This week: Giant wishes you a Happy MY2017; Biketo.com’s car vs bike brand analogy; Bicycle Cafe retail concept finds flavour in Cambodia; Deadline looms for 2015 Jelajah Malaysia prize money payments; Taiwan’s bicycle exports to Italy booming.
Market Talk is a collection of market intelligence from across the Asia-Pacific region selected to educate and inform anyone interested in understanding the APAC bicycle industry, its key players and the business behind the machines.
GIANT BICYCLES WISHES YOU A HAPPY MY2017
Taiwan’s leading bicycle manufacturer continues to invent new and fascinating ways of staying ahead. On this occasion, by informing select Chinese Giant dealers that MY2017 bicycles were on the way; for November 2015, in-store.
This certainly qualifies as the earliest new model year announcement that Cycling iQ has seen in the industry. No sign of MY2017 road bikes yet as April is traditionally the earliest month for this category. We’ll remain vigilant
THAT OLD CHESTNUT: BIKETO.COM OFFERS ITS TAKE ON CAR/BIKE ANALOGY
In an effort to more succinctly frame the qualities of a particular bicycle brand, retail salespeople often use automotive references that consumers might already have positive associations with.
Commonly, large brands like Giant and Merida will be compared to Toyota (large-scale production, reliable, good warranty, excellent value proposition), whereas European brands might be compared to four-wheeled counterparts such as BMW, Porsche, Alfa Romeo, etc. Popular Chinese cycling website Biketo.com has offered its view for quite a few well-known road bike brands. It’s in Chinese, but images convey the analogies sufficiently.
BICYCLE CAFE FINDS FLAVOUR IN CAMBODIA’S CAPITAL
The Phnom Penh Post reports on a new bicycle cafe that recently opened in Phnom Penh. Citing similar concepts in Melbourne and Singapore as the inspiration, Bong Cafe Manager Sam Vincen explains that the concept also extends to the early morning coffee rides that also go hand in hand with this genre of retail store:
“(Customers) can come together early in the morning, they can have a coffee here, and then I have two professional riders who can lead the ride.”
DEADLINE LOOMS FOR 2015 JELAJAH MALAYSIA PRIZE MONEY PAYMENTS
Following the chaos of last month’s Jelajah Malaysia when unnamed sponsors reportedly bailed during the second stage of the race, leaving some riders locked out of their rooms with no food provided, more details have emerged. Organiser Peloton Resources has admitted to Malaysia’s Star that a failure to secure adequate funding before the race started also meant that prize money was yet to paid.
“We have one month from the end of the race to settle the prize money. So, we still have some time to raise that ‘little’ sum … it’s not that much and we will get the money ready” assured Musairi, who said that the problem was compounded by the fact that several sponsors backed out during the competition.
“The sponsors who pulled out at last minute … I do not want to name them, and I’m not going to blame them,” said Musairi, a former national cyclist. “Let me be held responsible for these shortcomings. I’m really touched by the support I’ve received from the related parties – my colleagues (in the organising team), race officials, team managers and riders. (It’s) because of them, the race went on.”
Under UCI regulations (below), organisers have 30 days before the race to transfer funds to the national federation (in this case, MNCF), so they can be held for distribution to teams no later than 90 days after the race finishes. Evidently, this didn’t eventuate, and Peloton Resources has been given a mid-January deadline to pay the MYR130’000 (USD30’000) amount.
1.2.071 No more than 30 days before the race, the organiser shall pay over to his national federation a sum covering the total value of the prizes. The national federation shall ensure that they be distributed. The payment may be replaced by a bank guarantee; in this case the prizes shall be paid out by the organiser.
To date, attempts by Cycling iQ to contact Peloton Resources CEO Musairi Musa for comment have been unsuccessful. We hope to publish more details in a separate article as soon as possible.
TAIWAN BICYCLE EXPORTS TO ITALY BOOMING
Pre-2000, the idea that a foreigner could sell high-end road bikes to Italians would have been as foolhardy a notion as selling coals to Newcastle. However, that’s exactly what Taiwan’s bicycle manufacturers have the chance to do, according to the interpretation of latest customs data by Taiwan’s Bureau of Foreign Trade.
It notes “total export value of Taiwan’s bicycle industry from January to September 2015 was up by 14%, and Taiwan bicycles enjoy a 56% market share in Europe. Figures from Taiwan Customs show that exports to Italy increased by 68.6 thousand pieces, accounting for a growth rate as high as 262.34%, from Q1 to Q3 in 2015 compared to the same period last year. (This) indicates that Italy has become a major potential market for the Taiwan bicycle industry.”