Surprising how quick these Brexit price rises have happened

[Crockers]

It's true that some will take advantage of currencies to hike prices. When we had our villa in Spain a coffee cost 150 pesatas. Upon adopting the euro at 166 pts to the euro the same shop charged 1€ for the cup of coffee. A good 10% hike ..

 

[RobF]

I had a few words with my mate who owns my local bike shop today.

He confirmed 10 per cent price rises almost across the board on 2017 push bikes.

Including Brompton.

I like Bromptons, there is no better folding bike.

It's made in the UK, albeit no doubt many of the bits are imported from various countries.

But has Brompton's costs risen to the same extent as resellers who import ready made bikes?

Unlikely, but the Brexit/exchange rate excuse price rise is the same.

Is Brompton taking a tiny bit of advantage here?

I think so.

 

[Yamdude]

Rob...Yamdude got his just desserts.
found this Troll song...
THE TROLL SONG
Lyrics by Tim Ireland

Ohhhhhh…
Nobody likes them
Everybody hates them
Please ignore the trolls
You might think
To kick up a stink
But attention is their goal
They lack the normal social skills
And seek to waste your time
Ignoring them takes zero time
And stops you wasting mine.
Cheers!
His point was that we are all profiteering over Brexit,that is just not true.
As far as prices always rising-Petrol fell through the floor over the last 6 months,it is even noticeable when I fill up my global warming gas guzzler.
I dont think any of us wants to put up these prices,I will hang on until my next batch of bikes are delivered in the hope that the £ strengthens against the dollar,but I am pessimistic on that,I think 1.30 is the new norm.
KudosDave

I like the way in that it says 'ignoring them takes zero time'...... but the fact is, you cant ignore me can you !
As for the suggestion i'm a troll..... Well if i were, then it would have been successful trolling as you've certainly taken the bait, if it were bait.

 

[Kudoscycles]

I had a few words with my mate who owns my local bike shop today.

He confirmed 10 per cent price rises almost across the board on 2017 push bikes.

Including Brompton.

I like Bromptons, there is no better folding bike.

It's made in the UK, albeit no doubt many of the bits are imported from various countries.

But has Brompton's costs risen to the same extent as resellers who import ready made bikes?

Unlikely, but the Brexit/exchange rate excuse price rise is the same.

Is Brompton taking a tiny bit of advantage here?

I think so.

Obviously any Euro sourced product,which includes all of the German,Austrian and Dutch bikes has to increase the prices due to the lack of buying power of the £. It cannot be long before Audi,BMW,VW and Peugeot/Citroen rise accordingly. Our government like this because it increases the VAT take against the core value.
I bet Bromptons component prices are based on US dollar,so 10% rise there,we all know that Shimano have gone up by 14%,don't they use Shimano gears?
The increase that shocked me today was steel price rises,I questioned that of my steel supplier,I thought we had a glut of world steel....yes but it's the 'wrong type of steel', he warned me that there was another increase on the horizon,most of our steel now comes from China ,the U.K. steel is there for making rail track and plates not tube.
One of my Chinese e-bike suppliers makes frames for just about every bike assembler in the world,I walked round their frame shop reading the German names we all know,they increased my bike price by 12%.
Please will someone tell me why we are all going through this pain,I cannot see any upside at all.
KudosDave

 

[Crockers]

Obviously any Euro sourced product,which includes all of the German,Austrian and Dutch bikes has to increase the prices due to the lack of buying power of the £. It cannot be long before Audi,BMW,VW and Peugeot/Citroen rise accordingly. Our government like this because it increases the VAT take against the core value.
I bet Bromptons component prices are based on US dollar,so 10% rise there,we all know that Shimano have gone up by 14%,don't they use Shimano gears?
The increase that shocked me today was steel price rises,I questioned that of my steel supplier,I thought we had a glut of world steel....yes but it's the 'wrong type of steel', he warned me that there was another increase on the horizon,most of our steel now comes from China ,the U.K. steel is there for making rail track and plates not tube.
One of my Chinese e-bike suppliers makes frames for just about every bike assembler in the world,I walked round their frame shop reading the German names we all know,they increased my bike price by 12%.
Please will someone tell me why we are all going through this pain,I cannot see any upside at all.
KudosDave

There's a lot if cross subsidy in the EU from car manufacturers. Each country has a differing tax regime for cars so the manufacturers adjust base prices in the countries to try to even this out. Hence why once a Honda Crv built up the road from me in Swindon was shipped out to NL. Then shipped back to the UK having paid the Dutch base price to save me £2500.

 

[Ted B.]

Is Brompton taking a tiny bit of advantage here?

I think so.

Probably.

Only a few components/parts seem to be made in the UK, from the recent BBC documentary, like the frame.

However, even if many component prices would have increased by 10 or 15% due to the exchange rates, labour, marketing and distribution is probably a very large part of the bike price, and those costs haven't changed much since Brexit.

Actually, they are likely to export a lot more than before (as buying in Euros will be cheaper), and therefore reduce the impact on some of the fixed costs, when apportioned per unit.

 

[Ted B.]

It cannot be long before Audi,BMW,VW and Peugeot/Citroen rise accordingly.

Apart from the fact that those are global makes, and therefore can afford to make less profit on specific countries, to retain market shares they spent years to build.

Maybe Audi will increase its prices by 5 or 10%, since a brand very much in demand in the UK.

However, I can't see Peugeot or Citroën doing the same, and destroying their market shares and years of marketing, as those brands and models will be much more sensitive to prices.

 

[trex]

Probably.
.

Brompton export a lot of their bikes, the local hike would be in keeping with their dollar export prices.

 

[anotherkiwi]

Actually, they are likely to export a lot more than before (as buying in Euros will be cheaper), and therefore reduce the impact on some of the fixed costs, when apportioned per unit.

Um, do you really think that the French Brompton importer is going to lower prices because of a stronger Euro? We really need to talk about economics Stronger Euro against the GBP = higher margins for companies importing English products.