Thursday, 25 April 2024
News

Gocycle lambasted by dealers following direct sale undercutting

Electric bike label Gocycle has been blasted by dealer accounts, a handful of which are unhappy at being undercut by the brand’s new omni-channel strategy.

CyclingIndustry.News spoke to a number of Gocycle retailers at the tail end of last week after the launch of its new model on which discounts are offered to customers purchasing direct.

The owner of one of the firm’s long-term stockists explained: “Over the years we have invested significant time and money into the brand, holding stock in our high-rent central London locations. I’m now in a position where I have stock of the range and they’re selling to our customers at 10% off our stockist price.”

The retailers CI.N has spoken to are frustrated that they’ll be offering after-sales service to Gocycle’s direct customers and are as such considering their future position with the brand.

Another capital-based retailer we spoke to said they were a little less concerned, but the practice may weigh in on the decision on whether or not to carry the firm’s new cut price GS model.

An email sent to those on GoCycle’s database offers at the base: During October you can save hundreds off the GS with our special launch offer. Get 10% off all essential accessories including free shipping. Offer valid during October only and for purchases made on the Gocycle webstores for delivery within the EU, USA and Canada.