Re: [CR] Market Slump?

(Example: Framebuilders:Cecil Behringer)

Date: Sun, 21 Mar 2010 14:44:13 -0800
From: "verktyg" <verktyg@aol.com>
To: Otis Greer <ogreer@bellsouth.net>, Classicrendezvous@bikelist.org
References: <C7126ABBBD4E4234B4ADA895466EF59F@GREER>
In-Reply-To:
Subject: Re: [CR] Market Slump?


My observations over the past 35 years: when the US economy slows down many people defer making big purchases such as homes, cars, boats and so on, items that are usually financed.

During those times I've seen that many people buy better quality, moderately priced bikes (and similar pastime or hobby related products). People in general like to spend money! Maybe it's a distraction...

They also tend to spend money fixing what they have rather than buying new things.

I've noticed a drop in eBay selling prices and an increase in zero bid items over the past month or so. I've had the high bid on a number of items that were embarrassingly low, for example $40 pedals for $1.25!

When the economy turns around, deferred larger purchases tend to get precedence over discretionary spending. Of course a deferred purchase could be a $5k to $10k CFRP bike! ;-)

There are a lot of exceptions to this, for example the sale of luxury automobiles in the US was never higher than during the Great Depression of the 1930s. Well off individuals continue to spend money but maybe less of it or maybe they take advantage of available bargains.

Rare collectibles usually end up in the hands of collectors who can afford them. Those Campy brakes will probably never be mounted on a bike!

Another exception is the serious bike rider who spends a larger portion of their income on their favorite pursuit.

Bicycles started off as rich men's toys an became poor men's necessities. Looks like they've come full circle! ;-)

Horse racing was the sport of kings, bike racing of paupers!

Chas. Colerich Oakland, CA USA


> What about the Campy brakes that sold for $1,865.00 Friday? That ain't no slump there!
>
> Dickey Greer
> West Monroe,La USA