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GoLite appear to be struggling with their direct business model a couple of months in. They dropped their prices significantly when they went direct, and said that they wouldn't rely on large scale sales going forwards. Yet week after week they run another price-cutting promotion.
I've been into their Pearl St, Boulder store a few times. This is expensive real estate, it's massively oversized for what they need, and I've never seen more than a handful of customers browsing. That's a serious drain on cashflow. Online, they are competing with other brands that run regular discounts through web-based retailers. Customers have become attuned to paying less than full retail, and GoLite's 'Suggested retail' price listed below the current price is, well, a bit cheesy. Resorting to price competition should be the last resort.
The unpredictability means those of us who don't have to buy right now will just wait for another price cut. And anyone who bought at the standard price in the last two months is getting a dose of buyer's remorse.
I hope they figure it out and stay in business. Their weekly change of pricing seems very reactive and smacks of desperation.
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