Scott Moves Into UK Online Sales – In Cooperation With Dealers

For the first time, UK customers can buy directly from Scott at www.scott-sports.com, and the idea is that as well as sending more business directly to Scott, it seems it’ll let customers and dealers buy and sell how they want to. A dealer will apparently be able to make online sales and have them delivered direct to customers from Scott, which sounds like they’ll effectively be drop-shipping kit (correction: though not bikes). Alternatively, a customer can order a bike from Scott and have it delivered to a local dealer for pickup, possibly making use of other services like getting them to upgrade it or help with setup.

This is quite a contrast to other big names who have their own stores devoted entirely to their own brands, and while it’d be a stretch for anyone to claim smaller dealers and shops are getting squashed by that kind of activity, it’s definitely a blurred boundary.

If you believed anyone in tech ten years ago, it seemed the internet had utterly doomed physical retail stores. Amazon followed a trajectory of doing more delivery, now, faster, all of the things, look drones; and seems to have ended up in the same territory as DFS furniture sales. Ebay was shuffling all the world’s second hand stuff and guff to whoever actually wanted it. City centres were doomed to become pedestrianised architectural renders filled with cafes and galleries instead of the retail space we’re used to.

Behind that though, some people seem to have decided that maybe there are some things it’s just better to buy in person. Generally things your body goes on or in, such as bikes, helmets and clothes, so it makes a lot of sense for large bike companies to continue working closely with physical retailers.

Of course, Scott haven’t revealed the exact details of how the revenue is cut and where it goes, but hopefully this is a fair model that’ll work for dealers and keep your local bike shop kicking. We’ve asked several dealers for comment and will update this if we hear anything.

UPDATE: Gareth Rowland from Cycle-tec has been in touch, and seems fairly happy about all of this:

“Can’t really see it doing us any harm, in fact it could potentially drive customers our direction. We don’t really fear the tinterweb as we feel our bread and butter customers shop with us because of our superlative knowledge, passion and experience, all of our regulars know that we live and breathe MTB’s. Joe Bloggs who was always going to shop online even if he only lives around the corner will now become a potential new customer if buying a Scott bike as it’ll be our job to look after him upon delivery (plus we get a slice of the profit). As far as P&A goes, same thing really, we get a slice of the profit, returns are handles by Scott so potentially the niggly stuff that can eat into the profits of a small business is Scott’s risk not ours. Premium bikes are of course still only available through premium dealers, again keeping the dealer face to face with the customer when it comes to the really top end product. It’s a case of suck it and see but there’s far bigger threats to the IBD out there, grey import, and online discounting to mention a couple but that’s another rant…”

Scott’s release:

“SCOTT launches Online Shop in the UK: In close co-operation with its dealer network, SCOTT Sports extends its Online Shop to the United Kingdom.

“After having launched its E-Commerce platform initially in the German market back in April 2017, SCOTT will now offer their end consumers the opportunity to buy products online in the United Kingdom, which started on November 24th. The opportunity of buying SCOTT products on scott-sports.com will be extended to more and more markets in the coming years. With this strategic move, SCOTT Sports lays down foundations for a successful future and connects E-Commerce and modern distribution in close partnership with its dealers through the SCOTT Network Program.

“Home delivery or local Pick-Up at a SCOTT store- Customers can choose where products will be sent.
Digital technology is an integral part of modern business as an increasing number of customers are buying online. Many industries have incorporated digital channels in their business models. SCOTT has developed its own E-Commerce platform to provide customers with an additional channel, which will allow them a 24/7 buying opportunity and the largest range of SCOTT products available. “This will work in tandem with our existing trading network”, says Norbu Chopathar, Head of E-Commerce at SCOTT Sports. “Within the SCOTT Network Program, SCOTT dealers will be playing a central role in the successful deployment of this new channel. Numerous contact points and a business model covering all channels are the key to success and continued growth for everyone concerned in our industry. Together we want to provide new digital contact points for our dealers. In this way, we can offer our customers the possibility to combine the advantages of online purchasing with the strengths of a local outlet such as proximity, consultation and expert service”, Chopathar continues.

“With E-Commerce, a wide product range and 24/7 availability meets proximity, consultation, and expert service on site. For dealers taking part in the SCOTT Network program, SCOTT Sports offers a B2B online shop with possible direct deliveries to the consumers. Alternatively, clients can choose “pick-up” stores nearby. Products ordered online such as bicycles, skis etc. have to be picked-up at local dealers; this way SCOTT can ensure a high quality level of product delivery and service. One key pillar of SCOTT`s B2C strategy is to make sure that SCOTT network partners will benefit from all online transactions. “We at SCOTT believe that an intense collaboration with our existing and growing dealer network will be key for success as we are dealing with products which require a high level of expert advice and service”, Chopathar concludes.”