Facilitating Online Ordering by Consumers Gets Widespread at Bigger Bike Brands
DOETINCHEM, the Netherlands – Next to Accell Group (for all its brands) also Trek is starting to facilitate online ordering by consumers. The US based brand is currently conducting a pilot project in the United States and UK on how Trek can generate direct sales to consumers.
Accell Group announced its omnichannel strategy at the presentation of its first half of 2016 results last July. Trek also examines their potential by running this pilot.
Trek’s pilot project in the United States and UK is to clarify what online ordering by consumers brings in extra sales. It also is to make clear how the position of Trek dealers is guaranteed. Trek Benelux GM Petra De Fluiter stressed at the company’s show that Trek’s consumers approach focuses on ominchannel. Online pricing is equal to that at Trek dealers.
“Our aim is to support dealer sales. When a consumer at the dealer does not want to decide in the store, but wants to go for it the same evening, then he should be able to buy it immediately.” The Trek Benelux GM stressed that the Trek dealer gets his regular margin on the bike, minus the costs Trek makes on handling its online platform. How much these costs are is not clear yet.
By the way, in the Benelux countries Trek is not facilitating online ordering by consumers yet or in 2017.
Competing more effectively
Accell said about its omnichannel strategy. “To enable the company to compete more effectively in the fight to win the favour of consumers in the future, Accell Group is currently tightening its strategy on the marketing and distribution fronts. To make sure Accell Group can continue to serve consumers effectively, omnichannel strategies will be necessary in many counties. Part of this plan is to make it easier for consumers to order bikes directly (online), often in cooperation with specialist retailers.”
Less intermediaries – direct consumer contacts
With getting omnichannel distribution in place the bigger bike brands are responding to growing competition from in particular newcomers; new bicycle and e-bike suppliers that go consumer direct through the internet. Rapidly growing internet sales is also putting pressure on dealer and retailing channels.
The current strategy changes that brings producers in direct online contact with consumers and its effects on the supply chain of the bicycle industry in Europe is broadly discussed at Bike Europe’s Supply Chain – Increased Speed to Market Conference at Eurobike.