Really doubt that any local bike stores are trying to sell entry level cyclists $11,500 Trek Project One’s. For people that ride several hours a week, have the cash, and want some pride of ownership, it is not unreasonable to spend $1,500-$3,500 on a bike.
It is really no wonder why there is such a large market for super high end bikes. I would be willing to say that a large portion of the road cycling enthusiasts are middle age, educated, professional men, with cash to spend.
Now if you go to a LBS as casual recreation cyclist and they tell you it is not even worth buying a bike under $5,000 then they most definitely are full of shit.