[fro biker]

Ok Monkeys, I have a query I am hoping those of you who work in shops (or know the pricing indexes well) can help me establish an answer for. Today, I went into my LBS to get the pricing on a Thomson Elite Dropper Post (found online for $350-$450). The owner and I go way back, so he likes to help out with deals when he can. He called up QBP to check availability and get a price quote. Less to the point but interesting, they first told him he would need to be vetted by Thomson first in order to actually purchase the part (much like Chris King)! Never heard of that happening before (though it's new apparently?). To the point: after the phone call, he relayed to me that his MSRP on the post was ~$600...which was a huge surprise to me. I showed him the pricing online, and he was even more shocked by that, bc apparently his cost on the post is $330. So, help me understand this Monkeys, are the online retailers gouging to just push product, or was QBP mistaken about the MSRP/MAP pricing of the posts?

 

[4130biker]

I dont know about mistaken...It seems like MSRP is rather inflated these days, with no one really selling things at MSRP. My tinfoil hat theory is that its a sad attempt to make people think they're getting "a deal" when they're really paying what the retailers want them to. $450 from the shop would sound about right, maybe less for a "bro deal". Higher end parts typically have lower margins, so a 27% margin at that pricepoint for doesn't sound that crazy.

 

[fro biker]

That's actually a fair bet on all points. It would be nice if MSRP was a little less ridiculous (looking at you Specialized) so that customers could more reasonably assess that they could expect to spend, as MAP pricing seems to be a grey area these days.

 

[jstuhlman]

fuck the po-lice

 

[fro biker]

^QBP discontinued that line after someone shot the sheriff, but not the deputy. They felt that this message in a bottle was a safe bet and that the buyers would understand that if they looked around it's actually not that hard to replace through a different distributor. But, to be safe, they still carry a similar item call, "DTP", which usually still involves "The Po-Lice".

 

[kickstand]

I tried to purchase a wheelset through my local bike shop.

I had priced out the wheelset through chain reaction.

I went into the bike shop, they were unable to get the color hub I wanted, they claimed their cost was higher than the pricing I was getting from chain reaction.

I try to support them when I can, but it is not feasible when that is the case.

 

[fro biker]

I tried to purchase a wheelset through my local bike shop.

I had priced out the wheelset through chain reaction.

I went into the bike shop, they were unable to get the color hub I wanted, they claimed their cost was higher than the pricing I was getting from chain reaction.

I try to support them when I can, but it is not feasible when that is the case.

Exactly. CRC is my new LBS bc shipping is next to $0 with the right priced order.

 

[kickstand]

Exactly. CRC is my new LBS bc shipping is next to $0 with the right priced order.

Be careful.

CRC shipped an order to the wrong address for me last year, and their customer service was a pain in the ass run around. In the end i got my parts, but I wasn't exactly pleased with the way they handled the situation and the 4 week delay in getting my order.

Also, as I found out with a pair of shoes I ordered from them, their return policy is great.....but the return shipping would cost me more than the too small for my feet shoes cost me originally.

I'll still use them, but it's worth the slightly more expensive pricing for me to go with pricepoint.com when possible, I've found they ship very fast and have always been competitive with pricing on most things, they just don't have the selection that Chainreaction has.

 

[Carraig042]

If I order online, I like to use universal cycles. They have fast shipping (even the cheap option), and they price match really well.

Brett

 

[dump]

The msrp on the thompson post is $425.

Keep the flow in mind - at every step there's going to be a markup & perhaps shipping costs.

LBS ordering via QBP or distributor:
Company -> Distributor/QBP -> LBS -> You

Mailorder:
Company -> Mailorder/distributor-warehouse -> You

If you're in the US, jenson, universal, pricepoint, competitive cyclist, backcountry are good options depending on what you're getting.

 

[jstuhlman]

i'll go lbs out of loyalty if it's~10% or so more than online after i factor in shipping. did order hope hubs and my rims from crc a while back b/c it was so much less...lbs understood why.

 

[BigHair]

CRC sell Shimano components cheaper than I can buy them directly from Shimano with the professional mechanic discount they give (30% off wholesale).
Makes me hate Shimano.
In our store we run 15%-25% markup on Shimano components due to the insane distribution cost.
We have 30% markup on bikes (which, come on, is pretty damn reasonable, when we have 20% off sales we make almost nothing).
40%-50% markup on cheap parts/accessories.

 

[Jm_]

QBP produces a pricing schedule for their products, it's based on the wholesale cost. I can say that if it costs $330 from QBP, it probably shouldn't be going for $600, but it will be pricey. Usually things like tubes and other small stuff would be marked up 400% or more from wholesale. Midrange/normal components like XT cranks and the such would usually go for around 200%, so maybe $100 wholesale to $200 retail. The more expensive something is, the less the markup, so a $400 component may only be marked up around 150% or so, but again, $600 seems pretty steep and way out there. I don't know if anyone has a QBP pricing schedule available or that they'd share, but it would definitely say whether or not this guy is being honest.

I usually don't even ask about parts in bikeshops...ever, it's never a good deal because the selection is so limited and the odds of it being exactly what you need in the size and exact model are usually rare. There are high dollar items I buy from shops, but it's because they specialized in those items and its better than going online.