Canyon is the world’s largest DTC distributor of premium bicycles thanks to its early adoption of a DTC business model and its industry-leading German design and engineering capabilities. Its core markets are DACH, France, Benelux, United Kingdom and United States.
Attractive market expected to grow at a double-digit pace per annum over the medium term, driven by long-term structural tailwinds:
- Increasing popularity of bicycles (i) as an environmentally-friendly mobility solution and (ii) to support healthy, active lifestyles
- Continuation of customer adoption of e-bikes supported by technological advancement (e.g. batteries, weight) and an ongoing shift of e-bikes as a lifestyle / athletic product
- Shift to online direct-to-consumer (DTC) channel (Canyon’s focus) due to price advantage, choice and increasing customer adoption of e-commerce
- Governments expected to support bicycle purchases and invest in bicycle-friendly infrastructures
Positive effects from Covid-19 leading to a structural acceleration (beyond 2020/21) of market trends (e.g. online, green mobility).
Canyon has optimal positioning in its core markets with significant upside potential in more nascent markets:
- Canyon is well-positioned in conventional bikes in its core European markets. Despite a relatively later start in e-bikes, Canyon is now catching up with very positive results.
- Canyon recently entered the US and has grown strongly since, driven by increasing brand awareness and a shift to the online DTC platform.
Strong brand awareness with room for further expansion, with partnerships and sponsorships supporting brand momentum:
- Digital marketing capabilities are at the upper end of the competitor spectrum
- Successful partnerships with renowned brand ambassadors including Mathieu van der Poel and Fabio Wigmer
Outstanding track record of the leadership team:
- Founder and Chairman Roman Arnold is leading the team and will remain invested as a significant shareholder alongside GBL. He will continue his involvement as Chairman of the Advisory Board.