They're making it just fine...just not in a way that benefits Trek/Specialized. Their retail prices stay fairly constant but the cost/commitment on the dealer end have changed a bunch in the last 18 months or so. There's way more pressure to frontload product and then go along with their marketing and discount programs that randomly pop up down the road and conveniently come out of the LBS end. Win for Trek/Specialized, big lose for the LBS
Smart retailers will cut them out where applicable and stock the P & A that they can make $ on and doesn't change every couple of months. If you let the Trek/Specialized rep "help" you at the LBS level you're going for a ride to the poor house. Other companies are much easier to work with, have far better margins, better delivery dates and curiously enough...better inventory available to pick and choose from when needed. The bikes sell on their own, so I have to stomach that risk...P & A? I am out of that scene
Whenever I go to a metro area and I see a 7000 sq foot Specialized or Trek store anchoring a strip mall or whatever...all I see is overhead and upside-down financials with a little commercial real estate craziness thrown. I know how much stuff costs and how much one would have to sell to make that work, those are the guys that get in trouble....dreamers
Quote:
Originally Posted by mdeth1313
...or, so many independent shops can't make it and are closing up, what's left?
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