Market Place & Trends
Performance and sport cycling is a passion from weekend warriors to age group triathlon racers. Consumers in this space spend and the Tour de France teams having annual budgets in excess of €635 million.
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Below are articles and news worthy market place posts.
Triathlon Consumers Educated and Tech Hungry for Equipment
Article in the New York Times
"For all amateur triathletes is $126,000/yr according to USA Triathlon, the largest multisport organization in the world. But not all triathlons are the same... "Ironman". World Triathlon Group, the organizers of the Ironman races, conducted a survey in 2015 on this subset of triathletes and found that their average income is double the average of the general triathlon participants at $247,000/yr."
Garmin Multimillion Dollar Investment in Cycling Aero Testing Technology
Multimillion dollar investment to target cyclist thirst for getting faster
"Our innovative TAS is a cutting-edge technology that allows real-time testing of aerodynamic efficiency while you’re riding. The system allows us to measure your coefficient of drag (CdA) as you ride, and it enables us to conclusively determine the optimal position and equipment combination for you and your bike — ultimately improving your performance."
Cycling is Replacing Golf as the Sport that Facilitates Business
Financial Post
"Real go-getters are cycling, entering triathlons and competing in Ironman competitions. If you are sceptical about whether Lycra is the new Pringle, look no further than the $130bn Verizon-Vodafone deal in which chief executives Lowell McAdam and Vittorio Colao thrashed out terms while riding bikes"
SRAM -High-tech bicycle-components company that last year raked in $700 million and is up 15%
Business Insider
CEO Stan Day told Business Insider that SRAM's product innovation was the driver of its success. It was awarded 16 patents last year alone.
Shimano is about $2 billion in sales in the bike industry; we're about $700 million.
Road Cycling Market Goes Aero
Top bike manufacturers design lighter, comfier and faster bikes then ever before.
The new S-Works Venge is a little more real-world, and it’s faster and lighter than ever. Specialized won’t say how much faster, but the brand does claim to have shaved 240g off the frame and added around 40–50 percent more compliance compared to the ViAs, although the Tarmac is still more comfortable.
Zipp 454 & 858 Technology Real World Areodynamics
SRAM's Zipp div. applies Real World Aerodynamics to increase riders performance, speed and handling
Zipp’s new 454 NSW Carbon Clincher is radical by design, evolutionary by nature. In the natural world, creatures are honed over generations to achieve a competitive edge within their environment. The result of this natural design process is adaptation − new shapes and forms that achieve a higher degree of efficiency and control.