FOXF Fox Factory sells its suspension products at premium prices which are marketed to leading original equipment manufactures (OEM). Key OEM customers include Trek in the mountain bike area, and Ford (F) and Polaris (PII) in the powered vehicle area.
The company's high-end suspension products can be found in mountain bikes, motorcycles, ATVs, snowmobiles, and on-road vehicles with off-road capabilities. Its customer base features a few very prominent OEMs, such as Ford, Polaris, and Specialized. In all, it sells to more than 150 OEMs and distributes its products to more than 2,300 retail dealers worldwide.
Its' high performance products are widely recognized as top in class, and this largely stems from the success that its products have had at major competitive events, and the endorsements of its products that have followed from top athletes.
The company is also known for its innovation and first-to-market products. FOXF's founder was a motocross racer and many members of the company's management team and employees are avid users of its products, so there is a strong racing culture here. Today, it provides on-site technical race support for professional athletes, providing the company with real-time insights into riders needs. This gives the company a key competitive advantage.
One of the perks of having such a favorable brand name is that it is able to consistently increase its prices. This, combined with its expansion in international markets and its active pipeline of new product launches, has driven its steady double-digit revenue growth.