The chance of a lifetime: You are asked to start a bike shop. How should it be done?

[Robert Taylor]

I'm sorry if any of my posts seemed to condemn the dealers for their prices, I only recall saying I can get them cheaper internationally so will do so, never stating it was the dealers fault. If there are unreasonable markups in the above company's what can be done about it? I assume all bike shops in NZ deal with a limited number of wholesalers (also in NZ), which sounds like monopoly, will customers buying parts from overseas instead of locally alert these wholesalers to their folly and improve the market for all?

Flipping heck, the power of assumption and the us and them mentality yet again! All of us nasty ''heads in the sand'' industry people are in fact ordinary everyday people. Some of them even have a life.


There are several competing wholeslaers offering their own lines of product, plus a raft of parallell importers. And thats monopoly?

Folly? The only folly is that there isnt global pricing for all distributors as in my interfering way in daring to post on this thread I have had the temerity to state that it is not a level playing field.

Unreasonable markups? Again assumption is quite different to reality, not all importers are tarred with the same brush.

If the exchange rate was 50c US to $1 NZ and there wasnt so much dumping of product going on by a basically failed US economy this thread wouldnt exist.

[Robert Taylor]

Or is sustainability King, because it keeps profits in check

Are you a marxist?

Its a balance between making a fair and reasonable profit, knowing your product intimately and to that end providing excellent customer service. And then after all overheads ensuring that your balance sheet is in the black. For many or most small businesses that is a hell of a lot harder than people realise.

[bogan]

Let me say again, the pricing of the items that a bike shop sells is the one area that they don't deserve to be condemned for. The likes of Suzuki NZ, Triumph NZ, Bluewing Honda etc are the ones who should be coming under close scrutiny in that respect.

Flipping heck, the power of assumption and the us and them mentality yet again! All of us nasty ''heads in the sand'' industry people are in fact ordinary everyday people. Some of them even have a life.


There are several competing wholeslaers offering their own lines of product, plus a raft of parallell importers. And thats monopoly?

Folly? The only folly is that there isnt global pricing for all distributors as in my interfering way in daring to post on this thread I have had the temerity to state that it is not a level playing field.

Unreasonable markups? Again assumption is quite different to reality, not all importers are tarred with the same brush.

If the exchange rate was 50c US to $1 NZ and there wasnt so much dumping of product going on by a basically failed US economy this thread wouldnt exist.

It was based on katman's statement that perhaps it is the like of bluewing, suzuki nz and triumph nz should come under close scrutiny, logically it follows that if they need to come under scrutiny they are pricing too high, and I also assumed that some sort of monopoly would be present to allow them to do this. Interesting you chose my post to respond to and not his though.

If they are overpricing then buying off the internet will show their folly.

Are you a marxist?

Its a balance between making a fair and reasonable profit, knowing your product intimately and to that end providing excellent customer service. And then after all overheads ensuring that your balance sheet is in the black. For many or most small businesses that is a hell of a lot harder than people realise.

Was a tounge in cheek comment, you know; the key to a long lasting buisness, is sutainability (basically a synonym for long lasting)

[Robert Taylor]

It was based on katman's statement that perhaps it is the like of bluewing, suzuki nz and triumph nz should come under close scrutiny, logically it follows that if they need to come under scrutiny they are pricing too high, and I also assumed that some sort of monopoly would be present to allow them to do this. Interesting you chose my post to respond to and not his though.

If they are overpricing then buying off the internet will show their folly.



Was a tounge in cheek comment, you know; the key to a long lasting buisness, is sutainability (basically a synonym for long lasting)

There is a large degree of discussion over the price of parts from distributors and has been for many many years. The true state of affairs I really dont know but if you are in a small economy with small stock turn you end up writing off a lot of dead stock. Thats just one factor of many complexities.

I am saying that its all too easy to condemn pricing just on the basis of a direct comparison with a high turnover very low margin internet reseller. And the current exchange rate exacerbates that even further.

[Conquiztador]

I'll be the first to admit that my opening post in this thread would be lucky to score a 1 out of 10 for constructiveness (and even then, only because there were no spelling mistakes).

Blimey! THAT would have to be as close to an apology I have ever seen from you... I think it will be your best effort I will ever get. So I will have to accept it.

[IdunBrokdItAgin]

They dont want some constructive advice to save them from their own stupidity, they want to tell us what a bunch of stupid blind old fogies we are. Thats why several posts ago, I started to actively encourage these experts to put their money where their mouths are & get on with it.
I think FAB is a great idea & the brainchildren of it should crack on ASAP with getting it off the ground, I mean, look at Sam Morgan, the brains behind Trademe. Youse fullas could be the next him.

Didn't Sam Morgan just steal his trademe ideas of a couple of other students he did some programming work for?

Plus, his dad, even though a keen adventure biker which I respect, likes to spout complete and utter crap about the financial services industry. He likes to whip up public sentiment by using emotive words with no logic to his arguments.

As the financial services industry is my industry, I can sympathise with what the bike bike industry posters feel here (at times), when someone portrays their industry unfairly you just feel you have to put the record straight.

[Scorp]

Have you ever actually owned a business?

Yes. Been running one successfully (at a profit) for the last seven years. Managed several successful ones prior to that too.

Sometimes losses are made, and if you close your doors in a panic the first bad month you have then you may as well close now.

I'm not talking about loss leaders, or shifting old stock that's costing money, or weathering storms. I'm talking about long term trading. And to stay in business long term, you have to make a profit. Simple really.

[steve_t]

Didn't Sam Morgan just steal his trademe ideas of a couple of other students he did some programming work for?

I thought Sam Morgan just saw the opportunity that presented itself when eBay decided that NZ was too small a place to set up shop in. Good on him really

[2 wheel madness]

SERVICE!
Theres a lot to be said for a friendly hello, what can we help you with.... from staff that have a reasonalbe knowledge of what they are talking about and actually want to help!
Carrying a decent range of stock is another thing.

[Smifffy]

SERVICE!
Theres a lot to be said for a friendly hello, what can we help you with.... from staff that have a reasonalbe knowledge of what they are talking about and actually want to help!
Carrying a decent range of stock is another thing.

Nobody cares anymore

[IdunBrokdItAgin]

I thought Sam Morgan just saw the opportunity that presented itself when eBay decided that NZ was too small a place to set up shop in. Good on him really

That was before ebay decided to play in NZ market as far as I am aware.

I just recently started using ebay NZ as my launch point for buying bike parts.
There are feck all sellers in NZ but the international aspect of ebay does give you a damn sight more access to suppliers than trademe does.

I used to peruse trademe frequently - great for buying a bike or car but crap for parts. Once you realise how limited it is you generally tend to give up with it.

[Brian d marge]

Hooters
Big giamungus pair of Hooters

and a devilish ,,,take me home smile

Hell I would even buy something

Stephen

[R-Soul]

Flipping heck, the power of assumption and the us and them mentality yet again! All of us nasty ''heads in the sand'' industry people are in fact ordinary everyday people. Some of them even have a life.


There are several competing wholeslaers offering their own lines of product, plus a raft of parallell importers. And thats monopoly?

Folly? The only folly is that there isnt global pricing for all distributors as in my interfering way in daring to post on this thread I have had the temerity to state that it is not a level playing field.

Unreasonable markups? Again assumption is quite different to reality, not all importers are tarred with the same brush.

If the exchange rate was 50c US to $1 NZ and there wasnt so much dumping of product going on by a basically failed US economy this thread wouldnt exist.

If you are worried about parallel importers. you need to look closer at what intellectual property can do for you.

[R-Soul]

Find-A-Bit. A made up company used as an example by a previous poster in the thread.

AAAH.. Ok thanks - I am so over this thread I couldn't be bothered reading back any more.

[Conquiztador]

AAAH.. Ok thanks - I am so over this thread I couldn't be bothered reading back any more.

And that is the sad thing here. Personally I was looking forward to input from all and sundry re how they would do it without any consideration to logic or reason. My plan (if that is what it could be considered) was to carry on this for a while, then spend some time trawling through the whole thread and write down ALL things the customer wanted. Then I was planning to start a new thread with a heading like "Industry, this is what your customer wants", ask the trade to have alook at all the wishes and ideas, and in that thread ASK them to comment on each and every idea. Until only one or two wishes/ideas were left that all/most considered worth contemplating and perhaps taking aboard.

Perhaps none of the ideas/wishes could ever have been used. Perhaps the only one/two of them that held some merit were already in place. Who knows. But what has come out from this is that the active trade chaps/chapesses on KB have felt very threatened by the comments on here. The reason for THAT in it self is worth pondering on.