Another Cervelo dealer no more?

is is just me or does it seem that Cervelo Dealers are dropping like dresses on prom night? I seem to recall that a couple of online dealers dropped or got droppped by the brand and now my favorite local shop is no more.

Where am i supposed to go and drool over Soloists and R3’s now? i love Ti bikes most of all, but there is something about that soloist that makes me want to sell both bikes and get one SL. Why, because it is that sweet.

(sorry if this is talking out of school, I’m not trying to knock the manufacturer or the dealer, I was just curious)

I was wondering the same thing. I saw that Trisports.com carried them for about two months and all of a sunnden they were on clearance and wouldn’t be carring them. There has to be something up.

In our area, they added a 2nd dealer this year…

I am no expert on the bike shop industry (nor am I involved in it), but earlier this year I had the pleasure of being fit by one of the more respected bike shop owner’s in the area - he was planning to carry Cervelo’s this year, but was having some issues working out the payment terms. Appearantly compared to other brands he sold they were quite agressive.

my LBS dropped Cervelo last year. Said Cervelo changed some of their terms and raised their minimum inventories beyond what he could afford to stock.

I hate the dealer model of selling things, i hate it with cars, I hate it with bikes.

I wish everyone would just sell direct. It sucks dealing with dealers, I imagine it sucks to BE a dealer too. Having to sell things that other dealers get for the same price you do, prices get driven down to minimal margins every time, or you have to abide by manufacturer prices.

Its a huge mess, and inefficient.

heh

I believe you and I are fitted by the same bike shop. I heard the same explanation. It is my understanding that Cervelo required a certain amount of stock to be held by the dealer and required a high percentage of up-front payment for those items. This particular shop specializes more in professional fitting and custom ordering to match said fit, rather than having a number of bike sitting around the shop, which made it impractical.

Speaking as a Cervelo dealer I can sincerely only relate positive experiences. Our outside rep, Ron, our inside guy, Brett and our credit person Christy consistently go above and beyond for us- usually to cover something I screwed up- not them. I’m not saying that to kiss ass or to try to score points with Cervelo lurkers on the forum. It is simply true. Additionally, because we are so busy and I can be a real jerk since I am so busy, we are not the easiest dealer to work with.

Cervelo is a very different bike company. Very different. As such, the interaction with them will be different. They are not Trek, Giant or Specialized. That’s good. The “Big 3” are companies that provide a finite set of products within finite categories- but they do not compete with Cervelo. They try, but they don’t. Truth be told, there is more innovation, new thinking and engineering in Cervelo’s least expensive P2SL (read Slowman’s review) as there is in “competeing” brands most expensive carbon fiber show bike.

Think of it this way: Cervelo = Ferrari. That is how their business is built- a racing heritage, engineering background, innovative ideas, form follows function. Many of the other bike companies focus on other areas of their operation such as value priced bikes, relaxed geometry road bikes, mountain bikes, etc.

Cervelo can be equated to a cycling version of Ferrari, both good and bad, and many of the other bike companies are more “Ford and GM” oriented with a broader line and a consequently diminished focus on specific niches like high perfromance, aerodynamic road and time trial/triathlon bikes. Dealing with Ferrari is different than dealing with Ford and GM. If a dealers expectations, for better and for worse, is that they are going to be working with Cervelo the same way they work with Giant, Trek and Specialized then they are going to find out things are somewhat different with Cervelo.

Another circumstance we’re seeing is dealers bringing in Cervelo to jump on the triathlon/road bandwagon. They see the dollars in that segment of the market and decide to floor a bunch of Cervelos right alongside Trek, Cannondale, Giant and Specialized. That is going to create some political issues on the sales floor. THe big guys are obviously threatened by rapidly growing, highly successful trend setting companies like Cervelo. Look at the number of P3 knock-offs from other companies with more on the way. When a Trek or a Specialized offers incentives for a dealer to focus on their brands at the exclusion of niche brands some dealers decide that makes sense for them. For most dealers triathlon is a passing fancy. Committed dealers usually have success with Cervelo if they are dedicated to the line and they understand the product.

Cervelo is like Ferrari, and there is a reason why Ferrari doesn’t make pick-up trucks. There are also reasons why there are a lot of places you can buy a nice pick-up truck, but maybe only a few Ferrari dealers.

I hate the dealer model of selling things, i hate it with cars, I hate it with bikes.

I wish everyone would just sell direct. It sucks dealing with dealers, I imagine it sucks to BE a dealer too. Having to sell things that other dealers get for the same price you do, prices get driven down to minimal margins every time, or you have to abide by manufacturer prices.

Its a huge mess, and inefficient.

heh

Clearly this statement is made by someone who has no idea what they are talking about. Nobody with any experience in the real world of manufacturing, sales, or distribution would ever make this statement.

There is no better way to get your product to the masses then distribution. End of story.

I’m not speaking from the point of view of the manufacturer, I’m speaking from the point of view of the customer.

It sucks for me, the customer, to have to deal with a middle man. I lose in every way. I would much rather go to Cervelo.com, buy a bike, get it shipped to me. It would be cheaper and I wouldn’t have to listen to sales BS (which drives me mad, by the way)

Also, I think Michael Dell might say the same thing I just did, he has had some experience and success in the real world of manufacturing, sales, or distribution…

=)

I hate the dealer model of selling things, i hate it with cars, I hate it with bikes.

I wish everyone would just sell direct. It sucks dealing with dealers, I imagine it sucks to BE a dealer too. Having to sell things that other dealers get for the same price you do, prices get driven down to minimal margins every time, or you have to abide by manufacturer prices.

Its a huge mess, and inefficient.

heh

Clearly this statement is made by someone who has no idea what they are talking about. Nobody with any experience in the real world of manufacturing, sales, or distribution would ever make this statement.

There is no better way to get your product to the masses then distribution. End of story.

If less stores are carrying them, that just means the ones that do can jack the prices up more and more. Less competition for lower prices

I’m not speaking from the point of view of the manufacturer, I’m speaking from the point of view of the customer.

It sucks for me, the customer, to have to deal with a middle man. I lose in every way. I would much rather go to Cervelo.com, buy a bike, get it shipped to me. It would be cheaper and I wouldn’t have to listen to sales BS (which drives me mad, by the way)

Also, I think Michael Dell might say the same thing I just did, he has had some experience and success in the real world of manufacturing, sales, or distribution…

=)

haha…I wouldn’t use Dell as an example since they are now selling their PC’s in Walmart. And they are being supassed in sales by HP and others are coming on quickly.

I guess the problem is I am not the uneducated clueless masses, so what works for 80% of the population sucks ass for me =)
.

Clearly this statement is made by someone who has no idea what they are talking about. Nobody with any experience in the real world of manufacturing, sales, or distribution would ever make this statement. There is no better way to get your product to the masses then distribution. End of story.
no, these statements are truly made by someone who has no idea what they are talking about.

nobody with any experience in the real worlds of communication, human nature, and business innovation would ever make these statements.

because there is*** always ***a better way to do everything. that is why there are thousands upon thousands of innovative process and utility patents filed every year.

end of story.

The Dell example is still valid. They are not seeking to sell at WalMart because it’s more efficient. It certainly is not. They need market share even if it costs them to gain it. It’s dumb that people support inefficiency, but people act irrationally. I have a friend who sells cars who ought to chime in on this topic.

Mr. Burns

From my local perspective (Ames, IA), our best LBS just starting carrying Cervelo and they are selling a lot of bikes. They apparently had a difficult time getting signed on with them, but the local demand has been quite high and they are now filling that demand with bikes. I’m very happy for them.

That said, their prices are high. The stock, Dura-Ace P2C they have on the floor right now is $3500. That’s:

$500 more than the list price on Cervelo’s website
$500 more than I have seen it at TriBonzai
$500 more than at All3Sports ($625 if I take their Ultegra mix vs. the stock Dura-Ace build)
$500 more than at SBR ($800 more if I take their Ultegra build)

I really like my LBS and I would like to support them, but $500-800 is, to me, a stiff price to pay for going local. If I ever finally pull the trigger on a new bike, it’s going to be a very tough decision.

mm

I know that Sporting Life in Toronto now carries the Cervelo range… a store that is fucking clueless about everything.

it’s a huge mess, and inefficient.
bingo.

be patient, irregardless of the screams of the entrenched, the business world is indeed changing.

yes, i would agree to a certain extent. However, Dell has always gone by the business plan that it will be online sales and only online sales that will make their business. They have seen this is not so and are now adding retail stores to their repertoire. So while they are certainly good at their online sales, even they see that will not be the only way consumers will buy goods.
Personally, I think Dell has bloated their online “experience” to the point it is a pain in the ass for systems folks to get what they want/need quickly are going elsewhere as a result.

Really? The reason we can buy pick up trucks at a lot of places, and Ferrari’s at only a few is because a pick-up truck is $25-40K and a Ferrari is $200K.

I understand what you’re trying to say, but GM can, and has built some pretty good race cars.

I do understand what you’re trying to say–but I find it hard to swallow that Trek, Giant, and Specialized can’t make a proper race bike because they also make hybrids.