Shimano sales drop by 18%

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Ming the Merciless

There is no mercy
Location
Inside my skull
Or how about, after the shortages in pandemic years, everyone bought extra in 2022, and this year sales are back to normal.
 
OP
OP
Cycleops

Cycleops

Legendary Member
Location
Accra, Ghana
Or how about, after the shortages in pandemic years, everyone bought extra in 2022, and this year sales are back to normal.
The problem being they have geared up production to that level. Now demand has slowed. It's a bit like trying to stop an oil tanker, it takes a while. Now that a recession is on the horizon the stocks have built up and sales have dropped. Stocks are money and if it's not shifting the problems begin so if you're not adequately financed you're in trouble, which is why some of the distributors have been going bust.
 

Drago

Legendary Member
Making 105 electric only will have dented their turnover hugely.
T'was thinking much the same.

105 was the sweet spot for ruthless efficiency of operation, reliability and price. A tripod is only stable when all three legs are there.
 

wafter

I like steel bikes and I cannot lie..
Location
Oxford
Although my tiagra performs faultlessly - and is now on a lot of entry level bikes.

Granted Tiagra is nice, however not as nice as 105 - getting back on my 4700-equipped road bike the up-shifts feel almost disturbingly / unacceptably heavy compared to the R7000 on my gravel bike.

105 is / always was the true middle ground between the entry-level and high end gear. A real sweet spot with typically all the functionality of the better groupsets at a much more palatable price. For the frugal, sensible and utilitarian amongst us it presented the perfect, reassuringly-obvious compromise. 12-speed Di2 is at however many hundred pounds more isn't going to appeal to the same demographic at all. Shimano seem to be needlessly pushing the "tart's handbag" electronic fluff down-range; potentially destroying arguably their most popular, balanced offering for zero good reason other than to try and squeeze more money out of their customers.

On a personal level I resent this change as I'd just come to consider 105 my new pair of road-comfy slippers (I love the groupset on my Genesis) only to have it destroyed by an apparently cynical, misguided and coercive marketing-led change.

On a corporate level I think they've made an enormous blunder and hope they recognise this and keep R7000 available for the forseeable.
 

Tom B

Guru
Location
Lancashire
The problem being they have geared up production to that level. Now demand has slowed. It's a bit like trying to stop an oil tanker, it takes a while. Now that a recession is on the horizon the stocks have built up and sales have dropped. Stocks are money and if it's not shifting the problems begin so if you're not adequately financed you're in trouble, which is why some of the distributors have been going bust.

105 Argument aside

Having struggled for some time to get basic base spec components at a reasonable price have taken every opportunity to build up stocks, or have changed supplier /manufacturer- with some new suppliers/manufacturers having entered the market or built up capability while perhaps the likes of shim or sram focused on what might be more profitable as opposed to what shifts the most volume. I for example have started using Microshift cassettes as i got a bunch of them for £7 on offer. Where at the time the comparable HG41was over £20, pre covid they could be had for under a tenner. Microshift probably arnt as "nice" and probably a bit heavier as the HG, but they do the job on my bike for what I do.

I have also built up a stock of consumables or parts that wear out including some things that I wouldn't normally hold as stock such as shifters, mechs and BBs.

Prior to Covid I regularly had a bit of a side hustle buying cheap bits and bobs and punting them on later when prices rose, for the last few years nothing has really been around, event the "found a bargain" thread has been slow for real good bargains,

However I have noted a few things starting to reappear on the market and availability has increased this year, a few clearance lines are starting to reappear. I'm looking forwards to prices taking a bit of a dive as availability amongst retails increases competition and offers. The cost of energy and inflation means i doubt ill pick up KMC chains for a fiver or HG 8spd Cassettes for £8.99.
 
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Drago

Legendary Member
Granted Tiagra is nice, however not as nice as 105 - getting back on my 4700-equipped road bike the up-shifts feel almost disturbingly / unacceptably heavy compared to the R7000 on my gravel bike.

That's a bit of a sweeping statement.

I have a 2015 bike with a Tiagra drivetrain (not the full gruppo of wheels, seat post, bars, stem, just the drive trains) and it is virtually identical in appearance to the 2012 105 on another of my bikes in appearance.

Other than the longer lever throw of the Tiagra, which I prefer with my big hands, they also perform identically. With a blindfold (not recommended as you woukd likely fall off) you would never know the difference bar the feel at the levers.

But here's the 'but'...

These different levels are but 3 years apart before becoming essentially identical. How will Tiagra ever benefit from the same technical trickle-down over the model years if there is no mechanical system above it with which to bequeath its tech?

I've nothing against e systems, but it's not for me. I'm not one into technology for the sake of it, having only got my first smart phone in May as I was struggling to get a decent dumbphone any more. The e gears were nice, but didn't knock a single second off of any of my rides so with no practical benefit I can't be arrissed, what is the point? I'm too old for willy wagging or pub boasting about kit, so how does it benefit me? It simply doesn't.

I'm far, far from being alone in wanting quality but with simplicity of design, function, maintenance and repair, and Shimano have taken the decision not to service this sizeable sector any longer, and now profits are markedly down.
 
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