Giant price increase

Dan Walton

Not giant as in massive, but the brand.

I got an email from my local shop warning of impending price increases due across the range, not really read about this elsewhere so thought I'd share in case anyone was about to pull the trigger on a new bike, do it quickly!

Here's the content of the email:


Considering a new Giant or Liv bicycle? Buy now before the March 14th price increase

Giant's 2017 bike line up is one of the most exciting of any manufacturer with new Trance, Anthem, Fathom, XTC, Contend and TCR Disc models as well as category leading models such as Propel and Defy Advanced. As always, Giant offer market leading technology with great value specification packages but their UK importer, Giant UK, is not immune to the currency pressures which have resulted from the UK's decision to leave the EU and they have informed us of a price rise affecting most of their 2017 range from March the 14th. If you are interested in any of their range we'd recommend ordering now to take advantage of the current pricing.



Why are prices rising?
After the UK's vote to leave the EU in June 2016, the UK Pound to US Dollar exchange rate has dropped by roughly 20%. Because the vast majority of bicycles are traded in US Dollars this has had a massive affect on the cost of importing into the UK. Initially 2017 model prices were set approximately 8% higher than corresponding 2016 prices with a hope that the UK Pound would rally against the US Dollar. Unfortunately, this has not happened and the cost pressures on the UK distributors have become unsustainable. Several other major global brands such as Specialized, Trek and Cannondale have recently implemented UK price rises too.



Which models are affected and by how much?
The vast majority of the Giant and Liv 2017 range will see a price increase of approximately 5%.



Will models ordered before March the 14th but not deliverable until afterwards maintain the current pricing?
Yes. The pricing of any orders will be set by the pricing at the time of ordering.

Frank Wilson

For bikes read most items.

Anonymous

Typical !!

Trying to get some Giant Rev Pro bibs in my size and no doubt they will be back in stock AFTER the price increase !!

Garry H

Looks like a marketing trick to get you to buy stuff! After all, they don't have to pass on the increase do they...

Thigh_burn

Garry H wrote:

Looks like a marketing trick to get you to buy stuff! After all, they don't have to pass on the increase do they...

They don't, but would you accept a 20% cut in your wages?

This is happening with lots of consumer goods e.g. Sonos just did this and you're going to see it happening across many more goods as well.

arthur_scrimshaw

Welcome to Brexit

cooldad

Shouldn't be buying those foreign bikes anyway.

Buy a proper British bike with proper British components.

Like a er um ah?

cowsham

A bit like when we changed to the new money ( decimal ) any excuse to mask the real inflation due to our corrupt governments selling the gold at it's lowest price, bailing out failed banks who got away Scot free, offering senseless incentives to second house buyers and Builders to keep building houses no one can afford, allowing landlords to charge whatever they want for rental properties just because they were stupid enough to buy at silly prices and worst of all --- Empty Property Tax which has left our towns like a zombie war zone because of the extortionate business rates forcing owners to tear down perfectly usable properties to avoid paying full rates ( which are on average 10 to 15 times domestic rates ) for no supply of any service whatsoever -- it really is fraud on a nationwide scale in one of the most taxed counties in the world !
Rant over. On the upside -- Glad I predicted this and bought my 2016 giant rapid 1 a few weeks ago

hambini

As someone who buys raw materials I can sympathize with Giant. I buy a lot of aluminium and also bearings for my bottom brackets, both have gone up 8-10% since the Brexit vote. SKF will also implement an additional rise from March 31 of 4%. People voted and the net result has been an effective pay cut.

Briggo

Cowsham wrote:

blah blah blah

Guess you should be in power and sort that stuff right out eh.

Of course prices will go up the pounds devalued massively.

chippyk

Cowsham wrote:

A bit like when we changed to the new money ( decimal ) any excuse to mask the real inflation due to our corrupt governments selling the gold at it's lowest price, bailing out failed banks who got away Scot free, offering senseless incentives to second house buyers and Builders to keep building houses no one can afford, allowing landlords to charge whatever they want for rental properties just because they were stupid enough to buy at silly prices and worst of all --- Empty Property Tax which has left our towns like a zombie war zone because of the extortionate business rates forcing owners to tear down perfectly usable properties to avoid paying full rates ( which are on average 10 to 15 times domestic rates ) for no supply of any service whatsoever -- it really is fraud on a nationwide scale in one of the most taxed counties in the world !
Rant over. On the upside -- Glad I predicted this and bought my 2016 giant rapid 1 a few weeks ago

Sounds like a sixth form debate. Right on!

ben@31

Giant aren't the only bike manufacturer doing this. One "Italian" brand have just put their prices up by 10%

In my opinion capitalists look for any excuse to increase prices, it's just a shame that they're not as quick to lower prices for widgets when there's not another war 3,299 miles away in the Persian Gulf or leafs on a train track in Timbuktu.

cowsham

What Japanese bikes are there? -- and don't say Honda. Kawasaki or Yamaha.

cougie

Garry H wrote:

Looks like a marketing trick to get you to buy stuff! After all, they don't have to pass on the increase do they...

Er yeah. Marketeers are ALWAYS trying to increase prices to boost sales... Explain to me why we would be more likely to buy stuff because it's more expensive?

And no they don't have to pass the cost on they could keep the prices the same as they were when the shop opened. And go out of business in a year or two..

Are you in business by any chance?

cowsham

Thigh_burn wrote:

Garry H wrote:

Looks like a marketing trick to get you to buy stuff! After all, they don't have to pass on the increase do they...

They don't, but would you accept a 20% cut in your wages?

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Do you honestly believe that if the wholesale cost of an item went up 10% the retailer could just absorb that ? -- when I was in business 20 years ago the margin was about 5% to 10% on most popular items -- so a 5% loss on trade is OK when you have to make 20 grand a year ( in a small town who's rates increase each year just because it always does ) for rates on a small business premises before you make a penny plus all the other overheads Joe numbty has no idea about.

If you don't believe just ask your local bicycle retailer how tough trade is the costs will make your head spin.