I will shop around 3 or 4 LBS's in the area, and only purchase on the internet if i can save more then 10 - 20%. If i can purchase a new toy for $60 at the LBS or $50 on line, i'll spend the extra $10 and the LBS.
I have also noticed that my fav LBS regulary gives me discounts on just about everything i purchase, just the other day i purchased $59 Fox riding shorts, but the LBS owner gave them to me for $50 even, as "im such a good customer"
The place i purchased me first "real" mountain bike just went under last year, i think it had something to do with them able to have 50% off sales every spring. If i know there making 50% margin on price they normal have, theres no way im going to support that. I love cycling, but im not going to pay $1500 for a $1000 bike i can pick up down the road, ouch!
Lightboy, i was offered a job at my LBS, i refused as there was no way i could afford working in a bike shop. The pay is higher then what i currently make, but i would be bringing home a lot less cash, and alot more gear i dont need
Plus the hours sucked, i cant wake up before 1am