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Good article I think


BigDL

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On some accessories and clothing yes. But it's not across all the items in the shop. Not even close.

 

That being said, I see the next growth area for the industry to be in accessories and servicing.

People don't replace bikes so easily, but it still needs to go for a "wash and lube" on Monday, and you can't ride a red bike without the obligatory special onderbroek and funky socks.

Have to agree, the lbs's I visit have built up their business using a strong workshop as the backbone and not volume of goods. Competent mech's(all riders themselves), supply of consumables and great expectation management are the things that matter to me. 

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 Do you sit down with the dealer principal when taking your car for a service? Thought not.

 

Yip.

 

He gives me a coffee and tells me about the new models. He thanks me for sending some business his way.  I tell him I am not in the market but that I needed the service because I was off to the Kalahari. He asked if I wanted heavy duty tires for the trip as he will fit a set of wheels for me mahala for the journey.

 

I say thank you and go back next time when I need to buy a new vehicle.

 

BUT, I have never felt that he has ripped me off and I treat him with respect. Kind of like the bike shops I frequent. As long as I do not feel ripped, and the prices are comparable (not necessarily lower, but ball-park) to the on-line retailers, I will give them my business.

 

This has bought me some leeway when I arrived with an urgent job the day  my bike was due to be shipped off to the  Argust and many other benefits people often complain that they never get.

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I lived in the Staes for a while. I noticed that in the Staes success is viewed quite differently to what appears to be the norm in SA.

 

In the States people want to hire a plumber that has a smart new pick up and is smartly turned out in new jeans or good quality clean overalls. They assume success comes from skill and knowledge. In South Africa we like our plumber to rattle up to the door in a clapped out 30 year old bakkie spewing smoke from a noisy exhaust. He should be dressed in rags and have at least one helper on minimum salary that is dressed worse than the blind cripple at the traffic lights. If our plumber doesn't look like this we assume he is going to rip us off. We equate success with dishonesty and unreasonable profits.

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Yip.

 

He gives me a coffee and tells me about the new models. He thanks me for sending some business his way.  I tell him I am not in the market but that I needed the service because I was off to the Kalahari. He asked if I wanted heavy duty tires for the trip as he will fit a set of wheels for me mahala for the journey.

 

I say thank you and go back next time when I need to buy a new vehicle.

 

BUT, I have never felt that he has ripped me off and I treat him with respect. Kind of like the bike shops I frequent. As long as I do not feel ripped, and the prices are comparable (not necessarily lower, but ball-park) to the on-line retailers, I will give them my business.

 

This has bought me some leeway when I arrived with an urgent job the day  my bike was due to be shipped off to the  Argust and many other benefits people often complain that they never get.

 

I think there is too much focus on how the customer should treat the LBS and not enough focus on how the LBS treats the customer.

 

Personally I have only met one dealer principal in 30 years of motoring and that was because a car that I signed for was sold to another customer. However, I find most dealerships professional and the quality of service acceptable.

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I think there is too much focus on how the customer should treat the LBS and not enough focus on how the LBS treats the customer.

 

 

To be fair this article was written only from the view point of how to piss the lbs off.

 

Like all things in life - more flies with honey.

 

Customer and LBS should both approach each other with equal respect and life will be good.

 

Hell - if everyone on the earth showed respect and common sense the world would be awesome.

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Think the days of the LBS are numbered.

Especially in SA. Retailers (and people I guess) are set in their ways & hate change.

 

I am a wholesaler in a similar (luxury goods) industry , and I find it amazing what my retailers expect from me:

 

a) carry the stock

b) carry the risk of granting them credit (my terms are getting longer & longer & bad debt is on the rise)

c) solely pay for the advertising for new product

d) listen to their moaning about "low" margins, even though the cost of concluding a R10k deal is often a local phone call

e) carry the exchange rate fluctuations

 

the list goes on....

 

The solution:

 

I got into retail, and now they are asking me why...

 

Because

 

a) I am carrying the stock

b) the credit risk disappears overnight

c) I'll pay for the advertising

d) no more moaning. In fact, I will lower margins to acceptable levels.

e) I no longer need top carry the exchange fluctuations. I can adjust it when necessary.

 

the list goes on...

 

In the bike industry, this too will happen. Either the local distributor becomes the retailer, or he will go online. Servicing will become mobile or a stand alone business.

 

This is why the biggest taxi corp doesn't own a car - Uber / the biggest hotel chain doesn't own a room - AirBnB / the largest retailer doesn't hold stock - Alibaba.

 

the list goes on....


Change is coming.

My 2c.

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Think the days of the LBS are numbered.

Especially in SA. Retailers (and people I guess) are set in their ways & hate change.

 

I am a wholesaler in a similar (luxury goods) industry , and I find it amazing what my retailers expect from me:

 

a) carry the stock

b) carry the risk of granting them credit (my terms are getting longer & longer & bad debt is on the rise)

c) solely pay for the advertising for new product

d) listen to their moaning about "low" margins, even though the cost of concluding a R10k deal is often a local phone call

e) carry the exchange rate fluctuations

 

the list goes on....

 

The solution:

 

I got into retail, and now they are asking me why...

 

Because

 

a) I am carrying the stock

b) the credit risk disappears overnight

c) I'll pay for the advertising

d) no more moaning. In fact, I will lower margins to acceptable levels.

e) I no longer need top carry the exchange fluctuations. I can adjust it when necessary.

 

the list goes on...

 

In the bike industry, this too will happen. Either the local distributor becomes the retailer, or he will go online. Servicing will become mobile or a stand alone business.

 

This is why the biggest taxi corp doesn't own a car - Uber / the biggest hotel chain doesn't own a room - AirBnB / the largest retailer doesn't hold stock - Alibaba.

 

the list goes on....

Change is coming.

My 2c.

Love what you did there and yes...spot on..

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