Jun 12, 2008
The business of Cervelo
Cervelo took a huge risk when they became the main bike supplier to Team CSC. The risk paid off nicely with the huge success of the team making Cervelo bikes one of the leading brands out there. Originally Cervelo was a small boutique brand with an emphasis on providing better aerodynamics with their airfoil downtubes. Their biggest market is triathlon with their slippery fast P2 TT bikes that are some of the most lusted after TT bikes on the market. Their approach is less is more in some respects as they have a limited line that is very high-end. There are no cheapy sub $1000 bikes in the Cervelo lineup and they are always in demand.
Despite the negative drug related press, with the Ivan Basso debacle in 2007 and the Riis revelations of 2007 their sales are still strong. This is especially with the premium lusting baby-boomers who are getting into cycling.
Checkout the article http://www.reportonbusiness.com/