We’ve had a number of customers ask for an update on our original “Where the (*&^ is my bike?” letter we published in February.
During our last update, we talked about some of the big challenges we’re facing. To recap, there are supply chain issues affecting every vendor at every level of the manufacturing process. This has caused ETAs to slip on some deliveries by over six months, which is why our delivery dates sometimes slip.
At the same time, there’s a global shipping crisis. There’s been a huge increase in imports, which has caused massive port delays. There’s also a serious container shortage. These issues have been all over the news recently, effecting many industries.
So what can we do? In addition to buying key parts at retail to ship bikes, paying exorbitant amounts to airfreight parts and save time, we’ve also made key changes to our spec.
Traditionally, we’ve offered a plethora of options. Effective May 1st, we’re simplifying in order to streamline our ordering/forecasting. We’ve taken the most popular choices and used them across multiple products, which will enable us to make a deeper commitment to fewer items. We’ve also shifted to vendors with shorter and more predictable lead times. These changes will enable us to improve our fill rates and provide you with more reliable ETAs.
Here are some of the notable changes:
Carbon bikes will come with Fox Factory series suspension
- Ripmo Carbon is the one exception. It is still available with a DVO Jade Coil.
Ripmo AFs will only be available with DVO suspension
Stem, crank, and dropper seat post length will be matched to the frame size
Handlebar and dropper seat post upgrades will no longer be possible, nor will there be tire choices
Build kits for all models will be spec’d with 4 piston brakes
We’re bringing back the X01 mechanical build kit and offering the NGX build kit across the range. Drivetrains have been one of the most problematic elements in our ability to deliver bikes and these additions should increase the total number of build kits available and our ability to ship bikes.
These changes will occur as product becomes available. For now, you may see some carbon bikes shipping with Performance forks, etc… As we receive new inventory, we’ll make a rolling change. If you’ve placed a deposit for a bike that’s scheduled to be delivered this Summer or Fall, please check with your local bike shop. Your order may be subject to a spec or price change.
The shipping crisis has caused a spike in prices. We hoped it would be temporary and for the past year, we’ve been absorbing that cost, hoping the industry would stabilize. However, the opposite has occurred. Prices continue to increase.
In addition to shipping prices, the cost of raw goods has has gone up. This has caused our suspension, drivetrain, and other component vendors to increase their prices. Another significant factor is the exchange rate. The value of the US dollar has fallen sharply against other currencies, like the New Taiwan Dollar. As our costs have gone up dramatically, our retail prices will have to reflect those changes.
Beginning May 1st, we’ll be increasing our prices by 6% across the board. We kept the increase as low as possible to compromise between our increased costs and wanting to honor the prices on backordered bikes. Traditionally, we would have honored any previous pricing, but the current extent of our backlog makes this impossible. Any orders invoiced after May 1st will be subject to this 6% surcharge.
Despite the bleak news, things are starting to improve. We’ve made dramatic changes to our business which will radically improve our deliveries. We’ve invested heavily in future product and staff and we expect to ship significantly more bikes this year.
We look forward to getting you on your new bike!
CEO, Ibis Cycles