Bike Prices Double in a Decade, Squeezing Retailers
Bicycle shops are closing. This isn't just a neighborhood observation or urban legend, according to several forum users; it's a pattern they see repeating in many cities. Surviving shops are often converting into repair workshops or second-hand markets. The collective infatuation with cycling has peaked, and the sector is now facing the consequences. Buying a mountain bike similar to one from twelve years ago now costs double, according to a calculation circulating on the forum. With cheap electric scooters and online stores that always win comparisons, local businesses are struggling.
The decline of the business is a mix of three causes: price, trends, and logistics. And a fourth that's rarely mentioned: the industry itself has undermined the buyer's position.
From €600 to €1,200: The Jump That Priced Out Buyers
The case cited by forum users involves a 2011 Merida with 26-inch wheels, a hydroformed aluminum frame, and a Deore drivetrain, which its owner bought for less than €600. Today's equivalent bike, equipped with 29-inch wheels, starts at €1,200, according to their calculation. This isn't an isolated anecdote. A Conor with RockShox and disc brakes was bought for €500 thirteen years ago and still functions with basic maintenance. The mid-range market has doubled without the usage changing, they argue.
A decade ago, according to the more experienced members, a €400 bike was a notable item, sufficient for tackling mountain passes; today, that amount barely buys a child's bike with basic finishes. Orbea, a domestic brand, has become inaccessible, according to one user, and brands from the United States have driven the price escalation.
An Electric Bike at the Price of a Motorcycle
The craze isn't limited to the high-end. One user compares the price of a bike with a motor and battery to that of a real motorcycle, and the premium for an electric MTB makes it nearly the price of a 125cc scooter, according to another. A folding Brompton reached €1,300. Another user claims they charge €1,800 for what should cost €600. A participant who rides three times a week sets their budget limit around €3,000; anything above that, they admit, is for the wealthy.
This expenditure doesn't guarantee durability. Some components designed for competition wear out faster in daily use than older ones, and certain parts require annual workshop servicing. What the industry presents as essential is questioned by those who grew up riding €300 bikes.
The 29er Wheel and Single Chainring: Changing Standards to Sell
There's a less visible lever than price. For years, the industry shifted standards: from 26-inch wheels to 29-inch, from triple chainrings to single. Those who owned a functional bike found it difficult to find spare parts or comparable models. Now, some manufacturers are starting to push 32-inch wheels, which would relegate 29ers to the same category as older models. Several enthusiasts see this as a mechanism to force upgrades; others defend the real advantages of larger wheels. The result, regardless of the reason, is the same: a bike that was once fine is now perceived as outdated.
Customers Try in Stores, Buy Online
And the store ends up being a free showroom. Buyers try out sizes, get information, and then order online, where prices and stock levels are different. Retailers always lose in this scenario. The business for survivors is repair: fixing, assembling, and reselling second-hand items. Another industry classic, easy resale, also doesn't help, they point out: an expensive bike is a magnet for theft.
One user states that the same frame sold by a major brand can be found on Asian platforms, as can individual components. A detail that illustrates the situation: a product costing €163.18, broken down into €46.19 for the bike and €116.99 for shipping.
The Scooter, the Gym, and the Trend of Seasonal Sports
The rival isn't just price. According to theories circulating in the thread, scooters have taken over short commutes, public rental bikes have reduced ownership, and the expensive hobby of cycling competes with low-cost gyms. As one user points out, every sport has its season: first paddle tennis, then CrossFit; many people sign up, pay, and then abandon it. Those who cycle for pleasure continue to do so on a smaller budget, and the bicycle is no longer the star childhood gift, replaced by video game consoles, observes another participant.
Bike Lanes with European Funds: The Mirage That Inflated the Business
One user claims that public money was behind the boom in bike shops: city councils rushed to build bike lanes using European funds, and the business inflated. According to another, the pandemic arrived, demand skyrocketed, and shops bought stock thinking it would last. Demand deflated, leaving overstock, and the second-hand market multiplied, dragging down new sales. The current picture shows chains and large retailers holding on while small shops close their doors.
Predicting when the sector will react is a futile exercise. It's reasonable to assume that specialized retail will not return to its previous size and that adjustments will continue as long as the entry price for the hobby doesn't decrease. If manufacturers don't correct course—and there are no signs they will—the bicycle will remain a weekend luxury, and repair shops the last refuge for the business.
Summary of a discussion on Burbuja.info - Foro de economía, actualidad y política., translated from Spanish and reviewed before publication.
Read the full discussion (218 replies).