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First Look Inside Scott Sports Group’s New Head Office

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GIVISIEZ, Switzerland – Between mid-June to August, the multisport supplier Scott Sports Group will invite 1,600 IBDs from 26 countries to the so-called Scott Week in Givisiez, Switzerland. They will be shown around in the new company head office. Bike Europe got the opportunity to take a look in this new building which will officially be opened in September.

First Look Inside Scott Sports Group’s New Head Office
The atrium of the new Scott Sports Group building is made up of concrete, wood and glass. – Photos Jo Beckendorff

The Scott Sports Group invested a total of 53.7 million euro to put all its activities under one roof. Previously the company was accommodated in five old buildings. The global Scott importers meeting last May with a team of 250 people from 100 countries was the first event hosted in the new facility.

The new building is impressive and Scott Sports’ Group CEO Beat Zaugg is proud of what his company created. It took them seven years from the initial idea to final result. Zaugg himself put in a lot of effort in this gigantic project. When talking to him it is soon clear that he is more into architecture than you might expect. As a trained architectural draughtsman he explains how the planning, execution and management of constructing such building are optimized today with software.

The result is a ultra-modern ‘hard shell, soft core’ building. The outside walls have wing-shaped aluminum elements to align the sun light. On the inside, you find a successful mix of cool concrete, steel and stainless steel paired with warmth radiating wood. Everywhere in the building you can find similarities of the soft and hard good of the product group bicycles. For example the door profiles are said to be designed ‘like a Scott bicycle frame, slim and light’.

Financial details

For 2018 the Swiss company with its US roots reported a total turnover of CHF 700 million (626.3 million euro). The bicycle product group is the biggest by far generating 80 percent of the turnover. For the future all targets are set to expand the company autonomously and via acquisitions, particularly in the outdoor, shoe and apparel segments. “In the next five years we want to pass the CHF 1 billion (900 million euro),” said CEO Beat Zaugg.

Sustainability

Beat Zaugg even speaks of “a symbiosis of bicycle and building, which have been incorporated into the architecture, the clarity of the material, technologies and sustainability. One third of the energy consumption comes from either the solar panels, geothermal and district heating.” Vice President Pascal Ducrot, who has been working for Scott Sports Group for 29 years, emphasizes that “the people were used to work on five different locations in Givisiez. That was no longer up to date. In the new company headquarters we have everything under one roof. This new workplace not only promises more efficiency, but also reflects our corporate culture.”

The new company headquarters, which houses sales, marketing, logistics and R&D departments, currently employs 320 people. “If we take out some meeting rooms, we can easily create workspaces for 600 people,” explains Zaugg. In other words: the new Scott building is set for future growth.

It took seven years from the initial idea to the opening of the new Scott Sports Group head office.

It took seven years from the initial idea to the opening of the new Scott Sports Group head office.

Huge atrium

When entering the new building, you arrive in a huge atrium with a glass roof that adapts to the sun light. On the ground floor the hall includes a cafeteria and a restaurant as well as the showrooms of the bicycle hardgoods Bergamont, Scott and Syncros.

On the first floor you can find showrooms of Scott Sports Group’s other brands as well as the offices of Scott Switzerland. The second floor is home to Scott Sports’ marketing and sales teams. The R&D department is located on the third floor. In addition to controlling and finance, the fourth floor is also home to HR & Legal department.

Beat Zaugg proudly points to the interior design which comes from the high-quality furniture manufacturer Alias Design from Italy. Via his investment company International Retail Corporation SA., Zaugg took over Alias Design in 2015. It not only furnished Zaugg’s executive office, but also the new Scott Sports headquarters with office furniture. The official opening of the new Scott Sports headquarters will take place at the beginning of September – one day before Eurobike to be precise.

Eurobike 2019 without Scott

For the first time Scott Sports Group will not be exhibiting at Eurobike. So far Scott has always been one of the biggest Eurobike supporters. Scott Sports Group CMO Reto Aeschbacher assures that “Scott and Eurobike will continue to talk and understand each other very well.

However, we do not agree with the decision to set the date again for early September. The dealer needs the information for the next much earlier and we want to provide this at a much earlier stage.” The Swiss company will debut this year as exhibitor at ISPO Outdoor. Though they didn’t want to present any bicycles during this show, only their outdoor/mountain sports, running products as well as the bicycle accessories.

New warehouse in Belgium

The Scott Sports Group has also moved to a new warehouse in Belgium. At 55,000 square meters, this is twice as large as the previous facility. “From our new location we supply both our main markets and our e-commerce business,” explains Reto Aeschbacher. “This provides us ample space for takeovers and expansion. Whereby Scott Sports Group intends to grow in the future primarily in the outdoor, shoe and apparel segments.”

Beat Zaugg’s Investment Company

Since long-standing business partner Youngone Corporation holds a 50.1 percent majority stake in Scott Sports Group, Scott Sports Group CEO Beat Zaugg invested in a series of other businesses. Stock-listed Youngone Corporation from South Korea manufactures a large part of Scott’s high quality soft goods. Youngone obtained a majority share in Scott Sports Group in 2015 while the remaining share were kept by Beat Zaugg and the other members of the management. They had become the sole owners of Scott Sports Group in 2005.

Today the Scott Sports Group includes the brands Bach (acquired in 2019), Bergamont (2015) Dolomite (2015), Lizard (2019), Outdoor Research, Bold Cycles, Scott itself, Avanti and Malvern Star of Australian bike importer and Scott partner Sheppard Cycles Australia Pty Ltd. and finally Syncros (acquired 2012). The US brand Outdoor Research is fully owned by Youngone Corporation since 2015 while the Swiss company only holds the European license. Zaugg and his Scott Sports team do not rule out that more acquisitions will follow. So far, the Swiss have done well with their strategy to take over specific premium brands for synergies in purchasing and logistic.

Since the sale of share to Youngone, the sports-, bike- and outdoor-market expert Beat Zaugg could invest at least CHF 130 million (EUR 116.3 Million) via his investment company International Retail Corporation SA. Via this company, Zaugg invested in a series of businesses like Swiss outdoor specialist retailer Transa Backpacking AG, Swiss retailer Intersport Vaucher of Vaucher Sport Spezialist AG, three IBDs of Trophy Bike AG, Ski Service AG in Verbier. Since 2015 Zaugg also invested in Alias Design via his International Furniture Corporation SA based in Greng, Switzerland.

 

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