What's the Ramifications with Buying Really Old End of Year Close Outs
 

Hi,

So I've been noticing than some LBS not only have 2015 close outs but 2014 and even 2013!

So what's the ramifications of buying a 2013 bike assuming its a) Been a floor model for 2 years of b) Been sitting in a box for 2 years.

Saving money from buying NOS?
Perhaps not having the latest and greatest if that is important to the person buying the bike?
Possibly not being able to find replacement parts?

The safety and financial risk of purchasing expired bike parts.

Your a good looking guy (well at least form your photo) but I was referring to a mechanical perspective. Having a bike sitting around for years either in a box or on the floor can't be natural.

So you're saying it's less natural than having the bike sitting around for years in your house or garage? I don't agree.

My 1st (adult) new bicycle was a end-of-year last year model clearance. I saved more than a few bucks buying the old model. The next year they still had a couple of the same model bikes (although not in my size)... and some real saving for any buyers.

I'd say that the biggest concern would be not getting the latest greatest.... which may mean the paint/color scheme.

I ride modern bikes... but I also like vintage bicycles. I sometimes have been lucky enough to find old bicycles... 20-30 years old. And with the exception of rotted tires, and hardened grease they're still like new. IMHO... I don't think a couple years in a box would hurt a bicycle any.

Just look closely at the specs. For example, 5700 (up to 2014) vs. 5800 (later than 2014) is pretty substantial - and the price would really need to account for that.

Well, thanks, I think, but that's Bruce Campbell the grooviest dude on the planet. Bruce Campbell, The Official Website - Bruce-Campbell.com

A bike isn't like a gas engine that needs to be run periodically. There's no downside to letting one sit in the box inside a temp controlled environment. It's not like a loaf of bread or a bunch of bananas turning too ripe. Of course, eventually the tires, tubes and brake pads may dry rot, but not within a couple of years.

Bikes don't deteriorate when stored indoors. Despite what the marketing folks might tell you technology doesn't change that quickly in a few years so a 2 or 3 yr old bike isn't going to hold you back.

Resale value: If you plan on selling the bike in the near future, it will only be worth what any used bike of that same year is worth; consequently, you shouldn't pay more than used price for a NOS bike (Unless it is only a year old). Basically, if an LBS has stock laying around which is more than a year old, it's a good sign that their prices are very unrealistic. Any reasonable businessman will do whatever it takes to get rid of last years inventory, because it doesn't pay to keep inventory around for years- so if you see a 3 year-old new bike in a shop, it's almost guaranteed that you're nOT going to get a good deal on it, because if they still have it, it means in all that time, they never marked it down enough to sell it.

I think just the opposite is true. If one plans to sell their bike in the short term it's better to buy a NOS bike at clearance prices. Buying a new bike at full or near full markup just to sell it in short order can be costly.

Of course, it depends on the make and model. I've not seen many used Giant AnyRoads or FastRoads on ebay or Craig's List so they may be able to command a premium used price.

When you see a lot of two and three year old new bikes left in a shop, that's a sign that the shop manager is not very realistic on price.

A three year old new bike is worth no more than a used bike of the same age. Realistically a bike loses at least 20-30% when you roll it out of the shop and 10% a year after that. So that three year old new bike isn't worth more than 50% of what it was selling for when it was a new model, and if you buy it for more than that, you are simply putting match to your money.

The rubber parts on a bike, and the grease applied to the bearings started aging the day they were made. Sitting in a box or on the salesfloor for three years makes them three years old, and no-longer new. In fact, if I were considering buying a leftover three year old bike, I'd be looking for a large discount from the original price, plus a full service at the shop's expense, before I take the bike out the door. Also consider that some manufacturer's start the warranty on the items they manufacture after a specific period of time, even if the time has not been sold. This is to limit their obligation under the warranty to what they consider to be a reasonable period of time. Bike manufacturer's don't want to be responsible for bikes that they can no-longer get parts for.

The new-old stock bike should get a bearing service, and new tires to be called brand-new and I don't see the shop doing that.

The mental angst and lingering anguish in knowing your NOS purchase will be obsolete the second you pay for it.

BTW, I recently purchased a "new in the box" 2006 Cannondale CAAD 8 Made in the USA bike, and have yet to learn how to deal with the anguish of buying new old!

You missed the mark with this one, INPD.

It depends - are they ordinary bikes, or are the two and three year old bikes uncommon or special in some way? Not every bike is a dated commodity, but some are more than others.

Also, I think your devaluation based on chronological age, or rather over-valuation of "newness" is a little extreme. Newness doesn't just wear off in the shop, it evaporates shortly after I buy something, even if I buy it just days after it leaves the factory, so the notion that this kind of freshness accounts for up to half the value is absurd. I'd say one would be putting a match to ones gasoline-soaked money buying a current/new year model bike if so much value is placed on newness for its own sake.

I bought a 2 year old New Bike from my shop.

The size was why it didn't sell. Got a good discount.

Got the full warranty because it was new and rode 39,000 miles on it.

A 2-3 year old brand new bike will not:

1. Have parts hard to find replacements for
2. Do not have parts that "expire" and pose a safety and financial risk
3. The difference between 5700 and 5800 is negligible and make no difference in your average speed
4. You will never get a brand new expired model from a bike shop for a used price nor should you
5. If you're concerned about devaluation between bikes 24-36 months apart get the new model

As pointed out many models are unchanged from year to year in any way except paint scheme. Those make sweet deals when you can buy from the early part of that multi-year model run but you are at the end of it.

IME, the only bikes sitting in shops for 2-3 years are odd sizes that are hard to sell or are really high-end with a limited market.

Many manufacturers require shops to buy a certain number of their top-of-the-line models to be able to carry the full range. For example, Specialized has a minimum number of S-Works bikes a shop must purchase each year to sell ANY S-Works models. Giant also has minimum requirements for the Advanced SL line. Let's say Giant requires a shop to buy four Advanced SL bikes to be able to carry the line, and a shop has three people wanting them. They may go ahead and buy that fourth one with the expectation that it will sell, and then it ends up sitting on the shop floor for awhile.

As for whether it is good or bad to buy one, generally, they can be pretty good deals.

No different than buying last year's model running shoes or winter jacket, except in price.

Given I wasn't aiming, not sure what you mean.

I have been seeing some amazing deals on bikes, $700 CAAD 10 with 105 for instance and I wanted to know the catch as it was a 2013 model.

The older group set point is a good but I think @Lazyass list otherwise is good.

Not sure what's the meanings of this.

And a newer bike isn't always improved. I bought my 2011 Focus Culebro on closeout for $1299. Brand new it was $2279. Sweet triple butted alu frame with very cool flattened and tapered chainstays. It rides smoother than my steel bike. The newer Culebro's were a completely different frame, double butted, round chainstays, ect. I'd rather have my bike. And yes I can still get brand new Ultegra 6700 replacement parts.

I purposely go into bike shops every month, or so, looking for that 2-3 year old used bike. I picked up a Trek Fuel EX7 some years ago that was marked down to $1,100, new from my local shop (I think MSRP was over $2K). Rode the snot out of it, moved back to the East Coast, and in my shortsightedness I sold it (at least for more than I bought it). So, I had zero ramifications, and regret selling the bike even though I made money.

That would be true with a bike that is maybe one model-year old. You start getting into NOS bikes that are 2, 3, or more years old though, I don't think anyone's going to pay a premium for it, because to do so, would be approaching the price of a current model one.

When I bought my former '13 Venge (slightly used) at the end of 2014 for $1800, I saw NOS ones selling [err, TRYING to be sold) for $3K. -and they didn't have the nearly $800 worth of upgrades that mine did. I'll bet those $3K ones are still for sale!