The Fleecing of Cyclists

Posted by on Jul 14, 2009 in Blog, Opinion | 12 comments

This post has been brewing for a while and I’ve talked myself into writing it and not writing it several times. Am I bitter? Probably. Frustrated? Certainly. If you’re one of those cyclists that has bottomless pockets or an unlimited cycling budget you may want to skip this one.

Any hobby has its expenses. If you like to knit then you have to pay for yarn and needles. If you enjoy scrapbooking then you have to pay for paper, stamps and stickers. Cycling is no different. If you want to enjoy the sport of cycling you have to maintain you bike which costs money. Cycling clothes cost money. Bicycles cost money. And so on. Cycling is just like any other hobby we have. It costs money. But does it cost too much?

Road Bikes

Let’s talk about bicycles first. Are there affordable bicycles out there? Sure, if you start with the low-end beginner road bikes, you can find a bike or two for right around $1000 that may suit your needs. On the other end of the spectrum you have the new Madone 6.9 that’ll set you back $8600 for the basic version. Throw in upgrades and custom paint and you can get it up to $14000 ($8600 sounds like a real bargain now). Custom road bikes can be even more.

I don’t know about you but the planet I live on would call $1000 for a road bike expensive. Am I out of touch? Maybe but in my book $1000 is a lot of money. I couldn’t fathom paying $8600 for a bike. Who would actually go out and pay that for a bicycle anyway? Not anybody I know. I’m sure some of you know people who would pay that for a bike but is it a bike they’ll actually use for the purpose it was designed for?

Regardless of what kind of road bike it is I think the prices have just gone through the roof. Having to drop $1000 to $3000 on a new bike is ridiculous. Has the technology advanced so far that the research and development costs are driving up the end price? Perhaps but I also think the bicycle companies are taking advantage of cyclists with large mark ups.

Cycling Clothing

I’m a cyclist who owns just a few pieces of actual cycling clothing (four to be exact). And they aren’t even name brand bibs or jerseys. If you want name brand, or top of the line, expect to pay out of your proverbial arse for it. $80-130 jerseys. $150-$200 bibs. I talked the other day about how I was looking for a sleeveless jersey and was shocked when I found out one I was looking at cost a $100 at one of the local bike shops. Come on! It doesn’t even have sleeves for crying out loud!

There is cheaper cycling clothing out there but I hear that you do get what you pay for with regards to cycling clothing. I wouldn’t know if the expensive stuff is any more comfortable or not but I’ve been told it is. But is it so comfortable that it should require you to take out a second-mortgage to totally outfit yourself for spring, summer, fall and winter riding? Are cycling companies just like the department stores that mark up clothes 200-300% and take advantage of the shoppers? I would say yes.

Cycling Accessories/Maintenance

This is the low-hanging fruit of the cycling hobby that can really start to add up. $200 carbon shoes and handle bars. $1000 sets of wheels. $300 GPS enabled computers. $100 saddles. $1000 (and more) component groups. And the list just goes on and on and on.

I guess the real question is how serious are we with this hobby/sport we call cycling? Are we serious enough to blindly fork out thousands of dollars on bikes, clothes and accessories so we can have the latest and greatest designs or technology? Do we have unlimited funds where we can simply pay whatever the cycling companies want for their products? Are we willing to pay anything so we can fit into “the group” on the next ride?

Some people are perfectly happy to pay these prices and do. I can’t and won’t but that still doesn’t mean that the prices the cycling companies are charging aren’t inflated and ridiculous.

I expect a lot of flak from this post but I really don’t care. I would like your opinion on the subject though. Do others feel the same way or am I’m a minority in this line of thinking and should just get out of the sport of cycling right now.

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  • Chad

    You bring up some very valid points here. The owner of my LBS once told me "cycling is the new golf" after I questioned the purpose of the aerodynamic carbon-looking water bottle he had on the counter. Technology does trickle down, and you can get some good equipment at some of the lower price points. I bought a Specialized Rockhopper in 1994 for around 400 bucks. Ten years later, I bought a Giant Yukon for 450 bucks. I got a lot more bike in 2004 for almost the same amount of money. Be warned, however, that your sub-2-grand bike won't have nearly the street cred or snob appeal. My bike is from 1973, and I love it. I mostly ride alone, and it suits me fine. However, if I rode with others often, it might be harder to avoid getting caught up in the industry hype of trying to one-up your riding buddies. Finally, with so many bikes made overseas, and with the weak dollar, shops and manufacturers have had to raise prices. This hold true for Giant, Trek, as well as Rivendell and Velo Orange. For now, I'm riding what I've got, and buying the essentials (shorts, etc) only when they wear out. I can't afford to get a new team kit each year when the sponsors change.

  • http://jeremybsmith.com Jeremy

    There's a lot of things influencing pricepoints in any industry. One thing to keep in mind is that we are a very small industry compared to any other, which will keep prices higher. Economy of scale and all. Also, the raw costs of GOOD materials are pretty high, for those of you not in manufacturing or outdoors.

    The retail markups you're complaining about are not 200% to 300%. You're looking at about 100% markup from wholesale to sales floor. So now you want to know why the shops are buying a widget at $25 and selling to you at $50?

    Well, that guy who helped you find a pair of shorts that fit? Or let you try on every pair of shoes in the store? He costs money. The girl at the counter who can tell you whether or not your 9speed campy front dérailleur works with 10 speed? Same thing. The lights, the building, it adds up.

    The cheap stuff at performance? They leverage the economies of scale, piss off a lot of vendors, and hire mostly low-end staff. Wal-mart of bike shops. They're still getting their pound of flesh from you, same 100% markup as everyone else. They really do pollute the pool for the good local bike shops.

    And yes, I know your LBS can be prickly at times. It's hard for them these days when everyone wants both internet pricing, but human service.

    Back to materials. Pick up, say, some Ibex wool bibs and a pair of cheap-o bibs. Wear them the same number of times. See how long each pair lasts.

    There is some fleecing going on, but it's more specific than "hurrr let's charge lots of money cause we can". It's things like the use of chinese carbon with low quality control in certain high end bikes that are only finished just enough in Italy or Spain to qualify as "made in Italy/Spain".

    And sure, the high end is stupid expensive, but I don't hear much whining about Ferrari existing, or how a BMW 5-series is 2x as much as a Camry/Accord. If it's what you love, and you can afford it, great. If not, there's plenty of other options. I don't ride top of the line anything.

    Bottom line, the saying is the best way to make a million dollars in this industry is to start with 2 million. Nobody is getting rich "fleecing" cyclists.

    Also none of this applies to recreational/casual cyclists. Ride what you've got in your normal clothes, with flat pedals. There's no required costume for fun on the bike.

  • http://www.pixilateddesign.com/jodycb jodycb

    I agree with you. It’s all too pricey for most people. I think the cost of good equipment is what keeps a lot of people from bothering at all. I get by mostly with regular clothes, a $300 bike, and a bunch of makeshift stuff. I have thought that I would like to try a road bike at some point but the prices are going to keep me from ever doing that. I don’t have cycling shorts or cleats or any of that stuff mostly because I can’t afford to plunk down the cash to get fully outfitted. 2nd hand stuff works ok in some situations but not all.

  • http://bikenoob.wordpress.com Ray

    The Nashbar "Essential" jersey comes in a 3XL. Currently, it's priced at $17.99, which I think is too much, but watch for reduced prices on this jersey when fall hits. I have one of these, and while it lacks all the high-tech stuff, it does have wicking fabric, a zipper, and three pockets in the back. It ain't bad.

  • retrogal

    I also completely agree with you. I've been pricing jerseys and they are out of this world. I cant say I really need one though. I just like the pockets in back. I have a strapped bottle holder I wear around my waist so I think I'll stick with that. Unless of course I find something at the Thrift Store. My LBS is pretty good. I went in today because I snapped my front break cable. $16.00 parts, labour and tax. I was happily surprised. Thought it would cost me much more. The cycling shorts were a welcome addition. $5.00 at the Thrift Store. My nether regions were happy to meet the new shorts. Now my bike. It is an old NORCO. Don't know exactly how old it is. It was left here after going unclaimed at my sister-in-laws school. Cost, $0. I have added accessories and replaced most of the parts. As of the end of June I've dropped 10 pounds. I will weigh myself at the end of July again. Keep ya posted.

  • http://gtinla.wordpress.com Gerhard

    This industry is just like any other industry, it offers multiple choices at a myriad of price points. I often wonder how people justify spending the money, especially when I see riders who clearly only drag their prized possessions out when it is time to participate in the obligatory ‘charity’ ride and they are assured that there is an audience to go ‘ga-ga’ over their toy.
    Then there are the strong riders who appreciate the difference only a highly fine-tuned ride can give. I ran into folks who live in a single apartment with only a mattress on the floor and the rest of the room was taken up by bikes worth 40 grand, because that is their version of living the good life.
    In the meantime I’ll ride my Scattante, but, I am saving for a Cervelo RS with Sram goupo :)

  • http://www.331miles.blogspot.com 331miles

    @gerhard don’t put SRAM on Cervelo! Gotta go with Campy!

    There’s probably money to be made in offering very well made items at a good price point (e.g. Performance Bike’s award-winning bib shorts).

    • http://gtinla.wordpress.com Gerhard

      I am unsure why I wrote SRAM (my drugs must be better than I think they are) Campy it IS!!! +1 on the Performance bibs, they didn't even tear in my recent crash!

  • Victor

    This is a great opportunity for a new company to muscle in and make great bikes at low price. Perhaps an older company like Schwinn to break thru and resurrect their name. With today's market in a downward spiral , people are learning that we can forget the snob appeal.

    My wife and I just started to bike every day, albeit mountain biking since we have great hilly trails in our county. The funny thing about this is that a few years ago, I would give my neighbor flack about his cycling. I would say things like " the hardest thing about cycling is trying not to look gay". Now here I am coveting the "gayness" of spandex.

  • http://www.weiland.net/ Weiland

    When you stop having fun than that's the time to hang the bike up in the garage and stop riding your bike. Don't let price dictate the enjoyment you get out of riding. Yes I have an expensive bike, but if I wouldn't have gotten it for free I'd still be riding around on my $700 road bike. I have decent stuff, top of the line SIDI shoes, bought 1/2 price. Almost all my jerseys and shorts/bibs have been purchased on sale. I wait for sales/bonktown.com or the once a year clearance sale on Twin 6 jerseys. The only pair of bibs purchased not on sale ($150 Sugoi) was a Christmas gift from my wife and they are to this day the only pair of shorts that have ever gotten a whole in them, in less than 3 months of use.

    One thing was evident to me last week when I was riding around Washington state on my brothers $400 bikes. I recieved the same enjoyment and satisfaction of riding as I get from riding my carbon fiber bike. It was only later when I was analyzing the data from going up Hurricane Ridge did it finally dawn on me that I road 6100 feet up a mountain on a bike that weighted almost twice as much as my bike! At the time I was just excited to be doing it and didn't give a care as to what bike I was on.

    One things for sure I will probably never buy speed, I'll have to do it the old fashioned way and train my body to propel me faster. Unless I can find a way to win a Time Trial bike.

    Above all don't lose sight of why you started to ride your bike again, Bike to Live! If you stay the course your number one goal of weight loss will happen, only by riding your bike and proper nutrition will this happen, not by how much money you spend on the sport.

    BTW, good comment Jeremy.

  • http://bikingtolive.com Bryan

    First off, thanks to everyone for leaving comments. I appreciate it. Second, upon re-reading my post again, I may have made it a little too personal and perhaps should have been more generic. Let me address some of the comments:

    @jodycb: I think you're right about the prices keeping some folks out of the sport.

    @Gerhard: I think you bring up a good point about living the good life and what that means to different people. Your comment about price points is spot on. Cervelo=nice. I actually handled a Cervelo a couple of weeks ago and was blown away.

    @331miles: I plan on picking up some of those performance bibs when I can. I hear great things about them and when on sale are affordable as far as bibs go.

    @Chad: I think cycling has a long way to go to be the new golf. I'm not one to go after snob appeal so I could really care less about that. That doesn't mean I'm not a little envious of the nice stuff though. I'm like you..I ride my 15 year old bike and keep it running with constant tweaks here and there. I give it a good cleaning/check every couple of weeks to make sure it's running good

    @Ray: The two jerseys I have are Nashbar Essential jerseys. They're OK but probably aren't as comfortable as nice stuff. Actually, I think they are a little scratchy on the skin and I've noticed they tend to shrink a little (but that could have been me from drying them in the dryer (I don't do that anymore)).

    @retrogal: Glad to hear you've got a good LBS. I've yet to find one here that I like and feel comfortable going in. They all feel a little impersonal to me. The $16 for the brake cable replacement sounds like a good deal to me too.

    @Victor: Thanks for stopping by and leaving a comment and congrats on getting out with your wife to ride. I road MTB bikes a little bit many years ago but didn't enjoy it as much as road cycling. Funny about you and the neighbor.

    @Weiland: Thanks. I really value your comments and it was yours that made me re-read my post to see if I came across too personal or in the wrong way. I'm in no way not enjoying my riding. For the first time in a long time I actually feel like I'm working towards something with regards to my cycling and fitness and I think that's a great thing. Like you, I almost never pay full price for anything. Especially when it comes to any type of clothing. I also agree with you that it doesn't matter what kind of bike we ride as long as we're enjoying it. I don't believe I've lost site of my number one goal here. I just wanted to vent a little on the pricing and it may have come across too personal or that I was not enjoying it anymore. Thanks.

    @jeremy: Thanks for the comment. You bring up a lot of good points and examples that I hadn't considered and, frankly, not knowledgeable enough in marketing to know. I sent you an email.

    I think one common theme we can take from this is that it doesn't take a $5000 bicycle or $150 bibs to enjoy cycling. I never meant to imply that. Ride with what you've got, be a frugal shopper and enjoy being outside riding. Set a goal, stick to that goal, and you'll enjoy it even more.

  • http://www.wirewd.com/bike/ wirehead

    The thing that bugs me is that, as far as I'm concerned, the complexity of a mountain bike with indexed gearing and the like is about the same as a road bike, just with the parts laid out differently. Yet a decent road bike always costs a lot more.

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