USA Shimano online sales. .

Discuss light weight issues concerning road bikes & parts.
bikeboy1tr
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Location: Southern Ontario Canada

by bikeboy1tr

Noctiluxx wrote:
Mon Dec 24, 2018 10:54 pm
I find it ironic companies that go abroad for cheaper labor rate don't want consumers to do the same.
I find myself thinking the same thing. Apparantly its okay for Corporations to do this but not the customers. The savings never get passed onto the customer.
viewtopic.php?f=10&t=154188
2018 Colnago V2R Rim Brake
2014 Norco Threshold Disc Brake
2012 Time RXRS Ulteam Rim Brake
2008 Time VXR Rim Brake
2006 Ridley Crosswind Rim Brake

by Weenie


bikeboy1tr
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Location: Southern Ontario Canada

by bikeboy1tr

I think more bussiness need to do the online sales for many of us who know how to buy the proper parts needed for installation by either outselves or like others have said a mobile mechanic. A friend of mine who does the mobile mech thing has a small shop in his garage where you can come buy parts or order parts or frames through the shop and have him build your bike as well. Obviously he doesnt carry much for inventory but he does have most of the general supplies needed on a daily basis. I ordered my V2R through him and picked up the frame through his shop took it home and built it myself.
Where I live their is nothing for shops unless I drive for an hour or so. Online shopping is one of my best options for getting what I need as long as I dont need it right away. Online shopping for bike parts within Ontario, Canada is difficult as they want you to spend most times over $200 for free shipping. Yet I can get free shipping out of the UK for as little as $80 with better deals. The other thing is I can get better deals and yet their dollar is worth almost twice that of the Can dollar. So its no wonder that Sram, Shimano loose out on sales from the UK. Its suppose to be a global market but you wouldnt know it from the way we get upcharged for the same parts here in NA. Apparantly global marketing is okay for corporations but not the consumers.
viewtopic.php?f=10&t=154188
2018 Colnago V2R Rim Brake
2014 Norco Threshold Disc Brake
2012 Time RXRS Ulteam Rim Brake
2008 Time VXR Rim Brake
2006 Ridley Crosswind Rim Brake

RyanH
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by RyanH

This may not be 100% accurate but my understanding was that import duties have to be paid by commercial entities (US distributors) and in most cases, consumers don't pay those duties when buying from abroad unless above a certain $ amount. The means that we can often purchase foreign goods like Veloflex tires, Shimano components and such near wholesale cost for US based retailers. US retailers can't compete with that.

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pdlpsher1
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by pdlpsher1

You would think the U.K. based distributors would also need to pay an import duty. Does this mean their import duty is much less than the U.S.’?


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avispa
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by avispa

bikeboy1tr wrote:
Wed Dec 26, 2018 5:10 pm
Noctiluxx wrote:
Mon Dec 24, 2018 10:54 pm
I find it ironic companies that go abroad for cheaper labor rate don't want consumers to do the same.
I find myself thinking the same thing. Apparantly its okay for Corporations to do this but not the customers. The savings never get passed onto the customer.
Yes, good thoughts... But really people have to understand that we, as consumers have the power in the end. Just don't buy where it is expensive, they'll get the message. However, the thing is that we as consumers are also not well educated when it comes to this, nor we unite to demand what's good for us (since the government won't do it). I bet if we declare a "don't buy XXXX day/week/month", you will see how some companies will get the message...
Last edited by avispa on Wed Dec 26, 2018 6:47 pm, edited 1 time in total.

bm0p700f
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by bm0p700f

Many UK retailers that sell Shimano have there own bike brands and buy OEM and sell direct at distributor prices. That cheating so when us or UK customers buy of Evans, wiggle et. Al they are paying distributor prices. That's fine but then these stores are the distributors and the brand becomes online only. I run s webshop but I don't sell Shimano because there is no money in it. There is not much in it for wiggle either. They may sell alot but the profits are never and the liabilities are close to the value of there assets in percentage terms. Heavy discounting is also taking it toll on online retailers here. No u.k retailer is sitting pretty. Shimano need to address OEM supply maybe end it do Shimano is only sold via the official distributor. That way they don't have to control the pricing as everyone buys at the same pricing what shops need is a level playing field not price fixing

The comments made here show the deep lack if understanding of the problems facing retail. Online and bricks and motor shops can coexist.

The other way the playing field can be leveled is by taxes being applied to all imports. The fact they are not is quite unfair. A level playing field is essential for a healthy retail sector. An unlevel playing field means online retail is being subsidised. Subsidies distort the market and are overall harmful to any economy.
Last edited by bm0p700f on Wed Dec 26, 2018 11:32 pm, edited 1 time in total.

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Calnago
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by Calnago

As much as I love bikes I would hate to be in the industry these days.
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mattr
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by mattr

MyM3Coupe wrote:
Mon Dec 24, 2018 10:43 pm
Asking the United States customers to subsidize the world is just wrong.
They aren't.

In fact, you can consider it revenge. Most of my adult life the rule of thumb has been whatever the US price is, we pay the same in GBP, so it's been somewhere between 40 and 60% price hike for most of the last 15 odd years, depending on the exchange rate......... It's pretty much on a level now, from what i can see when putting a fairly normal shopping basket together..........
pdlpsher1 wrote:
Wed Dec 26, 2018 6:33 pm
You would think the U.K. based distributors would also need to pay an import duty. Does this mean their import duty is much less than the U.S.’?
Broadly similar. I would imagine most of the savings for US purchasers buying from the EU is the fact that selling outside of the EU allows them to knock the VAT/sales tax off and sell it tax free. Can't do that for sales within the EU.
Dunno what the threshold is in the US, but i can't even import 30 euros/dollars worth of widgets into the EU without being stung for some taxes/duty. Some countries are more lax than others with enforcing it. Sweden has recently implemented a 100% coverage. Used to be in line with the rest of the EU, with about 1 in 10 getting the tax applied. So effectively 9 out of 10 people were evading some sort of taxation.

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F45
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by F45

Ok they knock the VAT off but I still pay $30 shipping so there is no saving there for me over the prices a European would pay.

There are some US outfits that get pretty close to the overseas Shimano prices, such as Jenson.

But other things are vastly different, like DT Swiss hubs. Why can I buy a 350 rear hub for $130 plus shipping overseas but in the USA it's literally double? $260 at Jenson. Where did that $130 go?

mattr
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by mattr

So exactly the same as me buying US manufactured goods in europe.

Chris King ISO 142x12 hub has an RRP of 610 Euros (just short of 700 USD), one of the discount warehouses is knocking it out for 535 USD (470 Euro).
US prices are 470 USD MSRP and 370 USD to order. (412 Euro and 325 Euro respectively)

I'm OUTRAGED do you hear! Where did that 155 euros come from...... :wink:

Actually, no, i'm not outraged, it's one of those things, we have massive disparities across markets for the same consumer/luxury goods. Cars, bikes, motorbikes, computers and so on. People are charged what the market will bear.

mattr
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by mattr

Calnago wrote:
Wed Dec 26, 2018 6:50 pm
As much as I love bikes I would hate to be in the industry these days.
From the last time i did any significant time working in and around the business, to now. I can't see why anyone would want to get involved.

bremerradkurier
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by bremerradkurier

mattr wrote:
Wed Dec 26, 2018 8:33 pm
So exactly the same as me buying US manufactured goods in europe.

Chris King ISO 142x12 hub has an RRP of 610 Euros (just short of 700 USD), one of the discount warehouses is knocking it out for 535 USD (470 Euro).
US prices are 470 USD MSRP and 370 USD to order. (412 Euro and 325 Euro respectively)

I'm OUTRAGED do you hear! Where did that 155 euros come from...... :wink:

Actually, no, i'm not outraged, it's one of those things, we have massive disparities across markets for the same consumer/luxury goods. Cars, bikes, motorbikes, computers and so on. People are charged what the market will bear.
I had an interesting side business reselling US sourced MTB parts in the early '90s in Germany-as a US servicemember, I could order with with no duties and cheap postage and basically split the significant difference between US mail order and German retail pricing on blue and purple anodized boutique parts that were all the rage.

bm0p700f
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by bm0p700f

The internet does not fix your bike. The bike world is heading for a down turn without shops. It will come right but it will be painful.

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F45
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by F45

Chris King may be boutique but a DT350 is just a bunch of Asian parts. Whether it is imported to Europe or NA shouldn't matter double.

TobinHatesYou
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by TobinHatesYou

bm0p700f wrote:
Wed Dec 26, 2018 11:37 pm
The internet does not fix your bike. The bike world is heading for a down turn without shops. It will come right but it will be painful.

The bike world has been on a downturn for several years. Volume is down so the industry is focusing on the high margin / high priced halo configurations and eBikes.

The LBS situation will right itself as more large brick and mortar chains fold under pressure from online shops. This will reopen the doors for smaller independent shops to boost their sales. It’s already happened with Sports Authority, Sports Chalet, etc. going bankrupt. Performance closing most of its locations will create voids that need to be filled as well.

Service is one thing, but it doesn’t keep most bike shops running. Service accounts for maybe 10% of the total revenue at an American bike shop. Operational margins on service are better than the 36% average, but it’s really the attached sales (locks, helmets, apparel, lights, shoes, etc.) that shops strive for...

Then again there are service-only or service-centric shops that thrive too by targeting specific customers and/or having very low overhead/inventory.

by Weenie


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