THE YEAR THAT WAS
APRIL
MAY
JUNE
EYES TURNED to the East in April, and the news from the Tapei trade show was that the trade was talking about price hikes, not nice bikes. Reports expected bicycles would have to become more expensive due to China consuming more raw materials and the strengthening of the Chinese RMB. JJB revealed plans to shut 72 stores after posting an operating profit decline of 28 per cent year-on-year. Also in April, Trek filed suit against Greg Lemond following Lemond’s suing of the firm. The month saw massive investment for Evans from Active too. April brought the announcement of the first ever BikeBiz awards – a long overdue celebratory date for the trade. In fact BikeBiz was even more busy than usual in April, also launching the mobile site so that the trade could keep up to date with the latest news on-the-go via their mobile phones.
BRITISH MANUFACTURING received a shot in the arm in May with news that Brompton had pumped £1 million into its Brentford HQ. The firm also revealed that year-on-year turnover had leapt 27 per cent. In contrast the BRC revealed that the High Street was taking a battering with the worst performance in three years. Sportsdirect.com got chastised by the OFT for its ‘closing down’ sales and a team of scientists managed to kick up a storm by making the hugely a controversial link between cancer and carbon nanotubes – common components found in sports equipment, including bicycles. Meanwhile BikeBiz’s own Carlton Reid won an award for his blog, Cycling England went public with a plea to get kids back on bikes, Bohle moved to a new hi-tech headquarters and manufacturer Saracen bolstered its HQ staff.
GORDON BROWN voiced his backing of bikes in July, saying “the place of cycling in our society is set to grow, and I’m committed to doing everything possible to encourage that.” Meanwhile, the UK trade was urged not to panic at increasing lead times for Shimano product. The firm reacted to those delays by significantly ramping up production. July also saw JJB shareholders kept happy by buyout rumours that sparked a boost for its share price. Sales figures revealed a rise in city cycling, Halfords appointed a new CEO – former WalMart exec David Wild – Europe got its own handheld bicycle show and the disposable fifteen quid bike, made of cardboard, was revealed. June also saw a higher profile for worlds of biking and ecological awareness with a combined event at the Camden Green Fair and Bikefest.
JULY
AUGUST
SEPTEMBER
JULY BROUGHT news that London’s cycle retailers were urging Transport for London to spend cash on repairing existing cycle networks, rather than splashing cash on new structures. Elsewhere, rising bike use in the US had boosted urban-commuter bikes, according to research from Nielsen. But there was yet more glum news for retailers as a survey from GFK told us that UK consumer confidence had hit an all-time low. July also saw the theft of David Cameron’s bike, pinched while he shopped for salad. He described the bike as an ‘old friend’ and luckily for the Tory politician, a PR-savvy Dutch tourist board waded in and offered the Tory leader a replacement. Elsewhere, BikeBiz hailed the news that honours had been granted to two of the industry’s best-known characters – Robert Chicken Snr and John Grimshaw.
THE OLYMPICS grabbed the headlines in August, with cycling heroes Chris Hoy, Nicole Cooke, Bradley Wiggins and Victoria Pendleton boosting cycling’s profile and popularity in the UK. Retail certainly saw a knock-on effect, with Evans taking £100,000 in one store during ‘victory week’. Eyes also turned to Britain’s own Olympics in 2012, with the MTB venue confirmed to be at Hadleigh Farm, Essex. August saw high-profile resignations in the biking industry, including Halford chairman Richard Pym – leaving to join Bradford & Bingley, while Cannondale CEO Jeff Frehner also moved on. Meanwhile, Gordon Brown insisted his hands were tied on the matter of scrapping import duty of bicycles, despite a huge online petition. The BikeBike Awards Finalists were also announced, in August, ahead of the October Awards.
THE AFTERGLOW of cycling’s Olympic successes continued into September, with Tesco reporting a 130 per cent rise in bicycle sales. JD Sports also had something to celebrate this month, reporting a pre-tax profit rise of 71 per cent. The month saw the first shipment of Powabyke’s X-byke sell out before it arrived, and Canada’s Ryder eyewear range came to the UK. TfL and LCC set up the cycling centre in West London and ETRA was forced to cancel Mobility Week. The event had been intended as a key opportunity to target MEPs with the E-bike and PTWs as a solution to congestion in European cities. Rumour became reality in September too, with confirmation that Lance Armstrong was to come out of retirement and hit 2009’s Tour De France.
OCTOBER
NOVEMBER
DECEMBER
THE FIRST EVER BikeBiz awards took place in October. Bob Chicken scooped the Industry Acheivement Award, with BikeRadar, Sustrans, Rouleur and USE Exposure all winning accolades at the virtual event. Other winners on the day included DMR, Madison, Hope Technology, Hot Wheels, Extra UK and Edinburgh Bicycle Co-operative. Condor Cycles, CRC and Halfords also received awards, voted for by a panel of industry judges. October also saw claims from the AA that motorists are turning to cycling and away from their cars. But in less positive news, the UK manufacturing industry recorded its sharpest decline in 17 years. Bizarrely, Cycling England found that fears of ‘helmet hair’ put 27 per cent of women off cycling, while Velorbis entered the tricycle arena and Zyro signed an exclusive deal with Prologo.
WITH CHRISTMAS looming and concerns on the High Street over how sales might suffer in view of economic gloom, the Government took ‘extraordinary measures’ and cut VAT. The move wasn’t universally praised, with many questioning the value of the move to the UK’s economy. Inflation did drop in November though and Halfords saw an increase in turnover and electric bikes sales continued to surge. November also saw Transport for London launching a safety campaign to protect cyclists. Ironically, in the same month the GLA unveiled plans to allow motorcycles to use bus lanes, a move that angered cyclists over fears that the area wouldn’t be as cyclist-friendly as in the past. Tweeter was also on the trade’s lips, or fingertips, as the new social site to keep in touch with the rest of the industry.
DECEMBER SAW the bike industry grapple with the worrying economic climate; Greyville announced it would hold prices for Christmas, while Evans cut prices by five per cent. Internationally, China raised export subsidies to keep bikes buoyant. And in the crucial trading month, pundits remained generally upbeat for the cycling trade. Cycle shows were selling out, while biking emerged as one of the big hopes to keep the economy ticking over. It was a tale of mixed fortunes for retail chains though. Outside the industry Woolworths’ fortunes took a tumble, while within sales dipped for JJB. In contrast Halfords expanded its High Street offering by unveiling its ‘independent’ Republic shops. December also saw Madison acquire Saracen and Chris Hoy helped the industry end the year on a high by winning BBC Sports Personality of the Year.
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BIKEBIZ JANUARY 17