Pedal Power Collective: 2.7x ROAS in 2026

The cycling industry, while experiencing consistent growth in recent years, faces unique challenges in local dealer marketing, particularly concerning brand consistency and lead generation. This campaign teardown examines how a targeted digital strategy addressed these issues for a network of independent bike shops, generating significant returns.

I’ve seen countless cycling brands struggle with dealer marketing. They often either dictate a rigid national campaign that ignores local nuances or provide vague guidelines that result in a chaotic patchwork of independent efforts. Neither approach truly solves the problem. Our objective for this campaign, executed between January and June 2026, was to bridge that gap for ‘Pedal Power Collective’, a network of 35 independent bicycle retailers across the Southeast United States.

Campaign Strategy: Centralized Support, Localized Execution

The core strategy revolved around a centralized digital marketing effort designed to support individual dealers without stifling their local identity. We recognized that while the collective benefited from shared brand recognition, customers in the end bought from their local shop. This meant creating a flexible framework for ad creative, targeting, and landing page experiences that could be adapted for each specific market. The total budget allocated for this six-month pilot was $150,000, with a focus on driving in-store visits and test ride sign-ups.

Our primary channels were Google Ads for search intent and Meta Ads (Facebook and Instagram) for broader awareness and localized engagement. We also integrated a new local inventory ads feature on Google, which proved surprisingly effective. A key component of the strategy involved providing dealers with high-quality, customizable assets, including photography and video, ensuring a consistent visual identity while allowing for local flavor.

Targeting and Audience Segmentation

For Google Ads, we focused on high-intent keywords such as “bike shop [city name]”, “electric bike [city name]”, and “bicycle repair [city name]”. We implemented geo-fencing around each dealer’s physical location, typically a 5 to 10-mile radius, depending on population density. This is non-negotiable. Generic national search campaigns for cycling dealers are a waste of budget. You need to be where your customers are, literally.

On Meta Ads, we segmented audiences based on interests (cycling, outdoor recreation, fitness, specific bike brands), demographics (age 25-54, income brackets), and behaviors (online shoppers for sports equipment). We also created custom audiences from each dealer’s existing customer email lists and lookalike audiences based on those lists. A significant portion of the budget, approximately 60%, went to Meta Ads due to its visual nature and granular targeting capabilities for local businesses.

We specifically targeted zip codes with higher concentrations of active lifestyle consumers, using data from the U.S. Census Bureau combined with internal sales data provided by the dealers themselves. This allowed us to be incredibly precise, avoiding ad spend in areas less likely to yield conversions. For example, in Atlanta, we focused on neighborhoods like Virginia-Highland and Decatur, known for their cycling communities and access to trails, rather than a blanket city-wide approach.

Creative Approach: Authenticity and Local Connection

The creative strategy leaned heavily on authenticity. Instead of generic stock photos, we commissioned professional photographers to capture real customers and staff at each participating Pedal Power Collective location. This meant images of actual mechanics working on bikes, families test-riding electric bikes in local parks, and group rides starting from the shop. This visual approach resonated far more than polished, impersonal brand imagery. We created a library of these assets for each dealer, accessible via a shared cloud drive, along with templated ad copy that could be easily customized.

Ad copy emphasized local expertise, community involvement, and the unique services offered by each shop. For example, an ad for the Asheville location might highlight its proximity to specific mountain biking trails and its specialization in full-suspension repair, while a Charleston ad might focus on beach cruisers and family-friendly rides. Headlines were direct, such as “Your Local Bike Experts in [City]” or “Test Ride the Latest E-Bikes Today.”

Here’s a breakdown of some key creative performance metrics:

• Image Ads (Meta): Average CTR 1.8%, Cost Per Click (CPC) $0.75
• Video Ads (Meta): Average CTR 2.1%, CPC $0.68, 3-second video view rate 45%
• Responsive Search Ads (Google): Average CTR 3.2%, CPC $1.10

The video ads, though requiring more production effort, consistently delivered better engagement and lower CPCs. This confirms my long-held belief that dynamic content, when done correctly, always beats static. (And no, a slideshow of static images does not count as dynamic content.)

What Worked Well

The hyper-local targeting on both Google and Meta Ads was the undisputed MVP of this campaign. By focusing ad spend precisely where potential customers lived and worked, we minimized waste and maximized relevance. The average cost per lead (CPL) for test ride sign-ups came in at $12.50, which is excellent for a high-consideration purchase like a bicycle. For comparison, previous, less targeted campaigns often saw CPLs upwards of $30 to $40.

The customizable creative assets also played a vital role. Dealers felt ownership over their marketing, leading to better compliance and more engaging local content. We saw a direct correlation between the degree of local customization in ads and higher click-through rates. For instance, ads featuring recognizable local landmarks or popular cycling routes consistently outperformed generic ads, achieving CTRs up to 2.5% in some markets.

Plus, the consistent brand messaging, even with independent dealer websites, improved conversion rates. By providing a unified, yet adaptable, landing page template for test ride sign-ups and service appointments, we ensured a smooth user experience regardless of which dealer a customer was interacting with. According to HubSpot research, consistent branding across all channels can increase revenue by up to 23%. Our campaign saw a 15% increase in conversion rate for test ride sign-ups compared to the previous year’s fragmented approach.

What Didn’t Work as Expected

Initially, we experimented with a broader retargeting strategy across all dealers, showing ads to anyone who had visited any Pedal Power Collective website. This proved less effective than anticipated. The conversion rate for these broader retargeting pools was lower, and the cost per conversion higher, than for retargeting pools specific to individual dealer locations. Customers often prefer to interact with the specific shop they previously engaged with, not just any shop in the network.

Another area that underperformed was direct mail integration. While the concept of combining digital ads with local mailers seemed promising, the attribution was difficult, and the cost per acquisition was significantly higher than our digital channels. We paused this effort after the first two months. Sometimes, the old ways are just less efficient, even when you try to integrate them with new tech.

Optimization and Iteration

Throughout the six-month campaign, continuous optimization was important. We conducted weekly A/B tests on ad copy, headlines, and calls-to-action (CTAs). For example, testing “Schedule Your Test Ride” against “Experience the Ride” showed that the more direct, action-oriented CTA performed 12% better in terms of conversion rate. We also tested different landing page layouts, finding that pages with integrated dealer-specific testimonials and staff photos converted 8% higher than more generic layouts.

Geographic targeting was refined monthly based on performance data. If a particular zip code was showing high impressions but low conversion rates, we either adjusted the bid strategy or re-evaluated the audience within that area. Conversely, high-performing areas received increased budget allocation. This iterative process reduced our cost per conversion by 18% from the first month to the last, demonstrating the value of ongoing data analysis.

We also implemented a feedback loop with the dealers. Monthly calls allowed them to share insights on in-store traffic, specific bike models that were popular, and local events. This qualitative data, combined with our quantitative ad performance metrics, informed our optimizations. For example, several dealers reported increased interest in gravel bikes, prompting us to create specific ad sets and landing page content around this growing segment.

Campaign Metrics Summary

Here’s a snapshot of the final campaign performance over the six-month period:

The ROAS of 2.7x, while not sky-high for some industries, is a strong indicator of success for the cycling sector, where margins can be tighter and the sales cycle longer. This figure represents direct attribution from leads generated through the campaign, though the halo effect on general store traffic is likely higher. The campaign demonstrated that with a strategic, data-driven approach, independent cycling dealers can effectively compete and grow their market share.

The future of dealer marketing in the cycling industry hinges on this blend of centralized support and localized execution. Brands that help their dealers with adaptable tools and strategies, rather than imposing rigid, one-size-fits-all campaigns, will be the ones that thrive. My advice: invest in quality local content and embrace iterative testing. It pays dividends.