Rossignol Group Restructures Time Sport
SAINT-JEAN-DE-MOIRANS, France – Rossignol Group SA, the French outdoor company, announces the restructuring of Time Sport, the premium road bike brand bought by the group in February 2016. The management has decided to cut jobs and to relocate production.
The Rossignol Group has chosen to transform Time Sport after three years of unprofitability. A plan has been set up “To optimize production and to improve the integration of Time Sport in the Group’s bike division bringing it together with Rossignol and Felt,” is pointed out in a company statement. It also underlines that “Time Sport bikes will continue to be designed and assembled in France.” The significance of this statement is in the fact Rossignol is speaking of assembly and not manufacturing as until now.
Loss in competitiveness
Regarding the difficulties of Time Sport, the management says that the number of production sites (Nevers and Voreppe in France as well as Gajary in Slovakia) is one of the biggest problems. It brings too much costs and with that a loss in competitiveness in a highly competitive premium bike market, argues Rossignol.
Focus on Gajary in Slovakia
As a result, the Voreppe (Isère) Time facility – where the premium bikes are partly manufactured – is at the forefront of the restructuring plans. It mentions 29 jobs of the 43 total that are to be cut. The Rossignol Group statement also talks about a complete shutdown of the Voreppe facility. Instead the French outdoor company is to concentrate its activities in its Gajary, Slovakia production site as well as in Nevers, France where Time Sport produces its pedal range.
Next to production Time Sport is also relocating its design and marketing departments to the Group’s HQ in Saint-Jean-de-Moirans, France. “The transfer of all activities will begin soon while the Slovakian production facility will be operational this summer,” says Rossignol.
The Group has also changed the management of its bike division. Its former MD, Sylvain Noailly, has been appointed VP marketing of Rossignol’s “special program”. The bike division is now headed by Scott Rittschof as Senior VP. For Time Sport a brand manager is to be appointed soon. For the other brands of the Group, Maxime Millet is in charge of Rossignol while Michael Forte is the GM of Felt.
Tripling cycling revenues
Rossignol acquired Felt Bicycles early 2017. It was the outdoor company’s 2nd investment in cycling after the Time takeover. With the focus on cycling Rossignol aims to reduce its dependency on snow sports. Early 2017, at the time of the Felt takeover, it was said that Time Sport generated in 2015 some 10 million euro in revenue. Felt Bicycles was said to generate annual sales of some 56 million euro. Total Rossignol’s annual sales stood at 243 million euro in 2017, according to a Reuters report. The biggest money maker for the company is in exporting and sales of ski equipment. At the time of the Felt takeover it was said that Rossignol’s aim is to triple the revenues from cycling activities within four to five years.
Interested to get the latest on the e-bike and bicycle market?
Register now for the Bike Europe newsletter.