To LBS or not LBS....

I think about this a lot. I teach Marketing at the local college and one of my preachings is, "if you buy them on price, you are going to lose them on price." But yet I search the internet a lot trying to find the best deal. I believe strongly that the value of the internet is the wide area of communication.

I also teach that price is a function of four things: cost, time, quality and risk.
If you get it right away, it costs more. The more risky the purchase (such as ebay), the lower the price to compensate for the possbility of a bad purchase.

After being burned on ebay, and seeing lots of copied pictures on ebay, I limit my purchases to only low valued (under $100). As a rule of thumb, if I don't save 30% on ebay, I go either internet store or LBS.

I have also found that the Internet Stores on smaller purchases have little or no savings over the local LBS due to the shipping/handling charges. One way the Internet Stores have lower prices, is by selling their own branded merchandise (private label, such as Nashbar). However, these private label items are often poor quality (my Nashbar pedals had the bearings wear in a year and they could not be replaced nor lubed, zipper on the seat bag broke in a year).

Bottom line is that I save my on-line purchase for a couple of larger orders a year (such as tires, tubes, chains, lube, etc) and go to the LBS about every two weeks for the smaller purchases the rest of the time. I would say that
40% of my purchases are online and 60% at the LBS.

I think that is fair to the LBS, but also allows me to save some money. It is through competition that the businesses become more efficient.

I would say buckybux is about right. I also try to be a good patron for my LBS, and usually buy my bikes there... 🙂

I buy from all sources. I bought my bike at my LBS as well as my shoes. These are things you have to try on. I did try on helmets at my LBS and then bought one on-line. Saved $50. I bought my pedals on Ebay and saved a bunch there. I had gone to my LBS for gloves. Found a pair I liked but they were one size too small, so I had to buy them online. I buy most of my clothes either online or at Sports Authority.

I think you have to do what's best for yourself. But since I spent over $1600 at my LBS I have no reason to feel guilty.

[font=Times New Roman]I buy alot of stuff of the net. Since I am in college price is important. No one wants to feel like they are getting ripped off. I am sure you understand this buckybux being a marketing prof. There is alot of physiological things going on when one makes a purchase. On top of that if one can find the same product for cheaper of course they will buy it. Frankly, if they dont they are stupid I know some say support your LBS well we live in a free market economy and if the LBS isnt accepting that and adjusting/competing accordingly then they will be left behind that’s the beauty of it. equilibrium is always found. [/font]

LBS's have a comparative advantage over internet company's by offering services. so one idea for the LBS would be to lower the price of goods so more people shop there and higher the price of the services to make up the difference in profit. This is smarter because a LBS that offers exceptional service has alot less substitutes therefore demand becomes a little more inelastic and a higher price can be charged.

But of course thats just theory but it sounds good !!!

I ordered a chain idler (skate wheel type) for my bent 11 months ago. No action from the LBS where I bought the bike. Hostel Shop online had it at my door in 3 days. Where would you go for parts? bk

LBS gets my business for the real big ticker item like a bike where trying it out is utmost important. And then they also get my business for those spur of the moment small items. As for those equipments that's optional or takes planning eg. Upgrade to certain component, then there's nothing better than eBay or other online sources. Just as an example, I was able to source a pair of 2007 shifters on eBay with big time discount while my LBS aren't expecting the same good to arrive for another 3 months at least. So the decision is simple.

In any case, the market will always change and a good LBS will adapt to the changing market place and continue to flourish. As for those that can't, no amount of sympathy by customers will be able to keep them afloat. 🙄

Let the free market reign, as far as I'm concerned. That said, I give a majority of my business to the LBS because it's easier and you can get fitted for bikes, helmets, etc. Plus, the LBS owners are really knowledgable and overall cool guys. I still buy things like tubes online, though.

i buy all of my small ticket items at the lbs.
for example, this past month:
knee warmers (the new specialized ones, sweet) $30
chain $15
new cage $6
tubes $12
bag $15

and a few other things. i average around 75 a month in the lbs. if every customer spent 75 a month at the lbs theyd be doing fine.

however, its really hard for me to pay 180 for bibs, 75 for jerseys, and 2500 for a midlevel bike at the lbs. so i buy clothing from online stores and ebay, and bikes from ebay.

i still support the lbs and keep a good relationship with them, but am able to be frugal enough to justify my purchases to the boss (wife).

I am in the unusual position where Performance is one of the five LBSs in my town. I have bought all of my bicycles (four so far) from the same independant LBS. I go to that same LBS for all of my service needs. The rest of my purchases are split among the five. I usually buy shorts, jerseys, gloves, and nutritional items (GU, Cytomax, Cliff bars, etc) from Performance; expendables (chains, tubes, patch kits, CO2 cartridges, water bottles, etc) and accessories (bottle cages, pedals, wedges, etc) from the same shop I bought my bicycles; and shoes and helmets from whichever shop has the ones that fit me best in stock at the time I want to buy them.

I feel that LBS's should be supported... when they earn your support.

Example - I bought $5000 worth of DH bike/mods, and then fullface helmet/pads/armor from the same LBS. Then each time that I went back to browse, and to shop for components/apparel, I felt I was getting worse and worse attitude and service from the staff.

Eventually, I ordered some shiny new 888's online, saving about 1/3 the price I would have paid from the LBS. I was happy to pay them to install the fork properly, and mentioned that they were on the way (I know, LBS staff don't like that sort of situation - but hey, I HAD spent about $6500 with them at that point). They said they could do it, and gave me a price, but the response I got from one of the staff members was so rude that I immediately decided on the spot that I would not be getting the work done there, and in fact would never buy from them again.

I have since switched to a closer LBS (who installed the fork for me), which are always friendly, helpful, and actually seem to appreciate the fact that I am spending my money there. They reward me not just with a smile, but with little freebies, and helpful hints, some free/reduced cost servicing of my bikes.

Most things I need now, I go there. Occasionally I still shop online if the savings are REALLY good, or the items aren't readily available at the LBS.

If it is less then 30.00 I buy it at my LBS, but anything more...PerformanceBike.com Here I come!! 😄

I built a good friendship with my local lbs. I live in a area that has no -real- lbs, just a few "Used Bike stores with a Wrench Guy inside" stores. No true, professional grade Shop. I jumped on early and stayed with him, just hanging out and occasionally tuning my bike or ordering something from him. I've watched them grow into the best LBS in the area. Now I can get parts at a discounted rate from MSRP because I am 'a Part' of the shop almost as if I worked there, they've even talked about taking me on part time, and giving me access to parts/bikes at cost.

I know alot of people don't have the time to turn their hobbys into their Trades, but I do right now, and I'm young so I need ways to make or save money. Computers and Bikes are doing that for me right now; Computers make it and Bikes save it. 😄

EDIT: Oh but I still make about 50% of my purchases online, though only through Ebay when I see "A deal thats too good to pass up."

Investing time in becoming a loyal customer will pay off if you have a good LBS. As an example: I have used the same LBS for all my big purchases for the last fifteen years. I have long since moved away, but because of the good treatment I receive from this bike shop, I still use them. I have also over the years helped out in the shop whenever I am in town. Just recently I was looking to buy Cannondale's new System Six. This LBS repaid my loyalty by getting me a SI2 (the SRAM version) at a demo cost. YMMV but a good LBS will reward customer loyalty.

The problem with online purchases is that I can't pick the item up and check it out myself. the problem with most lbs's in my area is that they don't carry alot of inventory of bike accessories. I wish there were a specialty cycling store that carried nothing but cycling accessories.

At the end of the day, it's all about economics and convenience. A LBS now charges $60-80/hr for service so I just bought a repair stand and will get my money back in 3 hours. While looking at their goods, the mark up can be close to 100% compared to what I can source on eBay and other mail-order places. Unless I lack the patience (often enough), the choice is a no brainer. At the same time, buying a bike is still for the LBS as it's important to fit etc.

As for me, I have mainly purchased over the internet (with careful research and comparison). Almost all big ticket items (bike related and non-bike) have been mostly on-line because of the cost difference.

As others have said, I will go to the LBS to pick up small ticket items (if I'm not planning to buy a bulk) and have my bike tuned up there also.