To all our customers waiting on their bike:
As the world enters year two of the COVID-19 pandemic, the most common phrase we hear in the bike industry has changed from “I was just riding along” to “When is my bike going to be ready?”
In 2020 we shipped far more bikes than in any previous year in our 39 year history. Despite many challenges, it was our best year ever. Also in 2020, we received far more orders for bikes than ever before, by a huge margin. The result of this is that lead times on new bike orders to our dealers stretched to unprecedented levels. Some deliveries on recent dealer orders won’t be shippable until March of 2022.
In addition to the massive increase in orders, there has been a series of unfortunate events that have added delay upon delay for most of the bike industry, and in some cases, bikes our customers have been waiting for.
Unprecedented supply chain issues are affecting every type of vendor at every level of the manufacturing process. We have seen the original ETA on some deliveries slip by over six months. These delays directly affect our promised delivery dates.
Another problem is in shipping with port delays. COVID-19 protocols have reduced port throughput. There has been a dramatic increase in incoming shipments causing the ports to become a parking lot of container ships waiting to unload. This can add 1 – 2 months to ocean delivery times.
Our warehouse is full of “almost bikes”, waiting on key parts. Our estimates for delivery dates are based on frame availability, as we know exactly how many frames will be available each month.
Our frames have been completed largely on schedule, and now the rate-limiting factor has become components, mainly drivetrain. We expect to see improvement as the year progresses, but we are hesitant to make any predictions due to the lack of good information from key suppliers.
How we solved some issues
Ibis has been scouring the earth to find alternate sources of key missing parts. We now regularly purchase parts at substantially higher prices and airfreight them (rather than ocean) to save time. We have even paid retail for parts on eBay to help deliver bikes. Needless to say, we’ve never experienced anything like this before.
A brief word of advice
Do not sell your current bike until you have your new one! We can’t tell you how many people have sold their bike in anticipation of their new one arriving, only to be told their new bike was delayed.
Thank you for everything, and looking forward to getting a lot more of you on your new bike.
Hans Heim, CEO