Bike manufacturer Colnago recently established its first U.S. subsidiary in Chicago. The move eliminates an outside distributor for the first time in 30 years. Veltec Sports was the U.S. distributor for Colnago bicycles for the past two years, but terminated the contract early, according to Soren Krebs, general manager for Colnago America, Inc.
The companys Chicago office officially opened on February 6 and marks the first time in Colnago history that the bicycle company has had a subsidiary outside of its home country of Italy. This foray into American distribution is one that owner Ernesto Colnago has been considering and planning for years and used this early contract termination to jump-start.
Even though this is very early in Colnagos expansion, Krebs insisted the Chicago subsidiary will be the extent of the companys American locations. “[We will have] one location only,” he asserted. “We have a strong, very professional sales force set up that know the brand and are very integrated in each region.”
The GM said Colnago will be much more visible in local communities than ever before. “Mr. Colnago was in San Diego for the Gran Fondo Colnago as the main sponsor with a 1,000 cyclists,” he said. The long-distance, mass-participation cycling event in early March was said to be the beginning of an aggressive marketing campaign for the company.
