Rapha announces redundancies in bid to cut costs

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Ross
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Rapha announces redundancies in bid to cut costs

Postby Ross » Wed Sep 12, 2018 5:28 am

Rapha has announced a wave of job cuts. The firm itself says 15 people are being made redundant, although The Telegraph(link is external) quotes a former employee who said the number was between 60 and 70. Another insider said the figure was nearer 80.

A Rapha spokesman said: “As we entered 2018, we adjusted our trading strategy, prioritising long-term profitable growth above short-term sales. As part of this, we are simplifying certain areas of the business, in order to reduce costs, and consolidate and strengthen our position. These actions will result in the reduction of a limited number of positions in our London headquarters.”

BikeBiz(link is external) reports that one of those to have left the company is head of R&D, Simon Huntsman.

The news comes after a series of uncharacteristically protracted sales over the summer. Many items have also been listed on the discount clothing website Sportpursuit.


https://road.cc/content/news/248095-rap ... -cut-costs

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MichaelB
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Re: Rapha announces redundancies in bid to cut costs

Postby MichaelB » Wed Sep 12, 2018 8:48 am

Wonder if the company that acquired it have suddently realised that they paid waaaaaaaaaaaaaaaaaaay over the odds for it :lol: :lol:

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hamishm
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Re: Rapha announces redundancies in bid to cut costs

Postby hamishm » Thu Sep 13, 2018 1:36 pm

The problem with being a fad is that your customers quickly move on to the next fad brand. Just look how many of these brands are on the CyclingTips emporium for example.

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Thoglette
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Re: Rapha announces redundancies in bid to cut costs

Postby Thoglette » Thu Sep 13, 2018 2:06 pm

MichaelB wrote:Wonder if the company that acquired it have suddently realised that they paid waaaaaaaaaaaaaaaaaaay over the odds for it :lol: :lol:


I'd wish it were so. My observation is that these sorts of acquisitions are valued on the basis of "synergies" or "our business acumen" which are both euphemisms for "we're going to cut the guts out of your operation and outsource the remains to a third world country".

I used to support certain software products and you could see in the code exactly where and when the takeover had happened. And the comments from the 3rd world coders were most enlightening - things like "this is a quick hack, needs to be fixed properly but no time allowed".
Stop handing them the stick! - Dave Moulton
"People are worthy of respect, ideas are not." Peter Ellerton, UQ

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Thoglette
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Meanwhile, in NYNY, BSNYC snarked

Postby Thoglette » Thu Sep 13, 2018 6:01 pm

Eben snarked
BIKE SNOB NYC wrote:I didn't realize Rapha had changed their image:
This is a few months old now, but apparently they've abandoned the whole "glory through suffering" schtick and are now doing the whole "bros-n-sisses having good times together" thing that's so hot with the millennials nowadays.
Stop handing them the stick! - Dave Moulton
"People are worthy of respect, ideas are not." Peter Ellerton, UQ

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