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Bike shops - Service quality vs salaries and profits


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Posted

Yes yes, another bike shop fred...

 

There has been a lot posted recently regarding good/bad service received from bike shops as well as the cost of services compared to other industries etc.

 

This got me thinking,

 

We all know the cost of bikes and parts in our “humble” sport have gone crazy the last few years.

 

Has this increases in costs filtered down to increased profits for store owners and increased salaries for bike technicians/ staff etc?

 

I would be interested to know:

- What would a bike technician earn these days?

- What profits do bike shops make off new bikes? I’ve heard 30-40%? Anyone know?

 

I’m not looking to expose anything here and absolutely have no issue with people making a profit and earning a living.

 

My wondering is this, is there a general lack of quality service in our industry because people are being under-payed/ under-valued?

 

Do we have a general lack of interest in quality service from shops because people are underpaid or is it a case of there being so many riding these days that if one stops supporting a shop it’s not an issue because there will always be someone else waiting behind him/her with money to spend?

 

If you buy a 100k bike and it is serviced by someone who earns let’s say 10k a month, we will get “10k a month” quality, if the they earn 20k we would expect “20k a month” quality right?

 

As I mentioned in another thread recently, it baffles my mind that so many people receive subpar service yet bike shops seem to continue to thrive?

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Posted

I think there is a definitive difference between a bikeshop and a bike workshop.

 

Some do both well, while others generally do one or the other. Most doing both well have an owner/stakeholder in/overseeing the workshop.

 

Pay bananas, get monkeys is all too true in this industry though.

 

150k bike being serviced by a guy earning peanuts and the bike owner still often complains that bike servicing costs too much.

 

Walk in clients asking to 'just look at this' is also a thing of the past for a good workshop.

 

You don't just arrive at VW with your car and say 'I think it's due a service, can you do it now while I wait' and expect them to hop to.

 

Planning, booking the bike in, accepting that if you want good service you will have to wait a day or 3 etc needs to become the norm IF you want good service.

 

It's a lot easier to be slick and fast if the walk ins didn't happen so frequently and expect service straight away. 

 

Panning is so effective in a slick operation and having to stop every 5 minutes to hep someone so they don't shoot their mouths off on bikehub for terrible service puts a huge dent in productivity 

Posted (edited)

2 things I know for sure

 

Bike mechs are paid absurdly little

 

People will always have that 'can you just quickly' attitude if some shops allow them to

Lol...for me its that bike mechs think they are top level mechanical engineers....

(When most I have encountered would be hard pressed to service a wheelbarrow)....

 

Edited by Mojoman
Posted

People will always have that 'can you just quickly' attitude if some shops allow them to

And get pissy when the shop tells them to book in a bike. “But why can’t you just.. it will only take five minutes”

 

Well, if it’s only five minutes then why don’t you do it yourself Dorris.

Posted

We have an product that we have just put in 8 LBS at an suggested selling price R40 with an 40% margin sum shop tell us you don't tell us how much to sell for, and price it @ R80 to R90  one shop has it at @R175 just cos our opposition price is high :thumbdown: . The ones that sell it at suggested price are selling a box a week for now.

Posted

I think there is a definitive difference between a bikeshop and a bike workshop.

 

Some do both well, while others generally do one or the other. Most doing both well have an owner/stakeholder in/overseeing the workshop.

 

Pay bananas, get monkeys is all too true in this industry though.

 

150k bike being serviced by a guy earning peanuts and the bike owner still often complains that bike servicing costs too much.

 

Walk in clients asking to 'just look at this' is also a thing of the past for a good workshop.

 

You don't just arrive at VW with your car and say 'I think it's due a service, can you do it now while I wait' and expect them to hop to.

 

Planning, booking the bike in, accepting that if you want good service you will have to wait a day or 3 etc needs to become the norm IF you want good service.

 

It's a lot easier to be slick and fast if the walk ins didn't happen so frequently and expect service straight away.

 

Panning is so effective in a slick operation and having to stop every 5 minutes to hep someone so they don't shoot their mouths off on bikehub for terrible service puts a huge dent in productivity

100% spot on

 

The sooner people respect other peoples time and expertise the better.

 

It’s become the norm to book your car in for a service, busy workshops need a weeks notice, same should happen at any decent bike workshop.

 

But the same attitude that prevails on the hub about technicians being useless is what makes people not respect the workshops time. I’d that techy was so useless then he would not be working at any decent bike workshop.

The problem is the internet makes people think they know everything, same thing happens in your doctors office.

And if you want an officially certified and trained techy then be prepared to pay the labor rate that goes with it.

Posted

From my experience in Canada, the bike shops have dedicated mechanics, whereas in SA there is usually a ‘head’ mechanic and and a few guys doing the service. The SA model works fine, provided the head mechanic oversees what is done and does his checks and trains the guys doing the service. However, in must LBS, this head mechanic is also the store owner/manager, and stays out the service area (for various reasons-could be selling bikes, dealing with clients, ordering stock, going out for lunch, being lazy, etc). I think often the LBS doesn’t have the right staff in place

Posted

I think there is a definitive difference between a bikeshop and a bike workshop.

 

Some do both well, while others generally do one or the other. Most doing both well have an owner/stakeholder in/overseeing the workshop.

 

Pay bananas, get monkeys is all too true in this industry though.

 

150k bike being serviced by a guy earning peanuts and the bike owner still often complains that bike servicing costs too much.

 

Walk in clients asking to 'just look at this' is also a thing of the past for a good workshop.

 

You don't just arrive at VW with your car and say 'I think it's due a service, can you do it now while I wait' and expect them to hop to.

 

Planning, booking the bike in, accepting that if you want good service you will have to wait a day or 3 etc needs to become the norm IF you want good service.

 

It's a lot easier to be slick and fast if the walk ins didn't happen so frequently and expect service straight away.

 

Panning is so effective in a slick operation and having to stop every 5 minutes to hep someone so they don't shoot their mouths off on bikehub for terrible service puts a huge dent in productivity

Brilliant points!

 

Some people expect to be able to drop into a bike shop workshop last minute and expect instant service because it’s “just a bicycle workshop” but get pissy when the bike shop doesn’t treat them like “elite, high priced bike owners”

 

I’m one who always books stuff in, the shops around me don’t accept it any other way.

 

So I guess some shops are shooting themselves in the foot by trying to be accommodating.

 

So I am learning this not a single sided issue.

Posted

Lol...for me its that bike mechs think they are top level mechanical engineers....

(When most I have encountered would be hard pressed to service a wheelbarrow)....

 

????????

Posted

Supply and demand has played a big role in the prices of the last few years. You cannot tell me that a fork service kit which sells for R500 costs even R50 to manufacture? Product manufacturers also keep in mind that if you are willing to pay R100k for a bike then you can afford a R2k service so that is what they will charge you. 

Posted

Heck, all the outdoor sports are getting stupid expensive. I looked at new running shoes, and most brands it seems like you're gonna shell out around R2k for a pair - some brands have running shoes up to R5k. For shoes? Well, I suppose, when you're running with a R20k Fenix and your shirts are R1.5K each, R5k for shoes is realistic. And it's not like the average guy selling you stuff is getting more money at the end of the month. Makes you wonder where the extra $$ is being made.

Posted

The problem in ZA is there is no workshop or mechanic standards set out by a ruling body - Anyone can open a bikeshop and anyone can be employed as a mechanic. Overseas in some countries you have to be a qualified bike mechanic with trade papers before you are allowed to work on bikes.

 

The only place i seen that qualifies bike mechanics locally is Torque Zone and if you check out their course prices from beginning to end its adds up to a huge amount to do all the courses which is far beyond most individuals budget - LBS I suppose are reluctant to sponser their mechanics on these courses as they would want a return on investment and the guy can simply leave before the LBS gets that return. 

Posted

LBS I suppose are reluctant to sponser their mechanics on these courses as they would want a return on investment and the guy can simply leave before the LBS gets that return. 

 

Then they should do like the aviation industry does - Bond the mech - Sponser the course fees, but sign a contract that they have to stay on for x number of months/years after, otherwise they need to buy themselves out. every month/quarter or whatever is agreed, the buyout value decreases.

 

Problem is South Africa loves certification for the sake of certification - as soon as a new minimum requirement is introduced, there will be 20 new certificate mills offering the qualification, and they will pass everyone that bothers to pay the course fee

Posted

Would be interested to hear how long each service should take. From there one can try to extrapolate.

 

But what does a mech earn if he is not the LBS owner? R 10K, R 20K?

What are the billable hours per day?

I would guesstimate @ R 15k per month that mech needs to invoice at least R1.5 to 2k labour per day to make the store owner consider keeping him. 

 

Another thread had someone bleating about paying R 300.00 for a Tubeless fix. How long does that take from walk in to finish? I guestimate is 30 mins and the labour component was probably R 100 to R 150.00. and the balance would probably have been sealant and rim tape and probably a valve.

At that rate the mech would need to be running the full day non stop just to pay his salary. Consider that!

Yes I know there is big money in spares, but these days everyone is comparing to online pricing so not so much any more.

 

Posted

2 things I know for sure

 

Bike mechs are paid absurdly little

 

People will always have that 'can you just quickly' attitude if some shops allow them to

I used to assist a bikeshop owner friend of mine at a stage race by helping with small stuff like tubeless repairs etc. Most of his clients had bookings/ service packages. I was astounded by the entitled and arrogant walk in clients that demands immediate service and then complain about the charges. At one point we were not able to take walk-ins because of workload and then they will go onto the shops social media pages and rant and rave.

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