Wiggle/Chain Reaction owner Signa Sports sales up 48% but lost 37 million euros
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Re: Wiggle/Chain Reaction owner Signa Sports sales up 48% but lost 37 million euros
Postby bychosis » Fri Nov 10, 2023 6:10 am
It seems when it got ‘too big to fail’ egos and greed kicked in and they didn’t read the writing on the wall. Too big to turn it around and not willing to slow down because ‘we’re gonna be the biggest’.
Shame, but perhaps for the better.
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Re: Wiggle/Chain Reaction owner Signa Sports sales up 48% but lost 37 million euros
Postby MichaelB » Fri Nov 10, 2023 8:06 am
It is heavy indeed.elantra wrote: ↑Thu Nov 09, 2023 7:29 pmYikes ! What a read.MichaelB wrote: ↑Tue Nov 07, 2023 9:34 amA long post/article (that I am reading through), but really shows that even the Overall company owner of the mess is also at major risk. Article is from LinkedIn and is by Jacob Dudek, who was the VP of Commercial Operations at SIGNA Sports United before he lost his job amid the turmoil
eeeeeek
https://www.linkedin.com/pulse/postmort ... dek-xau9f/
I guess that I probably understand about 5 % of what is written, but enough to realise that big business is a very complex place
And that’s putting it mildly.
Can be summed up in one sentence. Overextended financially at the wrong time and the plan didn't work.
Lotsa dodgy financial practices though ....
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Re: Wiggle/Chain Reaction owner Signa Sports sales up 48% but lost 37 million euros
Postby AUbicycles » Fri Nov 10, 2023 8:11 am
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Re: Wiggle/Chain Reaction owner Signa Sports sales up 48% but lost 37 million euros
Postby am50em » Fri Dec 01, 2023 12:27 pm
https://www.cyclingnews.com/news/wiggle ... -commerce/Wiggle and Chain Reaction Cycles to switch off international e-commerce stores, citing Brexit
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Re: Wiggle/Chain Reaction owner Signa Sports sales up 48% but lost 37 million euros
Postby MichaelB » Fri Dec 01, 2023 4:42 pm
Bugger, another choice/supplier removed.am50em wrote: ↑Fri Dec 01, 2023 12:27 pmhttps://www.cyclingnews.com/news/wiggle ... -commerce/Wiggle and Chain Reaction Cycles to switch off international e-commerce stores, citing Brexit
PFBB.
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Re: Wiggle/Chain Reaction owner Signa Sports sales up 48% but lost 37 million euros
Postby warthog1 » Fri Dec 01, 2023 7:10 pm
AgreedMichaelB wrote: ↑Fri Dec 01, 2023 4:42 pmBugger, another choice/supplier removed.am50em wrote: ↑Fri Dec 01, 2023 12:27 pmhttps://www.cyclingnews.com/news/wiggle ... -commerce/Wiggle and Chain Reaction Cycles to switch off international e-commerce stores, citing Brexit
PFBB.
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Re: Wiggle/Chain Reaction owner Signa Sports sales up 48% but lost 37 million euros
Postby bychosis » Fri Dec 01, 2023 8:13 pm
Don’t know what the best model is. if all we have is small local bike shops they’ll get screwed on wholesale prices and more of the profits will go to shimano/sram and it’ll cost the consumer more. If there’s a major player they’ll use their market power to drive up prices.
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Re: Wiggle/Chain Reaction owner Signa Sports sales up 48% but lost 37 million euros
Postby g-boaf » Mon Dec 04, 2023 9:01 pm
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Re: Wi ggle/Ch ain Reaction owner Signa Sports sales up 48% but lost 37 million euros
Postby Mububban » Thu Dec 21, 2023 11:41 am
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Re: Wi ggle/Ch ain Reaction owner Signa Sports sales up 48% but lost 37 million euros
Postby Bunged Knee » Thu Dec 21, 2023 2:30 pm
For people who had already ordered from them, info below.
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Re: Wi ggle/Ch ain Reaction owner Signa Sports sales up 48% but lost 37 million euros
Postby pbekkerh » Sat Dec 23, 2023 1:17 pm
Brexit added 25% VAT and 25$ customs handling fee to all orders from the UK.
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Re: Wi ggle/Ch ain Reaction owner Signa Sports sales up 48% but lost 37 million euros
Postby AUbicycles » Mon Jan 01, 2024 2:12 am
Focus on the UK only is flawed but they still have reasonable market access.
Brexit is there for all in the uk bike world, though wiggle / c r c now have less buying power if they are just serving the UK. All the promised lucrative trade deals that the politicians pitched at the people failed (the UK is significantly weaker after Brexit).
One opportunity for a savvy enterprise is to buy the naming rights and rights for international sales. The brand has value and it can be pivoted, otherwise it will devalue and disappear.
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Re: Wi ggle/Ch ain Reaction owner Signa Sports sales up 48% but lost 37 million euros
Postby warthog1 » Mon Jan 01, 2024 10:09 am
I didn't follow it closely though perhaps an argument for compulsory voting much as I dislike it.
c r c/Wiggle were my go to and really helped combat the Australia tax we seemed to pay with higher prices compared to other areas. I will miss them.
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Re: Wi ggle/Ch ain Reaction owner Signa Sports sales up 48% but lost 37 million euros
Postby bychosis » Mon Jan 01, 2024 1:11 pm
It is stupid. Opening up and being collaborative is the way forward. If we don’t, we go all protectionist and end up with more bigotry and wars.
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Re: Wi ggle/Ch ain Reaction owner Signa Sports sales up 48% but lost 37 million euros
Postby MichaelB » Fri Jan 12, 2024 8:46 am
Luckily, the net will usually find something ....
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And it's literally all over !!!
Postby MichaelB » Thu Feb 22, 2024 7:52 am
Crikey !!!'Once the warehouse is clear, it's game over' – WiggleCRC lays off almost entire workforce
By Will Jones published about 6 hours ago
'The new buyer apparently doesn't want anyone' says anonymous source
Just bought for the systems and IP.
The $64 question is what are the replacement options for things like
dhb Bibshorts
High5 Electrolyte tabs
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Re: And it's literally all over !!!
Postby antigee » Thu Feb 22, 2024 1:59 pm
Ashley who owns what has in recent times been called the Frasers Group (previously Sports Direct) has a passion for employing the majority of a businesses employees on "Zero Hour Contracts". Big on acquiring failed businesses for next to nothing, firing and hiring "essential" staff on new termsMichaelB wrote: ↑Thu Feb 22, 2024 7:52 amCrikey !!!'Once the warehouse is clear, it's game over' – WiggleCRC lays off almost entire workforce
By Will Jones published about 6 hours ago
'The new buyer apparently doesn't want anyone' says anonymous source
Just bought for the systems and IP.............
Zero Hours contracts are what they sound like - the employer does not guarantee any hours or pay but employees are expected to be available to be called in at short notice, there is no provision for sick pay / holidays or any other benefits:
https://www.thebusinessdesk.com/eastmid ... bike-brand
"Evans Cycles, which is owned by Shirebrook-based Frasers Group, is to cut 300 jobs and switch its remaining retail staff onto zero-hour contracts in a bid to cut costs.
Evans, which has 55 stores across the UK, was bought out of administration by Frasers Group (then Sports Direct) in 2018, will lose half of its workforce in the move......."
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Re: Wiggle/Ch ain Reaction owner Signa Sports sales up 48% but lost 37 million euros
Postby MichaelB » Thu Feb 22, 2024 3:11 pm
Whatever the new format will be, will make sure not to send him any money
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Re: Wiggle/Ch ain Reaction owner Signa Sports sales up 48% but lost 37 million euros
Postby warthog1 » Thu Feb 22, 2024 7:04 pm
Well said!
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Re: Wiggle/Ch ain Reaction owner Signa Sports sales up 48% but lost 37 million euros
Postby LateStarter » Fri Feb 23, 2024 10:14 am
https://www.cyclingnews.com/news/once-t ... -member/
I am not close to "industry" trends but is this just a UK / BREXIT thing or more general downturn in cycling ??, still seems to be prenty of riders on the street but maybe they have all stopped buying stuff? What should I be worried about / stocking up on?
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Re: Wiggle/Ch ain Reaction owner Signa Sports sales up 48% but lost 37 million euros
Postby CmdrBiggles » Fri Feb 23, 2024 11:30 am
Chain Reaction Cycles has had one wheel in the grave and one wheel on a banana peel for many years; this news is not surprising, and for cyclists in Australia, irrelevant, not even worth a mention really. In Australia, cycling is very much alive and healthy, both as a recreation and at retail turnover level. Post-COVID, it is not quite boom-time because of the cost-of-living and mortgage crunch, but far better than comparable, larger economies (including NZ). The UK is a very different economy to Australia, and is factually in recession at this time (announced a fortnight ago); no doubt this will compound the entire retail doldrums that the UK is experiencing.
Stock up on your needs here. No need to angle for a whale in the UK.
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Re: Wiggle/Ch ain Reaction owner Signa Sports sales up 48% but lost 37 million euros
Postby find_bruce » Fri Feb 23, 2024 12:10 pm
The 2 biggest problems in Australia are (1) the re-introduction of the Australia tax, where wholesalers ensure that the price demanded is significantly higher than in other markets (2) limited stock imported by the wholesaler - plenty of parts that are simply not available in AustraliaCmdrBiggles wrote: ↑Fri Feb 23, 2024 11:30 amStock up on your needs here. No need to angle for a whale in the UK.
My response has been to abandon the any manufacturer who adopts geofencing etc.
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Re: Wiggle/Ch ain Reaction owner Signa Sports sales up 48% but lost 37 million euros
Postby CmdrBiggles » Fri Feb 23, 2024 12:19 pm
Wholesalers in Australia e.g. Trek and GIANT, Focus..., among others, are at the beck and call of parent companies overseas. Indents they order and carry-in are to a large degree dictated by edicts from above — neither too much, nor too little, but settled from market analysis and stock movement. Stock presently is moving very, very slowly in Australia due to cost-of-living pressures. It will pass, and things will pick up again. You can bet your nellie that overseas head offices watch proceedings in Australia keenly!
What is "Australia Tax"...??
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Re: Wiggle/Ch ain Reaction owner Signa Sports sales up 48% but lost 37 million euros
Postby MichaelB » Fri Feb 23, 2024 2:10 pm
Dome that where practicable (cassettes & disc pads mainly) but some bits aren't that easy to do.find_bruce wrote: ↑Fri Feb 23, 2024 12:10 pm..
My response has been to abandon the any manufacturer who adopts geofencing etc.
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Re: Wiggle/Ch ain Reaction owner Signa Sports sales up 48% but lost 37 million euros
Postby warthog1 » Fri Feb 23, 2024 3:46 pm
The higher price we pay compared to other countries.
Largely a result of monopolistic agents/importers who set a high price.
Wiggle/c r c was a great way to avoid that.
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