Listers:
This weekend at the Sunshine Models Meet in Naperville, some
friends expressed a concern that I have not been very active on
this list recently. I assured them that I was traveling and busy
with research, and the list seemed pretty quiet. I won't place
information I glean from my work on the list just to put it on the
list. I am not being selfish, this is just not the right media.
I am investing time, money, and taking a risk to bring new
products to market. Also, I had a hand in helping to determine
matches of two of two colors to be produced in the new limited
run line, and some conversation of the years of differing
methods to get special products to market, I want to share some
thoughts.
Each of us is guaranteed our rights to opinion and speech, so
this is not a rebuttal to others opinion. If you choose to not
purchase a product for any reason, that is your choice.
Manufacturers also make choices. We sometime forget that
manufacturers are in business to make money. With the
exception of tests, no product comes to market without the idea
that it will make money. That is not a bad thing, that is how our
economic system functions.
Other products never come to market, many more ideas never
make it to the point of serious discussion. Our hobby is very
speciallized, and each product is in a niche, or it fails.
I can give you one valid reason why the new colors are not part of
the regular line; the dealers did not want to give the manufacturer
more display space. Let's think like a retailer for a minute. I have
so many square feet of area to display product. I want to
maximize my profit per foot, square , cubic, whatever. The idea of
running a hobby shop is to make money by selling to and
satisfying customers by moving product. The stores that close,
and recently many have, don't move enough product or earn
adequate margin. So, to start a product line with twelve items,
and continuously expand the line by offering more choices of the
same product does not please a retailer. If the product was
shoes, guess which colors would be made, or stocked?
Equating the price of a very special paint product to a gallon of
house paint is an inadequate analysis. It may be an attempt to
prove a point, or show shock at the price of the special product,
but it does not define the issue.
I agreee, the cost of the hobby is increasing. But, why? It is
increasing because the modelers are demanding better and
specialized products. We are causing it. So lets not blame the
wrong guy. All these guys are trying to do is meet the demands
of a few modelers that ask for a special product.
We can purchase a plastic freight car made with fifty year old
dies and detail, or a state of the art product. It is your choice.
A new line of plastic passenger cars is being well received by
hobbyists, and the cost is reasonable. Why? Expect many cars
for many years. Several approaches to return on investment
exist, and different manufacturers make differing choices.
$18 buck for a special paint color? You have a choice, buy it, mix
your own, or wait for an importer to satisfy your wants. Engine
black has been a good seller for a couple of guys for decades.
Guess who makes more money? It is not the guy with the
special niche, one time product. Special products generate
special prices in any industry. Our hobby is no exception.
Well, I probably said too much. I know the people involved and
their values. I was surprised the first time I heard the retail price,
but after some thought, I realized the small quantity of product
justifies the price.
Happy Modeling,
Ed DeRouin
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