Online bike firm plans four stores
0 Comments | Leicester Mercury, Aug 6, 2010 | by IAN GRIFFIN
The UK's leading online electric bicycle specialist plans to launch four new stores as it aims to increase turnover by a third to Pounds 2 million next year.
Loughborough company 50cycles wants to open shops in central London, Cheshire and Edinburgh in the next 12 to 18 months, before launching another in the south-west of England.
The firm, which has a store at its headquarters in Little Moor Lane, opened a second outlet in Richmond, south-west London, in May.
It has performed well and helped to give the business two record months of sales in June and July.
Co-owner Scott Snaith said: "We have got a lot of customers travelling to Loughborough from Cheshire and Scotland. They are good markets for us. It's all about looking at places which are sales hotspots."
He said one of the main reasons why people buy its bikes is to make it easier for them to tackle steep hills.
"There are lots of reasons why people buy the bikes - one of them is because they live in a hilly area," said Mr Snaith. "This is the case in Richmond, Cheshire and Edinburgh."
The company, which employs eight people, is on track to increase turnover from Pounds 1.2 million to Pounds 1.5 million in the year to November.
The firm, which was founded in 2003, is set to sell 700 bikes this year, up from 600 in 2009, and increase this to 850 in 2011.
"Most companies start with a shop and then develop their website," said Mr Snaith.
"We did it in reverse - we built a strong online business with a great product and are now using the high street."
Scott and brother Tim, the other co-owner, have drafted their 66- year-old father, Chris, into the business while Tim oversees the Richmond store.
The company, which imports the bikes from Germany, is to launch a new range next year with double the electricity capacity, meaning they can travel up to 100 miles before needing a recharge.
