How to market E-Bikes successfully by using tourism channels. by Kurt Schär Biketec Ltd.

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1 How to market E-Bikes successfully by using tourism channels by Kurt Schär Biketec Ltd.

2 Content Company Profile FLYER (Biketec Ltd., Switzerland) Market situation in Europe Basic market(ing) problems Product categories Requirements for successful tourism business Cross marketing strategy

3 Company FLYER brand exists since 10 years First prototype 1993 First serial production 1995 (FLYER Classic)

4 Company Development of FLYER F-Series from First and only E-Bike without gearbox and patented torque sensor Absolutely noiseless Product launch 2000

5 Company 2001 Take over of all FLYER activities by former management (Hans Furrer, Kurt Schär and partners) Founding of Biketec Ltd. Development of first E-Bike in Europe with Li-Ion technology (Partner: Matsushita / Pansasonic)

6 Company 2005 Launch of light weight Folding E-Bike

7 Company Sales activities in Switzerland, Germany, Netherlands and other European countries Own Event-staff Factory located in Berne 15 Employees

8 Introduction Market situation The market of E-Bikes in Europe is stable or growing slowly Product image and quality, marketing and other important issues are on poor level. Potential customers are not well informed, therefore they can not negotiate between good products which covers their requirements and bad products which only covers need of money oriented buyers.

9 Introduction Basic market problems Most people does not know that E-Bikes exists Bad product image (Battery problems, E-Bikes are for handicapped people, low quality bicycles, etc.) Heavy weight No personal experience with E-Bikes

10 Products Low-End, low cost products Mostly sold and used in some Asian countries, but also in European countries with a low quality bicycle market. no name manufacturers. Drive- and control unit, battery and also bicycle technology usually is entry level quality. Price is the most important issue.

11 Products Mid-Range products beside-business of well known bicycle manufacturers. Mostly sold in the US and in the European market. These products are very often equipped with quite good electrical parts (Drive unit, Battery etc.), but the level of bicycle components does not reach the same level.

12 Products Top Level products The manufacturers are focused on this business and they offer high level electrical equipment (Drive unit with torque sensor, Li-Ion batteries, etc.) and also high level bicycle quality (frame, brakes, etc. ) which follows the higher requirements of these customers.

13 Products Requirements for successful tourism business Easy to use products (MSU-approved!) High quality products (even higher,if available) Local support (trained dealer) Own tourism acquisition staff Don t sell products, sell successful concepts for the guests of your partner Be part of a network (not only importer / manufacturer)

14 Cross Marketing Strategy Potential Cross Marketing Partners Camper-Van rental companies Tourism Offices and agencies Hotels Bicycle rental companies Bus tour operators, etc

15 Projects Camper-Van rental companies The FLYER is included in a rental Camping car Several partners in Europe (especially Switzerland and Germany) Good publicity in Camping Magazines One ore more weeks of intensive test of the FLYER E-Bike

16 Projects Camper-Van rental companies

17 Projects Tourism Offices Events and promotional platform in tourism areas Communication platform for both sides Invitation of FLYER users by Biketec to spend their holidays at places offering FLYER Partnerships in Locarno / Maggiore, Pontresina, St. Moritz (Engadin), Frankenwald (Germany) and many other destinations in Switzerland, Germany, Belgium, Austria etc.

18 Projects Tourism Offices

19 Projects Hotels Marketing tool for hotels Rental business Congress and seminar events Personal use for hotel employees (Short trips) Etc.

20 Projects Hotels 100 FLYER C-Series in 40 hotels and campgrounds in Locarno/Ascono, Ticino 50 FLYER in Hotels and rental stations in St. Moritz area (Engadin) FLYER Weekend-Packages (including FLYER, nice dinner, Double room at a special price)

21 Projects Bus Tour Operators

22 Projects Bus Tour Operators Guided Tours Congress and seminar events Event-Mobile with up to 60 FLYER E-Bikes Factory tours Bicycle holidays with FLYER

23 Projects FLYER branded tours

24 Projects FLYER branded tours The FLYER HEART ROUTE including battery change stations,map etc. Induvidual rental (Train stations, etc.) Guided Tours Congress and seminar events Event-Mobile with up to 60 FLYER E-Bikes FLYER Tour-Map for tourists, distributed by tourist offices and other partners

25 Projects FLYER branded tours Rent me and smile 15 Rental stations and battery change stations in Engadin valley / St. Moritz Flyer rental company (Flying Cycles Ltd.) 1800m above sea level!

26 Projects Rent me and smile Map of the Engadin project

27 Wine and Dine Local dealer Event (guided tour)

28 Travel Talk

29 Travel Talk

30 Travel Talk

31 Conclusion Tourism channels are excellent for product placement Tourism channels are very difficult because of the high requirements Only MSU-approved products allowed High effort by manufacturer / importer AND local dealer Sell concepts and not only products Invest in partnerships before buying containers

32 Travel Talk

33

34

35

36

37

38 Contact: Biketec AG Kurt Schär Industrie Neuhof 9 CH-3422 Kirchberg / Switzerland Phone: +41 (0) Fax: +41 (0)

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