Is there a market for "high end" bikes

[RobertWhitehead]

So I have been wondering, well probably cause I can get my grease monkey fingers on a special little number . But is there a market for extremely high end bikes, I mean north of R100k? I know that this probably rules out 99% of the folks on here but still what's your thoughts? Or rather, if you had the opportunity would you take the risk? 

[dasilvarsa]

Market is depressed at the moment. Quite a bit on offer but no takers.

North of 50K People buy on Lease/HP/Credit.

Edited April 3, 2023 by dasilvarsa

[Ozzie NL]

Yes there is ..... just have a look at the bikes being ridden by Saffers at Epic. ... average new price will not be far of R100k

[Theunissa]

18 minutes ago, RobertWhitehead said:

So I have been wondering, well probably cause I can get my grease monkey fingers on a special little number . But is there a market for extremely high end bikes, I mean north of R100k? I know that this probably rules out 99% of the folks on here but still what's your thoughts? Or rather, if you had the opportunity would you take the risk? 

YES and know. If I think of most my customers I'm pta that have decent bikes. 30% are 100k plus. Everyone has a market. But you need to very sure you target the correct market and deliver the correct service. When I work for my clients that have be 20mil houses I treat it different than the one living in Danville. It is difficult to get into the high end market. But worth it. This is now related to other stuff. But same applies to any service type job 

[Theunissa]

Just now, Theunissa said:

YES and know. If I think of most my customers I'm pta that have decent bikes. 30% are 100k plus. Everyone has a market. But you need to very sure you target the correct market and deliver the correct service. When I work for my clients that have be 20mil houses I treat it different than the one living in Danville. It is difficult to get into the high end market. But worth it. This is now related to other stuff. But same applies to any service type job 

PS I won't nè one of those customers. I'm more in the other 20% at the bottom

[betaboy]

.. I’ve heard if you go too far North, it can get cold and lonely.., just saying. 🙃

[Jewbacca]

41 minutes ago, Ozzie NL said:

Yes there is ..... just have a look at the bikes being ridden by Saffers at Epic. ... average new price will not be far of R100k

Is that a fair reflection of the actual Market as a whole though?

Less than 1000 of the wealthiest 'cyclists' in the country or pro's. 

I'd say look more at what is being ridden on club rides, at CTCT, at bigger, mass participation MTB events and what moves on the trails every weekend to get a gauge.

If say, 4000 bikes are sold monthly, how many are in that bracket? My guess is not many.

Those bikes are definitely bought and sold, but the definition of 'Market' in this sense probably needs to be defined.

I don't think there is a sustainable business solely based in that market segment, but top end/upper tier bikes certainly drive the 'I want' factor in a brand. 

Can't afford the S-Works? Well we can sell you one not quite as good for 1/4 the price, but those who can afford the S-Works (and some of those who can't) will want it and buy it because lust, ego and desire along with unnecessary toys are what make many humans tick.

What I find ridiculous is that 100k isn't even that much money these days after inflation, Rand value etc but R1M is still the baseline value to be a VATable entity

 

[Ozzie NL]

7 minutes ago, Jewbacca said:

Is that a fair reflection of the actual Market as a whole though?

Less than 1000 of the wealthiest 'cyclists' in the country or pro's. 

I'd say look more at what is being ridden on club rides, at CTCT, at bigger, mass participation MTB events and what moves on the trails every weekend to get a gauge.

If say, 4000 bikes are sold monthly, how many are in that bracket? My guess is not many.

Those bikes are definitely bought and sold, but the definition of 'Market' in this sense probably needs to be defined.

I don't think there is a sustainable business solely based in that market segment, but top end/upper tier bikes certainly drive the 'I want' factor in a brand. 

Can't afford the S-Works? Well we can sell you one not quite as good for 1/4 the price, but those who can afford the S-Works (and some of those who can't) will want it and buy it because lust, ego and desire along with unnecessary toys are what make many humans tick.

What I find ridiculous is that 100k isn't even that much money these days after inflation, Rand value etc but R1M is still the baseline value to be a VATable entity

 

I was not trying to size the market for high end rigs. My understanding was that OP can get his hands on a special high end bike as an once off and was wondering whether he could sell that. To that question my answer is yes. 
 

if the question is can I build a business around high end bikes, the answer is a lot more involved. 

[Eugene]

If I were a buyer at R100k, I would rather buy new and get a warranty for my money. That's just me though. 

2 questions. 

1. How long will it take to move a bike at R100k? 

2. Do you want you R100k sitting in your garage for a couple of months when it could be earning/saving you interest. 

[BaGearA]

50 minutes ago, Eugene said:

If I were a buyer at R100k, I would rather buy new and get a warranty for my money. That's just me though. 

2 questions. 

1. How long will it take to move a bike at R100k? 

2. Do you want you R100k sitting in your garage for a couple of months when it could be earning/saving you interest. 

1a ) if its a spez epic , surprisingly quickly 

1b ) not long really, the 100k market is massive and with financing becoming so popular more and more people are falling into that segment monthly 

 

2) Both , I enjoy this sport enough to spend absurd amounts on it ......but I won't give up my investments to ride A model higher that the one u have currently.    Different strokes

[Jewbacca]

1 hour ago, Ozzie NL said:

I was not trying to size the market for high end rigs. My understanding was that OP can get his hands on a special high end bike as an once off and was wondering whether he could sell that. To that question my answer is yes. 
 

if the question is can I build a business around high end bikes, the answer is a lot more involved. 

Ah... I still disagree.

I see 100k bikes sit in the classifieds for ages.

Most people spending that cash would likely buy new.

I say 'most' as there are of course always outliers, but IMHO a 100k plus second hand bike isn't a common sale, nor is it a fantastic investment if you don't have that sort of spare change to throw at a depreciating asset that may or may not be sellable

Disclaimer, I have zero information. In fact, the best person to answer this is the guy who does the info harvesting in the classifieds...

Edited April 3, 2023 by Jewbacca

[babse]

Yes

[throttles]

3 hours ago, RobertWhitehead said:

So I have been wondering, well probably cause I can get my grease monkey fingers on a special little number . But is there a market for extremely high end bikes, I mean north of R100k? I know that this probably rules out 99% of the folks on here but still what's your thoughts? Or rather, if you had the opportunity would you take the risk? 

Yes, worste case you have a sick bike.. (if you have idle disposable funds)

best case you flip it, make a profit and get another one.

[LazyTrailRider]

I didn’t realise >R100k is extremely high end these days. In my mind, it’s pretty much the ballpark for a relatively nice trail bike, and an entry-level-ish EB…

[dasilvarsa]

9 hours ago, LazyTrailRider said:

I didn’t realise >R100k is extremely high end these days. In my mind, it’s pretty much the ballpark for a relatively nice trail bike, and an entry-level-ish EB…

It's High to Sell on the Hub Second Hand, No Finance, No Warranty, Nuffing.

It's Not High to buy Brand New in a Fancy Shop, Lots of Finance Options, Discounts, Vouchers, Warranty and a Free Service after 500 Km.

[WT]

17 hours ago, betaboy said:

.. I’ve heard if you go too far North, it can get cold and lonely.., just saying. 🙃

But you do have a small chance to spot the occasional Yeti😝