The principal way we sell bikes differently is that we ask you to commit in November for a bike you'll receive around February. And the lure we have for this change in behavior is lower prices - radically lower prices. We know that time is money, and that not having money or borrowing money costs more over time. When you pre-pay for something, you're making a cash sacrifice. Sometimes that's hard to justify.
But look - if you're planning on buying a bike in the spring anyway, it does make sense to compare the transactions in real financial terms. Let's say you're considering a Specialized Tarmac Pro SL frameset for next year. It's a bike comparable to the November Wheelhouse in geometry, weight and features, and you can even get the Specialized in a naked carbon finish. But the Specialized costs $1900. The November Wheelhouse is $785.
Still, you're tying up that $785 for three months longer if you buy a November. That cash is worth something, and you want some value for it. If you put that same cash into a 3-month CD at today's competitive rates (about 0.75%), after 3 months you could proudly withdraw $786.47. But put that $785 into a November Wheelhouse, and in 3 months you receive $1900 in value in exchange. That's like buying a 3-month CD at an APY of 411%.
Yeah, price alone is a reductive comparison between two bicycles that are subtly different in many ways. But for some racers, price is a primary consideration when bike shopping. And asking you to wholly alter the way you normally buy a bike is no small deal either. That's why we beat the price drum so loudly - to make the point that we're not taking lightly the requests we're making of our customers, and to show you the value we're delivering in exchange.
4 comments
Has anyone ridden one of your frames yet?
If by 'anybody' you mean me or Mike or anyone you actually know, not yet. Our samples arrive in a couple of weeks. But yes, the bike does exist outside of CAD programs. It's a newer model for the producer, but it's been manufactured, built up, ridden and tested. There are really two reasons to test prior to release: road feel and failure testing. Failure testing is best done by the machines that are designed and built for that purpose, as they punish frames harder and more than a rider possibly could. As we became aware locally this year, even the world's biggest brand can have issues in the real world, so bench testing is not 100%, but really nothing is. You simply can't test everything that can happen to a bike. Road feel testing is another kettle of fish entirely. Give me $100 for every time some magazine's tester has said "you can FEEL all of your effort going straight into driving the bike forward" and I'm taking the winter off to go train in Hawaii. I won't even go into the lateral stiffness and vertical compliance morass. For us, it was really a case of going with the geometry that we believed is going to be the best solution for the most people and taking it from there. Our mid range sizes (and to a slightly lesser extent the larger sizes) are very similar, geometry-wise, to some bikes that had particular success in a big race in France this year. Our smaller sizes are more similar to some bikes that didn't have quite as much success this year as they had last year in the same race in France, but are looking to further their previous success next year with a new team. We'll have 50cm, 54cm and 56cm frames built up soon. If you (and of you, reading this) are in the Mid-Atlantic and want to throw a leg over, you'll be able to take these for a test drive. These won't have our complete aesthetics package (which, apart from jackhammer stiffness and responsive handling to a degree which you or I would probably have nightmares about, seems to be Marcel Wust's primary judgment criteria), but apart from that is a production frame.
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