Is TREK doing this to your LBS?
#27
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I don't have a big problem with Scheels. I was interested in the Trek Fx series and my local shop has never carried them. Now they would order me one but obviously I wanted to see and handle the bike before commiting to buy. While I was traveling I happened to walk into a Scheels and they had just what I was looking for. One salesperson was not an expert but when I talked with the bike manager I received the service that I required. I watched the mechanic do the run through and I felt he did a good job. The bike was less than MSRP and the components are the same. I'm quite familar with Treks and have spent a good amount of time on their website researching bikes. I was surprised at this find because the Scheels store closer to my home carries mostly Specialized bicycles. Anywhere you go you will find staff that are very knowledgeable and you will staff that does not know anything. I have been to LBS where the kid on the sales floor was no expert. I'm just trying to present another side to this story.
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Business is business. Specialized is doing the very same thing to one of our LBS too. Don't think this is speficic to anyone particular brand. I personally own a Specialized MTB, and a Trek 5200. As with almost ANY product lines...there are low-end models that sell very well due to the low price. But, don't confuse low-end with a better top-end. My 5200 is the most comfortable bike (over long distances) than any other bike I've owned. does this mean that a Cannondale or a Fuji or a Lemond wouldn't work just as well? Probably not, but I just don't have enough $$ to buy 'em all and sort it out.
Oh, I also have a $6500 Litespeed Vortex. Guess what? It isn't even as comforatable as my Trek which was somewhere around $2500.
So, stop with all the Trek bashing already. Every large bike manufacturer insists that there product should be the only one sold. The little guy is the one paying the price, not the general public.
Oh, I also have a $6500 Litespeed Vortex. Guess what? It isn't even as comforatable as my Trek which was somewhere around $2500.
So, stop with all the Trek bashing already. Every large bike manufacturer insists that there product should be the only one sold. The little guy is the one paying the price, not the general public.
#31
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Wow, a thread from 2003!!!
I know a little about what Trek is doing, having a friend inside of Trek - whose HQ is just a few miles from where I live.
Trek is in the midst of opening 1000 Trek Company Stores. A number of LBS's will feel the impact of this.
Trek also now desires any storefront carrying Trek to have their bikes (Trek, Gary Fisher, LeMond, Klein) to make up approximately 75% of all of the bikes on the floor. Two LBS's in my area have opened 2nd stores to be their Trek stores, where the floor is all or nearly all Trek, then their other lines are in the other store.
Specialized is trying to do the same thing. I know of three LBS's where Specialized dropped them in order to back stores that were nearly all Specialized.
So what a lot of communities are going to see are: 1) Trek Company stores carrying only Trek. 2) LBS's that have either no Trek or are dominated by Trek. 3) LBS's that carry either no Specialized or are dominated by Specialized. And it will be a rare sight to see Trek & Specialized in the same LBS.
I know a little about what Trek is doing, having a friend inside of Trek - whose HQ is just a few miles from where I live.
Trek is in the midst of opening 1000 Trek Company Stores. A number of LBS's will feel the impact of this.
Trek also now desires any storefront carrying Trek to have their bikes (Trek, Gary Fisher, LeMond, Klein) to make up approximately 75% of all of the bikes on the floor. Two LBS's in my area have opened 2nd stores to be their Trek stores, where the floor is all or nearly all Trek, then their other lines are in the other store.
Specialized is trying to do the same thing. I know of three LBS's where Specialized dropped them in order to back stores that were nearly all Specialized.
So what a lot of communities are going to see are: 1) Trek Company stores carrying only Trek. 2) LBS's that have either no Trek or are dominated by Trek. 3) LBS's that carry either no Specialized or are dominated by Specialized. And it will be a rare sight to see Trek & Specialized in the same LBS.
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In San Diego, as best I know, if you want to buy a Trek, you go to a Trek store. If you want something else, you go somewhere else. There are three Trek "Superstores" in San Diego.
My first new bike was a Trek and I've been impressed with the service ever since. I was in the store the other day and the manager remembered me from many, many months ago (I've moved further away from his store.)
OTOH, the LBS's that are close to me have most of the other brands. Can't seem to find Jamis nearby.
Anyway, competition is competition!
My first new bike was a Trek and I've been impressed with the service ever since. I was in the store the other day and the manager remembered me from many, many months ago (I've moved further away from his store.)
OTOH, the LBS's that are close to me have most of the other brands. Can't seem to find Jamis nearby.
Anyway, competition is competition!
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If the owner of Albrechts wants to stay competitive, they need to make sure that they trump the big store in maintainance and expertise, the traditinal advantages of the LBS.
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Being a small business owner myself (not cycling related) service is about the only thing a smaller store can offer, along with possibly a more convenient location. With the advent of the internet and various "super" stores it is all we have left to offer. I am still appalled at the number of people that come in and want us to "price match" something they found on the internet...nope no can do, or think they should receive a discount. I would have to shut my doors, if I sold below my costs all the time. We actually dropped a couple of our vendors last year after they basically lied to us and sold a line we were carrying to the super store up the road from us. We did have a few people come in asking for the lines but when we told them they had to go up the road to the superstore they weren't happy about it. Several of them chose something else from one of our other lines instead. Apparently the customer service and the overall quality of the merchandise at the super store is less than great, but if you shop price only you more than likely are going to have to give up something. The other fun thing we have is someone buys something on the internet that we sell, then brings it to us wanting alterations or adjustment..."why don't you take it back where you bought it?" and sorry can't help you there either. I am sure we lose the occasional customer over that too, but if you bought it from us we will bend over backwards to help you with it. Buy it somewhere else, please have them service it.
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#35
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I've heard of similar issues with Trek at one or two shops here in the Cincinnati area. I don't know how common this is among bike manufacturers, but apparently a bike shop has to sell X number of Treks or they lose the contract. I heard this story from one of the local shops when I was looking for my first road bike. This particular shop used to be a Trek dealer, but they couldn't sell enough and Trek pulled the plug on them. It caused some bad blood I guess.
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I'm friends with one of the largset Trek dealers in the country. We've had long discussions about Treks marketing and where they are heading. If Trek doesnt do what they are They'll lose market share. Regardless of the type buisness ones in one must adapt to current markets conditions or die. I.E. GM Ford
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I'd say that this gives license to Albrecht's to say ANYTHING that they want about Trek product, true or not, to steer a sale in another direction. It is almost always smaller stores that build the reputation of a line. It is in the long run a poor business strategy for Trek to ***** the line out to bigger outlets unless the bigger outlet can be proven to have a level of service and assembly to support the product adequately. Major bike lines aren't that different; it is the assembly, customer care, and follow-up of the dealer that make the line. Albrecht's is a stakeholder in this by having helped build Trek's reputation and thus their equity. By trampling them like this Trek deserves whatever they get. If Trek was smart about it, Albrecht's would get best-quantity terms and pricing and preferential shipping. I used to work for a Trek dealer and in days gone by they weren't that smart about it. I have a few words for the owner of Albrecht's--"Bianchi, Marin, Fuji, Soma."
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Trek Shop
There is one in Northwest Indiana. It is locally owned, but I believe Trek financed the whole thing. If you want to buy a bike they have a large selection. If you want to buy a part for the bike you bought, you better go find it on the internet because they don't carry much. I wanted to buy a particular tire and they couldn't get it or any other tire besides, some real junk they had laying on the floor behind the shop. They have a web site, but I won't promote it.
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I don't know. I've been the small guy a few times, and I support my lbs based on bottom line. I may pay marginally more per part there, but if I were to combine the cost savings at a superstore with the cost of getting advice from people who know what they're doing... well, it's tough to quantify that, but it's definately worth the price difference to me.
The trick is making sure the consumer knows it.
Now the question is, why/how did the trek rep suggest that the lbs would have to drop Trek? Just by saying they wouldnt be the only shop in town carrying them, or would have to deal with someone who had lower prices? maybe it's just me living in metropolis (LA) but that's the standard operating proceedure around here, and all the LBS's make it regardless, based strictly on their (priceless to me) superior knowlege, customer service, etc.
-- James
The trick is making sure the consumer knows it.
Now the question is, why/how did the trek rep suggest that the lbs would have to drop Trek? Just by saying they wouldnt be the only shop in town carrying them, or would have to deal with someone who had lower prices? maybe it's just me living in metropolis (LA) but that's the standard operating proceedure around here, and all the LBS's make it regardless, based strictly on their (priceless to me) superior knowlege, customer service, etc.
-- James
#41
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Originally Posted by Digital Gee
In San Diego, as best I know, if you want to buy a Trek, you go to a Trek store. If you want something else, you go somewhere else. There are three Trek "Superstores" in San Diego.
The other LBS runs out of a beautiful old train depot where they sell Cannondale, Marin, Felt, Bianchi, Electra, and other lines. Then they have a second store where they sell only Trek, also at lower prices than available from the Trek stores. In mid-Feb of this year, they ran a 10-day sale where every Trek in stock was 20% off of list, even 2007 models.
So you can shop Trek Company Store vs Trek LBS #1 vs Trek LBS #2. And I would never buy from one of the company stores, because you pay more and get less.
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#42
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I went into one of the Trek stores here in Cincinnati, and it was really odd. Everything was absolutely clean. There were no racks of bikes (well, the little kids bikes were but that's it), instead each bike had it's own place on the wall. I wasn't left to wander then get help when someone on the floor had time, or when the greasy shop guy noticed me. No, as soon as I walked in and glanced at a pair of sunglasses, a fresh young well-groomed kid came out of nowhere to try to sell me anything he could. I told him I just wanted to look and he disappeared for a while. Then, I figured out what was so weird. I couldn't see the shop part of the store anywhere, nor were there any bikes sitting around "just off the stand" and waiting to be picked up any minute by a customer. No, they had completely buried the shop in the middle of the store and covered it with walls and the only entrance was through a small door behind the cash register.
Most if not all LBS that I've been in have the shop right there for you to see or in a separate room, but no door so you can see in. Maybe it's just me, but I like to know that there are competent mechanics at a place I'm buying a bike and being able to see the shop area or watch their people actually work is a good way for me to know. The well-groomed kid was another weird thing. Other shops around are usually staffed by people who look like they ride a lot and know what they are talking about, or some greasy, inked up guy who just walked out of the shop and knows what he is talking about. This guy seemed like the kid who only works the register on Saturdays at the big shop around here. Just there for a job.
Maybe other Trek stores are different, but this one was just too... corporate. It had no soul at all.
Most if not all LBS that I've been in have the shop right there for you to see or in a separate room, but no door so you can see in. Maybe it's just me, but I like to know that there are competent mechanics at a place I'm buying a bike and being able to see the shop area or watch their people actually work is a good way for me to know. The well-groomed kid was another weird thing. Other shops around are usually staffed by people who look like they ride a lot and know what they are talking about, or some greasy, inked up guy who just walked out of the shop and knows what he is talking about. This guy seemed like the kid who only works the register on Saturdays at the big shop around here. Just there for a job.
Maybe other Trek stores are different, but this one was just too... corporate. It had no soul at all.
#43
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Bigger business ALWAYS wants to squash smaller business and take there business....Home Depot does not care and Ace Hardware and neither of them care about East Ashville Hardware..no matter what they say....
It is even worse in smaller business....smaller business hates other simular smaller business....although if you are from a different area it is slightly less pronounced....it is like opening a store in an area of town that is "open" makes it harder for them to make there boat payment....people get nasty and mean....sad sad....and the responce is business is business....lol I love that answer.......do or say whatever you want to some one else and it is all ok because business is business..
So yes they are doing it.....no they will not stop and unless you like buying your bike stuff and Sun and Ski you better go to visit the small guy.....simple....
It is even worse in smaller business....smaller business hates other simular smaller business....although if you are from a different area it is slightly less pronounced....it is like opening a store in an area of town that is "open" makes it harder for them to make there boat payment....people get nasty and mean....sad sad....and the responce is business is business....lol I love that answer.......do or say whatever you want to some one else and it is all ok because business is business..
So yes they are doing it.....no they will not stop and unless you like buying your bike stuff and Sun and Ski you better go to visit the small guy.....simple....
#44
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Originally Posted by DanFromDetroit
It is in Trek's long term best interest to cultivate both types of retailers, possibly by offering the low end of some of the Trek lines to the discounter at good price while preserving the premium product for the smaller LBS and offering a better rate for warranty work to the smaller shops. There are probably other incentives for smaller retailers that could be found as well, just to keep them as a viable alternative to the mass marketers.
my .02
Dan
my .02
Dan
Not that many. People buy the low end bikes and the bike shop makes a lot of their money on that volume. If Trek undercuts the LBS on those bikes, it may or may not be worth it for the LBS to carry Trek any longer. It's a business decision that the shop owner will have to make based on the market and what he thinks he can offer that the big store can't.
It would be worth it to the LBS to come to some kind of agreement for service on the Treks even if they drop the line. That is, if they can come to a deal with the big store which might not be easy.
#45
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Originally Posted by N_C
Has any thing like this happened in your area? If so which companies were involved?
It is in Trek's long term best interest to cultivate both types of retailers, possibly by offering the low end of some of the Trek lines to the discounter at good price while preserving the premium product for the smaller LBS and offering a better rate for warranty work to the smaller shops. There are probably other incentives for smaller retailers that could be found as well, just to keep them as a viable alternative to the mass marketers.
my .02
Dan
What you are describing is much the same as what Schwinn did to all their old line dealers in the 90's. They missed the boat on mountain bike craze and were trying hard to catch up in the early 90's. The basically started handing out dealerships....plenty of business for one...not near enough for two sort of thing. They were struggling anyway but this was the final nail in the coffin before they went through either bankruptcy or near bankruptcy and two sales.
I was lucky and bought two matching cro-mo / Rock Shox bikes right before the Schwinn wheels came off, so to speak. Man, I love those bikes (not to be confused with WalMarts current offering).
Think of it like Krispy Kreme donuts....when people were lining up around the block everytime a new store opened. Then, they started sending day-old product out to supermarkets and WalMart. Guess where they are now. #1 - they killed their image and #2 - started competing with their most profitable outlets.
I believe Trek is going to have a tough time continuing to demand such a premium as they do for their bikes. That kid at the big box store isn't going to talk someone into upgrading from a $700 to a $1500 bike, let alone even know the difference. They have had an extremely profitable niche, largely due to a Texan with strong legs and seven victories. Now they own Lemond and Fisher and Bontrager. They are trying to break out of their LBS niche with low-end Trek bikes? It will be interesting to see how that market strategy works. I'd bet against it. They should put the Lemond and Gary Fisher stuff at the big box stores. This sort of strategy is probably exactly what bikesdirect.com is hoping for. Look for a big breakout from those folks.
Last edited by Monoborracho; 03-20-07 at 11:01 PM.
#46
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Originally Posted by wahoonc
The other fun thing we have is someone buys something on the internet that we sell, then brings it to us wanting alterations or adjustment..."why don't you take it back where you bought it?" and sorry can't help you there either. I am sure we lose the occasional customer over that too, but if you bought it from us we will bend over backwards to help you with it. Buy it somewhere else, please have them service it.Aaron
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other option
[QUOTE=Digital Gee]In San Diego, as best I know, if you want to buy a Trek, you go to a Trek store. If you want something else, you go somewhere else. There are three Trek "Superstores" in San Diego.
QUOTE]
in San Diego, you can also get Treks at Bicycle Discovery
Bicycle Discovery also sells Motobecane, Phat, Masi, Electra, Raleigh, etc
QUOTE]
in San Diego, you can also get Treks at Bicycle Discovery
Bicycle Discovery also sells Motobecane, Phat, Masi, Electra, Raleigh, etc
#48
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Scheels started as a hardware store in my hometown, Fargo ND. Bought my first schwinn there back in '85. Even so I have mixed feelings about them.
I think its a mistake to dismiss Scheels as being just another 'big box store.' They tend to offer much higher quality products and services than other chain sporting goods stores like Sportmart and Dick's. They also obsess over the quality of their staff about as much as a large store can. This explains their explosive growth in the last twenty years. On the other hand, they're not locally owned and their sales staff doesn't specialize in bikes. If you need info, you're better off talking to the mechanics. Not so great for the high-end customer, but fantastic for the average family shopping for something under $1000.
I compare them to Barnes and Noble. B&N is a monster if you live in a city that has an excellent independent bookstore that actively services its community. They are a godsend if your city has some sh1tty bookstore staffed by arrogant jackasses.
The bottom line is that they work with their customers and move tons of product. Collectively, they are now the largest Trek dealer in the United States and have the leverage to muscle the little guys out of the way.
This reminds me of Erik's Bike Shop in Minnesota / Wisconsin. Erik started in his parent's basement in Minneapolis and is now the largest Specialized dealer with something like 13 stores. He does a good job of staffing his stores with people who specialize in bikes only.
At any rate, there seems to be a trend in higher-end sport retail favoring home-grown chains capable of offering higher end products and services. I feel sorry for the guys who get squeezed out but it remains to be seen if Trek's decision is a short-sighted strategy. Trek and Specialized may be on to something.
I think its a mistake to dismiss Scheels as being just another 'big box store.' They tend to offer much higher quality products and services than other chain sporting goods stores like Sportmart and Dick's. They also obsess over the quality of their staff about as much as a large store can. This explains their explosive growth in the last twenty years. On the other hand, they're not locally owned and their sales staff doesn't specialize in bikes. If you need info, you're better off talking to the mechanics. Not so great for the high-end customer, but fantastic for the average family shopping for something under $1000.
I compare them to Barnes and Noble. B&N is a monster if you live in a city that has an excellent independent bookstore that actively services its community. They are a godsend if your city has some sh1tty bookstore staffed by arrogant jackasses.
The bottom line is that they work with their customers and move tons of product. Collectively, they are now the largest Trek dealer in the United States and have the leverage to muscle the little guys out of the way.
This reminds me of Erik's Bike Shop in Minnesota / Wisconsin. Erik started in his parent's basement in Minneapolis and is now the largest Specialized dealer with something like 13 stores. He does a good job of staffing his stores with people who specialize in bikes only.
At any rate, there seems to be a trend in higher-end sport retail favoring home-grown chains capable of offering higher end products and services. I feel sorry for the guys who get squeezed out but it remains to be seen if Trek's decision is a short-sighted strategy. Trek and Specialized may be on to something.
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I bought a specalized Allez comp Double at Scheels in Dec. '06. Love the bike, and I saved $600 off MSRP. I bought the bike on closeout for $999. But, I didn't get a decent bike fitting from the store. I went for my first group ride in April with Stadium bike my LBS. Th4e owner almost laughed at me for having my seat so low. I'm glad he did. I went to his shop for a proper fitting. My seat was almost 2" low and about 2" to far back. No wonder my back hurt. I just didn't know any better. I would still buy the bike again but, I would pay for a bike fitting right away. So Scheels did a good job putting the bike together but, they couldn't fit a bike to save their ass.
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Originally Posted by Erin158
I bought a specalized Allez comp Double at Scheels in Dec. '06. Love the bike, and I saved $600 off MSRP. I bought the bike on closeout for $999. But, I didn't get a decent bike fitting from the store. I went for my first group ride in April with Stadium bike my LBS. Th4e owner almost laughed at me for having my seat so low. I'm glad he did. I went to his shop for a proper fitting. My seat was almost 2" low and about 2" to far back. No wonder my back hurt. I just didn't know any better. I would still buy the bike again but, I would pay for a bike fitting right away. So Scheels did a good job putting the bike together but, they couldn't fit a bike to save their ass.
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