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Intense Cycles goes Rider Direct with new hybrid sales model

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Citing the need to keep up with a digital world in an analog industry, Intense Cycles is going consumer rider direct. But rather than going with the click-to-brick model that a number of other brands have employed, Intense has implemented what they are calling a hybrid model that allows consumers to have the bikes shipped directly to their door. Once delivered, they’ll have to finish the assembly of the bikes with the included custom assembly box complete with the specialized tools needed – and step by step help from Intense Factory Racing Technical Director, Chappy Fiene, in a series of how-to videos.

If you’d rather have the bike already assembled, Intense Cycles will still be offered through their dealer network at the same price that you’ll find online.

To make it work for the shops as well as the consumers, new bikes will include a limited service plan through your local Intense dealer no matter how the bike was purchased. According to Intense Cycles CEO Andrew Herrick, “It was imperative for us to keep the dealer involved in commerce chain. It should be important to all bike brands to support the IBD and help keep bike shops healthy and thriving, as they are the cornerstone of our industry.”

The news comes at the same time as reduced pricing across the board, making Intense Cycles more accessible than ever. Check out the link below for more.

intensecycles.com

 

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fred
fred
5 years ago

This is supposed to be good for IBDs??

D-con
D-con
5 years ago

Is that a requirement?

Not to be snarky or dismissive of people’s livelihoods, but to succeed going forward shops should reexamine where they do – and don’t – add value. Have a look at the editorial I today’s Bicycle Retailer, which I largely agree with but can’t express nearly as well on my phone: http://www.bicycleretailer.com/opinion-analysis/2017/12/04/opinion-its-end-road-ibd-say-hello-ibs

David
David
5 years ago
Reply to  D-con

Many great points in that article. The tsunami is coming…

Gillis
Gillis
5 years ago
Reply to  D-con

Man, that should’ve said/written 10+ years ago (the linked article). I’m not aware of every shop in my city, but I know a number of the smaller ones to open have followed this model to some degree.

myke2241
myke2241
5 years ago

How is that “hybrid”? That is direct to consumer

Newton
Newton
5 years ago

Makes sense to me. Many people have no clue how to put together and tune up their $6000 (or more) bike. For those people an extra cost at a bike shop that is supported by Intense can provide quality work without voiding warranty.

AngryBikeWrench
5 years ago

What I think is interesting about this is pricing. MSRP still (as far as I know) includes margin for dealers (not enough margin to stay in business, but that’s another conversation). I’m an experienced mechanic and would prefer to assemble it myself, so where do those extra dollars go? Has to be back to Intense, right? So which brand is going to start lowering MSRP to be competitive, thus virtually ensuring IBDs cannot afford to sell their bikes?

J N H
J N H
5 years ago

My expectation is all of them. In the last five years most ‘name’ brands have pushed prices up and up. While they did that direct sales moved in and took the middle price range of the market away. Intense bikes roll out of a factory in China just like YT and Canyon, it’s hard to justify the msrp being double when they offer nothing different. Bike shops have gotten caught in the cross fire, but ultimately direct sales have hurt them less than the aggressive demands of Giant, Trek, Specialized and so on, not to mention the arrival of own brand bike shops.

FFM
FFM
5 years ago

You’re going to end up at the dealer anyway… If it’s the same price you might as well start there.

TimE
TimE
5 years ago
Reply to  FFM

This model isn’t that different for USA based buyers but for international buyers it means cutting out a middle man distributor and instead appointing IBS which can be bike shops or independant mechanics who have been vetted by Intense. That alone is a 35% saving for us

dustytires
5 years ago

Intense is just doing what everyone in this industry and possibly many other markets will be doing, user direct sales. Ya think specialized, trek and giant aren’t going rider direct? They have already been doing it thru ‘brand owned’ shops. Check out Bicycle Retailer and Industry news web site.. the big companies are either taking over, starting fresh or rebranding etc whatever you want to call it, but they are crawling from town to town taking over what they need to, to keep their foot hold on the landscape, every week there is a story about a giant this or a trek that or specialized concept blah blah. The bike shops in towns absolutely need to survive, because most riders cannot work on much, and with complexity skyrocketing from finicky 1X BTension screws, to fixing plugs and programming electric shifting, tubeless tires and if the industries dream comes true, electric motors and digital controllers and firmware upgrades and on and on. The bike shop in town still has a job to do, who makes the money though is to be seen.

Me
Me
5 years ago

This is not new. This is the same as Jenson USA and others.

DG
DG
5 years ago

Do other countries have the same service?

^^*)

turok
turok
5 years ago

I feel like bike shops are the ones who need the ‘hybrid model.’ Many of the points made in the BRAIN article about the IBS are valid for sure, but I think the reason many bike shops struggle is because they aren’t well run in the first place. IBDs are almost exclusively run by people who love cycling first and owning a business second. Its of course possible for a passionate cyclist to also be a shrewd business owner but it seems like its the exception rather than the rule.

So how have IBDs lasted this long if the majority of them aren’t well run businesses? Because your average bike buyer has never heard of bike rumor or pinkbike and just wants to walk into a store, test ride a few bikes, pick one and be on their way. I’m sure almost everyone reading this has purchased a bike(or frame) based purely on the geometry chart. Does anyone think a Trek FX or a Giant Cypress has ever been purchased this way?

A good IBD needs to embrace and not alienate the online shopper so they can get the dollars that come from assembling the bike they bought online or installing the component they bought online. They also should have no problem keeping bikes and clothing on their floor and not losing money on it. There is still added value in buying your bikes and parts from a shop. Its up to the customer to determine if its worth it.

As far as IBDs going away and all brand moving online, I don’t think so. The average bike buyer needs waaay too much help for the bike shop to shift that dramatically.

fred
fred
5 years ago
Reply to  turok

this is a great comment. none-the-less, running any sort of small retail business is difficult, especially when you combine brick and mortar, service/repair, and online sales as one outlet. it is just not an easy thing to do.

also, with the amount of time it takes you to drive to and from a lbs, the average person can learn (on youtube) to do the steps required to assemble a bike! it is simply not that difficult, and it requires very few tools. and what about fully assembled bikes to your door? for example. Shinola offers such a service: ‘They arrive fully assembled and only require the user to set their saddle height using our complimentary 5mm allen key.’

the internet is killing lbs and other small retail stores! duh.

i am amazed that some many small shops are in business. they simply are not competitive with other mediums, the semi-skilled mechanics that inhabit many shops are the only real benefit to using ibds. of course, a well establish and reputable shop is the exception to all of this, but really, how many shops are like that – some small fraction of ibds, of course.

(deleted)

Me
Me
5 years ago
Reply to  fred

Some people actually enjoy handing their money over to a human being who physically thanks them. Its a nice experience.

caliente
caliente
5 years ago

Something not brought up is the floor space a dealer doesn’t have to use to stock the inventory of these bikes; nor do they have to worry about stocking any specific sizes/size-runs. That space could be used for other items that actually sell and bring in the dollars.

I kind-of hate it, but at the same time, the barrier to entry for people takes them to sporting goods stores as-is.

Some Guy
Some Guy
5 years ago

Trying to buy a YT, between the incompetence and blatant lying was the worst 6 month customer service experience ever. It’s made me reevaluate what I considered “bad service” at the lbs. I’ve sticking to my lbs’.

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