Are today's RRPs just fairytales?

Back in the ‘80s I ordered a Shimano Deore groupset for a touring bike I was building. As I was still at school I couldn’t afford to pay it all in one go so I went to the bike store every Saturday morning and handed over my pocket money. Over the following six months every few weeks I came home with another component. This made the process of building this bike one of the most pleasurable experiences of my entire life and it may be one of the reasons I’m still in the industry now, almost 40 years later. I got to appreciate the parts and the time and effort it had taken to purchase them. At no point was there ever any discussion about getting some sort of discount, as I appreciated how the store had helped me out.

How times have changed. The bicycle industry has fostered a reliance on discounting and most consumers now actually begrudge helping out their local store by paying full price for something, much preferring to seek out discounted deals online. Part of this is down to the seasonal nature of marketing lead products, just like fashion brands. Nobody needs a new top spec carbon race bike every year. I’ve been riding the same road bike for the past 12 years with just as much fun as the first day I swung a leg over it. But the big brands need you to buy more regularly so they create yearly colour changes and market the hell out of every new detail change on this year's model, no matter how small, with the World Tour riders the catwalk models of the cycling world.

Undercover Mechanic

Cycling Weekly's Undercover Mechanic will be publishing his thoughts on the state of the industry once a month. He's been working with bikes for over two decades, offering servicing on models from some of cycling's best (and worst) marques. You'll find him at all major trade shows and events, just don't expect him to make himself known.

What happened to RRPs?

Nowadays, finding a product actually sold at RRP feels as rare as spotting a Brompton rider in Lycra. The question is: what happened? Why do we live in a world where RRPs are quoted more often as jokes than real figures?

The short answer? The RRP is no longer the standard it once was—it’s now more of a hopeful suggestion. And the long answer? Well, it’s a story of fashion based marketing, market saturation, global oversupply, online pricing wars, and changing consumer expectations.

Let’s talk numbers. In the aftermath of the Covid-induced cycling boom, brands and distributors were riding high. Panic buying had stripped stockrooms bare. Eager new cyclists were queueing up for everything from inner tubes to indoor trainers. So in its naivety, the industry cranked up production to meet demand…..and then the bubble burst.

By the end of 2022, that once-in-a-lifetime sales surge had begun to ebb. But the stock kept coming. Apart from Shimano, who are such a behemoth it takes more than a global pandemic to shift the course of their ship, the warehouses were overflowing with bikes and components.

So in a panic the industry hit the eject button. First 10%. Then 20%, then before long, carbon road bikes with Shimano Di2 were being flogged off at 40–50% under RRP. And it wasn’t just the independent retailers, some of the biggest discounts were coming from the brands themselves, directly to consumers or through official online channels. More than usual the acronym RRP started to mean Recession Reaction Panic!

Let's be honest, some people are loving this. If you're a thrifty consumer in the market for a new bike or an upgrade, it’s a buyer’s market. I’ve seen clients bring in bikes for service that would’ve been out of their reach a couple of years ago.

The impact on local bike shops

Unfortunately, the hidden damage to the industry is that the ones getting squeezed are the independent bike shops and smaller brands. Bricks and mortar retailers have to compete with online giants that are slashing prices they can’t afford to match. Shops still sitting on stock they bought at full wholesale prices a year or two ago are now watching it lose value on the shop floor. Some are being forced to sell below cost just to free up cash and space, and some of the brands aren’t helping. I was witness to a store recently that had back ordered a load of bikes during Covid that didn’t turn up due to supply issues. Assuming the orders had been cancelled the store owner didn’t think about the lack of supply due to the slowing market. Then a truck turned up one day and delivered all of the previous four back orders, all at once. The store didn’t have the physical space to take in the boxed bikes and they were just left on the pavement outside while the delivery driver drove away.

And let’s spare a thought for mechanics too. When the value of a product drops dramatically, consumers often assume the value of services should drop too. I’ve had customers look at me sideways when I quote £50 for a full drivetrain clean—after all, they picked up a new cassette for £29.99 online. The parts may be cheaper, but the labour, the expertise, and the time? That hasn’t changed.

In the short term the current glut of stock has been a win for consumers but if we zoom out, the picture is more complex. We risk damaging the ecosystem that keeps cycling alive, not the brands, but the bike shops. These places are more than sales points, they’re community hubs, workshop spaces, sources of advice, and pit stops for every ride. If the industry keeps pushing prices down online, without supporting local retail, we’ll lose these spaces. And once they’re gone, they won’t come back.

Interestingly some of the online only brands such as Canyon seem to have understood this better than other conventional brands and seem to be investing in creating well supported local stores that can support their customers

Can RRPs be saved? Honestly, not in their current form. I think you should be very suspect of any brand that is essentially marketing this year’s colour scheme. If the brand is marketing its products as if they are disposable, maybe you should consider that when you are buying your ‘dream bike’?

What would I do if I was a customer in the market for a new bike or component today? I would consider the long-term value of service, warranty support, and relationship with my local store. If the model I’m buying is out of date before I’ve finished paying for it, maybe I need to reevaluate what it is I’m buying. In today’s market, the real bargains might not come in a box, they might come with a handshake, a smile, and someone who remembers your name.