Price increases, has anyone come across any since Friday?

[KTM Bike Industries UK]

12% on 700 quid is not £10.36 is it lol and that is direct from Magura Bosch

12% is the relationship to the $, you're looking at Bosch magura, with is € to £ and the change isn't as dramatic yet. Plus they'll have stock, so their prices will only go up more when they need to replace the stock.

 

[tillson]

ok, again if you know better than everyone, I can't argue with you, can I?

If you insist, then I'm happy with that conclusion.

 

[soundwave]

i best get it this week then tho my server bill went up £1.20 paid in dollars

 

[KirstinS]

All Chinese stuff is now more. I buy quite a bit from banggood.com

Their prices are simply linked to the cable market. Or seem to be.

Their prices are increasing daily on their site and app

 

[Gubbins]

http://www.bike-discount.de/en

one of the biggest european cycling websites, just removed £s from their option so now UK customers will be paying for their bike parts.

Earlier this year when the £ was buying 140+ € I bought a new battery from an ebike shop in Germany. I noticed that uk outlets didn't reduce their prices during this time..

 

[KTM Bike Industries UK]

in that case... the bike shops in the who buy from Magura (I'm assuming it was Bosch) so the shipping costs, and hassle mean that probably the small saving wasn't worth changing the RRP - which is set by Bosch Magura anyway in Europe, not the UK, at the start of the season. Its only in crazy times like this that the RRPs get moved. Normally the currency fluctuations are absorbed by the distributor / brand. The trade and RRPs are fixed for the season.

 

[Gubbins]

in that case... the bike shops in the who buy from Magura (I'm assuming it was Bosch) so the shipping costs, and hassle mean that probably the small saving wasn't worth changing the RRP - which is set by Bosch Magura anyway in Europe, not the UK, at the start of the season. Its only in crazy times like this that the RRPs get moved. Normally the currency fluctuations are absorbed by the distributor / brand. The trade and RRPs are fixed for the season.

Sorry but that sounds a lot like what we get from our gas and electricity suppliers and doesnt seem to make sense.. The fluctuations last year were quite large, much more than what we are seeing now... I supose big business and shareholders will always come out on top.. (no offence to you). Everyone is citing figures showing how much less big companies are now worth, but dont mention how much has already gone into their pockets..

 

[KTM Bike Industries UK]

Sorry but that sounds a lot like what we get from our gas and electricity suppliers and doesnt seem to make sense.. The fluctuations last year were quite large, much more than what we are seeing now... I supose big business and shareholders will always come out on top.. (no offence to you). Everyone is citing figures showing how much less big companies are now worth, but dont mention how much has already gone into their pockets..

I have no idea, who you bought from, or what product. All I know is that pretty much cycle industry wide the prices are set in July for the next 12 months for trade and retail prices. So fuctuations in that time are sucked up by the brand or distributor. I can only remember a time in 2008 where changes caused brands to alter trade and retail prices mid season. This financial uncertainty has come at a bad time for the bike industry, because we're all setting our 2017 prices now. So the prices are going to have to rise to take onboard that risk I suspect.

 

[Gubbins]

I have no idea, who you bought from, or what product. All I know is that pretty much cycle industry wide the prices are set in July for the next 12 months for trade and retail prices. So fuctuations in that time are sucked up by the brand or distributor. I can only remember a time in 2008 where changes caused brands to alter trade and retail prices mid season. This financial uncertainty has come at a bad time for the bike industry, because we're all setting our 2017 prices now. So the prices are going to have to rise to take onboard that risk I suspect.

I bought a chinese /bosch battery from a german outlet on ebay and as paypal does exchange rates as they are at the time the price came down from £275 to £208 in a matter of months.. (the price in Euros remained the same..)

 

[KTM Bike Industries UK]

ok, so essentially you paid in € and it was converted on the day at Paypal's rate at that time. If you look at the € price now, its probably still the same, because they will have stock they bought it at price x a while back. If they order now - they price will 12% higher today than last week because they will be buying the batter in $ from the Far East. So the price they sell for in a few months on ebay in € will be more, and then the £s it will cost you will depend on the £ v € exhange rate on the day you buy it. You can't really compare this to a UK product that has a £ RRP that's fixed for year.

 

[Gubbins]

ok, so essentially you paid in € and it was converted on the day at Paypal's rate at that time. If you look at the € price now, its probably still the same, because they will have stock they bought it at price x a while back. If they order now - they price will 12% higher today than last week because they will be buying the batter in $ from the Far East. So the price they sell for in a few months on ebay in € will be more, and then the £s it will cost you will depend on the £ v € exhange rate on the day you buy it. You can't really compare this to a UK product that has a £ RRP that's fixed for year.

OK, I dont know a lot about these things.. But, will they be reduced by 12% when things get back to normal?

 

[KTM Bike Industries UK]

There are three currencies involved in most bike related transactions. You buy in £s from the shop, the shop buys in £s from the distributor. The distributor might buy in € from a European brand, and then the European brand will buy their components in $s from the Far East.

So its possible that the £/€ exchange rate can go one way, whilst the €/£ exhange rate can go the other. So the bike brands might decide that they forecast a worse case of 20% increase, or 10%... Its a tricky time for us all at the trade at the moment because we have no idea which way things will go.

But yes is the economy improves there will be a competition element across all the brands to reduce the RRPs if possible to ensure they sell more bikes.

*edited, because i got one of my currency symbols wrong.

 

[anotherkiwi]

http://www.bike-discount.de/en

one of the biggest european cycling websites, just removed £s from their option so now UK customers will be paying for their bike parts.

In Euros.

Sorry had to add the missing text to understand.

 

[Gubbins]

In Euros.

Sorry had to add the missing text to understand.

And how is that a problem?

Sent from my GT-I9505 using Tapatalk

 

[anotherkiwi]

For me there is no problem I buy most of my stuff in Euros. I just got a commission on a sale in GBP that isn't going to look so good when I put it on my $ paypal account.

The last time I paid for something in GBP was the GSM I bought from Woosh.

EDIT

Ouch! What have you done? I don't want to be paid in GBP any more... -7% on paypal conversion.

 

[mike killay]

Surely the whole point about pricing is that a business will charge as much as they can (Think Armani)
The risk is that other businesses will undercut.
At the moment, the pound is low so import prices will go up.
However our export prices will seem cheap in other countries.
So, if your firm exports, you might get overtime to cope with extra orders.
If the pound goes up too much, you get laid off.
It's just trade.

 

[Tomtomato]

A year ago, when I asked 50 Cycles why their prices were significantly higher than prices in Europe for equivalent Kalkhoff bikes (in Euros), they said they had pre-agreed prices with Kalkhoff well in advance, when the exchange rate was less favorable, so that the recent rise of the Sterling against the Euro didn't reduce their prices.

We will see now if it's working both ways, and if their prices are staying the same, when the value of the sterling is dropping...

I think many companies are going to jump very quickly on the opportunity to increase their prices because of the very reported fluctuations of exchange rates, when drops in prices due to improved exchange rates (or underlying costs) are much slower to come to consumers (like oil companies).

 

[Tomtomato]

The distributor might buy in € from a European brand, and then the European brand will buy their components in €s from the Far East.

I guess you meant the European brand will buy its components in US dollars from the Far East...

Its a tricky time for us all at the trade at the moment because we have no idea which way things will go.

Well, if your business is dependent on the exchange rate between the GBP and the EUR, or the GBP and the USD, you seem to be the only trade that does not know which way things will go in the medium term...

But yes is the economy improves there will be a competition element across all the brands to reduce the RRPs if possible to ensure they sell more bikes.

Again, if you believe the economy is going to improve in the short or medium term, time to read the news...

 

[Clara]

Good morning ladies and gentlemen. I am glad I bought and paid for my new wisper over a wekk ago. If I had had to pay any more, then I wouldn't have bought it to be honest.

In my humble opinion, it isn't in the sellers best interest to Increase prices to such an extent, as by doing this, fewer bikes will be sold, so less money will be made.

I have no doubt that when things calm down and people think rationally, and they see that things are not so bad, prices will come down.

Our economy isn't the only one with problems at the moment. The french stock market fell even more than ours, as did spain and another one. Give things two or three weeks to settle down and I think we will all see a noticeable differance.

 

[KTM Bike Industries UK]

Good morning ladies and gentlemen. I am glad I bought and paid for my new wisper over a wekk ago. If I had had to pay any more, then I wouldn't have bought it to be honest.

In my humble opinion, it isn't in the sellers best interest to Increase prices to such an extent, as by doing this, fewer bikes will be sold, so less money will be made.

I have no doubt that when things calm down and people think rationally, and they see that things are not so bad, prices will come down.

Our economy isn't the only one with problems at the moment. The french stock market fell even more than ours, as did spain and another one. Give things two or three weeks to settle down and I think we will all see a noticeable differance.

This is the important point, all of Europe is suffering financially because of the decision that was taken. They are all falling because the markets are worried that other countries will also look to leave, or think about it. Its this uncertainty that is effecting the rest of Europe.

So the £ and € will suffer.. not just the £. However the £ will continue to get worse if more and more business look to shift there focus out of the UK. Yesterday Vodaphone and Ryan Air announced they would be changing their strategy.

As I've said above, you need to look at the £ and € against the $ because that's what everything is tied to that comes from the Far East.

Your optimism is nice, but the economy is in a bad way... Virgin lost 30% of its value already. This isn't good for the workers in the UK.

Prices are going up and incomes are going to come down. FACT.