Go ride a bike.
That is what most of the country wanted to do as stay at home orders were issued and the urge to get out of the house grew.
According to NPD Group, that urge catapulted sales of adult bikes in the $200 range 203% year over year; a major shift from the expected decline in volume due to tariffs placed at the start of the year. Higher end bikes also saw significant growth, with an 87% bump for road bikes, 92% for mountain bikes, and 190% for electric bikes. For the bike shops and manufacturers who have tried to keep up with the demand, it is both an exciting and frustrating trend. It is great to see a jump in sales, but determining how much, if any, of that growth can be sustained and how to provide for it has many in the industry unsure.
The balance of meeting demand and avoiding warehouses full of unsold bikes is delicate. If a company cannot provide the stock that a customer is looking for, they lose the sale to a competitor, but if they over prepare and demand is lower, capital is tied up in products that aren’t moving. The industry must also contend with the fact that while demand may remain elevated post pandemic, buyers will no longer be satisfied with grabbing whatever option is available; the expectation of having the ability to choose the product that is right for them and fits their taste will return, and herein lies an opportunity.
Bikes may be simple machines, but the motivations for buying and the options for customization are endless. Brands who are able to offer buyers the path of least resistance to the product they are looking for are set to flourish, but what does that experience look like? According to Harvard Business Review, 73% of shoppers use both digital and in person shopping tools; only 20% are in store only shoppers. Further, HBR found that shoppers that used multiple channels to shop a brand spent 4% more on each transaction, and 10% more online. For bike brands, this means that shoppers who are able to explore, engage with, and customize a bike to their unique wants and needs are more likely to convert and spend the extra money to get what they want. The way to deliver exactly what they want: product visualization and configuration.
Humans process visual information 60,000x faster than text. With product visualization, 3D product configuration, and augmented reality from ATLATL, brands deliver an immersive experience that showcases the features that make products stand out. Whether it is an up close look at a stock bike or a fully customized build, buyers are granted an exceptional view of the product that they plan to purchase. This offers not only a more personalized experience, but increases customer confidence in their purchase and instills a sense of ownership before the product is even delivered.
In addition to an improved buyer experience, ATLATL Visual provides in-depth information regarding the options and products buyers are most interested in, allowing brands to optimize product stock, pre orders, and future product planning to align with the trends in the market and customer preferences. As the market continues to shift and evolve during and post pandemic, these are the insights that will help brands stand out among the competition and increase conversion rates in a crowded market.
View our Product Configurator Demo to explore the new tool.