State of the industry: a running thread

[wynne]

I've ridden tens, possibly hundreds of bikes and owned about 50 in my life. 90% of them have been second hand. The most disappointing bikes i've ever owned have been new and carbon. I work in the bike industry and i'm very sceptical about most so-called innovation but even i still occasionally get suckered by the marketing/deals i get presented with. I don't want to sound patronising but your average member of the public doesn't stand a chance against the hype and the endless marketing journalism/forums (not this one)/reviewing industry that is the bike retailing world. I gave up working in bike retail. Several customers told me that i was the worst salesman they'd ever met because i told them half (probably more like 90%) of the stock in the shop was junk. I took that as a compliment. I now build bike wheels for a small company that does things exceptionally well, never cuts corners and ensures its products and serviceable and repairable. We have so many repeat customers coming back for new rims when they wear out old ones. The boss thought about expanding the number of employees but decided not to, instead focusing on making rather than management, quality rather than volume and having a nice reasonably modest life rather than getting himself on the deranged hamster wheel of endless expansion. To the best of my knowledge he has never done any actual marketing of the business - beyond supplying products that are tailored to meet the needs of our customers, built to the very highest standards.

 

[bikeworkshop]

That's a great attitude.

But dont think trek, chain reaction and the other big guns share that philosophy.

In money making terms, the business has to grow all the time.
This increases the value for the shareholders.
Probably Venture Capitalists and Pension Funds. These guys are focused on making money. It's their job.

Consumerism and growth focused businesses go hand in hand.

And when the proverbial hits the fan, the workers lose their jobs, the bills don't get paid, but the execs get hired by a similar business in a different market.
Probably for a bigger salary.

 

[wynne]

I get all that you're saying, and i agree with you. I suppose my point is that there is demonstrably another way to be successful in life and the bike business - and that is what this thread is about.
By focusing on substance, quality, honesty and value we have a business that is continuing to grow at a time when many others in the sector are not - even in just the wheelbuilding world.

I don't earn a fortune but i earn enough and i love going to work - and i feel very lucky because of that.

 

[bikeworkshop]

Me too
I've been doing this 30 years, the shop is almost 50 now.


You just have to do your best.

But a craft sized business with a small number of employees won't bring costs down with economies of scale.

Today I was riding down a steep hill with a merlin flying a foot off the tarmac just in front of me.

Banking doesnt give you that.

But it will lend you a quarter of a million pounds to buy a house

 

[manwell]

This guy has got it nailed love his you tube channel.

 

[ChromeChainstay]

we should be up to 13spd or 14spd by then (2026)

 

[Splatter Paint]

In reference to the YouTube video, I got given a copy of Cycling Plus recently. There was a £12,000 bike, £8,000 bike and a pair of £5,500 wheels. The budget road bike test was £1,600 - £1,800. As the bloke said, 90% of the population aren’t interested in this stuff. I’d guess that of the 10% that are, only 0.25% can a actually afford it.

 

[bikeworkshop]

That 10% may consist of employed young people who still live "at home", and professionals whose kids have now left home, but if your business model depends on getting these people through the door on a regular basis, then your competitors are the car showroom and the golf club.
"Cycling Plus" is probably on the same shelf in the newsagent

 

[al-onestare]

In reference to the YouTube video, I got given a copy of Cycling Plus recently. There was a £12,000 bike, £8,000 bike and a pair of £5,500 wheels. The budget road bike test was £1,600 - £1,800. As the bloke said, 90% of the population aren’t interested in this stuff. I’d guess that of the 10% that are, only 0.25% can a actually afford it.

I'd love to see SRAM data for their much publicised T-Eagle group-set. The pricing raised many eyebrows.

we should be up to 13spd or 14spd by then (2026)

Or zero speed; fully clutched, smooth progression, one massive gear.

 

[N-plus-one]

I'd love to see SRAM data for their much publicised T-Eagle group-set. The pricing raised many eyebrows.



Or zero speed; fully clutched, smooth progression, one massive gear.

aka the DAF Variomatic of the 1970s vintage. Not for me, thanks!