Is it how it works? I'm still struggling with your claim that one frame doubled in price in 4 years.
Which frame was it?
Moderator: robbosmans
stormur wrote: ↑Mon Jan 08, 2018 10:36 pmThruth about your "boutique" https://www.bike24.com/1.php?content=21 ... ed;mid=917
you can but specialized stuff in almost every net in EU, most ship abroad. In Finland brand is carried by independent shops only, with many other brands.
Place of manufacturing has everything for being "boutique" / premium / luxury . None of those are made in far east. Most of it is made in Europe. If not all. NONE of reputable Swiss watches are made in China. Some mechanisms ( for cheap ones ) come from Japan. So...BS. Basically all what you wrote.
Mr Gib got it right.Mr.Gib wrote: ↑Sun Jan 07, 2018 9:48 pmContemplating what is an appropriate margin is a pointless exercise. Despite the many factors that go into such decisions, ultimately it is a market driven decision at any level of the supply chain. The correct answer to the question of margin size is simply the size that is the most profitable. The people that operate these organizations have a duty to the owners to be as profitable a possible. Failure to do so should result in their replacement by others who will seek to maximize profit.
Different industries and markets differ in the how big margins can be based on the balance of power between buyers and sellers. Many parts of the bicycle industry are not particularly competitive. Read Michael Porter if you wish to understand this in depth.
Quote from the article : This means cost-conscious watchmakers in the lower-priced segment can import 100 percent of the cases, dials, hands and straps and still mark their watches “Swiss Made” as long as half of the parts of the watch movement are made at home.AJS914 wrote: ↑Mon Jan 08, 2018 11:00 pmstormur wrote: ↑Mon Jan 08, 2018 10:36 pmThruth about your "boutique" https://www.bike24.com/1.php?content=21 ... ed;mid=917
you can but specialized stuff in almost every net in EU, most ship abroad. In Finland brand is carried by independent shops only, with many other brands.
Place of manufacturing has everything for being "boutique" / premium / luxury . None of those are made in far east. Most of it is made in Europe. If not all. NONE of reputable Swiss watches are made in China. Some mechanisms ( for cheap ones ) come from Japan. So...BS. Basically all what you wrote.
You have no idea what you are talking about. Here you go:
https://www.reuters.com/article/us-luxu ... KS20130304
All they have to do is make 50% of the watch movement in Switzerland and they can label a watch as made in switzerland. It's the same in a lot of other European countries where goods assembled in the country gets it stamped "made in".
Anyway, what is the point of this? It has nothing to do with this stupid thread in the first place.
It's all supply and demand. If there is no demand for $300 saddles then nobody will buy them and they will lower the price.
Yes you can. Frameset MSRP is publically available information that doesn't confirm or even imply that you have access to confidential trade secrets. Heck, you could tell me that it wasn't the frame that you were talking about, but here's the name of another one that also doubled in price from 2k to 4k and I'd totally believe you, no harm no foul.
The Allez is a large family of frames that has encompassed anything from steel, to entry level alloy, to E5 smartweld, to cutting edge hydroformed aero sections on the Sprint. It's self evident that there will be huge price variations across different models and different generations. Are you comparing like for like frames?I can give you other example : Specialized Allez. Check frameset price increase over the years.
Yes, you can. It's not a secret. It's publically available information. If they already know you know the secret stuff, it doesn't matter a damn if you talk about the non-secret stuff that came with it.
The 2010 Allez with 2300 cost £499. The 2018 with Claris cost £599. That's a 20% increase spread over 8 years. IF the Allez had gone up by 15% year on year since 2010 it would now cost £1530. Your notes are wrong by literally an order of magnitude.If you take 1 particular frame, which design didn't changed to much over the years and look at MRSP, you'll notice that price increase over the years is far bigger than justified inflation/ labour cost / material cost / taxes increase. Nor even by any operational cost increade ( like additional or extraordinary sponsoring costs ) . From my notes it comes avg for the market price increase year-to-year is about 15%.
Yeah, I'd agree. In particular top end frames, finishing kit and shoes have gone up a lot ... as opposed to wheels and groups. I remember buying a Record 10 Groupset in 2006 for £900 odd cheapest online price and 12 years later it's about £1250 for Record 11 mechanical ... so a CAGR of 3% which seems ok.wingguy wrote: ↑Sun Jan 07, 2018 9:22 pm
I would say that from what I've seen is that particularly over the last 5 years the cost of like for like high quality parts and components has gone up by around 15 to 25% on average in the UK. Part of that is our own stupid fault with the post-brexit currency crash, but even accounting for that it's a big hike, far in excess of wage growth. The pricing of high end parts in 2012 was a lot more accessible for normal people than in 2017, that's for sure.
LOL. That movie...it seems like a comedy now. Bring me a rabbit...Calnago wrote: ↑Tue Jan 09, 2018 3:27 amThis thread is like the final scene out of the movie “Fatal Attraction”. Just when you think it’s all over the original Nemesis comes back to stir things up again. But yes, Mr. Gib got it right.
https://youtu.be/hd521kE7f0A