Website Closers® presents a company with an enviable presence in the niche Electric Bike space. This is a product that has been soaring in popularity as more consumers discover the plentiful benefits that eBikes offer, whether for recreational or commuting purposes. The company’s 130% year over year growth and 26% net margins demonstrate how successfully they have marketed to people embracing the advantages of using eBikes. Their proprietary eBikes, made with their own, in-house exclusive designs, have a high sale value of $1,700, and with 100 items in their product line, customers have plenty to pick from when it comes to selection.
While bicycles have been a popular device for moving generations of people since originally created by Karl von Drais in 1817 (then known as the SwiftWalker), the interest in adding batteries to bikes to help ease the strain of riding, as well as elongating how far people can ride, has been growing in recent years as the technology improves and becomes less expensive. For many bike lovers, rising gas prices have made the use of a bicycle both attractive and economical, while a renewed interest in health care and physical fitness has also prompted a large group of consumers to consider biking and being outdoors as often as possible.
However, electrical bikes, which look the same as traditional bikes but are operated by battery power, have become increasingly appealing since the rider doesn’t need to peddle as aggressively. At the same time, for those who want the vigor and exhilaration of peddling fast, the power is optional. That has helped make the choice of an eBike especially appealing to riders of all ages.
Marketing both eBikes and related accessories, this brand has become a valued and trusted name within this growing vertical, and moving forward, they have excellent scale options and the ability to define themselves as a leader in the field.
The company designs its own eBikes. Launched 4 years ago, and being one of the initial entrants into this new tech, the company began marketing its brand using their own designs, with an emphasis on a lightweight look and unique features that customers love.
Their four different bike models each have several spec variations such as battery size and color, offering buyers 15 options altogether. Their product line rises to 100 SKUs since that includes additional parts and accessories.
The bulk of the company’s sales are done online through their D2C eCommerce site. The majority of their customers, about 80%, are men, although their typical customer spans a wide age range, from 30 years old to over 80.
Although eBikes were originally geared toward seniors, it’s clear these bikes have been embraced by adults regardless of age, who enjoy this product’s power for both leisure activities and for their daily commute.
The accessories help with upsells. Most customers purchase an eBike at an average cost of $1,495, then return to spend $80 or more for add-ons. The company also provides incentives for customers who purchase two eBikes at one time.
Social media has expanded their customer base. The company has used its social media platforms on Facebook and Instagram to run ads, which have brought their platforms to a rapidly expanding audience. The company also runs PPC ads on Google. This paid advertising campaign is helping to boost traffic to their website, which now averages 60,000+ visitors per month.
There are additional ways to expand. The company has an email database of 15,000+ subscribers which would be used for newsletters, promotions and upsells. Another option would be to invest in the company’s first SEO program. Applying popular keywords that buyers of eBikes are using in their Google searches would generate an enormous increase in their organic traffic, and the company could also invest in an educational and informative blog on their site to further expand traffic.
The company benefits from a smooth operation. About 90% of the company’s products are sourced from a single supplier, and the company stocks its inventory. The company has maintained a strong relationship with the factory where their SKUs are designed specifically for them – all proprietary. Products are shipped to their 3PL in California, and they maintain at least 3 months’ worth of inventory to ensure continued growth.
While sales are steady through the year, they typically increase in the spring and summer as people become more eager to get outside. During the winter months, the company increases inventory sales to their distribution and brand partnership channels.
This system operates smoothly and efficiently, allowing the current ownership the advantage of working no more than 12-20 hours per week, focusing on tasks that including overseeing advertising, social media management, staff management and supervising customer support. The brand employs two workers who handle customer inquiries.
The company is also ready to launch a new step-through product that will be targeted toward women and older bicyclists, and they continue to look for new ways to innovate and launch different SKUs.
The electric bike space may be a relatively new one, but its growing by huge leaps and bounds each year, and projections are that the industry will continue to do so. This company has an important position in this space and is likely to ride this trend to much higher profitability in the future.
Contact Website Closers today to learn more about how you can ride this company to impressive new heights of success.
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