With all the bad news....

[Running Mommy]

well in our little lbs the poor economy is rearing it's ugly head. We are trying to make it, but truth be told... we may not.
People are not buying new bikes, or the ones they are buying are the cheaper mtn bikes and comfort bikes.
Our service department is booming. We have a virtual herd in the service bay, but even the service bikes arent bringing in much revenue. People are balking at a 40.00 tune up. They want the absolute minimum done.
We have become known as more of a mountain shop, so we have had some success there, but road bike sales are flat. I did sell two womens road bikes in the last couple of weeks, but that's been it for awhile. Luckily we still have the snowbirds to sell comfort bikes to. And it seems they are not as effected by all of this.
It sucks really. Our little shop has so much potential, but the credit markets have tightened up so much that we are cash poor. And without cash... your toast.
sigh...
So I'm home today, searching online for a "real" job. And yes, I do plan on going for a ride once it warms up a bit to clear my head. I'm thinking I may even take running son on a mtn bike ride after he finishes his homework.

[sundial]

Running Mommy, I'm really sorry.

[sundial]

Oil may be up to $180/barrel soon. More commuters are on the way I suppose.

[BleeckerSt_Girl]

I'm sorry to hear that about your LBS struggling.
I guess most of us are experiencing economic slowdowns now. Our work has decreased substantially this past couple of months as well.

I envision many bike shops changing their focus to survive- away from racing/road bikes and towards cheaper end commuter, hybrid, and mountain bikes.
Lots of people like riding mountain bikes on the road, their mtn bikes will never ever see any kind of mountain and I suspect they have them because they got them cheap.
There will inevitably be fewer roadies in lycra as people have less leisure time and less money for non-essentials. People will do less driving-somewhere-to-go-biking, and more going to the neighborhood store and/or going to work on their bikes, or just riding from home.

I see people buying much cheaper bikes and used bikes, and then having to get them serviced and repaired more.
There is a HUGE number of serviceable dusty bikes in peoples' garages just waiting to be put back into service. We are going to see legions of these old bikes back on the road.
Cheap new bikes, cheap old bikes, and bike repair will be the big thing.
You'll see fewer kids leaving their bikes lying out on their front lawn in the rain, because A)The bike will be stolen and therefore GONE... and B)Their parents won't just automatically buy them a new bike to replace it like they used to.

If people balk at a $40 tuneup and are not able or willing to learn to do it themselves, well they'll just ride that bike until something totally gives up, and then they'll have no choice but to get it tuned up and repaired or junk it. People are going to be balking at everything as money gets tighter. But a bike tune up still costs way less than a car tune up!
I think most new bikers who have not biked in years and are just coming back to it are still stuck in a 1980's mindset in terms of prices. But if they really are determined to ride their bikes now, they will quickly realize that yes the price of everything has changed since 1980.

[ridebikeme]

It does indeed seem that more people are riding here as well. In this area, I always seem to do a lot of repairs on older bikes... last year was nothing different for me. Although I will say, that last season was a large repair year for me.

Running Mommy, I know exactly how you feel. In our rural area, we are really tied into the paper industry. After 911, business fell off everywhere here, and has NOT even started to come back. In New England alone, almost 400 bike shops closed that year!Obviously with the economy, it is sliding even more. I ended up moving the shop, and concentrated more on repairs . I would still sell bikes, but didn't stock a whole lot. That also meant that I was the only employee. Like you, I had tried everything... after being in the business for so long (17 years) I thought things were hopeless. However, things have become a bit better, and I hope things do for you as well. It definitely is NOT a business to get rich in, but if you truly "love" it , things always seem to work out in the long run. Each shop has its own story, and I encourage you to capitalize on yours. Within the shop, where can you make a bigger profit margin with less expense? Can you reach out to the community and your best customers and find a niche?

I wish you well and keep us informed!!

[sundial]

There is a HUGE number of serviceable dusty bikes in peoples' garages just waiting to be put back into service. We are going to see legions of these old bikes back on the road.

I agree! We'll see a revival of the accidental cyclist.

[smilingcat]

sorry to hear about the crunch RM,

From what I can see is maybe time to go after the people who need to have the dusted up bike to bring their rig in for a really cheap service. Things that doesn't cost too much for you and not too much time, you might be able to make it.

Time really isn't for pushing Colnago, Cervelo or even high end Specialized. I think yo can find a niche above the big box store (stay out of their way since no way to compete against them). Be creative and think beyond the norm. Maybe get into supporting skateboarders too?? who knows...

Was reading just released Fed report. pretty dismal and I think its being optimistic. Yes more dusted bikes will be coming out.

And yes I found a receipt for my Panasonic bike bought back in the early part of '80s WHOA!!! I thought it was expensive at $560.00 I also found my litespeed bill. That was $2,000 back in the '90s. and now HOW MUCH ??

yes accidental cyclists will be out there in force. Thinking about Margo's Una was it called the single speed. noticed it had brake hood on both sides instead on just one side ???? no brake for the rear... Just dreaming, had to take a pay cut last month so I'm poor right now. And I do see our division being scuttled in third or fourth quarter

Smilingcat

[ehirsch83]

The shops down here in South FL have all been hit also. But... I have heard, from MEN, that cycling is becoming the new GENTLEMEN SPORT. Hopefully,RM, you will start to see that out there also.

As money is getting tight, a lot of men seem to be cutting back on the golf course membership fees and getting into cycling instead. As expensive as a nice road bike is, it is very little compared to many club membership annual fees and monthly spending requirements.

Lets hope this transfers from FL to AZ!

[Wahine]

((((((RM))))))

I did hear an analysis that said that while all ovther sports are seeing a decrease in spending, Triathlon is continuing to grow at a rate of 15 to 20%. How are your Tri sales?

[Mr. Bloom]

RM - I really hope the warmth of spring brings more folks in