TLDR;
- Goods and services now accessible by everyday consumers are of extremely good quality.
- The impact of innovation faces marginal returns in both supply (ability of the manufacturer to innovate) and demand (ability of the consumer to adopt new innovations)
- Still, consumers like to splurge a little on quality products. #feelsgood.
The circuit breaker has been a time of both contemplation and new hobbies.
As one of the few permissible outdoor activities, I have begun a habit to run more in the nearby park and dusted off the old family bike (Ladies bike; my sister’s) to feel the wind in my hair, the rush of nature… whilst being legally compliant of course.
And so, with a renewed interest in cycling and an envious eye on the cool-looking drop-down-handled shuttling past me (perched on a ladies bike) I started to look for a road bike of my own.
As per my usual habit, I’m averse to window shopping. Instead, I prefer to pour hours of research into the “best” product. Best for my needs. Best for my budget. Best for long-lasting reliability. I’d describe it more as an art rather than science. Largely driven by logic, but more often enabled by late night ruminations - before ultimately closing my eyes and clicking “buy”.
and the winner is….
a Giant Contend 2 (black, small), in this case.
But the decision was ultimately determined by forces out of my control (availability).
As COVID ravaged the world, there appeared to be a worldwide shortage of bikes. Perhaps driven by health reasons, a desire to get outdoors, or government encouragement (e.g. in the UK) - cycling became a hugely popular hobby during this period. Popular models were completely sold out, common sizes were unavailable and even the choice of a colour was a luxury.
As an aside- pets are another area that saw increased interest, though I can only hope that their new found owners are just as thoughtful and responsible as our way of life reverts back to the norm. Puppies are not as easily discarded as Bikes.
But the weighing of options got me thinking…
What’s the difference?
For a buyer like myself - who seeks quality, performance, while making seemingly careful, delicate trade-offs - it was a struggle to spot differences between entry-level road bikes. Keeping in mind too, that each of the major brands I looked at (again, balancing between availability, price and quality) are of repute. It prompted me to think about the diminishing returns after years of innovation and product development.
It is unfathomable perhaps a decade or two ago, to see the sheer amount of quality and technology present in an “entry-level” bike, at a relatively affordable for any enthusiast.
There is still room to innovate - for sure. Manufacturers of all kinds of products are competing to produce better things. To me, this rule largely applies for the top-of-the-line range for customers looking to eke out every drop of performance they can squeeze from their tools.
But for the everyday guy - there is a huge amount of variety and astounding level of quality for many entry level products. The differences were imperceptible to a layperson like myself , all comparably priced. Is there a race for such manufacturers to price it to zero? Not necessarily. I see these as relatively advanced goods that retains considerable value in intellectual property, and able to be priced for consumers (such as myself) willing to pay for quality.
It is perhaps in situations like these that price is dictated by passion. The threshold and willingness-to-pay set by the amount of “thrill” and “glee” a first-timer feels. A child-like desire to play with a new toy.
Practically, customers won’t go overboard to get a professional-grade product, but neither would they scrimp. If anything, a reasonably high price justifies the customer’s passion. That
Yes - I am serious about this new hobby of mine. The premium price I have paid motivates me to get my money’s worth.
Should I ever get into a new hobby purchase, perhaps I should ruminate less and close my eyes for longer. Surrender earlier to a predetermined fate, instead of scrutinising the boundless sea of online reviews to guide my hand.
After all, what’s the difference?