This is also true. margins vary between 42% (very rare, on low end cheaper brands when they have too much stock etc) and as low as 23% on high end frame sets. These are the two ends of the spectrum, the usual for big distributors will be as stated earlier in the thread between 32% and 37% depending on quantities ordered etc.
My experience.
I have spreadsheets with distributor and RRP prices on it sent to me every year, so what part of this isn't a fact?
What's confusing is you seem to be talking about distributor or manufacturer pricing, which is different to what shops pay for things. I'm not sure how you're accessing that pricing - perhaps it's a sponsorship thing or something - but those prices will of course be lower than a shop's normal trade price.
Ben beat me to it, but sponsored riders/staff will sometimes get super special deals where everyone in the supply chain, manufacturer, distributor and retailer all waive their profit. It's actually quite rare, so you are really lucky. It doesn't reflect the pricing that a retailer can access on a day to day basis.
It's actually quite rare, so you are really lucky.
Indeed, and it's not usually the sort of thing that manufacturers like people willy-waving about - maybe not a good idea to mention it in public?
'mboy' - So my own 4 years experience with one manufacturer isn't 'fact' then I have spreadsheets with distributor and RRP prices on it sent to me every year, so what part of this isn't a fact?
Its from one brand, giving you a limited view of the industry. You make some valid points BUT only limited to the brand you deal with. (obviously through no fault of your own)
So who is talking bollox exactly???
99% of forum users.
What the others above have said...
TBH I'm not bothered what you think, I'll just smugly carry on riding my new bike every year that's cost less than 50% of the UK RRP
Good for you... But as has been said, your argument has zero relevance at all, as you are paying significantly less than the UK "trade" price for the bikes. Whatever reason this is for, is up to the company that sponsors you, but the price you pay is 100% totally irrelevant to what the bike shop that stocks the brand you ride has to pay for it... This is what you've not grasped.
Indeed, and it's not usually the sort of thing that manufacturers like people willy-waving about - maybe not a good idea to mention it in public?
I've known peoples sponsorship deals end in the past for telling all and sundry just how little they were paying for their bikes from the distributor/manufacturer... It can go a long way to devalue a brand if the guy racing them is telling everyone just how little they actually cost!
Maybe pause for thought next time before you mention how little you paid for your new bike...
Goodlord ! everyone seems to have the "answer", but there is no answer! who the bloody hell pays what-for-what-with-how-much-this-and-how-much-that is pretty out there .. the INDEPENDENT retailers all have their own margins and buying power, meaning there is really no answer, only an average ! (re a previous comment of mine)
I bought MBUK the other day, so today I smugly went to work wearing my free woolly gloves.
