Phoenix-based Lectric eBikes co-founders and childhood friends Levi Conlow and Robby Deziel rolled into the electric bike scene after recognizing a gap in the market – quality e-bikes at an affordable price.
The 24-year-old entrepreneurs met in middle school in Minnesota. Conlow studied entrepreneurship in college and Deziel got a degree in mechanical engineering.
“Once we both graduated, he and I were wanting to work on some form of project together that would use our different skill sets and might be fun to do,” Conlow says.
The first Lectric eBike was born. To market their product, they went to home and garden shows and flea markets to show it off, but they didn’t sell a single bike.
“After a very unsuccessful six-month period of not selling any bikes, morale was very low,” Conlow says. “So, we went back and redesigned a new bike and instantly… you could tell there was something brand new to not only us, but the market. It was really a statement.”
At this point, though, the duo was strapped for cash. “We literally had no finances,” Conlow says. “We only had eight prototypes made. That’s all we could afford.”
They decided to make the risky decision to give all eight bikes away to YouTube reviewers in hopes that it would generate some conversations – and eventually some sales.
They sent the bikes out on May 30, 2019. On June 7, they had more than $120,000 in sales. In the first month, they had over $1 million in pre-orders.
“All of these orders are pre-order. We could not afford inventory, so everybody had to pay upfront and then they got their bike anywhere from 6 to 12 weeks later,” Conlow says. “All these people are signing up and making the jump and putting their trust in us.”
Lectric had a massive month in August and had the opportunity to add more team members. Meanwhile, they were operating out of a small garage.
“When we look back at it, how we did it, we’re still not sure,” Conlow says.
The team never had to turn to traditional advertising. “We couldn’t even keep up with the current demand,” Conlow says. “We were constantly playing catchup.”
Its customers were billboards on wheels, promoting the bikes’ superior craftsmanship simply by riding them around town.
“What we were doing was really building a conversation and a community and we really rely on our customers to be advocates for us,” Conlow says.
A year in, Lectric is now doing business out of a facility in Deer Valley and has made $14 million in revenue. At the end of year two, they expect to double that amount.
“We’re experiencing tremendous growth,” Conlow says. “We’re just having a really good time and we’re just trying to deliver our customers a great bike and great service. “
The first model, the Lectric XP, now has over 15,000 purchases and earned Electric Bike Review’s Top Choice Award for Best Folding Electric Fat Tire Bike. The team recently announced the addition of a new model, the Lectric XP Step-Thru, which allows for easier access onto the bike and provides a more stable, comfortable ride.
“Our customers have been requesting a model like this for quite some time,” Deziel says. “We are now able to accommodate individuals who have always wanted an e-bike but have been hesitant to purchase one due to concerns about their ability to easily get onto the bike.”
Lectric has seen an even higher demand amid the coronavirus pandemic, experiencing a 140 percent increase in sales since March 15. To give back to the community during these difficult times. Lectric donated 8,000 KN95 face masks to health care workers throughout Arizona. They also partnered with the Homes on Wheels Alliance, an organization that repurposes vans to provide safe and secure homes for those facing financial hardships, to sponsor two build-outs.
“We believe, in order for the community to really thrive, it needs to be happy and healthy,” Conlow says.
Lectric is continuing to develop its products and improve its process by adding team members and building out its operations in North Phoenix, as well as pursuing other projects and partnerships.
“We’re very excited about what’s coming down the pipeline,” Conlow says.
For more information, visit lectricbikes.com.
