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Derby Cycle Goes Direct in the U.K.

Published July 21, 2011

CLOPPENBURG, Germany (BRAIN)—Derby Cycle has taken over sales of its Focus brand in the U.K. from Wiggle as part of a new strategy to start direct distribution in that region.

Online retailer Wiggle had been Focus’ exclusive distributor in the U.K.

Effective immediately, Derby will address specialist wholesalers and retailers directly in order to tap further growth potential in the U.K., the company said in a press release issued Thursday.

Derby has set up a new sales team led by Chris Needs, a sales professional with 24 years experience on the British market, as it pursues its internationalization strategy.

“A volume of around 3.7 million bicycles generates around 800 million euros of sales per year in Great Britain. The British market is benefiting particularly from the congestion charge that has been introduced in London, as well as from specific subsidized programs such as the Cycle to Work initiative, which provides financial support when individuals purchase bicycles,” commented Mathias Seidler, Derby CEO, on the company’s reasons for pursuing more business in the U.K.

Uwe Bögershausen, CFO of Derby Cycle, added: “Along with electric bicycles, our Focus brand, which comprises our sports products segment, forms one of Derby Cycle’s key international growth drivers. We will continue to endeavor to further strengthen and expand our direct sales in the future. The internationalization strategy that we presented at the time of the IPO continues to gather form as a consequence.”

Derby, which also owns the Univega, Kalkhoff and Rixe brands, and is a licensee for Raleigh in Europe, announced a few weeks ago that it would take over direct distribution in Australia as well.

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