New Bike shop in Devon

[davethebike]

Hi Everyone
first time on here so please be gentle.
Don't know where to start so here goes...i am giving up my successful sales career of 20 years to take over a local bike shop in Devon thats been around for 18 months selling only second hand bikes (doing quite well due to the huge student population in the city) and the odd new one. two reasons for this choice, 1) time for a change and 2) hopefully a better quality of life going forward and my own business.
Don't really have much experience of bikes at all but at 40 years old i figured its still never too late to learn or for a career change, i currently drive 240 miles a day just to get back and forwards to work, its a well paid job but cant do it forever so going to put all my current energy and passion in a different direction.
i suppose im just looking for any advice or possible things not to do! the shop position is in a fantastic spot, on a main road junction at traffic lights with out front parking and a bus stop and less than a mile from the City centre with about 3/4 other established shops in the area but we are talking about a large city, so doesn't really get any better for a prime location shop is about 1000 square foot with plenty of other space on top of this for storage and a workshop etc.
I have spoken to some bike suppliers with a few quite keen to supply us, i.e. Scott, Claud Butler, Viking and possibly a few others. a bit nervous but up for the challenge. shop has a very knowledgable mechanic who i will be keeping and will look to get my 21 son involved in all aspects of the business. just after any ideas on what bikes are popular, best sizes to keep in stock, do i really need bikes that cost thousands of pounds to start with as or are the lower value bikes a constant turnover (i.e. what is best price range to keep for a varied range for all) etc etc. any accessories that are not worth bothering with and what are a must? i know some stuff will be trial and error and its horses for courses and all that but would appreciate any valuable advice so i get it right.
look forward to hearing back from anyone with a similar experience of setting up a shop from scratch.
regards
Dave

 

[mightyquin]

I'm not a bike expert but (pretending to be Mary Portas, figuratively speaking, I'm not dragging up) I'd say most importantly, you need to know your product/customers. If people want to go to a shop where the staff don't know much about bikes and where they just 'shift boxes' they can go to Halfords!

You say there are several established shops in the immediate area - what are you going to do/offer which they don't? Why are potential customers going to choose your shop? What's your USP?

If the shop currently sells mostly secondhand bikes, presumably catering for the student market, then you need to keep that customer base and build upon it. What sort of bikes do they mostly buy, what are they prepared to spend?

 

[summerdays]

I too am not an expert and so can only speak as someone who has uses my LBS. If students are your main market then they aren't going to have tons of cash to splash around in general.

Now why do I go to my LBS ... it is a tiny shop ... they cram the bikes in two rows either side of the aisle - the shop is probably only ... err 4 meters wide? They do sell second hand bikes but it isn't their main business ... they also have some bikes upstairs in what would have been a bedroom previously - but you only go up there with a member of staff. They are polite and welcoming and prepared to explain options with you. Even though the shop is minute with an aisle only 1 meter wide perhaps, they welcome you bringing the bikes in and often turn them and wheel them out for you past the other waiting customers. Its definitely an old fashioned shop where you are served rather than you serve yourself. I've seen plenty of people buy bikes from the medium lowish end to much more expensive bikes - I've bought bikes from £50 (kids bike years and years ago), £250 and £600 from them, along with various other bits needed to repair my bike or lights, lube, etc. I have my bike serviced by them at infrequent intervals, whereas Mr Summerdays is more likely to buy bits from them to do major overhauls of the bike. They were very helpful when he was changing his bike to disk brakes - prepared to help him have the knowledge to do it himself.

Kids bikes might be something to stock ... as there is usually a parent in there buying a bike for a child when I'm visiting the shop, and kids do keep on growing and needing a new bike.

Accessories - well we all need things like locks and lights and lube - especially anything that might fall off the bike and need new one quickly. Although he does sell cable locks, I've seen this LBS advise customers that the D-locks are better. Along with tyres, mudguards and various other bits needed to service your bike.

He has also got free maps and leaflets in the shop.

I would say don't do clothes as most small shops don't stock enough stuff to make it worth my while visiting - preferring to go to a much larger shop such as Evans where you have a large range to try on. Although there will be customers for hi-vis stuff (and she whispers helmets).

Perhaps offer discount to local cycling clubs? Which may get you some more business through the door.

I've heard but have no idea if it is true or not, that cycle shops make little money on the actual bikes but more all the other bits that follow after you have bought that bike.

I'll stop rambling now ... good luck.

 

[summerdays]

I'm not a bike expert either, but I can tell you the things that I like about my lbs: They remember me, so every time I go there they greet me warmly and ask me what I've been doing. They never make me feel small when I ask stupid questions or demonstrate my lack of technical knowledge (and many bike shops, in my personal experience, have PhDs in making the customer feel small). They have often done some small trivial piece of fettling for nothing, just to send another customer on their way feeling happy. And they seem to have a large stock of useful small things - not so many shiny new bikes lined up, but then it's only a small shop. And I'd have thought usually a new bike has to be ordered in to fit the client anyway.

Those are all reasons why I keep going back - and recommend the shop to other people.

I agree with the above ... including one time fitting a new brake in their lunch (yes they close for lunch!!), for me to be able to go on my way.

 

[Fab Foodie]

Welcome!
Don't be shy ... which 'bike shop in Devon'?

As said upthread, figure-out what will differentiate you from the others, what's your target market, is it sufficiently large, what products does it need? etc. etc.
If students are your target market take a look at bike shops in other student towns and see what and how they supply. Oxford and Cambs might be good models (Oxford has the excellent bicycle workshop organisation), except they're flat ... if you're in say Exeter, gears would be a very good thing.
I hope you get the idea.
Sell/offer cups coffee and give very warm customer service, employ the 'wheel of karma' and I'm sure it'll pay dividends.

Very best of luck.

 

[Norm]

Coffee is good.

Having a good range of accessories would also help as peeps tend to buy shoes, gloves, socks, bags, bottles etc more often than they buy bikes. The cash flow might be in the big-ticket stuff like bike sales but I understand that the profits are in accessories and servicing and getting footfall from selling £5 gels and salts will get your customers thinking of you when they do want to buy a bike.

The little bits make a difference. For instance, having a track pump available for customers to use might not make any direct money but it gets people through the doors much more than, say, my nearest bike shop who charge £4 to pump up someone's tyres.

Check out your local competition and FF's idea of checking other student towns' offerings would give a good insight but don't be afraid to be different.

 

[Baggy]

I'm another one who has no experience of setting up a business, but having been in a lot of bike shops the above suggestions seem very sensible. Being friendly and approachable is top of my list, and a can-do, unpatronising attitude. Am 99% certain I know where your bike shop is!

Assuming you're where I think you are...although there are well established shops in the area, none of them sell many second hand bikes, so I'd agree decent quality second-hand stuff is a good idea. About 18 months ago I suddenly noticed lots of students on old 70's/80s style racing bikes, both men's and women's, so they're obviously popular with students.

It can't hurt to have a couple of high end road bikes in, but I think there's also a market for lower end, but decent quality, traditional-style women's bikes (with some gears!) as they also seem popular with students/people who want a shopping bike or something with character rather than a modern hybrid. I think there's a gap in the market for more "utility" and leisure cyclists in the city.

Accessories are definitely good, especially if you can find some slightly unusual stuff, again I'm thinking about the student/female market, funky panniers, baskets, rack packs, similar to stuff that minx and cyclechic stuff (or cheaper alternatives!), things I'd love to be able to look at/try on but currently can only find online.

You could always contact the college/Uni and see if they'd find you some students for a focus group so you can ask what they might be interested in/show them some samples.

If I *am* right there's also a hospital nearby, and a couple of councils (both of whom try to promote cycling) so you could offer discounts etc there. There's also a very well used bike path a few mins away that's used by commuters and is a very popular leisure route, so there's also a potential kids/family market (if your mechanic pedals up and down out there on a busy Saturday offering discount puncture repairs that would be great publicity!).

Exciting stuff for you - and also exciting for local cyclists! Good luck...

 

[davethebike]

thank you all very much for taking the time to point out some good ideas. free air and coffee are good little ideas and cost nothing really and you might just get something back when they feel the need to spend money.

 

[Baggy]

Also forgot to mention that becoming a "Cyclescheme" retailer is also a good way to get people through the door to buy a bike, though again, I don't think there's much profit in it, but if you've got good service and interesting accessories people will come back...

 

[davethebike]

I'm another one who has no experience of setting up a business, but having been in a lot of bike shops the above suggestions seem very sensible. Being friendly and approachable is top of my list, and a can-do, unpatronising attitude. Am 99% certain I know where your bike shop is!

Assuming you're where I think you are...although there are well established shops in the area, none of them sell many second hand bikes, so I'd agree decent quality second-hand stuff is a good idea. About 18 months ago I suddenly noticed lots of students on old 70's/80s style racing bikes, both men's and women's, so they're obviously popular with students.

It can't hurt to have a couple of high end road bikes in, but I think there's also a market for lower end, but decent quality, traditional-style women's bikes (with some gears!) as they also seem popular with students/people who want a shopping bike or something with character rather than a modern hybrid. I think there's a gap in the market for more "utility" and leisure cyclists in the city.

Accessories are definitely good, especially if you can find some slightly unusual stuff, again I'm thinking about the student/female market, funky panniers, baskets, rack packs, similar to stuff that minx and cyclechic stuff (or cheaper alternatives!), things I'd love to be able to look at/try on but currently can only find online.

You could always contact the college/Uni and see if they'd find you some students for a focus group so you can ask what they might be interested in/show them some samples.

If I *am* right there's also a hospital nearby, and a couple of councils (both of whom try to promote cycling) so you could offer discounts etc there. There's also a very well used bike path a few mins away that's used by commuters and is a very popular leisure route, so there's also a potential kids/family market (if your mechanic pedals up and down out there on a busy Saturday offering discount puncture repairs that would be great publicity!).

Exciting stuff for you - and also exciting for local cyclists! Good luck...

Thanks very much taking the time to reply with your feedback, at this stage it is very valuable to me, and assuming that you might be not to far away (good guess, lol), i look forward to welcoming you in very soon for a chat and a coffee, as it will be changing its apperance for the better, regards, Dave

 

[Baggy]

Looking forward to it opening!

 

[biglad]

Dave, I'm a new lad, totally clueless about bikes, but just wanted to stop by and say good luck man, really hope it all works out for you!

 

[skudupnorth]

Sounds very exciting,living in one of Britains best areas plus running a cycle shop.....you lucky so and so !!! Good luck and like everyone else says,customer service is the best way to keep customers.Where abouts are you opening,will try to come over and say hello if i do my mad ride down to Cornwall again !!!

 

[RUTHIEBAV]

I'm absolutely clueless as well but I do know what I like about my local bike shop; they know my name, they ask me if I want help but don't hassle me if I'm "just looking", they don't ridicule me or make me feel intimidated. Also, I trust them, they know what they are doing and they know I am clueless and rely on their advice.

Good luck to you.
RuthieB

 

[mark barker]

Good luck with the venture!

Theres nothing wrong with selling low end new and second hand bikes. If your shop has a reputation for supplying cheap and cheerful bikes stick with it. Maybe you won't get the keen cyclists in the shop very often, but if you're looking to make money rather than lifelong friends then stick to the proven plan. (you can also enjoy the warm feeling of keeping all those older bikes out of the land fill and introducing new cyclists to the future of transportation)