Seattle-based e-bike manufacturer Rad Power Bikes has announced Kathi Lentzsch as its new Chief Executive Officer (CEO), signaling a significant leadership change amid an ongoing strategic transformation. Lentzsch steps into the role as the company transitions from a direct-to-consumer sales model toward a retail-focused approach, a move aimed at enhancing accessibility and customer engagement.
With extensive experience in retail leadership, Lentzsch is expected to guide Rad Power Bikes through its next phase of growth and restructuring, following years of layoffs, lawsuits, and product recalls.
Leadership Experience: Who Is Kathi Lentzsch?
Lentzsch brings decades of executive experience in the retail sector. Before joining Rad Power Bikes, she served as CEO of Bartell Drugs, where she led the company until it was acquired by Rite Aid in 2020. Her career also includes leadership roles at well-known brands such as:
- Gump’s, a luxury home décor and jewelry retailer
- Elephant Pharmacy, an alternative health and wellness chain
- Pottery Barn, where she contributed to expanding its home furnishing brand
- World Market and Enesco, where she managed strategic growth initiatives
Her extensive background in brick-and-mortar retail operations, strategic restructuring, and brand development makes her an ideal fit for Rad Power Bikes’ shift toward physical retail expansion.
Lentzsch takes over from Phil Molyneux, the former Sony president, who stepped down after leading the company for more than two years. Under his tenure, the company navigated turbulent market conditions and worked through challenges related to product recalls and legal disputes.
Rad Power Bikes’ Strategic Pivot: What’s Changing?
Rad Power Bikes, founded in 2007, grew rapidly during the COVID-19 pandemic, as demand for electric bikes skyrocketed. The company’s direct-to-consumer business model allowed customers to purchase e-bikes online and have them shipped directly to their doorsteps.
However, the brand has faced significant headwinds in recent years, including:
- Multiple rounds of layoffs
- Product recalls impacting customer trust
- Legal battles with investors and customers
- Challenges maintaining profitability under the direct-to-consumer model
In response to these challenges, Rad Power Bikes is shifting gears toward a retail-driven sales strategy, focusing on physical store expansion and in-person customer experiences.
Last week, GeekWire reported another round of layoffs at Rad Power Bikes, which a company spokesperson described as a “strategic pivot” to support the new focus on physical retail.
“This shift required downsizing our teams involved in the direct-to-consumer business,” the spokesperson stated.
This move aligns with broader industry trends, as more e-bike companies recognize the importance of in-store customer experiences—allowing buyers to test ride models, receive maintenance support, and engage with knowledgeable staff before making a purchase.
Pandemic Boom to Market Challenges: The Rise & Struggles of Rad Power Bikes
At its peak, Rad Power Bikes was a trailblazer in the e-bike industry, attracting millions in funding and achieving unicorn startup status.
In 2021, the company was valued at $1.65 billion, according to PitchBook, making it one of the few Seattle-based billion-dollar startups in the mobility sector.
During the pandemic, the demand for e-bikes surged, driven by:
- A shift toward sustainable transportation
- An increase in outdoor recreation activities
- Consumers looking for cost-effective commuting solutions
However, as pandemic-era demand waned, Rad Power Bikes encountered financial and operational hurdles that led to downsizing and a reevaluation of its business model.
Safety recalls have also played a role in Rad’s struggles. Over the past two years, the company faced product recall issues related to braking systems and tires, raising concerns about quality control and customer trust.
Despite these challenges, Rad Power Bikes remains a pioneer in the e-bike space, with a strong customer base and a well-established brand reputation.
CEO Kathi Lentzsch’s Vision for the Future
Stepping into her new role, Lentzsch is optimistic about the company’s future and is ready to lead Rad Power Bikes through this critical transformation.
“Rad Power Bikes is at an inflection point, shifting from a direct-to-consumer model to a more retail-focused approach, and it’s an incredible time to come on board,” Lentzsch said in a statement.
She aims to leverage her deep retail expertise to:
- Expand Rad’s physical store presence
- Enhance customer service and support
- Improve supply chain efficiency
- Rebuild consumer trust through quality assurance
With this new direction, Rad Power Bikes hopes to solidify its position as a top competitor in the evolving e-bike market.
What’s Next for Rad Power Bikes?
As Rad Power Bikes moves forward under Lentzsch’s leadership, industry analysts will closely watch how the company adapts to its retail-first strategy and whether it can regain momentum in the competitive electric mobility sector.
The company’s success will depend on navigating retail expansion, addressing past product concerns, and ensuring financial stability while competing with both established bike retailers and emerging e-bike startups.
With consumer demand for e-bikes still strong, Rad Power Bikes’ next chapter could redefine how electric bikes are marketed and sold in the U.S.
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