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Parlee's Reboot Leads to Dealer Growth & Improved Inventory Management

Published September 12, 2024

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Parlee's new ownership and business model is leading to new dealers in the U.S. and abroad, as well as shorter lead times and improved global logistics.

Parlee's all-new Taos gravel bike may have arrived at Eurobike a day late, but a strong finish at the global tradeshow has them poised for both domestic and international growth.

The brand was acquired by new owner and CEO John Harrison in October 2023 and quickly set about modernizing the production and distribution processes while enhancing the legendary carbon fiber craftsmanship and ride quality Parlee is known for.

Those changes are paying off quickly.

"We credit a fundamental change to our business model," says new owner and CEO John Harrison. "Our gorgeous new bikes help, too, but it's a combination of all of these things that have completely turned this company around in just 10 short months."

One of the biggest changes was moving some production to Portugal. Harrison says European manufacturing supports macro-economic trends of near-shoring while also future-proofing and insulating against political tensions and tariffs around Chinese manufacturing and uncertainty about their relationship with Taiwan.

Building a manufacturing base there not only helps them meet a huge increase in demand from European markets, it also speeds up delivery at home in North America because they can run smaller batches and air freight frames monthly.

Compared to producing huge runs once or twice per year in Asia, shipping them by ocean freight, and then holding all of that inventory, these supply chain improvements better match manufacturing with recovering consumer demand.

"It's early stage, everyone's still being cautious," says Parlee CEO John Harrison. "But we've launched two completely new models so far this year and sold out both initial runs."

"Domestically, we've been adding about one new dealer per week, and that's from a carefully curated list of shops. We say no a lot, too."

Parlee has delivered all pre-orders for the Ouray all-road bike, which launched in April, and is now shipping in all sizes for new orders.

The Taos is in final development and expected to ship in mid-September. The first batch is completely sold out, and new orders will start shipping at the end of September through mid-October.

Further supporting this growth, Parlee has hired Cary Tatro, former country general manager (U.S.) for Orbea, as their Western US sales manager. Based in Albuquerque, NM, Tatro will oversee most markets and reps west of the Mississippi river.

 

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