Bicycling has seen fairly rapid growth in recent decades. Mountain and touring bikes have been seeing especially strong sales.
Women have been gaining more interest in biking. Because of this and more public attention on personal health, the industry will grow more in the future. Some experts are predicting bicycling will soon become the most popular form of exercise.
Starting any type of retail company is difficult, and a bicycle company would be no exception. Most bike companies go broke within the first three years of business.
Many other forms of retail – large chains, online mega stores, and mail order provide tough competition. Small stores struggle because they are unable to compete on price.
One competitive advantage a small store has is the potential for excellent customer service. Expanding services to include repair can also provide a leg up on the competition.
If you are considering running this type of company, be sure you are strong at business. Most stores are run by hobbyists who often lack the business skills needed to succeed.
Fortunately, the news isn't all bad. There is plenty of current demand, with more coming in the future. Governments are becoming increasingly aware of public demand for biking infrastructure.
Increasing numbers of companies are also designing appealing products to meet public demand. Just about every part of a bicycle has seen major innovation in the past five years.
If you're interested in a bicycle business for sale, keep in mind there's plenty of risk and reward involved.
If you are going to succeed in this industry, you will need strong merchandising and accounting skills. Success also largely depends on your ability to effectively advertise and manage customer relationships. The ability to work long hours and bounce back from setbacks is important also.
By providing quality and personal attention to each customer, you are giving yourself the best chance at success. Don't fall into the trap of using low prices to attract customers. Your prices will have to be so low that you don't make any profits!
If you're looking at buying a bicycle business, be aware of the risks involved. If you've already started and have realized you're in over your head, consider selling your bicycle business.
About the Author
This Wiki was written by Andy White, CEO of Biz Trader .