Viewing 13 posts - 1 through 13 (of 13 total)
  • Why do frames cost so much more relative to the same bike?
  • tomaso
    Free Member

    A lot of manufacturers sell frames at prices that are nearly as much as a complete bike e.g. Giant, Canyon, Nukeproof etc. While others have an inflated frame prices but realistic complete bike prices, or at least relative to the inflated frame prices.

    mikewsmith
    Free Member

    Part of it is the price they pay for the bits on the bike, an oem build can be very cheap (sneaking some very low end components in there)
    Some frame only deals don’t come with the base shock option etc and part of it is the person buying frame only has already decided to spend more.
    Then add in lower volumes etc.

    thepodge
    Free Member

    Maximising profits.

    maccruiskeen
    Full Member

    A lot of manufacturers sell frames at prices that are nearly as much as a complete bike e.g. Giant, Canyon, Nukeproof etc.

    You’re only looking at the cost of those additional components in terms of what they cost / are worth to you. The mark up on a high value item is relatively low, percentage wise, at retail. The markup on low value items is very high. Thats because sellers have to stock a huge range of low value items for you to be able to chose the one dust cap / chain ring bolt / spoke or nipple that you need. The retailer has to buy dozens or even hundreds of variants of components for you to be able to chose that one item – some of which they’ll then never sell (and as standards proliferate the level of stock required keeps increasing). At manufacturing level theres no markup on those items and the manufacturer is only buying what they’ll actually use – no options, no packaging, no instruction leaflet even. From that point on at every value-adding stage – from the factory to the importer, from the importer to the distributer, from the distributor to the retailer theres only the low overall markup on one high value item. Where as for the components they go through all those stages getting the high markups that low value items require.

    tomaso
    Free Member

    Good perspectives, thanks!

    thisisnotaspoon
    Free Member

    Partially because frame only options are usually the top of the range frame with bolt through axles, expensive shocks, etc.

    When you buy a compete bike the basic saddle, seatpost, bars, stem are probably costing them peanuts. Less headline parts are probably also cheaper than you’d consider (headsets, hubs, rims, tyres, grips). Then a deore groupset with an XT mech looks expensive in the showroom. And some parts are OEM only, like Fox forks, you could buy the £1000 aftermarket versions yourself, but the bike probably comes with a model with last years castings, simpler dampers and a coil spring and costs them £200.

    And thirdly, it just makes the base model look good value (the model that people looking for good value are probably going to be most interested in)

    crashtestmonkey
    Free Member

    For Canyon (if not the others also) I would suggest it’s for marketing purposes; £2K for a frameset means it’s clearly a higher end product, £3K for the same frame build up with £2K worth of groupset, wheels etc means their bikes are good value.

    chestercopperpot
    Free Member

    It’s called making teh monies. Contrary to public opinion the majority of business people aren’t inept apprentice style shite talkers. They see you as an inconvenient necessary evil to making teh monies. Dealing with the tantrum prone adult children to extract said monies. Guess what they are not doing you any favours, despite the shiny web sites/brochures of smiling ethnically diverse people, your bezzie mate Gary who holds your hand at sales, loss leaders and other marketing bollocks used to engender goodwill.

    Frames are sold at high prices so they don’t compete with complete bike sales (because they can) and as mentioned components (for complete bikes) are bought in dirt cheap bulk deals the general plebeians never get a sniff of. No business other than family, friends or where you work is going to give you access to products at cost.

    Some smaller players exploit revenue streams (usually more hassle) larger businesses leave behind/don’t bother with.

    ampthill
    Full Member

    Frames are sold at high prices so they don’t compete with complete bike sales

    That was always my though.t The manufacturer really wants the turn over of a complete bike sale. But it’s quite hard to say no frames as that leaves people who’ve crashed no option and if you can charge a good premium to the guys who have to spec’ it themselves why not…

    People on here get very upset if they suspect that the can do the build for anything like the extra over the frame.

    I also agree with Crashtestmonkey that it increases the apparent value of the complete bike.

    I suspect alot of frames are very cheap as supplied to the factory gate by the the company in Taiwan that makes them

    tomaso
    Free Member

    So perhaps buy a low spec bike for the frame and flog the rest? Certainly with a Canyon or YT thar could work.

    shermer75
    Free Member

    So perhaps buy a low spec bike for the frame and flog the rest? Certainly with a Canyon or YT thar could work.

    Donor bike! Yes, people do do that. It’s a thing! 🙂

    mikewsmith
    Free Member

    Before CTW arrived with 1k HT’s the old theory was to build a 1k on one etc HT buy a full sus and sell the frame…

    If the base rame comes with the same shock etc. then it could be a good thing but how much will you get for a deore or lower casette, OEM bars etc.

    tomaso
    Free Member

    Yeah Specialized and Giant lower end model OEM wheels are made of some sort of cheese. And I have lots of OEM bars I the garage treasure chest.

Viewing 13 posts - 1 through 13 (of 13 total)

The topic ‘Why do frames cost so much more relative to the same bike?’ is closed to new replies.