Two years ago, a quiet rumor emerged that a small, lesser-known mountain bike brand was on the verge of collapse. That whisper prompted me to revisit my financial analyst roots and examine the broader industry landscape.
What I uncovered was troubling: a wave of bankruptcies and restructurings appeared inevitable, driven by a perfect storm of pressures. The COVID demand hangover, weakening consumer spending, inflation, rising interest rates, plateauing technological innovation, retreating risk capital, and the simple reality that bikes are discretionary purchases—all pointed toward significant industry consolidation. I posted my analysis. Unfortunately, the prediction proved accurate.
In just two years, more than 30 companies have filed for bankruptcy or ceased operations entirely. It’s been a sobering period and a critical case study for anyone interested in the business dynamics of mountain biking or the outdoor industry more broadly.
Last week, I joined VitalMTB’s director Shawn Spomer and contributor Charlie Sponsel to dissect what happened, why it happened, and where the industry goes from here.
The 2 Year Mega-Thread: https://lnkd.in/gGRBeRSB (400K views, 3,100 replies)
🎧 Listen to the full conversation:
Spotify: https://lnkd.in/gk7b7PFV
Apple: https://lnkd.in/g33rYsXT