Thursday 26 April 2012

Flow & Affect...

This post is slightly different to my previous ones as it doesn't relate directly to my training but it does impact on the sport of triathlon.

As a triathlete, I personally have spent several thousands of my income into this sport. This includes several bikes, wetsuits, clothing (swim, bike and run), shoes, bike parts...the list goes on! When I first started in the sport, I use to buy all my items online. I am sure that anyone who reads this post would know the websites so I wont be mentioning it as I am not trying to advertise for them in anyway. I use to buy my things from these websites as their prices were a fraction of what we (Australians) would pay from buying retail. I am no expert in the logistics of what gets shipped in by whom and then gets distributed by whatever company but I know that retail shops don't earn much of the money because in between the item being manufactured and the reatil shops, there are several middle man who also need to earn a buck. The price of something from a factory can be multiplied by a factor of 3 (up to 5) which finally ends at the RRP which you and me hand our cash over for.

Sometimes I would be saving over a thousand dollars (bike), others I would be saving $2. But because I am able to save some dollars, I chose to shop online. Several years later, I met someone in the bike shop industry who has opened my eyes to the impacts these actions had.The best way to explain the impacts is to use several examples:

Say I need to buy a bike. It cost $2000 in Australia but only $1500 online. A saving of $500 is a pretty big deal. I will save $500 on my bike if I went online but I just sent $1500 overseas. That money is now circulating overseas. The flow on impacts which many people don't realise is that that bike which was in the shop is now a loss if it doesn't get sold, the next day, the manager of the shop is not able to pay for some repairs as the cash flow is low. A (local) contractor who was suppose to be fixing part of the shop floor is not called into the shop even if he/she provided the shop with a quote. The local contractor's income is low for that period because people just cannot afford his service. Now I can go on and on about the next person in the chain which it impacts but I am sure that you get the point.

Another impact about spending the money overseas is the service and warranty you would of received if you purchased locally. The bikeshop manager I know says that he can recognise when an item has been purchased online. No amount of bullsh*ting people do about how they bought it from a shop but lost the receipt can be used for you get local service. Because people can buy parts of the bike online, they expect that a local bike shop is just going to put it together (for free or a minimal amount) just because they stock the same bikes. The local bike shop cannot honor the bike frame or parts warranty if they touch them nor are they going to act as an agent if your bike fails. If you purchase a bike from a local Australian bike shop, they will often do the first service free (tuning) and provide you with a discounted service (maybe for a period of time). Your bike does need maintenance and unless you know how to do it yourself and know what to do without voiding the warranty, a local bike shop is your best bet. Other people don't realise that the bike mechanic is also earning an income, they are paid by the hour and it does cost the bike shop to build bikes or even to look at faults. People think that just because they purchased a bike cheaply that they are entitled to cheap (but quality) service too from a local bike shop.

Bike shops do like to build a relationship with you. Not because they just want your money but they are often interested in your biking. They will often ask about why you want a bike, they will often ask about your latest riding experiences, they are genuine people. It does take people like that to work in a bike shop. They love cycling. If you build a close enough relationship with a bike shop, they will often go out of their way to help you - it includes sourcing something you need (even if it is a brand they dont carry), provide bike maintenance service when urgent or even just letting you know what is on the market if you asked them to keep you up to date.

One incident occurred recently which demonstrated this. One of our squad members drove into a car park with the bike on the roof of a car (this happens so often it is not funny), this occurred the day before a triathlon race. As we have a good relationship with CBD cycles (our sponsor), the guys from the shop came and helped this person out (after hours on a Saturday) and had the bike ready for the race on Sunday morning. This member had a prior relationship with this bike shop as it is where they purchased their bike from, brings it there for its servicing and also visits on a regular basis for all their biking needs. You will not this type of (emergency) service from any bike shop no matter how much you called around pleading.

Many (ignorant) people out there think that bike shops are just out there to make millions, well let me shed some light onto this. Bike shop owners are not millionaires. They are often also the managers of the shop and they have opened these shops because of the love of cycling rather than making a buck. You don't see bike shop owners drive around in fancy cars or have flashy houses. They are often the last person to be paid and if the shop makes a loss for the month, they don't have an income. They are not out there to rip off Australians, think of them as providing us with the means of a healthier and active lifestyle. They only want to do whats good to us. As a bike shop manager, the person I know will tell you what bike you need for your activity and will not sell you something which is beyond your needs.

Is a set of (good) bike lights just a means of ripping you off? No, you need a good set of lights to be seen and it is for your own safety. Buying a cheap set of lights from Kmart, it is just that - cheap lights which glow like candles and you will not be seen properly.

I can't change people's behaviour from this entry - people choose to spend their money however they wish. We are all programmed to buy things on a bargain, never pay full price but I guess I just want people to think outside of the savings they make and keeping dollars in Australia as much as they can because we all know that triathletes spend money! I know things need to be done to bring prices down in Australia but where possible, buy locally. People don't realise the impacts they make when they send dollars overseas until it hits them home (i.e. job loses in Australia which we are seeing recently).

Make a conscious decision.

1 comment:

  1. Great post!

    I've just discovered your blog and am hoping to get into triathlons in future, so will definitely keep this in mind!

    ReplyDelete