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Posted

The price of private label bike brands.

Written by Brandon Els | 5th October, 2011

 

Here's a quick take on the price of private label bike brands in SA.

 

They can go by the name of private label bike brands or 2nd or 3rd tier brands. Generally they are brands that have no patented technology or that use generally available open frame moulds and designs. They rely in some cases on acronyms for technology that exist in paraphrase alone and in most cases they rely on graphics and specification levels. This is the private label brand. The opposite of the private label bike brand are the 1st tier brands like SCOTT and Specialized that pour millions of dollars into the development of proprietary technology and patented manufacturing processes.

 

Make no mistake the private label bike brand plays a very important role in the bike industry. It is usually the first time bike for a new cyclist or the go to bike for a non-brand conscious consumer and it is the bread and butter of bike shops. The problem is that the price gap between private label brands and 1st tier brands are too small in SA these days.

 

It's been years since a private label bike brand with insanely great value for money has been launched! Not good value, not great value - but an insanely great value private label brand has been missing from the SA bike market for a few years as the current private labels seduce themselves into thinking they are 1st tier brands.

 

We plan to do something about this!

 

It's launching 1st week November 2011, it is not trying to be a 1st tier brand and it is insanely great value for money.

 

http://www.probike.co.za/blogs/brandon/the-price-of-private-label-bike-brands

Posted

Pretty rich from a guy who made millions buying Taiwanese bits and pieces and sticking a Raleigh badge on them...

 

:thumbup:

 

 

just marketing speak for "we found another way to screw you". well seeing is believing...

Posted

Pretty rich from a guy who made millions buying Taiwanese bits and pieces and sticking a Raleigh badge on them...

 

Isn't that what most bike brands are?

 

Taiwanese, I mean.

Not Raleigh...

Posted

"The problem is that the price gap between private label brands and 1st tier brands are too small in SA these days."

 

The price gap has nothing to do with the difference between the private and 1st tier but rather to what they think the market can carry but that's just IMHO :unsure: - don't think you suddenly gonna get 'cheaper' decent bikes :angry:

Posted

90% of riders will not be able to tell the difference in ride quality between a R50 000 Pinarello and a R4 000 Chinarello. If it makes the sport more accessible/cheaper, it's a good thing.

Posted

"The problem is that the price gap between private label brands and 1st tier brands are too small in SA these days."

 

The price gap has nothing to do with the difference between the private and 1st tier but rather to what they think the market can carry but that's just IMHO :unsure: - don't think you suddenly gonna get 'cheaper' decent bikes :angry:

 

Not sure about that, look at the price points on the Scotts of late. Think it will put a lot of pressure on the current brands that are offering 'value for money'.

End of the day it's a good thing, more competition will benefit us as consumers.

Posted (edited)

90% of riders will not be able to tell the difference in ride quality between a R50 000 Pinarello and a R4 000 Chinarello. If it makes the sport more accessible/cheaper, it's a good thing.

 

Probably more than 90%.

 

Until the chinarello fork made out of papier-mâché snaps ;)

Edited by TNT1
Posted

Not sure about that, look at the price points on the Scotts of late. Think it will put a lot of pressure on the current brands that are offering 'value for money'.

End of the day it's a good thing, more competition will benefit us as consumers.

 

Seen that enough times but there's not much evidence of this - see the cellphone networks for example ....

Posted

Probably more than 90%.

 

Until the chinarello fork made out of papier-mâché snaps ;)

 

Haha :thumbup: I've seen one of these copied Dogma's before almost impossible to tell the difference and the whole thing was carbon although i also thought it would be paper mache or plastic

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