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Old 05-02-2007, 04:57 PM   # 31 Quick Link (permalink)
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Re: FM retail prices (way) up?

Randy,

On the other hand, why should I spend $105 on the new FM Raptor when I can get it for $65? I don't think you would either.

Best Regards,
Stephan

Stephan,

Thank you for the polite reply...it made me smile.

Regarding to your above statement...I actually have an answer that may surprise you.

It all goes back to investment dollars.

You see...if I sold $105 items for $65 my business would have folded 32 years ago. More on my overhead and why my customers like it that way in a bit. So...I have many many customers that buy $105 for $105 or occasionally slightly less. They are not rich, and they are not ignorant (this is obvious, I'm only having fun mentioning it). And my customers think the way that I do. Because they invest in order to gain the best possible customer service (in this case this has a great deal to do with their access to items displayed in a nice air conditioned and carpeted, brightly lit showroom in a very nice retail center that is easy to access near their neighborhood where they can view models and have instant gratification in buying and also make conversation face-to-face about the hobby, etc.

I once had a customer sternly warn me that I had a Corgi item priced way below the retail price. Some customers would have not said a word and taken the huge benefit. Why did this happen? More in a moment.

I personally collect ice hockey memorabillia...and most of them sit waiting for me in a similar setting 1,000 miles away in a store on Michigan Avenue in Chicago, IL. I visit there no more than once a year but that's the way I like to buy. For full price. Because I know they re-invest and the result is the best possible selection and CS. Not just good...THE BEST.

My customers also know I will re-invest more than most internet warehouse stores. Which means if I "sell out" 12 of a model one year I will likely buy 16-18 of a similar model and theme the next year. If I don't sell a model particularly well...I will clear it for about 40-50% off and not re-order in that genre. In the case of TFM's new pricing policy I will simply wait for the item to be discontinued before I clear it as all bets are off on discontinued items. My displays and inventory is built to my customers satisfaction (and to tell you the tuth...a little bit to my satisfaction as a collector myself).

Bottom line is...celebrate diversity...understand that we all want different things and each will not always be 100% happy with every circumstance. Including myself.

The above comment by you on pricing also points back to the fact that discounters are being warned that if TFM dealers continue to discount they will lose their dealership. This is entirely based on a business plan that is suited to maximize re-investment dollars for everyone involved. This also insures that the only advantage that a retailer can gain over other retailers is service and selection. No longer will either be even slightly sacrificed to gain volume...and service and/or selection will improve, guaranteed. This plan may or may not need some tweaking...but the retail price will be tweaked before the discounting policy will be changed...that you can take to the bank.

It is this point that sometimes the subject of "price fixing" comes up. remember...it is not price fixing because dealers can discount if they want...they own the product. But manufacturers have a right to cease future services to any retailer for any reason.

TFM is not alone in enacting this policy...one of the most successful collectible manufacturers of all time...Department 56 http://www.d56.com has a very very similar policy...and it works very well for everyone...retailers and collectors alike.

By the way...one advantage of being a TFM Preferred Partner and working so closely with TFM on the above is that you can earn an exclusive model. Hightower Collectibles has earned one exclusive recently with more to come in the diecast automobile division of TFM. There has never been an exclusive dealer Armour model...but that might change soon.

Best Regards,

Randy
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Old 05-02-2007, 05:25 PM   # 32 Quick Link (permalink)
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Re: FM retail prices (way) up?

Stephan,

Thank you for the polite reply...it made me smile.

Regarding to your above statement...I actually have an answer that may surprise you.

It all goes back to investment dollars.

You see...if I sold $105 items for $65 my business would have folded 32 years ago. More on my overhead and why my customers like it that way in a bit. So...I have many many customers that buy $105 for $105 or occasionally slightly less. They are not rich, and they are not ignorant (this is obvious, I'm only having fun mentioning it). And my customers think the way that I do. Because they invest in order to gain the best possible customer service (in this case this has a great deal to do with their access to items displayed in a nice air conditioned and carpeted, brightly lit showroom in a very nice retail center that is easy to access near their neighborhood where they can view models and have instant gratification in buying and also make conversation face-to-face about the hobby, etc.

I once had a customer sternly warn me that I had a Corgi item priced way below the retail price. Some customers would have not said a word and taken the huge benefit. Why did this happen? More in a moment.

I personally collect ice hockey memorobillia...and most of them sit waiting for me in a similar setting 1,000 miles away in a store on Michigan Avenue in Chicago, IL. I visit there no more than once a year but that's the way I like to buy. For full price. Because I know they re-invest and the result is the best possible selection and CS. Not just good...THE BEST.

My customers also know I will re-invest more than most internet warehouse stores. Which means if I "sell out" 12 of a model one year I will likely buy 16-18 of a similar model and theme the next year. If I don't sell a model particularly well...I will clear it for about 40-50% off and not re-order in that genre. My displays and inventory is built to my customers satisfaction (and to tell you the tuth...a little bit to my satisfaction as a collector myself).

Bottom line is...celebrate diversity...understand that we all want different things and each will not always be 100% happy with every circumstance. Including myself.

The above comment by you on pricing also points back to the fact that discounters are being warned that if TFM dealers continue to discount they will lose their dealership. This is entirely based on a business plan that is suited to maximize re-investment dollars for everyone involved. It may or may not need some tweaking...but the retail price will be tweaked before the discounting policy will be changed...that you can take to the bank.

It is this point that sometimes the subject of "price fixing" comes up. remember...it is not price fixing because dealers can discount if they want...they own the product. But manufacturers have a right to cease services to any retailer for any reason.

TFM is not alone in enacting this policy...one of the most successful collectible manufacturers of all time...Department 56 http://www.d56.com has a very very similar policy...and it works very well for everyone...retailers and collectors alike.

Best Regards,

Randy

Randy,

well I never wanted to leave the impression that I am not polite.

Well, okay. You have a point there. Have to admit that. I think it comes down to the customer. There are the ones you mentioned who only buy local, want to see the product and maybe want advice. I see it from a different angle, I buy worldwide, I do not need to see the product in a cabinet and I get all the advice I want here at TMH or other sources. ;-) So for me its natural to seek out the best offer I can get. That beeing said I personally do not care much what an individual retailer has in stock or not. If one retailer does not have the model I seek I ask the next one. And I know where to get the really rare models for a decent price.

On the other hand I really appreciate good customer support as anybody else. An example: I saw one guy selling limited edition, german market only FM models online. We wrote some e-mails back and forth and ended up chatting on the phone about the market, prices and so on. Understandably he was able to make better prices than a store retailer. Which is, as mentioned above, very usefull since I seldom fall into the "store customer" category. So I ended up buying 4 planes for a good price and both parties were happy. He even had the models shipped to me before my payment arrived, and that on our first deal! That's perfect customer service to me!

And right! I like diversity... You and I simply have different perspectives since we have different goals (you seller, me buyer) in mind.

You are right, I see these extremely low prices with a laughing and a crying eye. On the one side I like to make a good deal, on the other side I see my collection not only as one of my hobbies but as an investment. And prices which are too low will hurt everyone in the long run...

The part about the exclusive models is VERY interesting to me. I have quite some limited, exclusive ones in my collection and want some more. Hm, what about the Armour F/A-18C Hornet VFA 113 "Stingers"? Wasn't that one produced for a FM retail event? I saw one shop selling quite a lot of them on the bay and thought they were produced for his shop.

Best regards,
Stephan
 

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Old 05-02-2007, 05:37 PM   # 33 Quick Link (permalink)
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Re: FM retail prices (way) up?

I've run this thru the Ara-meter and I'm guessing B-29. Been wrong before, though.

EGAD! Can you imagine! With the new price points, new postal rate increasees, and structural supports I'd have to add to the house for that one -- that's one "big" expensive project indeed! But, like the 1/16 FOV tanks that I think are awesome but would never buy myself (space, and $) I'd love to see it happen...

I for one am glad to hear that FM is scaling back production and apparently, looking at "upping their game" from Collect's info. (Though I am slightly disappointed to discover I am most likely a middle-class collector... my wife thinks I'm in the top 1% -- maybe I can use this to my advantage... hmmmmm.)

I've evolved from a quantity perspective to a quality perspective over the last year or two. When I first dove into this hobby I bought anything and everything that was decent, and was a real sucker for clearance sales (still am). Now, I want quality and collecting value (I like limited runs but let's not start that debate again ). Now I'd rather have one REALLY REALLY good model than a half-dozen so-so's. My display space is pretty much maxed out so anything new that comes in sorta is starting to mean somethign old needs to go out (or at least should). I like what I'm hearing about the new "TFM" but I'll believe the new quality reports when I see it -- and I certainly won't pay for the possibilty now with current models. If their product matches their prices in 2008, I'm sure I'll dig deep for a couple.. (for now I'm playing the part of the vulture and picking what I can from the clearance bins. I for one, still say the prices for the fighters and small jets are too high)

Bring on that B-29! (Though I'd much rather see one in 1:72...)
 

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Old 05-02-2007, 05:40 PM   # 34 Quick Link (permalink)
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Re: FM retail prices (way) up?

Randy,

well I never wanted to leave the impression that I am not polite.



And right! I like diversity... You and I simply have different perspectives since we have different goals (you seller, me buyer) in mind.

Best regards,
Stephan

Don't forget...I'm a buyer too! I collect more than a few things that we do not get retail! And I am very experienced at buying things...just let me tell you! LOL!
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Old 05-02-2007, 05:44 PM   # 35 Quick Link (permalink)
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Re: FM retail prices (way) up?

Don't forget...I'm a buyer too! I collect more than a few things that we do not get retail! And I am very experienced at buying things...just let me tell you! LOL!

Yeah, whatever...
 

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Old 05-02-2007, 05:48 PM   # 36 Quick Link (permalink)
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Re: FM retail prices (way) up?

Hey! Borderline impolite again!
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Old 05-02-2007, 05:52 PM   # 37 Quick Link (permalink)
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Re: FM retail prices (way) up?

Hey! Borderline impolite again!

ROFL!

I think sometimes you do want to misunderstand me.

But I like your sense of humor

So we don't have to duel, yet.
 

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Old 05-02-2007, 07:46 PM   # 38 Quick Link (permalink)
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Re: FM retail prices (way) up?

It is ONE HUGE PROJECT that will make a very big statement for diecast military aviation fans. Unfortunately...the project is...and will only get much more....expensive...as it is eventually tooled and released. No way around that.

I've run this thru the Ara-meter and I'm guessing B-29. Been wrong before, though.



or what about a B-52.... 25 lbs of sweet diecast!
 

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Old 05-02-2007, 07:54 PM   # 39 Quick Link (permalink)
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Re: FM retail prices (way) up?

Hmm. Not quite that big fellas. LOL.
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Old 05-02-2007, 07:55 PM   # 40 Quick Link (permalink)
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Re: FM retail prices (way) up?

A B-29 in a 1:48....Hummmm Well that be one sweet deal but man that thing would be heavy too.
I have to build a special area just for that bomber to fit in here.
The price would be out of this world.
JP
 

George Preddy was......Just the greatest fighter pilot who ever squinted through a gunsight.
He was a complete fighter pilot.......Colonel John C. Meyer Deputy Commander of the 352nd.

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