Canyon Bicycles Case Study
Opportunity
At the time of TSG’s investment in Canyon, the company was very well-known within the cycling enthusiast community in Europe, but not in the United States. Canyon’s supply chain and distribution did not allow them to easily move into new geographies without significant investment and expertise, nor did they have operations established locally in order to take advantage of this opportunity.
Canyon also outsourced its eCommerce site to a third party, where it was run on an inflexible and outdated platform. Canyon had little control over the site design and content, merchandising, acquisition marketing, CRM, and associated data capture.
Although in-housing would cost €10M+ upfront, plus ongoing incremental team and IT infrastructure spend, TSG felt this initiative was of critical strategic importance and actively encouraged the board to make these investments.
Solution
TSG helped Canyon optimize its supply chain and distribution, allowing them to maintain its high standards for quality and craftsmanship, but in a more efficient, scalable, and cost-effective manner. The TSG team also assisted Canyon in setting up offices in the US, including the recruitment and hire of its US President.
TSG also assisted Canyon throughout the digital team in-housing project and site redesign, including conducting an RFP process for digital agencies, playing a key role on project steering committees, and identifying and recruiting top-tier talent to manage the company’s digital properties.
The new site, which launched in 2019, immediately accelerated growth and ROI while allowing Canyon to control its online brand presence, effectively market itself to new consumers, and cultivate deep, data-driven relationships with existing customers.