Hypothetical new bike shop.... brands to stock?
Discussion
Ok, new indie bike shop in a medium sized market town in good cycling country. Aiming more at sport and leisure riders (road and XC MTB, not a mountain area but great bridleways and reservoir/forest tracks around) than commuters and kids. What brands would you want to see being focused on?
I would say that you need a budget brand (raleigh, diamondback etc), one very popular brand (specialized, trek, giant etc). You could then go for a specialist/lesser known (cube, ghost, focus etc).
I wouldnt go for the specialist brands only, especially if its in a popular cycling area as you would get people just popping in rather than special trips like i had to do to look at mountain bikes and even then i went for a specialized anyway.
I wouldnt go for the specialist brands only, especially if its in a popular cycling area as you would get people just popping in rather than special trips like i had to do to look at mountain bikes and even then i went for a specialized anyway.
Scope out the area, stock something that people want, but others don't have.
Gauge what the locals want - my old LBS stocked next to no low end stuff - they couldn't compete price wise with the big names for crap bikes, so they stocked high end stuff (Trek Project 1 dealer, loads of Cervelo bling, Zipp wheels etc.) As a result, all the local roadies and tri-weenies used it.
The other option is to be a good, cheap mechanic who happens to stock a few bits and bobs.
Online places will be your big competition, and you will never be able to compete pricewise, so you need to offer something they don't - bike fitting, sponsoring a local team etc.
Gauge what the locals want - my old LBS stocked next to no low end stuff - they couldn't compete price wise with the big names for crap bikes, so they stocked high end stuff (Trek Project 1 dealer, loads of Cervelo bling, Zipp wheels etc.) As a result, all the local roadies and tri-weenies used it.
The other option is to be a good, cheap mechanic who happens to stock a few bits and bobs.
Online places will be your big competition, and you will never be able to compete pricewise, so you need to offer something they don't - bike fitting, sponsoring a local team etc.
Why bother with other peoples brands, cut out the middle man and go get a freelance bike designer to draw up some designs, then get in contact with someone like XACD in China to build your own frames.
Also these days I don't think you can rely on just passing trade to build up a business unless you are in a complete honey trap.
Set up an online shop, if you can get some good reviews and set your designer the remit to create some niche designs with enough of a following you'll probably end up doing more online business than walk in.
Work with the best finishing kit suppliers you can whilst achieving decent trading terms and pass the savings on in your completes.
Don't be afraid to offer a premium and custom services. Make sure your mech(s) is top notch and know there onions and live and breathe the type of bikes & riding you'll be focusing on, it's no use having a BMX geek more interested in setting up Odyssey Giros than servicing Fox forks
It's always good to have a base so people try your products but don't be afraid to do shows and demo days at other locations.
Also these days I don't think you can rely on just passing trade to build up a business unless you are in a complete honey trap.
Set up an online shop, if you can get some good reviews and set your designer the remit to create some niche designs with enough of a following you'll probably end up doing more online business than walk in.
Work with the best finishing kit suppliers you can whilst achieving decent trading terms and pass the savings on in your completes.
Don't be afraid to offer a premium and custom services. Make sure your mech(s) is top notch and know there onions and live and breathe the type of bikes & riding you'll be focusing on, it's no use having a BMX geek more interested in setting up Odyssey Giros than servicing Fox forks
It's always good to have a base so people try your products but don't be afraid to do shows and demo days at other locations.
i was thinking about this the other night, the sort of "bored at work and i wish i could start my own bike shop" kind of thing!.....
to be honest, or sensible, it is very much dependant on what else is around and the local economy. if there is money in the town then go for the big bucks with some leftfield brands otherwise go for the dull unit shifters.... personally, i would go for something like ORBEA and CANNONDALE being the main brands satisfying the bulk of the range with a good mix of ally and carbon frames, VAN NICHOLAS just because they look so lovely, ARGON 18 for the ninja tri crowd and DAWES for the touring/audax masochists.... job done. lovely mix of materials, price range and
i think i'll call it the Cog and Sprocket, have a coffee machine on the go at all times and some comfy sofas to lounge around on....
to be honest, or sensible, it is very much dependant on what else is around and the local economy. if there is money in the town then go for the big bucks with some leftfield brands otherwise go for the dull unit shifters.... personally, i would go for something like ORBEA and CANNONDALE being the main brands satisfying the bulk of the range with a good mix of ally and carbon frames, VAN NICHOLAS just because they look so lovely, ARGON 18 for the ninja tri crowd and DAWES for the touring/audax masochists.... job done. lovely mix of materials, price range and
i think i'll call it the Cog and Sprocket, have a coffee machine on the go at all times and some comfy sofas to lounge around on....
Just a FYI, it's really hard to get deals with the big brands (Trek, Cannondale, Specialized, Giant etc) and none of them will provide bikes on a sale or return basis. They will also want a significant proportion of the shop floor solely for their own brand and you have to stock a minimum number of bikes and offer dedicated fitting services and workshop, posters, banners etc etc
Companies like Raleigh and LandRover (the bikes, not the 4x4's) are much easier to get credit accounts with and operate on a sale or return basis.
Companies like Raleigh and LandRover (the bikes, not the 4x4's) are much easier to get credit accounts with and operate on a sale or return basis.
Cannondale are the most popular brand in my shop. Brilliant value for money and lovely frames too (especially the CAAD road frames).
Lapierre and Commencal are very popular ATM too.
Specialized overpriced for some reason right now. Trek a complete joke. Ridgeback/Genesis are excellent value and have a good selection of bikes too.
Lapierre and Commencal are very popular ATM too.
Specialized overpriced for some reason right now. Trek a complete joke. Ridgeback/Genesis are excellent value and have a good selection of bikes too.
If you are setting up in a cycling area surely bike hire should be your main focus, followed by maintenance/repair kit, tyres, inner tubes, mud guards and bottles then clothing, if you can fit and fix on site even better. If you are in a holiday area then people probably won't spend £500+ if it isn't local to them or with a good backup and returns policy, those that will may not have a way of getting their new bike home so delivery or selling a range of bike transport systems is probably a good idea.
Can I just make a recommendation.
Don't.
Seriously, don't.
Unless you're willing to screw every employee on wages, and cry everytime some t
t comes in with a magazine and goes "Price match" mister on your one key profit maker, and yet still want an hour of your time on advice, don't do it.
It's a massively hard business to get going, and the small boys struggle every day: The repair side doesn't really pay unless you can constantly turn over at reasonable hourly rates which no one will want to pay "How much to service a bike?!" and you have a huge store for the repairs AND the bloody massive bike boxes in all sizes that you'll need, you'll struggle.
It's chicken and egg, you need a large unit, and they're only cheap out of town where no one goes, so you don't get passing trade.
Look at mud dock: They make far more money in the cafe/restaurant upstairs than they do with the bike shop below...
ps, bike hire is fine, but again, it's a pig to maintain, and you need even more storage.
Don't.
Seriously, don't.
Unless you're willing to screw every employee on wages, and cry everytime some t
t comes in with a magazine and goes "Price match" mister on your one key profit maker, and yet still want an hour of your time on advice, don't do it.It's a massively hard business to get going, and the small boys struggle every day: The repair side doesn't really pay unless you can constantly turn over at reasonable hourly rates which no one will want to pay "How much to service a bike?!" and you have a huge store for the repairs AND the bloody massive bike boxes in all sizes that you'll need, you'll struggle.
It's chicken and egg, you need a large unit, and they're only cheap out of town where no one goes, so you don't get passing trade.
Look at mud dock: They make far more money in the cafe/restaurant upstairs than they do with the bike shop below...
ps, bike hire is fine, but again, it's a pig to maintain, and you need even more storage.
Edited by neil_bolton on Saturday 23 October 17:24
Pupp said:
How about clothing and accessories? Endura is a given...
Latex and long valve tubes - nowhere sells the bloody things, and ordering tubes from the net is a Pain in the arse. Also, don't take the piss with the price - I know how much an inner tube costs - I will pay 50p more to buy it in your shop, I will not pay £2 more.Castelli stuff I like, Assos shorts are good too, but dunno if worth stocking. Agree with Endura. Would also look at some of the Adidas stuff - Got a pair of arm warmers, booties and a gilet that were all dirt cheap and great quality.
Get a load of cheap water bottles with your shop logo on them - free advertising and people go through them like no ones business (or at least I do)
neil_bolton said:
Can I just make a recommendation.
Don't.
Seriously, don't.
Unless you're willing to screw every employee on wages, and cry everytime some tt comes in with a magazine and goes "Price match" mister on your one key profit maker, and yet still want an hour of your time on advice, don't do it.
It's a massively hard business to get going, and the small boys struggle every day: The repair side doesn't really pay unless you can constantly turn over at reasonable hourly rates which no one will want to pay "How much to service a bike?!" and you have a huge store for the repairs AND the bloody massive bike boxes in all sizes that you'll need, you'll struggle.
It's chicken and egg, you need a large unit, and they're only cheap out of town where no one goes, so you don't get passing trade.
Look at mud dock: They make far more money in the cafe/restaurant upstairs than they do with the bike shop below...
ps, bike hire is fine, but again, it's a pig to maintain, and you need even more storage.
good advice - unless you have £1m to burn you will ALWAYS be beaten on price and thats where the money is volume/low margin sales.Don't.
Seriously, don't.
Unless you're willing to screw every employee on wages, and cry everytime some t
t comes in with a magazine and goes "Price match" mister on your one key profit maker, and yet still want an hour of your time on advice, don't do it.It's a massively hard business to get going, and the small boys struggle every day: The repair side doesn't really pay unless you can constantly turn over at reasonable hourly rates which no one will want to pay "How much to service a bike?!" and you have a huge store for the repairs AND the bloody massive bike boxes in all sizes that you'll need, you'll struggle.
It's chicken and egg, you need a large unit, and they're only cheap out of town where no one goes, so you don't get passing trade.
Look at mud dock: They make far more money in the cafe/restaurant upstairs than they do with the bike shop below...
ps, bike hire is fine, but again, it's a pig to maintain, and you need even more storage.
Edited by neil_bolton on Saturday 23 October 17:24
Dont do it!
A new bike shop has opened fairly near to me, one man band in an industrial unit out of town. Think he started off a while ago as an online only shop, before buying/renting the unit. It's a smallish unit, with half as stock room and half as showroom with a life kitchen area. From having a look around it seems he only stocks top end kit, so more for the dedicated cyclist rather than passing trade, which I guess means being out of town doesn't matter.
Seems to be doing alright though, lots of groups meet there for a ride out and have coffee/bacon sandwich beforehand. Probably doesn't sell alot to them there and then, but I'd imagine it helps to build up a decent customer relationship for future sales.
Seems to be doing alright though, lots of groups meet there for a ride out and have coffee/bacon sandwich beforehand. Probably doesn't sell alot to them there and then, but I'd imagine it helps to build up a decent customer relationship for future sales.
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