price fixing hey...now what? does it actually help us?

[Mojoman]

AFAIK, the markups on new bikes are actually not that big. Something like only 20%. so the R5k bike on the shop floor is making the dealer R1k. These figures could be wrong, but just run with them for now.

 

The average bike shop owner doesn't make his his cash from selling bikes at this level, but more from accessories and labour. Selling bikes is a way to get the customer into the store and start a relationship. The other big revenue stream that some bikestores have is the dudes buying the R50k+ bikes. When I see someone on a fancy bike in Group R that he has no place riding, I remember that he's keeping a bikestore in business.

 

By driving a hard bargain at this price level, the LBS is most likely not going to bother. Sure no one is going to stop you from asking for a discount, but it's poor form. Do you ask raymond ackerman to drop his price on fattis and monnis penne because whitey basson is charging you a rand less down the road?

 

finally, where does your handle come from. Is there a crack in your bike or do you smoke it?

I take it you have never shopped at Cajees where it is bad form not to ask for a discount! The Larsen tyre I referred to in an earlier post was marked at R299, they lowered the price to R230. In March I bought the same tyre from them and they marked it down to R200! But if you don't ask, you will pay the indicated price, no discount will be mentioned!

[Caerus]

Come now, Crack. Where can you get your bakkie serviced for R350? And, what, your bike tyres cost R2500 a shot? Methinks your argument is much more over-inflated than the mark-ups you perceive the people you have an axe to grind against use.

 

Cost me R500 to service my bakkie, and been qouted R400/new tyre for my car - I would love you to tell me where I can get a full/major service for your bike for R350 - I dont have the luxury of driveing a SUV or 4X4, So yeah the prices are inflated

[AndreZA]

AFAIK, the markups on new bikes are actually not that big. Something like only 20%. so the R5k bike on the shop floor is making the dealer R1k. These figures could be wrong, but just run with them for now.

 

I don't think that is right. The bikes on Westdene cycles' floor sticker prices are inline with other shops. And 99% of the time they will drop the price between 10-15%. I went to the shop of a MTB race organiser and when I asked how much discount they said 5% IF I spend that on accessories. And then they were still about 10% higher then other shops.

[Caerus]

AFAIK, the markups on new bikes are actually not that big. Something like only 20%. so the R5k bike on the shop floor is making the dealer R1k. These figures could be wrong, but just run with them for now.

 

The average bike shop owner doesn't make his his cash from selling bikes at this level, but more from accessories and labour. Selling bikes is a way to get the customer into the store and start a relationship. The other big revenue stream that some bikestores have is the dudes buying the R50k+ bikes. When I see someone on a fancy bike in Group R that he has no place riding, I remember that he's keeping a bikestore in business.

 

By driving a hard bargain at this price level, the LBS is most likely not going to bother. Sure no one is going to stop you from asking for a discount, but it's poor form. Do you ask raymond ackerman to drop his price on fattis and monnis penne because whitey basson is charging you a rand less down the road?

 

finally, where does your handle come from. Is there a crack in your bike or do you smoke it?

 

 

That is the biggest load of bollocks Ive ever heard I will always ask - If I hadnt I would have paid a grand more for my wifes bike - Im not complaining, the bike shop didnt complain either. I asked and I shopped around, they competed for my business, didnt ask for the 15% discount off a helmet,they offered again(they wanted my business, not me wanting their business, thats what retail industry is all about if Im not mistaken) They will get my business from now on, they can service all my bikes as well, any parts/consumables I know where Ill be going?

 

My "handle" comes from the bastards that try and rip me off day in & day out

[GrumpyOldGuy]

Come now, Crack. Where can you get your bakkie serviced for R350? And, what, your bike tyres cost R2500 a shot? Methinks your argument is much more over-inflated than the mark-ups you perceive the people you have an axe to grind against use.

 

Surely R350.00 is only labour.? If its including parts you need to tell me where this shop is cos my last bike service at a well known shop cost R1600.00

 

As a comparison, yesterday, my wifes Audi went in to the dealers for the 15000kms oil and filter change - heres Audi's invoice as it stands -

 

Oil Filter R330.00

Synthetic oil 6.3 litres R530.00

Compression washer (????) R15.00

Labour 2 units (????) R275.00

Total = R1150.00

 

They, the(?????) are'nt on the invoice , I just dont know the time of a unit, and I dont know what a compression washer is!.

[Tumbleweed]

Cost me R500 to service my bakkie, and been qouted R400/new tyre for my car - I would love you to tell me where I can get a full/major service for your bike for R350 - I dont have the luxury of driveing a SUV or 4X4, So yeah the prices are inflated

 

I work in a bike shop that charges that

[Caerus]

Surely R350.00 is only labour.? If its including parts you need to tell me where this shop is cos my last bike service at a well known shop cost R1600.00

 

As a comparison, yesterday, my wifes Audi went in to the dealers for the 15000kms oil and filter change - heres Audi's invoice as it stands -

 

Oil Filter R330.00

Synthetic oil 6.3 litres R530.00

Compression washer (????) R15.00

Labour 2 units (????) R275.00

Total = R1150.00

 

They, the(?????) are'nt on the invoice , I just dont know the time of a unit, and I dont know what a compression washer is!.

 

My point exactly

[Caerus]

I work in a bike shop that charges that

 

Where you based I'll be later then , for full service then?

I thought that you either worked in a shop or were an agent

[Tumbleweed]

Surely R350.00 is only labour.? …

Labour 2 units (????) R275.00

 

And you're complaining about R350 for labour on a bike against R275 for someone changing your oil and putting a new filter on?

 

Not to mention the fact that your motor plan/warranty would most probably be void if you did it yourself…

[Tumbleweed]

Where you based I'll be later then , for full service then?

I thought that you either worked in a shop or were an agent

 

 

It'll be a long drive…it's out on the East Rand!

 

In a sense I'm both. I help out at my mate's shop on weekends. And my 9-to-5 gig is as a journalist, and Malema thinks we're agents…the bloody kind.

[Caerus]

AFAIK, the markups on new bikes are actually not that big. Something like only 20%. so the R5k bike on the shop floor is making the dealer R1k. These figures could be wrong, but just run with them for now.

 

The average bike shop owner doesn't make his his cash from selling bikes at this level, but more from accessories and labour. Selling bikes is a way to get the customer into the store and start a relationship. The other big revenue stream that some bikestores have is the dudes buying the R50k+ bikes. When I see someone on a fancy bike in Group R that he has no place riding, I remember that he's keeping a bikestore in business.

 

 

 

By driving a hard bargain at this price level, the LBS is most likely not going to bother. Sure no one is going to stop you from asking for a discount, but it's poor form. Do you ask raymond ackerman to drop his price on fattis and monnis penne because whitey basson is charging you a rand less down the road?

 

finally, where does your handle come from. Is there a crack in your bike or do you smoke it?

 

Why cant the bike shops just go direct - Import there own stuff. Why cant they make money on selling new bikes either - Price them more reasonbly and Im sure they would sell more. For example the new Specialised 2011 Stumpjumper goes for R21 000 what does that same bike retail here for? But the differance in the costs overseas are more relative to what people earn

[Mojoman]

Surely R350.00 is only labour.? If its including parts you need to tell me where this shop is cos my last bike service at a well known shop cost R1600.00

 

As a comparison, yesterday, my wifes Audi went in to the dealers for the 15000kms oil and filter change - heres Audi's invoice as it stands -

 

Oil Filter R330.00

Synthetic oil 6.3 litres R530.00

Compression washer (????) R15.00

Labour 2 units (????) R275.00

Total = R1150.00

 

They, the(?????) are'nt on the invoice , I just dont know the time of a unit, and I dont know what a compression washer is!.

That oil filter is pretty steep, although you are paying for a premium filter on a premium car! On my Nissan it is around R50 and on my Mazda around R40. A compression washer is a copper washer on your sump drainplug bolt, stops leaks, nice to see they replace that, its worth the R15 to stop those nasty oil drips on your driveway!

[GrumpyOldGuy]

And you're complaining about R350 for labour on a bike against R275 for someone changing your oil and putting a new filter on?

 

Not to mention the fact that your motor plan/warranty would most probably be void if you did it yourself…

 

Not at all, its just a comparison.

 

I also think the average car today is very technical, the guys at the dealership inspire(my)confidence, the place is clean, neat, its filled with high tech electronic equipment, the mechanics are all neatly dressed in matching black coverall's - it looks the part.

 

Now I dont really know about bikes, but I dont think they are all that technical, certainly I have never heard of a 5 year bike mechanic apprenticeship, most shops I see employ unskilled labour in a tatty T shirt and shorts and show them what to do, the most high tech piece of equipment I have seen is a bicycle stand, and usually they have less spanners than me - and I dont have many.

 

The costs structure in a high tech motor dealership is probably 1000 times higher than a cycle dealership, yet their average labour cost is not bad.

 

Sure, the motorplan would be void if you did it (oil change) yourself, but I wouldnt anyway, the same as I dont service my bike, I dont service my car,(besides have you seen the covers you need to remove just to get to anything )- I just find it odd that its cheaper to service a car in an extremly high tech enviroment, than it is to service a bike in a back room somewhere.

[Caerus]

And you're complaining about R350 for labour on a bike against R275 for someone changing your oil and putting a new filter on?

 

Not to mention the fact that your motor plan/warranty would most probably be void if you did it yourself…

 

 

Is that for everything, cause I want to have words with my LBS, and the other people I rather take my bike too - They charge A RIDICULOUS AMOUNT(my LBS that is) Ive found this link, Is this what you will do for R350 -https://community.bikehub.co.za/topic/82409-exlusive-to-thehub-members/page__p__1143538__fromsearch__1#entry1143538

[Caerus]

Not at all, its just a comparison.

 

I also think the average car today is very technical, the guys at the dealership inspire(my)confidence, the place is clean, neat, its filled with high tech electronic equipment, the mechanics are all neatly dressed in matching black coverall's - it looks the part.

 

Now I dont really know about bikes, but I dont think they are all that technical, certainly I have never heard of a 5 year bike mechanic apprenticeship, most shops I see employ unskilled labour in a tatty T shirt and shorts and show them what to do, the most high tech piece of equipment I have seen is a bicycle stand, and usually they have less spanners than me - and I dont have many.

 

The costs structure in a high tech motor dealership is probably 1000 times higher than a cycle dealership, yet their average labour cost is not bad.

 

Sure, the motorplan would be void if you did it (oil change) yourself, but I wouldnt anyway, the same as I dont service my bike, I dont service my car,(besides have you seen the covers you need to remove just to get to anything )- I just find it odd that its cheaper to service a car in an extremly high tech enviroment, than it is to service a bike in a back room somewhere.

 

 

Again, my point exactly. Well said - As much as they try to justify the costs - I will never believe it. That means Im in the wrong business for sure(thats with a degree & trade as well)

[GrumpyOldGuy]

That oil filter is pretty steep, although you are paying for a premium filter on a premium car! On my Nissan it is around R50 and on my Mazda around R40. A compression washer is a copper washer on your sump drainplug bolt, stops leaks, nice to see they replace that, its worth the R15 to stop those nasty oil drips on your driveway!

 

Oh, okay, thanks for the heads up.

 

Yeah, that filter is expensive in comparison isnt it.?

Although at this point it dos'nt cost me anything as its covered by the motorplan,so I dont mind, but I think all these manufacturer branded (Audi, Bmw etc) products are marked up heavily, its likely much cheaper in a spares shop.