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Online stores killing RSA economy!


FloatingPivot

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I aggree with you. Why can CWC give us such good deals [ the same as CRC and sometimes even better ] and not the other LBS shops. CWC proved that someone is making too much money. I have been a big supporter of a certain LBS but I must also look after my own intrest.

 

Long live CRC and CWC

 

ITS CALLED BUYIN IN BULK AT THE MANUFACTURER!!! HELLOOOO! bulk = Discount
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You are correct. Buying bulk and selling at a small mark up. That is most probarly what they are doing but why cant the wholesalers who I am sure is getting a better discount direct from the suppliers not past that on to the LBS ?

 

I think that the problem is with the wholesalers and certain dealers that wants to make too much fat.
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Headshot.

 

I aggree with you. Why can CWC give us such good deals [ the same as CRC and sometimes even better ] and not the other LBS shops. CWC proved that someone is making too much money. I have been a big supporter of a certain LBS but I must also look after my own intrest.

 

Long live CRC and CWC

 

ITS CALLED BUYIN IN BULK AT THE MANUFACTURER!!! HELLOOOO! bulk = Discount

 

And selling direct to the public instead of to the LBS's (like all/most wholesalers). CRC is a wholesaler, not an LBS.
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Headshot.

 

I aggree with you. Why can CWC give us such good deals [ the same as CRC and sometimes even better ] and not the other LBS shops. CWC proved that someone is making too much money. I have been a big supporter of a certain LBS but I must also look after my own intrest.

 

Long live CRC and CWC

 

ITS CALLED BUYIN IN BULK AT THE MANUFACTURER!!! HELLOOOO! bulk = Discount

CWC is a retailer not a distrobuter, just like any other bikeshop out there so if your theory is that CWC buys in bulk the theory has to be so does every other bike shop.

.

In most American and firstworld countries almost every item bought from the website is cheaper that its physical counterpart standing in a store. This is not the case in South Africa.

 

Online should be a lot cheaper since you dont always have to have stock on the floor, as long as you have a good relationship with your supplier you let them keep the stock. End result you can have 100 times the product on a virtual store than a physical store and you dont run the risk of buying stock that might not sell.

 

SA menatality, if its 25k on my floor its going to be 25k on my site regardless.
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You are correct. Buying bulk and selling at a small mark up. That is most probarly what they are doing but why cant the wholesalers who I am sure is getting a better discount direct from the suppliers not past that on to the LBS ?

 

?

 

I think that the problem is with the wholesalers and certain dealers that wants to make too much fat.

 

 

 

because apparently they get taxed to death.

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I can see ive "roered the pot" quit a bit! my conclution is that there was to many of you guys beieng pissed of by bike stores with poor service' date=' and i must admit its not easy getting a store with good service, but if you feel you must buy online go ahead! Just wondering what happned to LOVE FOR A CYCLING BROTHER! we all make a living of someone else... een man se dood die ander se brood! SO WHY MAY BIKE SHOPS NOT MAKE A BUCK?

Anyway guys! Chill out no need to get aggressive!

 

AT THE END OF THE DAY CYCLING MUST WIN!
[/quote']

 

There is lots of love for the cycling brother - they love us so much they cannot wait to shaft us at every available opportunity!! No one is saying that the LBS cannot make a buck, but there is proft and then there is PROFIT!
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Covie you are 100% correct but just keep in mind that as far as I am aware CWC have two outlets.

 

1. A retail outlet owned by Chris - the father and

2. A online outlet which is owned by his son if not mistaken.

 

Chris - his son - has been the person who has forced most wholesalers and certan retailers to bring their prices down. This is to our advantage.

 

I support CWC if he have the stock I need otherwise my support goes to CRC. My charity begins at home  
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I have a lot of sympathy for the LBS - mine gives great service and will always try and do a deal on price. Problem is - I can buy certain parts cheaper retail from CRC than they can from the "official" distributor.

 

We are stuck in an outdated distribution supply chain that has too many middlemen and profit margins built in. Manufacturers are the one who need to embrace the new globalised economy - they would benefit greatly by reduced stock holdings and greater access to the consumer.

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I doubt the bike stores are ripping anybody off. As in most sectors one needs to look at the wholesalers / importers. Not saying they're guilty in this instance but noone really looks at them' date=' it's mostly the retailer that gets blamed.[/quote']

 

Yip I agree,  But alot of retailers also fall short when it comes to service.  Some don't carry stock and it is quicker to order online!!
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the retail game , with todays climate is really tough! as a business owner you can either cry because the customers arent coming through your doors or you take the doors to your customer! competion is great for business and everyone benefits! if the local lbs are strugelling then they only have themselves to blame! it certainly isnt because of online trading or buying from cwc, i would love to know how the hub has hurt the whole of the SA market! i for one have bought 4 bikes,  bought and sold lots of spares over the past couple of years only because there now is another market to tap into!

so to the the strugglers !

go to work tomorrow and ask  yourself or your bosses "how are we going to get the doors to our customers"

 

 

GOOSE12010-05-20 09:31:39
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TraceX.

I also have sympathy with some of them but why does certain dealers prices differ so much on the same item?

 

Surely hey buy Shimano from Coolheat , Campac from the wholesaler in SA, Conti tyres from the same wholesaler ect ect. but their prices differ so much.

 

Take certain big dealers who surely buy in bulk , gets a better price but then they are still more exspencive that the small dealer. It does not make sence. We are the consumer is getting ripped off buy most wholesalers and most of the "top dealers " in the country.
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No one buys from online stores just to be cool! We buy from them because it saves you A LOT of money!! If it was a 10% variation one could take one for the team but when it is big differences.... then who is shafting who???<?: prefix = o ns = "urn:schemas-microsoft-com:office:office" />

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If I am not mistaken, the local bike shops have official wholesale channels in SA.  i.e. coolHeat for Shimano. There are probably other similar channels

for different cycling products.

 

All LBS have to buy through cool heat for shimano,so that they have the local support for Shimano. I may be mistaken on this, but would like to be shown the error of my thinking.

 

So the wholesaler  Recommends the retail price, and thats the price you will be quoted when you call different bike shops. The quoted price is almost identical from different shops, for that reason.

 

On CRC you dont have this restriction, they sell on supply/demand. This is why I can source some parts at half the local price after vat + shipping.

 

It is true that some items are cheaper here, thats why you should shop around so that you can get the best bang for your buck.

 

 

 

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