Friday, September 24, 2010

The business plan: how to make consumers aware of differences

Frame and Wheel appreciates that the best way to make the market aware of any bicycle brand is to get out there and ride it. Even better is to have a whole group of people get out there and ride it. That will work in the immediate neighborhood perhaps, but that's about it. Nevertheless, other riders will see that the brand is classic and Euro and they will learn that it was acquired through the Internet and assembled by the local IBS by word of mouth.
Frame and Wheel is considering the sale of the frames using eBay. The infrastructure is already there, the company has built up a track record from the operation of its selling service for cyclists and bike shops and the potential audience is huge: each time a customer types in "carbon road frame" there is a chance he will stumble across the company's offerings. Even nostalgia bike shoppers will find out about the Austro-Daimler brand as they are looking for old decals or old Austro-Daimler frames. These consumers will perhaps take a look at the website and learn about the business model.
Although Frame and Wheel appreciates the benefits of keeping the ecommerce in house for control purposes, the idea of eBay remains compelling: not only is it already in place, the auction method of selling avoids the year end discounting tradition and it is a useful way to train consumers to purchase their bikes in the off season. It will also help the company gauge demand in the market and thus more accurately match supply with demand.

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