Commuting - Vexing moral/economic dilemma

Bikeforums.net is a forum about nothing but bikes. Our community can help you find information about hard-to-find and localized information like bicycle tours, specialties like where in your area to have your recumbent bike serviced, or what are the best bicycle tires and seats for the activities you use your bike for.




View Full Version : Vexing moral/economic dilemma


realish
07-05-04, 12:50 PM
Okay, I have a real dilemma here and I hope y'all can provide some insight.

Here's the deal: I'm buying a new commuter bike -- a Surly Crosscheck. I've set myself a price-point of about $1000, which isn't totally inflexible, but I ain't rich, so I need to keep it around there.

I can order a cool Crosscheck custom built for city riding here (http://store.yahoo.com/momovelo/crmoci.html) for $835 (probably closer to $1000 once I add pedals, a seat, and a rack).

Alternatively, I can have a local bikeshop get the frame and build it up for me. From what I can tell, that would run me about $1400, before tax, without a rack or a light. I had one bikeshop here say they could do it for $1000 (pre-tax, pre-rack/lights), but it sounded like they'd really have to cut corners on the quality of the parts.

I don't know why Momovelo can sell it so much cheaper over the internet (free shipping, too!), but they can.

So, the pros of buying on the internet are: price, price, and price.

The cons are: I wouldn't get the personal attention and loyalty of a local bike mechanic, I wouldn't keep my money in the local economy, and I'd probably have to take it in to get it custom fitted (seat height, etc.).

I really need to save money, but I feel a little guilty and a little worried that I'd come out of it with an inferior bike.

Any thoughts?


rykoala
07-05-04, 02:27 PM
Sounds like a good question for the LBS's involved. Show them the build sheet from momovelo, and askthem why the huge difference. A good business person will give you compelling reasons to go with them, and they may be more flexible on THEIR pricing.

Dchiefransom
07-05-04, 06:35 PM
Okay, I have a real dilemma here and I hope y'all can provide some insight.

Here's the deal: I'm buying a new commuter bike -- a Surly Crosscheck. I've set myself a price-point of about $1000, which isn't totally inflexible, but I ain't rich, so I need to keep it around there.

I can order a cool Crosscheck custom built for city riding here (http://store.yahoo.com/momovelo/crmoci.html) for $835 (probably closer to $1000 once I add pedals, a seat, and a rack).

Alternatively, I can have a local bikeshop get the frame and build it up for me. From what I can tell, that would run me about $1400, before tax, without a rack or a light. I had one bikeshop here say they could do it for $1000 (pre-tax, pre-rack/lights), but it sounded like they'd really have to cut corners on the quality of the parts.

I don't know why Momovelo can sell it so much cheaper over the internet (free shipping, too!), but they can.

So, the pros of buying on the internet are: price, price, and price.

The cons are: I wouldn't get the personal attention and loyalty of a local bike mechanic, I wouldn't keep my money in the local economy, and I'd probably have to take it in to get it custom fitted (seat height, etc.).

I really need to save money, but I feel a little guilty and a little worried that I'd come out of it with an inferior bike.

Any thoughts?


I've heard the profit margin on bikes isn't that much at an LBS, but they make their money on parts/maintenance. This could be wrong. How would a local shop know you didn't just buy it at another shop anyway?
Get what you can afford, or just save a bit longer and get what you want for the better price. When the end cap fell out of my handle bars, I went to the shop I go to the most to buy a new set. The wrench reached in a drawer and tossed two really long MTB end caps at me, then went back to work.


Ebbtide
07-05-04, 07:51 PM
Any thoughts?



I've heard the profit margin on bikes isn't that much at an LBS, but they make their money on parts/maintenance.


According to the NBDA's Cost of Doing Business Study (2001), the average specialty bicycle retailer has annual sales of about $500,000 per year. The average bicycle dealer's revenue is 47% bicycles, 37% parts and accessories, 10.2% bicycle repair, 1.1% bicycle rental, and 4.9% "other" that includes fitness equipment. The average store sells approximately 650 bicycles per year, carries several bicycle brands, and numerous accessories brands. Gross margins on bicycles average about 36%, though the break-even point has been shown to be 39.9% for the average store (the average "cost of doing business"). Margins on hardgoods are generally higher than those for bicycles (49% gross margin).

http://nbda.com/site/page.cfm?PageID=34

If you are not worried about warranty issues, buy on-line from well researched companies. On the "off chance" something goes wrong your lbs will be glad to repair in lieu of shipping hassles.

It's just a business choice (contrary to the flames I receive), but $400.00 savings is not chump change when you are thinking of spending $1000.00

Good Luck,

ehenz

realish
07-06-04, 11:57 AM
Yeah, one of the LBS's told me flat out that he hardly bothers trying to sell new bikes because the margin is so tiny. He says he has to mark a bike up 40% just to break even -- and he can't compete with big retailers who are willing to lose money on them. He focuses almost exclusively on repairs.

I found out that Momevelo is a shop in Berkeley, Calif., owned by a guy who made a buttload of money at a corporate job and basically dropped out. It's a "nonprofit" shop in the sense that he's not really trying to make any money. He sells a lot of imported European and Japanese city bikes. It's a sweet concept, but I've heard a few horror stories about the customer service.

In the end, though, I just can't pay an extra 4-600 bucks for the peace of mind I'd get from buying locally.

Anybody else heard anything about Momovelo? They sell some really sweet, eccentric, classy bikes and parts.

http://momovelo.com/

The Wanderer
07-06-04, 12:57 PM
Momovelo is a beautiful boutique. The owner is a man who sees beauty in bike design, culture and the primacy of the bike for city transportation. I go to him for inspiration and to get parts that no other LBS will carry. If you are interested in putting together a bike that can be done locally, than by all means I would spend a couple of dollars more and do it locally. Consider buying the "treatment" from Momovelo, items such as a Brooks saddle, cork grips, racer nitto bars etc. If you buy the whole bike there, it will take MONTHS, (don't forget a balaclava for your first ride on the new bike in November) and there will be absolutely no service available.

How much is your time and a little peace of mind worth?

Dahon.Steve
07-06-04, 01:33 PM
Okay, I have a real dilemma here and I hope y'all can provide some insight.

Here's the deal: I'm buying a new commuter bike -- a Surly Crosscheck. I've set myself a price-point of about $1000, which isn't totally inflexible, but I ain't rich, so I need to keep it around there.

I can order a cool Crosscheck custom built for city riding here (http://store.yahoo.com/momovelo/crmoci.html) for $835 (probably closer to $1000 once I add pedals, a seat, and a rack).


I like the Crosscheck.

You're going to save $180.00 buying from Movevelo. Shipping will about about $50.00 dollars so the price savings is closer to $130.00. A free tuneup from a bike shop after you stretch the cables is about $40.00 dollars which brings the actual savings to about $90.00. (Not a huge amount saved if you ask me)

If you can get the Crosscheck for the retail pice of $965.00 locally, I'd say go for it.

svwagner
07-06-04, 03:16 PM
Work with the LBS to get it done at the best price possible (for them and for you). It's better to have someone local do it (all political reasons aside) because they can get it dialed in to fit you properly, and you can work with someone that you can see and talk to face-to-face to get things right to start with, and if they go wrong down the road.

There are also little things that you can do to save money and still have the LBS to the build for you:

1. Buy the wheels and tires separately and mount the rim strips, tires and tubes yourself, then take them in. Do the same with the cassette, cog, or freewheel.
2. Tell them that you'll wrap the handlebars yourself.
3. If you're going for fenders and a rack, install them yourself.
4. Buy some parts on eBay or whereever.
5. Trade for some of the parts you need.

1-3 are easy and will save a bit of the mechanic's time at the LBS, which means that you'll save money. 4-5 are a bit more of a pain, but it can be a real treasure hunt sometimes.

If it's a decent shop, they aren't going to mind if you bring them some parts for the overall build.

If you order from Momovelo, it'll take forever, if you get it at all. Kai is famous for uneven service. Sometimes prompt, sometimes very slow, sometimes things are out of stock but he doesn't tell you that at all or very slowly. It really only makes sense to order things from them if you absolutely can't get them elsewhere and if you don't mind the potential wait and/or disappointment.

Oh, and let's not forget that if you don't buy it at the LBS, you'll have to pay shipping and you'll still have to partially assemble the bike (meaning that if you're not mechanically adept enough to do this, you'll end up taking the thing to the LBS anyway).