General Cycling Discussion - Just as we suspected

I just read in MBA that Pacific Bicycles plans for a $1000 cap on GT and Schwinn bicycles virtually eliminating any professional level bikes.
I had really hoped that they wouldn't go that far. :(

Originally posted by Dirtgrinder
I just read in MBA that Pacific Bicycles plans for a $1000 cap on GT and Schwinn bicycles virtually eliminating any professional level bikes.
I had really hoped that they wouldn't go that far. :(
I'm not sure how up-to-date that article is [and, knowing MBA, it was probably written in October]. The latest from Bicycle Retailer is that:

Pacific planned cut GT's high end more deeply, but altered course after sales reps and retailers complained.

"Our sales reps sensitized us of the importance of higher price points in GT's line. While 74 percent of units sold are $500 and lower, much of the profits come from the I-Drive and similar product," [Pacific President Byron] Smith said.

You can read the whole story at Bicycle Retailer (http://209.11.43.239/bicycleretailer/search/article_display.jsp?vnu_content_id=1114396) .

In fact, according to a later story (http://209.11.43.239/bicycleretailer/search/article_display.jsp?vnu_content_id=1114291), Pacific intends to continue to play in the international market. Although the sub-$500 bike is big domestically in the US, it is almost impossible to sell abroad. For example, though there are plenty of X-Mart bikes in Canada -- Precision, SuperCycle -- and a good range of low-end LBS bikes -- Minelli, Kuwahara, Raleigh -- you almost NEVER see US low-end brands.

Almost every cycling country in the world has its own low-end brands, and these brands are usually vastly favoured over foreign brands [like Scwinn/Pacific] by customs and tariff barriers.

I think Pacific's commitment to an international market is an indication that they don't plan to gut the high-end completely.

I wonder though. Even if they continue with highend GT's, real cyclists may stop buying them because they are owned by Pacific, and then Pacific may decide to cut the highend GT lines....But on the other hand, there may be some core GT fans who will continure buying highend GT stuff. Ideally, Pacific would sell GT to a real bike company, like Trek or Specialized.

It would be sad if Pacific did away with the higher-end bikes, especially since Schwinn has historical American roots.

Yet, if they wanna shoot themselves in the foot, I'm sure some other company will rush to fill in the gap. (Go ahead, "make my day...")

Does anyone know what thye're doing with the GT mtb racing team? I'd say if they stop sponsoring that then a drop in high-end bike sales will most likely follow.

Originally posted by Allister
Does anyone know what thye're doing with the GT mtb racing team? I'd say if they stop sponsoring that then a drop in high-end bike sales will most likely follow.
To quote from the same article:
"Not yet known is the fate of the Schwinn and GT mountain bike teams. The new owners showed less than enthusiastic interest in continuing the teams in their current configurations. This leaves World Champions Brian Lopes and Alison Dunlap looking for new teams."

I would bet that there will not be any more GT road bikes.

Originally posted by D*Alex
I would bet that there will not be any more GT road bikes.
Perhaps. But GT's road bikes were their best sellers in Europe... if they're really interested in the overseas market, they should keep that in mind.

Great road bikes, though. Best bang-for-buck of American aluminum sport bikes.

I really Like the GT road bikes. I was going to get their 500-600 dollar model. I like the triple Triangle look.

That triple triangle looks great on track bikes, too. I don't know why, but it just does.

Doesn't Pacific own Mongoose too? If I'm not mistaken, there are still a few high end models, even though most of the brand has gone to X-Mart (correct me if I'm wrong here). So maybe there is a faint glimmer of hope.

Time will tell, I guess.

It's a shame that inevitably some corporations will sacrifice quality workmanship for quarterly profits and mass marketing. Even though mongoose still makes a few high end bike their name and reputation has been ruined. I've been in three quality bike shops this week, not one mongoose. I did see them at walmart though. Same thing will happen to Schwinn and GT eventually, they'll be toy store bikes. I'm not impressed with schwinns lower end now. I've seen them at one high volume bike shop. Anybody remember when a Cadillac was a Cadillac, how about BMW coming out with a $15K sedan, would it really be a BMW. Sorry about the car analogy but it fits.