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Are there opinions here?

Europe crisis made the money of my worth less, that means im not buying GW products and giving preference for cheaper alternatives, so GW is receiving less money. In this example it is affected indirectly...

I think it affect a lot...

The Dwarf Wolf wrote:Europe crisis made the money of my worth less, that means im not buying GW products and giving preference for cheaper alternatives, so GW is receiving less money. In this example it is affected indirectly...

I think it affect a lot...

Thats odd... the Euro to the Dollar has seen a drop, but the Euro to the Real has seen a rise. Is the economy tanking down in Brazil?

Less money around, less people buying, lower stock market values sprobably losses along the line for GW stock, so yes, yes it dose. They seem to have got off lightly, but the will have been affected, everyone has.

Without knowing anything about the Euro crisis, I do have the hope that the British Pound drops down to about 1:1 with the US dollar so that I can mass order Forgeworld without taking out a second mortgage.

GW have gone on the record before to state that economic conditions do not affect their bottom line so I guess that is your answer there.

filbert wrote:GW have gone on the record before to state that economic conditions do not affect their bottom line so I guess that is your answer there.

Which makes about as much sense as the Bailout the US did a few years back.

If the economic condition is such that people have less money for entertainment, then surely GW's sales will reflect that. Now their response would likely be a price hike to offset volume with higher margins.

I don't think any business is an island. The only business that will still make money regardless of an economy would perhaps be medicine. Doctors and nurses will always be in demand. Toy soldiers not so much. I'm pretty sure that if the US had a depression as bad as 1929 that GW would end up closing almost every B&M store stateside.

Aerethan wrote:

filbert wrote:GW have gone on the record before to state that economic conditions do not affect their bottom line so I guess that is your answer there.

Which makes about as much sense as the Bailout the US did a few years back.

If the economic condition is such that people have less money for entertainment, then surely GW's sales will reflect that. Now their response would likely be a price hike to offset volume with higher margins.

I don't think any business is an island. The only business that will still make money regardless of an economy would perhaps be medicine. Doctors and nurses will always be in demand. Toy soldiers not so much. I'm pretty sure that if the US had a depression as bad as 1929 that GW would end up closing almost every B&M store stateside.

Bingo. Luxury items get hit just as badly by economic downturns. Town my mom lives in is a tourist town. When the crash happened in 08/09 and the michigan auto industry tanked, everything in my mom's town tanked as well, including the Indian casino.

When it's a question if you'll be putting food on your table, or gas in your car, money to buy warhammer items is the last thing on your mind.

It is for this reason that I stockpile models, so that when I can no longer afford to buy, I will paint up all that I have still in the shrink wrap.

I wonder how many infantry I have on reserve...

The real world doesn't affect the decisions or views of the higher GW management.

They will have been affected at least slightly, maybe more, every large business has. They can claim it does not affect them all they want, but it does, when people have less money to spend they dont spend less everywhere but in one store now do they.

Kroothawk wrote:The real world doesn't affect the decisions or views of the higher GW management.

I'm sure people said that about Lehman Brothers and most of Wall Street as well.

I think that, if the economy took such a turn for the worst, that Kirby and Wells would start noticing real quick. No one is going to bail out a toy soldier company.

I think that GW mean that since they have broadly maintained their Turnover & Margin consistantly over the period they feel they are riding the storm without much change.

From a customers/gamers PoV price rise and indicative sales information might indicate otherwise.

The City seems to feel they are doing well enough as their price is holding well enough off of the back of better than expected revenues compaired to other retail chains and the amount of cash/stock they hold. From an investors PoV they seem to be doing better than their contempories.

I suspect the truth is somewhere in between.

IMO:
GW are affected, because people still want to play wargames but are looking for cheaper alternatives. Queue Mantic, Dust, Malifaux, PP, etc bursting onto the scene with cheaper minis, claiming free market share.

Kroothawk wrote:The real world doesn't affect the decisions or views of the higher GW management.

Not true, they'd definitely think about taking advantage of a boom.

Spot on Trasvi.

Well that is what is happening around my neck of the wood.

In Aust we haven’t been to badly rocked by the Economic crisis yet.

GW prices are way more expensive down here than in the Northern hemisphere.

People are just branching out and trying new things.

We have a bit of a buffer with our exports, it's when places like China start to fall that we'd likely notice a harder hit.

Some EU countries have a very high unemployment of the youth, up to 50% in Spain or Greece. This will certainly affect the living in the next decades and in particular it will affect sales.
However, not sure how popular GW is in the EU countries other than UK, Germany, and France.

Well, can't be too bad as it is over here in the US...before our recent president I was able to get Forgeworld cheap, now I pay double.

GW is secure.

They have a good tie in with some serious corperations that are not into the taking it in the hindquarters variety like your average joes are.

Do your homework, and you won't worry about your precious.

I don't think any business is an island. The only business that will still make money regardless of an economy would perhaps be medicine. Doctors and nurses will always be in demand. Toy soldiers not so much. I'm pretty sure that if the US had a depression as bad as 1929 that GW would end up closing almost every B&M store stateside.

We have and they did.

There are no Games Workshop stores anywhere near the east coast.

Avrik_Shasla wrote:Well, can't be too bad as it is over here in the US...before our recent president I was able to get Forgeworld cheap, now I pay double.

Not to be a prick, but your comment is wrong. You're actually getting more bang for the buck with FW items now.

http://www.x-rates.com/d/USD/GBP/hist2007.html
http://fxtop.com/en/imghisto.php?C1=GBP&C2=USD&A=1&DD1=21&MM1=06&YYYY1=2007&DD2=21&MM2=06&YYYY2=2012&LARGE=1&LANG=en&CJ=0

Gamble wrote:

Avrik_Shasla wrote:Well, can't be too bad as it is over here in the US...before our recent president I was able to get Forgeworld cheap, now I pay double.

Not to be a prick, but your comment is wrong. You're actually getting more bang for the buck with FW items now.

http://www.x-rates.com/d/USD/GBP/hist2007.html
http://fxtop.com/en/imghisto.php?C1=GBP&C2=USD&A=1&DD1=21&MM1=06&YYYY1=2007&DD2=21&MM2=06&YYYY2=2012&LARGE=1&LANG=en&CJ=0

Heh, Gamble, you're definitely not the one being a prick.

"Can't be too bad as it is over here in the US"... first of all, this statement would make a second grade grammar teacher weep.


Edited: Edited out possibly irrelevant statement, giving Avrik the benefit of the doubt and assumed he was talking about Forgeworld prices specifically and not economics as a whole.

I will say that unless you had some magical secret discounter, you couldn't've been paying less for Forge World before 2008, as I'm pretty sure the pound has been weaker against the dollar the past few years, so Forgeworld should be actually a bit cheaper. See the charts above.

wuestenfux wrote:Are there opinions here?

Very much so. Go out and buy 3 fliers right now so they don't go under!

(In their last 3 Annual Financial reviews, they basically broke even or had minimal gains from the previous years. Sales are dropping, price increases holding the over all profits level. Up to you to debate the whole Price Increases needed or not topic.)