Why We Invested in Super73
When it comes to consumer investing, we have a simple philosophy – we want to invest in brands that customers LOVE, not just really like. We want brands that offer services and products that customers are intensely loyal to and are deeply passionate about. We want brands that have clearly separated from their competitors in occupying the hearts and minds of their customers. We found that and more in our newest portfolio company, Super73.
Today, we are excited to announce our $20M investment in Super73. Super73 is a Los Angeles-based American lifestyle brand that has developed what we think is the coolest line of e-bikes in the market. They have the unique distinction of being the fastest-growing brand we have ever invested in – and we have invested in some hyper-growth consumer brands like Chewy, Arteza, Burst, and Medly. We are huge believers in the growth of the e-bike market in the US and globally, but what we found at Super73 was both a next-level cult-like following among its customers and a team authentically dedicated to distinctive design and superior craftsmanship.
so, why did we invest?
Before we get to what we saw in the company, let’s start with our fundamental belief in the growth of the electric vehicle market for all modes of transportation – automobiles, trucks, bikes, and other modes of micromobillity. Even though these are largely single transaction businesses, multi-billion dollar companies have and will continue to be built across these categories as the demand for electric vehicles becomes commonplace.
Within the e-bike market itself, we see tremendous secular growth ahead for many years. In the US last year, there were about 35 traditional bikes sold for every e-bike sold. When you look at markets like Europe and Asia, you will find countries where that ratio is much closer to or even 1:1.
We see an army of customers who are bringing on other customers in droves – friends, family members, and even strangers on the street asking them about their e-bike are joining the Super73 community.
The US is behind the adoption curve but is catching up quickly due to the value and virality of the product as well as greater awareness, better biking infrastructure, and increasing incentives.
So, who will win the e-bike market? There will be multiple winners, but we love what we are seeing from Super73’s existing customers. What we heard from customers and partners of Super73 was in many respects unprecedented. We see an army of customers who are bringing on other customers in droves – friends, family members, and even strangers on the street asking them about their e-bike are joining the Super73 community.
Far and away, the #1 sales channel for Super73 is their own customer base which to us is the very best sign of customer passion and loyalty. A majority of Super73 customers didn’t even look at other competitive products when they bought their Super73 – they weren’t looking to buy an e-bike, they were looking to buy a Super73. That is the very definition of brand strength. We see best-in-category social engagement within the global Super73 community as raving fans share their experiences with each other. And to our great surprise, we see a huge percentage of customers who have cited that Super73 is one of the top 3 most influential brands in their lives – alongside brands like Apple, Nike, and Tesla. These collective attributes are largely unheard of for an emerging consumer brand especially in the context of a new product category.
Super73 has its own style, its own aesthetic, its own philosophy – and it is all about bringing distinctive American design and superior quality to the e-bike market that sorely lacks it.
We also see a long line of retail partners in the US and globally wanting to carry Super73 products, while existing retail partners are saying that Super73 is the #1 selling brand in their stores across all product categories. We see substantial inbound demand from other global brands wanting to collaborate such as legendary French soccer club, Paris St. Germain, and many others. We have seen hundreds of unpaid celebrities, athletes, and influencers buying and endorsing Super73’s e-bikes as gifts for themselves and friends. The level of inbound demand from retail partners, brand collaborators and influencers is far beyond what we’ve ever seen.
The only reason a brand gets a following anywhere close to Super73’s is that they are doing something authentic that really resonates. Super73 has its own style, its own aesthetic, its own philosophy – and it is all about bringing distinctive American design and superior quality to the e-bike market that sorely lacks it. We are so impressed with the founders of Super73 – LeGrand Crewse, Michael Cannavo, and Aaron Wong – and all that they have and will accomplish. We couldn’t be more excited to be partners with them on what is bound to be an amazing and fun ride ahead.
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