Gogeta, a prominent UK-based cycle-to-work provider, has recently announced a significant shift in its business model by eliminating retailer fees entirely. This strategic move positions Gogeta as the first scheme in the UK to offer cycle-to-work vouchers without imposing any charges on participating retailers.
A Bold Step Towards Retailer Empowerment
Barry Scott, founder of Gogeta, highlighted the longstanding challenges faced by retailers under traditional cycle-to-work schemes. He noted that many retailers felt compelled to accept vouchers from legacy schemes, despite high commission rates of 10–15%, due to the fear of losing potential business. Scott emphasized that this dynamic had perpetuated the status quo for over two decades.
By slashing retailer fees to 0%, Gogeta aims to empower retailers to view cycle-to-work schemes as valuable sales tools rather than burdens. Scott drew a parallel to a hypothetical reduction in VAT from 20% to 0%, suggesting that retailers would eagerly promote such savings to customers. He believes that with 0% retailer fees, there is no reason retailers can’t treat cycle-to-work as one of the best sales tools they have.
A Call to Action for Retailers
Gogeta’s message to the trade is clear: “Back the scheme that backs you. Twenty years of unfair fees. Changed one conversation at a time.” The company is actively encouraging retailers to sign up and promote Gogeta on their websites and shop floors. By doing so, retailers can offer customers significant savings—potentially over 40%—while enhancing their own sales and customer loyalty.
The Road Ahead
As the cycling industry continues to evolve, initiatives like Gogeta’s fee reduction represent a pivotal shift towards more equitable and mutually beneficial relationships between cycle-to-work providers and retailers. By eliminating retailer fees, Gogeta not only challenges the traditional commission-based model but also sets a precedent for future innovations aimed at fostering growth and sustainability within the cycling retail sector.
For more information on how to participate in Gogeta’s cycle-to-work scheme, retailers can visit their official website.