To me - and I speak both as a consumer and as a business owner - if I need a service, I buy it locally. If I need a product, I buy it based on price.
In some cases I have saved over 50% by buying bike stuff on-line, even factoring in shipping. There simply is no competition, nor should there be. Selling goods and selling services are totally different business models, and bike shops or other retailers trying to do both as behind the times.