Electra, I reported you to the FTC for restraint of trade.

[Michael Selvey]

THE ELECTRA AMSTERDAM CLASSIC 3

Have any of you seen this bike? MORE importantly, have any of you here in Texas seen this bike retailing for less than $550.00? I saw one online, though it would be great for my daughter in college, went to the main manufacturer's website, got all the info, was still impressed, then checked the 20 closest dealers to me.

EVERY SINGLE ONE OF THEM quoted $550.00 to me! I spent 20 years in retail, and I gotta tell ya, this stinks of restraint of trade. Manufacturers would LOVE to be able to tell their "dealers" to form a unified body and sell certain products ONLY at MSRP or risk having their franchise taken away. This is known in FTC circles as "Restraint of Trade" and is ILLEGAL.

If ANY of you know of a source that is "comptetitive" on this model (in my case, I'm needing a women's Amsterdam Classic 3 in blue), please contact me off list.

If any of you "dealers" care to explain WTF the story is, please feel free to explain it here online.

Thanks for your time.

Mike Selvey
Nacogdoches, TX
amborider@yahoo.com

[randya]

I don't know what you're whinging about, bikes aren't cars, and dealers aren't required to barter with you. Retail margins are probably pretty low on this bike, it's a popular model in short supply, and the dealers are probably willing to hold out for MSRP on the few units they get delivered to them because they know from experience they will get it; you should probably be thankful they aren't trying to charge MORE than the MSRP. I don't think the manufacturer has anything to do with it at all, I got a 10% discount on an Electra Commuter 7 from a retailer a few years back because it had been sitting on the showroom floor for a while and had some scratches on the finish. If you like the bike so much, just buck up and buy it, how much sleep are you really wanting to lose over a lousy 75 bucks? Anyway, you've already wasted more than $75 worth of your time checking with 20 (!) different dealers and complaining to the FTC. You also sound like the type of pushy customer who will attempt to wheedle every little extra you can out of the dealer free of charge, the kind of customer every retailer hates to see walk through the door.

my $0.02

[-=(8)=-]

Ever try to buy an X-Box when they first came out ?
A HArley Davidson in the 90's ?
One of those retro chrysler cars a few years ago ?
An Apple product ?

[Brian]

I sent an email to Electra, requesting a response. In the meantime, please refrain from spamming the forums.

Cheers,

Brian

[al-wagner]

When I talked to a bike dealer on the phone for my new bike they tell me the msrp but when I got there they took 15% off.

[Brian]

I was able to reach someone at Electra this evening, and it just needs to go through the proper channels, but we should expect a response sometime after the weekend.

In response to my comment about spamming, it is my understanding that Mike created several posts on this topic, and posted them across the forums.

[Ziemas]

Wow. The discount culture in the States has reached the point where people inform the authorities if they aren't given a discount. It's simply amazing.

[Moose]

In my opinion, this guy should not be allowed to join our community for this purpose. He has zero proof that there is any shenanigans going on.

His opinion is isolated and this thread serves no purpose here whatsoever.

He broke the rules...he spammed the forum...his message helps no one...he should be banned and this thread should be deleted.

For all we know, he could represent a competitor of Electra and is just trying to stir the pot.

Furthermore, the Amsterdam is well worth the msrp and retailers needn't feel guilty asking for it.

[botto]

Electra, I reported you to the FTC for restraint of trade.

some cheese to go along with your whine?

[Moose]

I would like to add something for the OP to chew on.

Bike retailers are not inclined to let manufacturers strong arm them in order to sell their products, especially a niche brand like Electra which represents a very small portion of unit sales. There are plenty of brands to choose from, manufacturers in this trade cannot afford to alienate their dealers. There is a line of reps from other companies waiting to get their foot in the door.

I love Electra's bikes, but no store needs their product to stay afloat, which is the basis of the OP's claim of restraint of trade.

[linux_author]

[QUOTE=Moose;5608480
Furthermore, the Amsterdam is well worth the msrp and retailers needn't feel guilty asking for it.[/QUOTE]

- it may be a fine bike, but i don't really care for the styling, so the bike is worth much less to me... i wouldn't pay $550 for one... but if i did need this type of bike i would look at other makes if i could not find or negotiate a discounted price...

- i'd recommend Bianchi Bergamo, Jamis Earth Cruiser, or Giant Suede, Trans end, etc. (you will find discounted prices on these bikes)

off_topic:

i definitely agree that it is extremely bad form to post the same message in multiple forums (or to post an angry rant), but to be fair, this behavior seems to be tolerated on BF in cases of:

1. a cyclist's death or injury
2. spiking oil prices
3. a stolen bike
4. bike-related 'research' requests

just my observation and opinion...

[Tom Stormcrowe]

It was the same identical diatribe posted throughout the forum.

[Moose]

- it may be a fine bike, but i don't really care for the styling, so the bike is worth much less to me... i wouldn't pay $550 for one... but if i did need this type of bike i would look at other makes if i could not find or negotiate a discounted price...

That's the free market at work, the OP should have subscribed to this philosophy instead of stinking up our board with his mudslinging.

[Brian]

Ok, let's not get on his case any more. Please wait for the response from Electra.

[operator]

THE ELECTRA AMSTERDAM CLASSIC 3

Have any of you seen this bike? MORE importantly, have any of you here in Texas seen this bike retailing for less than $550.00? I saw one online, though it would be great for my daughter in college, went to the main manufacturer's website, got all the info, was still impressed, then checked the 20 closest dealers to me.

EVERY SINGLE ONE OF THEM quoted $550.00 to me! I spent 20 years in retail, and I gotta tell ya, this stinks of restraint of trade. Manufacturers would LOVE to be able to tell their "dealers" to form a unified body and sell certain products ONLY at MSRP or risk having their franchise taken away. This is known in FTC circles as "Restraint of Trade" and is ILLEGAL.

If ANY of you know of a source that is "comptetitive" on this model (in my case, I'm needing a women's Amsterdam Classic 3 in blue), please contact me off list.

If any of you "dealers" care to explain WTF the story is, please feel free to explain it here online.

Thanks for your time.

Mike Selvey
Nacogdoches, TX
amborider@yahoo.com

Lol @ this post.

Go away.

[DieselDan]

Electra does NOT franchise. End of story. Bye-bye. Shops buy the bikes from Electra as a dealer, not a franchised retailer. Most bike shops are dealers, not retailers. Go shop elsewhere. No one is fixing prices just to tick you off. Heck, your in Texas, she'll probably get killed on it anyway and nothing ever done about that. In fact, you're in a shoot first state, so go to the dealer and open fire!

See how ridiculous you sound?

[RadioFlyer]

Umm, Electra isn't the only one that does that. For years, you could NOT find Oakleys for anything but MSRP.

Here's why, they do not want to dilute the Brand. It's that simple.

When my sales people discount our products, I freak out. Not cuz of profits, not immediate profits anyway. We're looking long-term. Yes, I feel our products are absolutely worth what we charge, but also, value is perception.

Most of you will drive by a couch/chair on the side of road with a sign that says, "FREE Couch. Good condition. You just have to take it away."

But you'll go to the store and pay for furniture in only slightly better condition.

WHY?

Perception. Value. Brand.

[donnamb]

Wow, what an amazing thread. Of all the companies in this world I'd like to see the FTC nail to the wall, the Electra Bicycle Company wouldn't have so much as entered my brain. Here we have a company who makes comfortable, good quality bikes at an affordable price that are even aesthetically pleasing with a sense of whimsy. They have a new model of bike that has proven to be very popular. Despite criticism that it isn't a "serious bike", I've seen people here use it for commuting and practical transportation as well as recreation. They can't keep it in stock where I live. The Amsterdam has helped local LBSes stay in business, thus allowing some of my money to stay in my community. Under those circumstances, why in the world would it be discounted?

[RadioFlyer]

Oh, btw, this does not qualify as "Restraint of Trade".

[DieselDan]

Oh, btw, this does not qualify as "Restraint of Trade".

He'll learn that, and what "Filing a False Complaint" is about.

[2manybikes]

He'll learn that, and what "Filing a False Complaint" is about.

[RadioFlyer]

He'll learn that, and what "Filing a False Complaint" is about.

Agreed.

It's dangerous to make accusations. There are repercussions.

[Bicycle Repairm]

As an Electra dealer, we get so few requests for them that we ONLY get them in on an "as needed" basis, when a customer special orders one. The margins aren't that great, but the bikes are cool.
"customers" such as this one are the reason that shop rats drink, imho.
just my .02

[Coyote2]

I am not an attorney, but have read about and taught about antitrust law. And I recall nothing in the major legislation -- Sherman Act, Clayton Act, FTC Act, etc -- that would prevent a mfr from requiring pricing uniformity among its retailers. In fact, off the top of my head I can think of several other brands (cycling and otherwise) which follow the same practice.

[MattP.]

So, let me get this straight, this guy is *****ing cause shops are quoting him MSRP?

My shop is an Electra dealer, and we have all our Electras at MSRP, we have a hard enough time keeping them on the floor. And starting last week, no deals what so ever on Electras. That is cause the owner called Electra to place the Christmas order of 55 bikes, and they only had 9 of them!