Cycling Victories Boost UK Bike Sales
LONDON, UK – As expected by market analysts Britain’s cycling success at the London Olympic Games and the Tour de France has put bicycle sales in higher gear. In July Bradley Wiggins became the first Briton to win the Tour de France and Chris Hoy and Victoria Pendleton helped the country to win gold medals at the Olympics.
Thanks to these results the British bicycle sector is in a very positive mood. Last week Halfords UK reported that its cycling division saw a store revenue increase of 14.7% in the third quarter compared with the year before. By contrast, they were down 9.6% in the first quarter.
Despite the good news, Halfords UK remains cautious due to the difficult economic outlook. Halfords UK, like many British retailers has been hit hard by the recession and issued a profit warning in July resulting in the resignation of CEO David Wild.
Halfords UK named Matt Davies as its new chief executive. He took office immediately. His appointment comes after a bad half-year for the company, which reported a 7.5% plunge in like-for-like retail sales in the second as record rainfall impacted sales of cycles and outdoor goods.