Troubles In Waterloo

 NOTE: Large doses of "my opinion" will be handed out in gloppy dollops today. You've been forewarned.....

Introduction:

I was recently forwarded a link to an article on the "Escape Collective" site by Ronan Mc Laughlin which has painted a troubling picture of industry giant, Trek Bicycles. My link was a "gift" link, so I was able to read the entire article, but this is a paywalled site, so if you have a subscription, go read that and you will get a good feel for what is happening with Trek. Also, if you'd rather listen to N.Y. Roll and I discuss this topic, and others, we get to this in our latest podcast episode HERE. 

From my personal perspective as a person who worked at a Trek retailer for almost two decades, I will give my own take on this subject, as some of what is written about in the article I read has roots going way back with Trek. This also probably will be similar to workings at Specialized, and to a lesser extent, other brands in cycling. 

 The Problems:

There is no doubt that there are two major weights on the cycling business currently. One is still an abundance of inventory in several categories. This has been detailed at length by trade magazines. The second is an ongoing downturn in consumer buying. Several factors go into the consumer part and the consumer part directly relates to the inventory bit.  

In my opinion, Trek, and related cycling brands, haven't pivoted quickly enough, or at all, from their trade practices embedded within their company's cultures. Trying to force excess inventory on dealer's backs, discontinuing popular models, and misdirecting efforts into products with little mass appeal hasn't just been something which has happened recently. These things have been happening for decades. Literally. 

Add to this the internet. I like to think of this in terms of how we used to access music, and how music is accessed now. At one point, when I was young, (admittedly, back when rocks were soft!), we had the radio, the rare concert, or covers by local bands to learn of new tunage. That was it. Oh.....maybe your local department store played new tunes in the record department. But you get the picture. Access was limited. We were all directed into these similar silos. 

Now/ pffft! Can anyone count the ways music can be accessed now? I doubt it. This is why "record departments" no longer exist in mass quantities anymore. It is why AM/FM radio is unknown to anyone under the age of 40 years. Concerts? Yeah.....maybe. If you've got tons of expendable income, then maybe. 

We refurbish and scrap tons of bicycles every year at the Collective.

So, bike shops were the "radio/record shop/magazine" for bicycles. Now days, you can get bikes anywhere. Used ones, new ones, direct from factory ones, and you can even design your own bicycle and have it made in China and shipped to your doorstep. 

 The Non-Evolution Of Bicycle Retail:

Bicycle brands relying solely, or nearly so, on bicycle shops are cutting off several avenues for reaching consumers. And maybe it doesn't matter. Especially if Trek or some other well known brand is seen as something out of touch with younger consumers. 

Like maybe Trek is the modern day equivalent to rotary phones for the younger generations. A "grandpa/grandma" brand which is so out of touch the youth won't even give them a chance. I don't know, but I do know in the shop I worked at which handled Trek, seeing younger folks actually buying Treks was rare. 

Overproduction: 

Finally, there are just way too many bicycles being produced. At the Collective during the year of 2025 we hauled about 6 metric tons of scrap to the recyclers, all bicycles or bicycle related things. We refurbished well over 100 bikes for sale to the community. All freely donated things. All out of one tiny non-profit shop in a modest sized Mid-Western city. (I'm not counting bicycles we gave to people in need) 

Think about this - If we were to just get the bicycles sitting around in your city up and running again, we wouldn't need any new bicycles. And people are catching on to this. I've seen two recent YouTube videos with subject matter related to restoring old 1990's mountain bikes and how versatile those bikes are. (No lies told either.)

Just the sheer amount of resources and knowledge at our finger tips is also unmasking the decades long secret of over-production of bicycles. There are reasons why it worked for so long though. The marketing over the years created near feral thoughts in consumer's minds which moved us to buy the "latest and greatest" thing. Look, I am not absolving myself here. I am just as guilty as anyone when the new shiny thing comes around. (32" wheels anyone?), so yes - I am also part of this problem. But now more people are catching on that just because a bike is a few years, or even a few decades old, it doesn't mean it is not awesome. This cuts into new bike sales also.

 Conclusions:

  Read the article from the "Escape Collective", if you can. The author makes it sound like pretty dark times are ahead for Trek. You can contrast those thoughts with mine here. Any way you slice it, as I have said here before, bicycle retail is in for a major resetting in the next ten years."Traditional" bicycle shops will be rare. Whatever takes over will not look like the chaos we have now.