Bike Prices

purpleNurple
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purpleNurple
Edited Date/Time 1/26/2012 12:55pm
I am at a loss, how are these bike companies saying they are experiencing lower sales yet continuing to raise the price of a new bike? Simple marketing tells me that this is a easy way to kill an industry!
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CASH476
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CASH476 10/6/2010 12:04am
10/6/2010 12:04am
Simple maths tells me that operating for no profit is the easiest way to go out of business. What's your point?
purpleNurple
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purpleNurple 10/6/2010 12:06am
10/6/2010 12:06am
do the toilets flush in the other direction down there?
CASH476
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CASH476 10/6/2010 12:10am
10/6/2010 12:10am
purpleNurple wrote:
do the toilets flush in the other direction down there?
No, the water still goes down. Up would be silly :-)
purpleNurple
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purpleNurple 10/6/2010 12:10am
10/6/2010 12:10am Edited Date/Time 10/6/2010 12:11am
Anyways now that i have that out of my system. My point is simple, WHY?? It does not make sense to me!

The Shop

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the_wood109
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the_wood109 10/6/2010 12:28am
10/6/2010 12:28am
Cost and sales on the same graph. The point where they intersect is called the "breakeven point"


If sales decrease, then you have to raise the price of bikes to break even or profit!.
worcsracer808
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worcsracer808 10/6/2010 1:26am
10/6/2010 1:26am
the_wood109 wrote:
Cost and sales on the same graph. The point where they intersect is called the "breakeven point" If sales decrease, then you have to raise the...
Cost and sales on the same graph. The point where they intersect is called the "breakeven point"


If sales decrease, then you have to raise the price of bikes to break even or profit!.
that's true to a certain point, there are marketing tactics they can use to generate short term demand and incentives for people to buy instead of just raising the price to cover lost sales because it'll get to the point where no one can afford bikes and then go under.
Andimers
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Andimers 10/6/2010 3:02am
10/6/2010 3:02am
The new 2011 Honda CRF250 has a lower price this year in Norway. Cheaper than the '11 RM-Z250 here actually.
MCfan4life
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MCfan4life 10/6/2010 3:19am
10/6/2010 3:19am
Aus prices:

250F = $10,995
450F = $11,995

Feel better now?
Jake-247
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Jake-247 10/6/2010 3:32am
10/6/2010 3:32am
MCfan4life wrote:
Aus prices:

250F = $10,995
450F = $11,995

Feel better now?
Americans don't know how good they have it....
ando
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ando 10/6/2010 4:10am
10/6/2010 4:10am
purpleNurple wrote:
I am at a loss, how are these bike companies saying they are experiencing lower sales yet continuing to raise the price of a new bike...
I am at a loss, how are these bike companies saying they are experiencing lower sales yet continuing to raise the price of a new bike? Simple marketing tells me that this is a easy way to kill an industry!
Exchange rate has a lot to do with it, since all your bikes are imported.
SwapperMX
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SwapperMX 10/6/2010 5:23am
10/6/2010 5:23am
MCfan4life wrote:
Aus prices:

250F = $10,995
450F = $11,995

Feel better now?
Go check out the deals going on the two strokes at them moment. YZ 250's and RM250's at AWESOME prices. Yes, all you Americans, we can still buy Brand new 08 RM250's. Another reason why the two strokes are gathering momentum.
wow123
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wow123 10/6/2010 5:49am
10/6/2010 5:49am
Aus has always been and always will be a rip off for bike prices.

Same bikes, grey import, in south east asian at around 8.5k auds!
Cory976
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Cory976 10/6/2010 5:50am
10/6/2010 5:50am
I remember buying a 1992 RM 125 BRAND NEW . . . . for $2300 out the door. I went to the dealership the other day and about fell over and died when I saw the price of a KTM JR 50 . . .$3300 ! ! ! ! ! Pshhh. Please!
Camp332
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Camp332 10/6/2010 6:11am
10/6/2010 6:11am
I think we still got it pretty good. See the below mountain bike. It's MSRP is $6,099. That is almost as much as our dirtbikes cost, which have heavier duty components thru and thru. Not to mention an engine/transmission/drivetrain/EFI, etc...

I say we got it pretty good.

Matt#49
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Matt#49 10/6/2010 6:24am
10/6/2010 6:24am


As a former business owner, I contributed my great success to the following very simple strategy.

I will just use "easy" figures to show my point.

Lets just say a 2011 mx bike retails for $5,000

Shop buy price is $4,000

Most shops will try to sell as close as possible to $5,000 looking for maximum profit.

As a result, over the year they sell only 5 bikes.

In my shop I sell the same bike for $4,300.

Yes I only make a small profit on each bike, but as a result of a much cheaper buy price for the customer, I sell 30 bikes!

Now do the maths.

5 bikes @ $1,000 profit each = $5,000 profit

30 bikes @ $300 profit each = $9,000 profit

So I make almost double the profit PLUS I get an additional 25 customers in my shop that will spend money on parts and accessories thus increasing my profits even more!!!

It's not that hard people!

Feel free to comment!

Racer92
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Racer92 10/6/2010 6:42am
10/6/2010 6:42am
Bike prices? You guys are all wrong. Gibby told me its only the economy that is causing things and all your circular arguments are not gonna change that !

DirtyFilter75
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DirtyFilter75 10/6/2010 6:51am
10/6/2010 6:51am
Camp332 wrote:
I think we still got it pretty good. See the below mountain bike. It's MSRP is $6,099. That is almost as much as our dirtbikes cost...
I think we still got it pretty good. See the below mountain bike. It's MSRP is $6,099. That is almost as much as our dirtbikes cost, which have heavier duty components thru and thru. Not to mention an engine/transmission/drivetrain/EFI, etc...

I say we got it pretty good.

about $300.00 at Walmart! 95% of the public does not need an expensive bicycle.



95% of moto enthusiasts can not ride a stock bike to 1/3 of it's full potential.

Pit Row

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yz763
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yz763 10/6/2010 8:02am
10/6/2010 8:02am Edited Date/Time 10/6/2010 8:07am
Matt#49 wrote:
As a former business owner, I contributed my great success to the following very simple strategy. I will just use "easy" figures to show my point...


As a former business owner, I contributed my great success to the following very simple strategy.

I will just use "easy" figures to show my point.

Lets just say a 2011 mx bike retails for $5,000

Shop buy price is $4,000

Most shops will try to sell as close as possible to $5,000 looking for maximum profit.

As a result, over the year they sell only 5 bikes.

In my shop I sell the same bike for $4,300.

Yes I only make a small profit on each bike, but as a result of a much cheaper buy price for the customer, I sell 30 bikes!

Now do the maths.

5 bikes @ $1,000 profit each = $5,000 profit

30 bikes @ $300 profit each = $9,000 profit

So I make almost double the profit PLUS I get an additional 25 customers in my shop that will spend money on parts and accessories thus increasing my profits even more!!!

It's not that hard people!

Feel free to comment!

This is my logic but you have to be sure you are going to sell 30 bikes.

What if you sell 5 bikes at a $300 profit when you could have still sold 5 bikes at $1,000 profit? What if your market is only capable of bringing in 5 units.
wow123
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wow123 10/6/2010 8:07am
10/6/2010 8:07am
MCfan4life wrote:
Aus prices:

250F = $10,995
450F = $11,995

Feel better now?
Yes just checked 2011 yzf250 9k +- depending on exchange

thats with someone making $ on that price!
Slow
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Slow 10/6/2010 8:19am
10/6/2010 8:19am
That Mongoose is SWEET!
Rooster
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Rooster 10/6/2010 8:57am
10/6/2010 8:57am
The American dollar isn't worth what it used to be. So it buys fewer Japanese bikes for the same money.
hasko158
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hasko158 10/6/2010 10:18am
10/6/2010 10:18am
No matter the exchange rates, it is getting out of control. I will not buy another new bike unless prices come down, or my salary doubles. They are indeed killing their own sport.
mattmatt300
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mattmatt300 10/6/2010 10:18am
10/6/2010 10:18am
$12,500 moto isnt THAT expensive
gt80rider
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gt80rider 10/6/2010 10:43am
10/6/2010 10:43am
purpleNurple wrote:
I am at a loss, how are these bike companies saying they are experiencing lower sales yet continuing to raise the price of a new bike...
I am at a loss, how are these bike companies saying they are experiencing lower sales yet continuing to raise the price of a new bike? Simple marketing tells me that this is a easy way to kill an industry!
marketing has nothing to do with setting the MSRP......

great marketing would make you believe cutting a check for 9 grand on a dirt bike is the best money you Ever spent.... piss poor marketing would make you think you're getting ripped off at half that price for the same product...
PicardsFacepalm 10/6/2010 10:51am
10/6/2010 10:51am
purpleNurple wrote:
I am at a loss, how are these bike companies saying they are experiencing lower sales yet continuing to raise the price of a new bike...
I am at a loss, how are these bike companies saying they are experiencing lower sales yet continuing to raise the price of a new bike? Simple marketing tells me that this is a easy way to kill an industry!
ando wrote:
Exchange rate has a lot to do with it, since all your bikes are imported.
Holy crap. Someone on Vital actually making sense...

Since 2002 there has been 21% inflation in the US combined with a 31% drop in value of the USD to the YEN. That 2003 YZ450F you could get for $6,299 would cost $10,013 in today's USD.

Honda Civics used to cost $6K, now they're over $20K...

Just to save you some crying: inflation averages 3% a year. A $9K bike today will cost about $12K in 2020, and $22K in 2040.
gt80rider
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gt80rider 10/6/2010 10:52am
10/6/2010 10:52am
Cory976 wrote:
I remember buying a 1992 RM 125 BRAND NEW . . . . for $2300 out the door. I went to the dealership the other day...
I remember buying a 1992 RM 125 BRAND NEW . . . . for $2300 out the door. I went to the dealership the other day and about fell over and died when I saw the price of a KTM JR 50 . . .$3300 ! ! ! ! ! Pshhh. Please!
dealers are still moving some bikes now days.... i just bought a dual purpose bike the other day....

unfortunately for dealers..... bikes are heavily discounted right now... the new (but left over) 09 KLX 250S dual sport i just bought retailed at 4,999...... but i pushed it out the door for under 3,900... one of my buddies bought a left over 09 KX 450 for 2,200 under retail.... i don't know how the dealers are keeping their doors open at this point.... they are cutting prices to get the few sales that they do, they aren't making up for anything with volume... seems like they are cutting prices just to recoup their cost out of the bikes on the floor...

double edged sword for consumers..... save money up front, but might not have a dealer to buy parts off of in the coming years...
nc_mx_kid
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nc_mx_kid 10/6/2010 1:31pm
10/6/2010 1:31pm
Technology of the EFI and such along with rising cost of Materials is a big reason for the rise is MSRP.


Racer92
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Racer92 10/6/2010 1:43pm
10/6/2010 1:43pm
mattmatt300 wrote:
$12,500 moto isnt THAT expensive [img]https://www.giant-bicycles.com/_generated/_generated_us/bikes/models/images/550/2011/TCR_Adv_SL_0_isp_comp_wht_blue_72dpiWIDE.jpg[/img]
$12,500 moto isnt THAT expensive
Are you adding in the hospital bills ? Wink
scotttydog 10/6/2010 2:04pm
10/6/2010 2:04pm
I'd say MX bikes are at least 15-20% under valued for what you get but the OEMs and dealerships make it back in parts,accessories and servicing.

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