The fall and fall of your local bike shop

Some shop for carbon fibre, some simply for spare tubes. Share your experiences of visiting your local bike shop.
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SpanishMan
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The fall and fall of your local bike shop

Postby SpanishMan » Mon 18 Jun 2012, 9:16 am

http://www.theaustralian.com.au/news/nation/stores-fall-flat-as-cyclists-ride-web/story-e6frg6nf-1226397157927

I personally think BSC were headed for disaster with their high-end pricing and excessive staff numbers (not all friendly I might add), many standing there pretending to be busy. It was a bad business model to begin with.
The future of a BS is to downsize and expand more on the internet. Abbottsford Cycles I think have a better model. They sell "some bikes" and rely on good customer service and repairs. But they could do better by expanding more on the web too.

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brycerider
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Re: The fall and fall of your local bike shop

Postby brycerider » Mon 18 Jun 2012, 11:31 am

They had four times the floor space and three times the staff at QV compared to my LBS....but about the same turnover.
Just shut up and ride!

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mtb101
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Re: The fall and fall of your local bike shop

Postby mtb101 » Mon 18 Jun 2012, 3:14 pm

SpanishMan wrote:http://www.theaustralian.com.au/news/nation/stores-fall-flat-as-cyclists-ride-web/story-e6frg6nf-1226397157927

I personally think BSC were headed for disaster with their high-end pricing and excessive staff numbers (not all friendly I might add), many standing there pretending to be busy. It was a bad business model to begin with.
The future of a BS is to downsize and expand more on the internet. Abbottsford Cycles I think have a better model. They sell "some bikes" and rely on good customer service and repairs. But they could do better by expanding more on the web too.
maybe ..... New Mega Store at 72 Bell St, Heidelberg Heights
has over 1000 bikes
__________flow................___________

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hamishm
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Re: The fall and fall of your local bike shop

Postby hamishm » Mon 18 Jun 2012, 4:15 pm

SpanishMan wrote:Abbottsford Cycles I think have a better model. They sell "some bikes" and rely on good customer service and repairs. But they could do better by expanding more on the web too.

They've got a bit of online shopping going at 321blastoff.com.au. I'm not sure why they split this from their main shop website.

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roshea
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Re: The fall and fall of your local bike shop

Postby roshea » Mon 18 Jun 2012, 4:26 pm

There's quite a bit of discussion on this topic already:

viewtopic.php?f=17&t=24562
Office use only.

biftek
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Re: The fall and fall of your local bike shop

Postby biftek » Mon 18 Jun 2012, 4:32 pm

busienss management 101 , never open a business where the market is already flooded , there is only enough room for so many LBS, cycling is a niche market

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Euan
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Re: The fall and fall of your local bike shop

Postby Euan » Mon 18 Jun 2012, 6:03 pm

biftek wrote:busienss management 101 , never open a business where the market is already flooded , there is only enough room for so many LBS, cycling is a niche market


BSC didn't exactly open yesterday, they've been around for a while. They had different problems.
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baudman
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Re: The fall and fall of your local bike shop

Postby baudman » Mon 18 Jun 2012, 6:10 pm

biftek wrote:busienss management 101 , never open a business where the market is already flooded , there is only enough room for so many LBS, cycling is a niche market


1.1M Australians every week. Yup. Niche.

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Re: The fall and fall of your local bike shop

Postby biftek » Mon 18 Jun 2012, 6:47 pm

but how many of that 1.1 regularly buy new bikes? what sort of bikes are they riding , kmart bikes, bikes they found on the scrap heap , or bikes from the lbs, other items such as clothing , helmets, spare parts , that market is even smalled , most people buy a helmet that they wear until it falls apart

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Euan
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Re: The fall and fall of your local bike shop

Postby Euan » Tue 19 Jun 2012, 12:53 am

biftek wrote:but how many of that 1.1 regularly buy new bikes? what sort of bikes are they riding , kmart bikes, bikes they found on the scrap heap , or bikes from the lbs, other items such as clothing , helmets, spare parts , that market is even smalled , most people buy a helmet that they wear until it falls apart


New bicycles have consistently outsold new cars for a number of years now. That's fact.
Anonymity is a shield from the tyranny of the majority. . . .

victor

Re: The fall and fall of your local bike shop

Postby victor » Tue 19 Jun 2012, 12:32 pm

Euan wrote:
biftek wrote:but how many of that 1.1 regularly buy new bikes? what sort of bikes are they riding , kmart bikes, bikes they found on the scrap heap , or bikes from the lbs, other items such as clothing , helmets, spare parts , that market is even smalled , most people buy a helmet that they wear until it falls apart


New bicycles have consistently outsold new cars for a number of years now. That's fact.

Yes, but if you add the phrase "that are subsequently used regularly", which group comes out on top? I know a lot of people buy new bikes with the best of intentions, only to let them sit and rust.

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Re: The fall and fall of your local bike shop

Postby Dalai » Tue 19 Jun 2012, 1:32 pm

Also need to consider what the average price / margins are per bike. Also whether bikes are on consignment or if the showroom stock is bought...

When the new years models come out, who has to take the loss when they need to be marked down and how many people hold out till the sales? Quite a few posts for new bikes on this forum are made mentioning what a great price they paid for it on special...

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Marx
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Re: The fall and fall of your local bike shop

Postby Marx » Tue 19 Jun 2012, 2:37 pm

I wonder how many customers would like to buy a bike from a shop with (hardly) any on the floor?
I must admit, throughout my whole bicycle riding history, the only time I ever walked in & then walked out with a bike, was at Woolworths in St Albans back in 1978.
Every other time, I’ve had to ‘buy’ & then wait for supply.
So if this is the case, a bike shop might be able to get by with hardly any stock on the floor.

Also I think the general supply channels are too fragmented. It’s not if the LBS has stock, but if the local distributor has, or whether the overseas supplier has or manufacturer. At every step there is the chance of delay or error.

I think the way forward is a bike shop with a service/repair workshop & a 2nd area which is almost like a ‘cafe’, with hardly any stock, except for samples etc. You’ll have sales who access info on parts/accessories/clothing from a main ‘hub’ (distribution warehouse if part of a chain of stores) & then place an order if the customer want to go for it. With bike sales, there could be an example of one of the range in the showroom area with perhaps a mule to size up the rider, bike-fit style. All the while there is bike vidz blearing on big screens & the shhhoooshh of the coffee machine , and bikini clad lady wrestlers in a Jacuzzi of jelly to watch.

This could almost extend to ‘bike shop kiosks’ in sporting stores or shopping centres, a lot like those places that sell sunglasses.


I still reckon that Aussies are not so price conscience if they are presented with a great buying experience.
Just a bike & a place to ride.

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baudman
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Re: The fall and fall of your local bike shop

Postby baudman » Tue 19 Jun 2012, 2:44 pm

victor wrote:
Euan wrote:
biftek wrote:but how many of that 1.1 regularly buy new bikes? what sort of bikes are they riding , kmart bikes, bikes they found on the scrap heap , or bikes from the lbs, other items such as clothing , helmets, spare parts , that market is even smalled , most people buy a helmet that they wear until it falls apart


New bicycles have consistently outsold new cars for a number of years now. That's fact.

Yes, but if you add the phrase "that are subsequently used regularly", which group comes out on top? I know a lot of people buy new bikes with the best of intentions, only to let them sit and rust.


So there's 1.1 Million Australians riding at least once a week.
And there's also a number of bicycle sales that exceeds the number of car sales every year.

There's certainly going to be people for which those groups are mutually exclusive. The crossover is of relevance, but I don't see it as a the only driver.

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Euan
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Re: The fall and fall of your local bike shop

Postby Euan » Tue 19 Jun 2012, 5:47 pm

victor wrote:
Euan wrote:
biftek wrote:but how many of that 1.1 regularly buy new bikes? what sort of bikes are they riding , kmart bikes, bikes they found on the scrap heap , or bikes from the lbs, other items such as clothing , helmets, spare parts , that market is even smalled , most people buy a helmet that they wear until it falls apart


New bicycles have consistently outsold new cars for a number of years now. That's fact.

Yes, but if you add the phrase "that are subsequently used regularly", which group comes out on top? I know a lot of people buy new bikes with the best of intentions, only to let them sit and rust.


Sure, I was rebutting biftek's typically negative view ;)
Anonymity is a shield from the tyranny of the majority. . . .


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