KOM has entered the UK cycle market as a distributor for Basso Bikes, Lee Cougan Bikes USA and Granite Designs.
The firm told CyclingIndustry.News that it is working to a slightly different distribution model then the standard, based on splitting the risk factor for the dealer. It aims to have 50 retailer partners, with one or two per county.
Co-founder Darren Parish told CI.N: “Stores are not expected to ‘buy in’ with large orders, more just invest in 2/3 units as a presence in store. We will then supply demo bikes for their consumers to use for extended test rides.
“The way the model works at the moment sees the retailer take all the risk. They buy the products from the distributor, they employ the staff, pay the rates… it shouldn’t be that way. We offer a system that is similar to consignment and have invested in our stocks.
“We have a direct to consumer and Click & Collect options – the full margin from sales will go to the store which is the authorised dealer for that area. The store will be expected to make contact on behalf of Basso and offer the after sale service associated with IBDs, giving the dealer the potential for further up selling. We want to work as a network rather than in competition with each other.”
KOM has been established for approximately 12 months and started out with unique products the founders spotted whilst travelling the world, at events like Sea Otter.
“Talking to manufacturers from other countries it was obvious some had reservations surrounding importing into the UK. They where unsure of the Brexit issue, they had previously had bad experiences or knew a company that had bad experiences with UK distributors.
“As a cycle shop owner in a previous life and having spent now over 30 years in the trade, I could completely see their points. So I tried to change their minds and offered solutions. We’re only 12 months old and we’re not turning over millions, but we now find ourselves the newly appointed UK distributor for Basso Bikes and Lee Cougan Bikes USA. A position a year ago I hadn’t dreamed of.”
For more details, head to www.KOMltd.cc