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pretre wrote:a lot of quoting

That's a lot of quoting to still avoid answering the question of:

If reducing single item profit by 20% results in selling more than 20% more product, then what is the better business decision?

Veteran Sergeant wrote:If reducing single item profit by 20% results in selling more than 20% more product, then what is the better business decision?

If you sell 10 items, each with £10 profit:

At "full profit", you make £100 profit

At "20% less profit/item", you make £8 per item, but you sell 20% more items (12), so you make a grand total of £96 profit.

However, a lower price per unit can engender good will and other non-tangible benefits that cold hard profit cannot get you. For example, I now go out of my way to try to turn people onto other games rather than GW because of the companies actions (including their stupidly high prices). Also, rather than buying their product, I've sold 4 entire (rather large) armies, which is several £1,000 that GW will not be getting from other customers (assuming they bought new, either direct from GW, or an indy store). This money has then gone on to fund direct competitors to GW (or at least, other model/game companies).

GW models are expensive, sure, but look at their quality. Comparing their figures to other makers of similar quality products (like PP) you see the same thing in the price tag. I'm not offended by the price tags and neither should any adult with a job.

Do i want things to be cheaper? Of course, who wouldn't? But paying for quality isn't something I'm going to bitch about.

reducing it to 75% would be reasonable these days I think.

£20.50 for 10 Warriors or whatever basic troop is a bit overmuch I think.

£15 for basic troops is somewhat more reasonable.

It's still a lil high, but it fits in closer with actual inflation rates than £20.

Frankenberry wrote:GW models are expensive, sure, but look at their quality. Comparing their figures to other makers of similar quality products (like PP) you see the same thing in the price tag. I'm not offended by the price tags and neither should any adult with a job.

Do i want things to be cheaper? Of course, who wouldn't? But paying for quality isn't something I'm going to bitch about.

Except there are other 28mm ranges that are of an equal, if not greater, quality where you get far, far more models for the same, or even lower, price than you'd pay for GW stuff. For example, Victrix Napoleonic plastics are of a decent quality and come in boxes of 50+ models for about £20. Perry Miniatures are even better in terms of quality than GW, you get more and for sometimes a cheaper price. Warlord Gaming make rather good 28mm models for a decent price. Whilst their Bolt-Action models can be an absolute ****ing **** in the **** to build, the detail on them is really, really good. You also get about 20-25 plastic models in a box for just over £20.

GW used to be the best company for 28mm models, but a lot of other companies have caught up and even excelled. At Salute! in London this year I saw miniatures by companies from all over the world that were staggeringly beautiful and of a good price.

On a personal note, I won't buy GW plastics, metals or finecast at the moment. I will buy Forgeworld but thats because a) I'm doing DKoK and b) the quality far surpasses standard GW models. Reason I won't buy GW models is because of the ridiculous prices, even when you buy them at discount from an independant stockist.

Eilif wrote:Also, asthetic improvement is not always justification for a raised price... however I would argue that movies have gotten drastically better technically

So does quality improvement make a difference, or not?

As for other miniature lines, yes, there are people out there who make fantastic minis now, compared to in the past. Now, let's see them make a game I'd be willing to play. It's one thing to have nice minis, it's another to have a comprehensive franchise that has lots to offer, including what to do with the minis.

Veteran Sergeant wrote:

pretre wrote:a lot of quoting

That's a lot of quoting to still avoid answering the question of:

If reducing single item profit by 20% results in selling more than 20% more product, then what is the better business decision?

And yet you still miss the point even when I showed it to you in your own words.

To answer your most recent question, the best decision is unknown because retail price reduction in one location is not indicative of the whole enterprise. Feel free to say I didn't answer your question again and go off on a tear.

SilverMK2 wrote:

Veteran Sergeant wrote:If reducing single item profit by 20% results in selling more than 20% more product, then what is the better business decision?

If you sell 10 items, each with £10 profit:

At "full profit", you make £100 profit

At "20% less profit/item", you make £8 per item, but you sell 20% more items (12), so you make a grand total of £96 profit.

"More" than 20%. Redo your math. And if you come back with 20.01%, you know where you can stick it. Especially considering the original figure was 100% more.


Automatically Appended Next Post:
Eh, forget it, You're just a troll.

Veteran Sergeant wrote:Eh, forget it, You're just a troll.

I feel that a 15-20% drop in price on some items is a good idea. I am happy to pay $37.50 for a box of tactical marines because they are my personal favorite to assemble. However, other items, such as the BT chapter upgrade and land raiders are overpriced. The biggest problem in my opinion is the huge difference in price between vehicles based on the same chassis. The jump from rhino to razorback is reasonable, but the 15 dollar jump when going to preds and vindicators seems a bit much.

Even if they did not do price reductions on any of the items currently available, I think that they should have very small "starter" sets for each army at a cheaper price like Privateer Press does. It would make it far easier for new players to get in the game. If they keep the current battleforces, put starter rules in. I don't intend to provoke a PP vs. GW discussion, but I do believe PP kills GW in pricing because my armies are at the point where a $15 purchase does not benefit my Templars, but I choose to spend it on Menoth goodies simply because I can get more in game terms for less. For example, I would need to buy another LRC to make another squad of assault terminators useful, but I can buy a solo to support my Menoth and benefit my army for $15 or so rather than $116

Yeah, let's save PP vs GW for another thread. It's been done to death.

Something that frankly I only just twigged but don't get..

I know that the skyray boxset is £31 and has th devilfish/hammerhead/skyray in, even though the hammerhead is £31 on its own.

BUT the devilfish is £20.50 and the hammerhead weapons sprue (the only difference between the devilfish and hammerhead kit) is £8.20, meaning youcan make a hammerhead for £28.70...

Same chasis for all.. Some of GWs pricomg conventions are wacky as hell...

I'd say 20% sounds about right to me.

Someone mentioned higher quality mini's as justification for the prices. I'd like to point you to the current finecast shenanigans thread and follow up by asking "are they really providing better detailed mini's?"

if you compare GW's quality of miniatures to other companies, specifically those that have equal or greater quality, and you will find that GW is pretty reasonably priced comparatively.

And I think all the Finecast hate is a little undeserved. The first batch of miniatures was severly flawed because of some issues with the casting process. Everything after that has been pretty good. I think it is still being talked about because people are tossing around flawed models so people are under the illusion that there are tons of problems. The local FLGS's Finecast models have all been perfectly fine.

As an Australian customer, I'm not going to start buying from them unless they reduce their prices by something in the region of 40 of 50%

Whether this happens is a different matter entirely, but seriously, you'd have to be a real fool to buy in-store when you can get it for a third the cost online.

Grey Templar wrote:if you compare GW's quality of miniatures to other companies, specifically those that have equal or greater quality, and you will find that GW is pretty reasonably priced comparatively.

And I think all the Finecast hate is a little undeserved. The first batch of miniatures was severly flawed because of some issues with the casting process. Everything after that has been pretty good. I think it is still being talked about because people are tossing around flawed models so people are under the illusion that there are tons of problems. The local FLGS's Finecast models have all been perfectly fine.[/quot]

Gunna have to diss agree with you here. Just because your locations are flawless doesn't mean they all are. All the stores in my area are flawed.

I say the items should be dropped by about 35 to 40 percent. Its way too expensive as it is right now. I can't believe that 3 Baal Predators retail for about 150 right now..It should be worth about 90 or 80.

The thing to consider is that GW is currently selling lots of product despite high prices, but many outsiders consider the hobby too expensive to start. This means that price elasticity of demand is highly elastic to newcomers and highly inelastic to experienced players. Therefore, an increase in price will result in a loss of profit from new players but a gain from older players. A solution to this problem is to keep prices as they are, but offer a discount when you purchase large amounts(they already do this with AoBR, but I mean treating it as a formula Ex. buy $150 worth of merch and get $30 off). By doing this, GW encourages purchasing new armies, which have larger costs. Once an army has been purchased, the inelastic returning customer demand makes purchases of one or two units more expensive. This both raises profits from both groups and brings more new players and big spenders to the game.

I would appreciate a price drop to the price FLG stores sell it at, so that's like 20% less I believe? Their are other smaller companies with less popular games that make just as good of quality of miniatures but sell them for much less. So I don't buy the excuse that the price deserves to be high b/c of the quality. The real reason they sell for so high is b/c they can and people who have the income and play and like the game are willing to pay that much for them. I kinda dont have the income for multiple armies or to build the best right away, its taken me nearly 2 years to finish my first. So I stand by the point made before that their high prices are not so bad for veteran players, but new players. An if you do not have other friends crazy enough to invest a small fortune on a game they have never played, like me, you have to wait until you have to pay enough money to have a competitive build around 1250 points and a good painting ability since you can not enter any FLG events w/out a painted army around these parts :(

So my suggestion might be better price balancing on their units, so that the essential units in a force are cheaper. An also make it so that obscure units, like krootox or wraithguard or stingwings or kroot hounds are not so ridiculously overpriced. So my main beef is not that all units are overpriced, tanks and forgeworld models seem pretty well priced to me. But $15 for one wraithguard model when you need 5-10 for a unit? Im sorry but thats F****** ridiculous.

I'm sure I've seen a more pointless poll, but I can't think of one...

Lobukia wrote:I'm sure I've seen a more pointless poll, but I can't think of one...

I'm sure I've seen a more pointless post, but I can't think of one...