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VIDEO Interview: I speak to Mike Pride of Chapter2 Motorcycles – the brand he created with his famous father Neil – about how their direct-to-consumer model makes sense for a growing number of riders around the world who want premium quality, fair prices and fast delivery times .
– Click PLAY to see our video interview and see more on the PEZ Youtube channel here.
– The full transcript of the interview follows below….
Pez: I’m back talking to Mike Pride from CHAPTER2 Bikes. Now I’m sitting here in Vancouver at PEZ HQ and I’m actually talking to Mike sometime in the future because he’s halfway around the world in New Zealand. Mike, where exactly are you right now?
Mike Pride: So, I’m actually sitting in my living room. After COVID, I actually started working from home. This is my home office and I’m here in Auckland, New Zealand.
Pez: Mike, the first question I have for you, is this wheel actually permanently in your living room?
Mike Pride: Only when I’m not driving it. This is Toa. The original color was Tongariro only. And we actually only made a few of them and they sold like hotcakes.
Pez: So the brand is called CHAPTER2. We’ve seen it here at PEZ a few times before because we’ve reviewed some of your bikes. And you’ve been in the bike business for a number of years, but before that you were in the sailing business, working with your father, Neil Pryde, the founder of a really famous sailing brand that many of my readers will be familiar with. How did CHAPTER 2 come about?
Mike Pride: We designed everything around it being a boutique and creating a business model that we could actually scale appropriately. So one of the first decisions we made was that we were going to be a business-only framework. And the great thing about this is that with a business-only framework in place, we can also ship these products worldwide with DHL really cost-effectively. And I guess the other way we’ve structured CHAPTER 2 is that we’ve designed everything to be much more accessible and much more personal. And that means any dealer or consumer that is interested in CHAPTER 2, they actually talk to me personally.
Pez: As a boutique brand, what are the benefits you can offer consumers that larger brands can’t or simply won’t?
Mike Pride: Being an enthusiast myself, over the years I’ve never been one to go to a bike shop and buy an entire bike and that type of ready-to-ride experience. So I kind of wanted to mimic my personal experience as a cyclist and let the user choose. So we actually tried to make access to CHAPTER 2 as easy as possible for both dealers and consumers. And I think with the advanced technology now and the logistics, it’s really changed the way we do business.
Pez: So, we’re living in a time now where the prices of everything are going up, and the opportunity for some readers to buy a brand new bike isn’t as close to them as it used to be. So, upgrading a bike has traditionally meant something like a new set of wheels or upgrading your cockpit, but the other thing you absolutely can do is upgrade the frame and keep and work with the existing groupset and wheels you have.
Mike Pryde: And that’s a really interesting point that you made because we actually saw through COVID when we were able to continue to ship products throughout COVID that a lot of the customers that couldn’t find groupsets that couldn’t find wheelsets , they were happy to go through this upgrade process by simply swapping out the framesets. So our business actually boomed during COVID and we did very well. And I think that this idea that you can actually have a new bike without the full expense of all the groups and wheels becomes a really attractive prospect for the consumer.
Pez: So then Mike, how does CHAPTER2 as a boutique brand really benefit consumers?
Mike Pride: When we designed and developed the CHAPTER2 business, we wanted everything to have that very personal boutique feel, almost made-to-order, yet still be fairly priced. When you go on a local group ride, everyone is riding one of the bikes from the Tour de France, the big four that we all know about, and those customers are ditching those big brands and buying our bikes because they like them. They get the idea that they can have something very unique and very personal and in our opinion at least at a very fair price. The great thing about CHAPTER 2 is that you really can have it all, right?
You can have the best wheelset you can afford, the best groupset and not have someone in the background trying to pick every component. I mean, I know from years and years of cycling, when you buy a new bike, the first thing people do is throw away the saddle. I mean, why would you want a saddle that someone else picked out for you when it’s such a personal thing?
Pez: Carbon bikes have been around for about 20 years and manufacturing techniques have evolved to a place where almost everyone has access to the same manufacturing capabilities and even design ideas as anyone else. So the bikes have kind of leveled off a bit in terms of competitive advantage, but that doesn’t stop new brands from jumping in and offering something different. So what does CHAPTER2 offer consumers that is different from other brands?
Mike Pride: What we’ve managed to create is a product that not only suits those guys looking for performance and speed, but also someone looking for something that has a certain amount of prestige and differentiation for those coffee shop rides. So I think we succeeded on both levels.
Pez: One thing I really like about the bikes is the way you finished them, there are some really beautiful color schemes, some really beautiful artistic designs inspired some of the local artists in New Zealand. You have access to all these bikes and have ridden them all. Which is your favorite? Which one do you like the most?
Mike Pride: We try to design real bikes for real people. And what that really means is if you look at the market, there are a lot of big brands that have invested heavily in touring teams, world tour races and things like that. When you’re designing a bike for an elite athlete competing at the highest level and designing something that’s actually more applicable and practical for normal people, it’s a very different proposition. With this in mind, we designed the Koko, which is our aero road bike. And that’s something I think I’m personally proud of.
Pez: So Mike, you’ve been all over the world sailing and riding, you’ve spent a lot of time in the United States. What have you learned about the US market in particular that is different and that you think you can really adapt to or bring something new to?
Mike Pride: In fact, engaging not only with consumers but also with our merchants is actually probably one of the best parts of my job. Whether it’s online through our live chat or face-to-face, meeting people and helping them solve problems is something I really enjoy doing. And actually as a result of this process, our representation is growing steadily in the North American market.
Pez: So Mike, for viewers watching at home who live somewhere here in North America, what are some of the best shops here that viewers can go and actually find bikes for CHAPTER 2?
Mike Pride: In North America, we are at Wrench Science in Berkeley, California. We have a really great dealer called Swiftfoot Cycles in Prosper, Texas. In Canada we have Blacksmith Cycles in Toronto and in Vancouver where you are we have Veloholic and also Salita Cyclery. And they’re great dealers and really make some of the most beautiful CHAPTER2’s you’ll see anywhere. But actually the other thing that’s really interesting to know about our business is that any consumer can actually walk into any store in America or Canada and ask for a CHAPTER 2. And the bike store just has to contact us, we we will send them all the details and information on how to become a dealer and we are here to help.
Pez: Well, thank you very much for talking to us. It’s always a pleasure. I’m looking forward to seeing more of the CHAPTER 2 here in North America and hopefully I’ll be able to ride another one of these bikes soon.
Mike Pride: Thank you Pez!
• See more on the Chapter2 website.
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