netherlands (October 26) – The international retail organisation Birectco will close its German offices in Mönchengladbach as per December 31st, 2004. The activities on the German market will be continued from the company’s European headquarters in Breda, Netherlands. Even so, Biretco expects to open its 35th Profile shop in Germany before the end of the year.
By closing its German offices, Biretco concentrates all its European activities (the same move has already been made with Veloring, Belgium). As stated by the Dutch retail organisation: “The German market can efficiently be operated and supported from our headquaters in Breda, The Netherlands while it is also the obvious thing to do with regard to Biretco’s centralized payment system and bookkeeping.”
Main reason for this closure, are the disappointing results on the German market. Biretco had expected to open 50 stores in the first year. According to Biretco CEO Ron te Riele: “We will not reach that target. It will be about 35 Profile shops by the end of the year. That we have to adjust our goals has to do with the disastrous situation in which many German IBD’s find themselves. Many dealers that have applied to become a member of Biretco and Profile, had to be turned down on the basis of our stringent quality demands: either their shops or their financial situation were not up to the mark. This means it will take more time than we had initially planned. But we will accomplish our goal to establish 250 to 350 Profile ‘der Fahrradspezialist’ shops in Germany.
The closing of the offices in Mönchengladbach where the former Veloring was based, will mean that 5 employees will loose their jobs. Ad Roest and Astrid Tiefers will remain in the employ of Biretco. Astrid Tiefers will be responsible for all communication with the Biretco members in Germany while Director Roest is responsible for enlisting new members and contract-suppliers. There will not be a new general manager for all German activities which was announced some time ago. (JO)

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