Prices - am I wrong / but I'm not wrong?

[Magsy]

High(er) profile than previous, more buyers and despite the economy, you always get one with a stack of cash that they don't mind spending.

It just takes one £200 bike to go for £500 and then everyone else uses that as a template/expectation for their sale. People can be willing to wait for a long time to secure the deal and that just increases the chance of a big money sale.

I also learnt very quickly in my first retrobike experience that refurbishing stuff properly costs so so much money I've had a total turn around, I would now pay serious money for something that is really 'mint' and is ready to ride.

 

[Neil]

High(er) profile than previous, more buyers and despite the economy, you always get one with a stack of cash that they don't mind spending.

It just takes one £200 bike to go for £500 and then everyone else uses that as a template/expectation for their sale. People can be willing to wait for a long time to secure the deal and that just increases the chance of a big money sale.

I also learnt very quickly in my first retrobike experience that refurbishing stuff properly costs so so much money I've had a total turn around, I would now pay serious money for something that is really 'mint' and is ready to ride.

I have heard this - somebody just discovering the bike from the long, lost halycon days, willing to spend truly top dollar on a replacement. Now I'm not saying it never truly materialises - I'm sure there's the odd case where it has - but it's not the norm - and many just seem willing to say what they'd be willing to spend, but I rarely see it happen on bikes for sale that are truly priced, well, somewhat optimistically.

And seventeenthly, if such does truly happen, and somebody does buy at a high price, because it means so much to them, that doesn't necessarily change the market. Somebody else selling, may see it, and think they can capitalise - but if the previous instance was a one-off, effectively because of emotional draw and being blind to norms, doesn't mean to say that any other remaining buyers would be prepared to splurge.

Yes, on occasion, people often pay much more than the "going rate", but it's also rare for that to have any notable effect on the "going rate".

 

[Magsy]

At these prices, £200-£500, realistically people can often afford either figure. What you describe regarding market forces is true and correct but may only apply to higher value items, classic cars and the like where sense reigns in impulse.

If I thought I was going to lose it or someone else would jump in, I'd pay the £500. Credit card culture for many, it is not real money!

I always use my brother in law as an example, he is not stupid but isn't smart. His research can often consist of pub talk or the result of one google search. He would look something up on eBay, see it sold for £500 and instantly, without question, consider that its true value. I have no idea how many buyers are like this, hopefully not too many but it may be a factor.

I think it is easy to convince yourself, even on a mass produced item that this is the only one, never-to-be-seen-again, buy now or miss the chance. People have no patience!

My ultimate grumble is slightly different but the price paid for somewhat tardy, used parts is crazy. Without even so much as a wipe down and degrease people are whacking big prices on ten year worn out parts and it seems people are actually buying

 

[dyna-ti]

I think we should very much keep in mind the original 'new' cost.In many cases its well over £1000 and to then say its only worth a couple of hundred is undervaluing things.

 

[Neil]

I think we should very much keep in mind the original 'new' cost.In many cases its well over £1000 and to then say its only worth a couple of hundred is undervaluing things.

Dunno - think that's a bit specious.

Original selling price 20 years ago, is probably not a huge factor on the price of a used, aging mountain bike, now.

Often opinions on prices I see expressed like that - you know the sort of thing - look how good it is, look at the condition, look at the kit. It's missing the point - it doesn't work to try and arbitrarily claim something is worth more on purely your own subjective reasoning. The market largely decides what people are willing to pay, true enough - and on odd exceptions there are blips - but in general, what things normally sell at, is roughly their market value - else there would be precious little point in either doing research on ebay and other places, or asking for a valuation in the valuation thread.

We can all use our own perspective and say shouldn't this factor, or that factor, make something worth more, but in general, it's of no consequence.

 

[sylus]

Personally, it was xxxx when it was new never enters onto my radar and gives the impression I feel for the seller to ask silly money and use the it was xxxx new as a self justification.

What matters at the time of sale is what someone is prepared to pay for it and nothing more.

 

[firedfromthecircus]

One thing to remember is that as time progresses, if the same number of people are into 'retro mtb's' as a hobby, then prices will rise.
As they get older, and used, and more things break and less are available, if the demand is still there the cost goes up.
If more people start to participate, then prices can rise further, and likewise prices will slump if people leave.
So what was a £200 bike 5 years ago might well be a £300 bike now.
Some people do try to chance their arm with high prices though.

What i don't get is Klein prices. :shock:

 

[Neil]

One thing to remember is that as time progresses, if the same number of people are into 'retro mtb's' as a hobby, then prices will rise.
As they get older, and used, and more things break and less are available, if the demand is still there the cost goes up.
If more people start to participate, then prices can rise further, and likewise prices will slump if people leave.
So what was a £200 bike 5 years ago might well be a £300 bike now.
Some people do try to chance their arm with high prices though.

I get that there can be some variance, and some changes over time.

All the same, it doesn't make something probably worth around £175-200, suddenly worth £500, £1000, or whatever, then a bargain at about £400 - just because somebody wants that for it.

What i don't get is Klein prices. :shock:

Can't say as I've ever really looked into their prices - I guess, though, there's more of a boutique and rarity thing going on - plus less norms to compare with.

 

[technodup]

This thread can be summed up thus...

value = what someone is prepared to pay.

 

[FMJ]

It just takes one £200 bike (or part) to go for £500 and then everyone else uses that as a template/expectation for their sale.

It works both ways with some people on here, depending on whether they're buying or selling.