Do you think the price of bikes will come down?
Comments
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theblender wrote:My house was £125,000 in 2000, the identical one next door is now £175,000 for a 2 bedroom shoebox made from lego.
Polo's were 7p back in the 80's
The Beano was 7p back in the 80's
The 1st issue of MBUK was £1.10, now it's £4.90
A pint of bitter in my local was £1.10 in 1993, it's £3.00 for a 330ml bottle of bitter now
I was being paid £1.70 an hour in 1993
Things go up, that's the way it is.
Well of course, over 10-20 years or more you expect it, but huge jumps over 2-3 years are unusual, especially during a period of near deflation, lower VAT and interest rates. Think of house prices over the past few years, in general they have gone down....Do not write below this line. Office use only.0 -
Sewinman wrote:Right - just checked out the GBP - CNY (China) FX history and GBP has fallen by 29% against the Chinese Yen since Jan 2007. In Jan 2009 the GBP had fallen by 38% against the Yen.
Given that most cheap bikes are made in China I reckon that is exactly where the price hikes have come from, plus a few % for inflation. I doubt bike companies are big enough to hedge currencies and will have been exposed.
Yeppers. But I'm seeing comparative price increases in bike brands and components made outside Asia. Though arguably the materials used to make the things are sourced there but still.
Campag for example should be undercutting Shimano by a sizable amount.Food Chain number = 4
A true scalp is not only overtaking someone but leaving them stopped at a set of lights. As you, who have clearly beaten the lights, pummels nothing but the open air ahead. ~ 'DondaddyD'. Player of the Unspoken Game0 -
DonDaddyD wrote:Sewinman wrote:Right - just checked out the GBP - CNY (China) FX history and GBP has fallen by 29% against the Chinese Yen since Jan 2007. In Jan 2009 the GBP had fallen by 38% against the Yen.
Given that most cheap bikes are made in China I reckon that is exactly where the price hikes have come from, plus a few % for inflation. I doubt bike companies are big enough to hedge currencies and will have been exposed.
Yeppers. But I'm seeing comparative price increases in bike brands and components made outside Asia. Though arguably the materials used to make the things are sourced there but still.
Campag for example should be undercutting Shimano by a sizable amount.
The same thing probably applies to the Euro though. My mother lives in the south of France and her pension is worth a third less due to the weak £ at present.0 -
that is true.
What needs to happen is that England needs to start producing carbon fibre and bikes and its own componentry.
Come on there is enough old folks on this site. Get your tweed on and head towards the shed!Food Chain number = 4
A true scalp is not only overtaking someone but leaving them stopped at a set of lights. As you, who have clearly beaten the lights, pummels nothing but the open air ahead. ~ 'DondaddyD'. Player of the Unspoken Game0 -
DonDaddyD wrote:that is true.
What needs to happen is that England needs to start producing carbon fibre and bikes and its own componentry.
Come on there is enough old folks on this site. Get your tweed on and head towards the shed!
Or raise interest rates, cut borrowing and stop printing money = stronger £.0 -
Sewinman wrote:DonDaddyD wrote:that is true.
What needs to happen is that England needs to start producing carbon fibre and bikes and its own componentry.
Come on there is enough old folks on this site. Get your tweed on and head towards the shed!
Or raise interest rates, cut borrowing and stop printing money = stronger £.
Cut borrowing, who the hell can still borrow!? I went to the bank the other day and they borrowed money from me!
I am of the thought that to get out of a recession you need to spend at the government level to encourage/stimulate economic growth.Food Chain number = 4
A true scalp is not only overtaking someone but leaving them stopped at a set of lights. As you, who have clearly beaten the lights, pummels nothing but the open air ahead. ~ 'DondaddyD'. Player of the Unspoken Game0 -
DonDaddyD wrote:Sewinman wrote:DonDaddyD wrote:that is true.
What needs to happen is that England needs to start producing carbon fibre and bikes and its own componentry.
Come on there is enough old folks on this site. Get your tweed on and head towards the shed!
Or raise interest rates, cut borrowing and stop printing money = stronger £.
Cut borrowing, who the hell can still borrow!? I went to the bank the other day and they borrowed money from me!
I am of the thought that to get out of a recession you need to spend at the government level to encourage/stimulate economic growth.
Absolutly but low interest rates mean investors don't like £ as they won't get a decent interest rate. Huge government borrowing scares investors away from UK government gilts and hence the £ as they are weary of a troublesome credit rating. Quantitiative easing is basically printing money - increase the pool of money and you reduce its value. It all leads to a weak £ and pricey imports - no bad thing if it stimulates UK based companies.0 -
Sewinman wrote:DonDaddyD wrote:Sewinman wrote:DonDaddyD wrote:that is true.
What needs to happen is that England needs to start producing carbon fibre and bikes and its own componentry.
Come on there is enough old folks on this site. Get your tweed on and head towards the shed!
Or raise interest rates, cut borrowing and stop printing money = stronger £.
Cut borrowing, who the hell can still borrow!? I went to the bank the other day and they borrowed money from me!
I am of the thought that to get out of a recession you need to spend at the government level to encourage/stimulate economic growth.
Absolutly but low interest rates mean investors don't like £ as they won't get a decent interest rate. Huge government borrowing scares investors away from UK government gilts and hence the £ as they are weary of a troublesome credit rating. Quantitiative easing is basically printing money - increase the pool of money and you reduce its value. It all leads to a weak £ and pricey imports - no bad thing if it stimulates UK based companies.
Except that quantitative easing/priniting money will eventually stimulate inflation which in turn will cause prices to rocket even further. Rates are also likely to rise forcing inflation even higher. I'd get that bike in now if I were you, prices will probably keep on going up and up in the near future...Do not write below this line. Office use only.0 -
OOooh higher interest rates... yes please!
Rather than punishing those who've been careful and saved... my savings have emigrated, and I can't help thinking other money will have done the same.0 -
DonDaddyD wrote:<<Cracks nuckles and goes into comic-debate response mode>>Wheezy wrote:No, new stuff is set at a premium to recover R&D costs and to exploit being first to market. The price falls through the product life cycle as economies of scale and competition kick in.
Yes, these are all variables in pricing but so making a profit and marketing the product, which drives the price. When a product is released it is often set at a premium price. The maximum price that people would be willing to pay for it. Sometimes the price exceeds this rationale.
Comic-debate response is agreeing with me?
Who you callin' Wheezy, it's WheezyMcChubby to you.“New York has the haircuts, London has the trousers, but Belfast has the reason!0 -
WheezyMcChubby wrote:DonDaddyD wrote:<<Cracks nuckles and goes into comic-debate response mode>>Wheezy wrote:No, new stuff is set at a premium to recover R&D costs and to exploit being first to market. The price falls through the product life cycle as economies of scale and competition kick in.
Yes, these are all variables in pricing but so making a profit and marketing the product, which drives the price. When a product is released it is often set at a premium price. The maximum price that people would be willing to pay for it. Sometimes the price exceeds this rationale.
Comic-debate response is agreeing with me?
Who you callin' Wheezy, it's WheezyMcChubby to you.
No, not entirely. I'm not disagreeing with you. I'm edxpanding on what you are saying to explain that there is more to simply pricing a new product at a premium over and above recovering R&D costs and exploiting being first on the market.Food Chain number = 4
A true scalp is not only overtaking someone but leaving them stopped at a set of lights. As you, who have clearly beaten the lights, pummels nothing but the open air ahead. ~ 'DondaddyD'. Player of the Unspoken Game0 -
What needs to happen is that England needs to start producing carbon fibre and bikes and its own componentry.
For that you need
1- Skilled workforce
2- Efficient transport system for distribution
3 - Effective management with technical knowledge
4 - Financial sector ready to back industry long term
Do we have the above? Clue to the answer is in the trade deficit.Rather than punishing those who've been careful and saved... my savings have emigrated, and I can't help thinking other money will have done the same.
Out of interest, what is a good country to keep savings in?0 -
artaxerxes wrote:What needs to happen is that England needs to start producing carbon fibre and bikes and its own componentry.
For that you need
1- Skilled workforce
2- Efficient transport system for distribution
3 - Effective management with technical knowledge
4 - Financial sector ready to back industry long term
Do we have the above? Clue to the answer is in the trade deficit.
That doesn't mean someone shouldn't try though.
Downfall of this Country is that it has stop trying and pushing the boundaries on things other people say can't be done or done easily.
Much rather instead of being solution focused it focuses on telling people what cannot be done. Problem focused. I get this every day at work and see this increasingly so. It would seem that many would now prefer to sit and wait for someone else to do it.
Where is my shed.Food Chain number = 4
A true scalp is not only overtaking someone but leaving them stopped at a set of lights. As you, who have clearly beaten the lights, pummels nothing but the open air ahead. ~ 'DondaddyD'. Player of the Unspoken Game0 -
lost_in_thought wrote:OOooh higher interest rates... yes please!
Rather than punishing those who've been careful and saved... my savings have emigrated, and I can't help thinking other money will have done the same.
No, I'm enjoying the £400 saving on my mortgage right now...
saving pah...Purveyor of sonic doom
Very Hairy Roadie - FCN 4
Fixed Pista- FCN 5
Beared Bromptonite - FCN 140 -
Much rather, this Country now prefers to sit and wait for someone else to do it.
Thats why the pound dropping like a stone is a good thing in a way. Eventually we will find it too expensive to buy these imports and will be forced to get off our backsides and start making things again
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artaxerxes wrote:Much rather, this Country now prefers to sit and wait for someone else to do it.
Thats why the pound dropping like a stone is a good thing in a way. Eventually we will find it too expensive to buy these imports and will be forced to get off our backsides and start making things again
Oh God, please, no more Rovers!
And to DDD and whoever else, yes I stand corrected, Veblen goods, not Giffen goods, I was close. Shows what my degree's worth!
And to answer the questions, I'd rather have the Nokia (I do!) because it's better, not because it's more expensive. It is of course more expensive because it's better, not the other way round.
If there's no difference in performance, I'd save my money and have the LG TV (I did!).
I ride a Boardman because the £/performance was well above anything on offer from Specialized/Giant/Trek. I'm happy to pay more for something that's better, but something doesn't become better in my eyes just because you have to pay more.
I think it's becoming a bit chicken and egg. Is it desirable because it's expensive, or expensive because it's desirable? I'd say the latter for the vast majority of cases.0 -
artaxerxes wrote:
Out of interest, what is a good country to keep savings in?
Lebanon - one of the last bastions of truly private banking.0 -
cuthbertrogergaylord wrote:artaxerxes wrote:
Out of interest, what is a good country to keep savings in?
Lebanon - one of the last bastions of truly private banking.
I dunno, there seem to be an awful lot of Nigerian banks vying for my custom. I think I'll choose them over Lebanon.......
Would a better question be "Do you think the price rises will continue at the same rate?"?0 -
no because the shops business rates, utility bills, rent and other costs like staff wages keep going up; which all add to the overall cost of bike. also exchange rates have impact and the vat you pay on bike - vat has gone back up to 17.5%. import duty will probably push costs up more too.
in 80s mars bar and cola cost 25p each. now they are over 50p. cadbury chomps used to be 10p but now 15p.
so if you can buy a bike for 500 pounds today it will probably be 750 in future, either that or all componnets will be lower spec' to keep prices down.
domestic utility bills have gone up nearrlly 50% in last 10yrs.
the cost of living is for ever rising in UK, we are getting more and more heavily taxed. the more taxed we are the more things go up like bike prices.
not only that but places like china were lots of bike stuff made will have their overheads rising too (wages etc - no more sweat shop wages) which in turn will drive up costs.
sorry to paint grim picture but facts are facts.0 -
I went to Evans today and was surprised to see a marked decrease in prices for entry level bikes, so perhaps we were too pessimistic on this old thread. I wonder why!?0
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A decrease since 2010, or just in the last 4 months but still 25% more than 2010?Sewinman wrote:I went to Evans today and was surprised to see a marked decrease in prices for entry level bikes, so perhaps we were too pessimistic on this old thread. I wonder why!?Currently riding a Whyte T130C, X0 drivetrain, Magura Trail brakes converted to mixed wheel size (homebuilt wheels) with 140mm Fox 34 Rhythm and RP23 suspension. 12.2Kg.0 -
I seem to recall DDDaffy getting excited about a Cervelo, but couldn't remember in which thread, so thought this lower spec R3 might be of interest. It kind of applies to this thread as it's cheaper than previous versions.0
