Anyone else been priced out of this hobby?

[kl241]

This is funny.

This is nut squeezing at it's finest

Imagine how much MORE they would sell now if the prices were reasonable and attractive enough to get everyone buying impulsively again.
- Henry Ford Economics 101

 

[Uncanny Web-Slinger]

Somebody said something here once. Along the lines of...

1000 people buy a figure at $300 equals $300,000.
2000 people buying at $150 equals $300,000.
3000 people buy a figure $100 equals $300,000.

Bottom line works out the same to the company

 

[krec9]

I loved collecting just tired of the movie licensing that's all tired of batman ironman predator And yea it is going very expensive .

 

[kl241]

So they are only catering to the 1000 people who can afford to stay in this hobby then, hence the lower edition sizes. Pretty sure though there would be more people buying and being completists if the prices were reasonable again. People are being more selective and not buying everything anymore and more than they'd probably care to admit we are seeing people getting out of this hobby and selling off their collections. It's a double edged sword but they are stabbing themselves in the foot with their nut squeezing.

 

[krec9]

So they are only catering to the 1000 people who can afford to stay in this hobby then, hence the lower edition sizes. Pretty sure though there would be more people buying and being completists if the prices were reasonable again. People are being more selective and not buying everything anymore and more than they'd probably care to admit we are seeing people getting out of this hobby and selling off their collections. It's a double edged sword but they are stabbing themselves in the foot with their nut squeezing.

As long as they do there movie licenses they should be fine.whatever happened to the anime video game stuff it's nonexistent now it's a shame.

 

[Iggyrox]

Somebody said something here once. Along the lines of...

1000 people buy a figure at $300 equals $300,000.
2000 people buying at $150 equals $300,000.
3000 people buy a figure $100 equals $300,000.

Bottom line works out the same to the company

Not necessarily. There's more overhead on labor and materials in producing a higher quantity. At those hypothetical levels, they'll make more money selling high for a few than selling low for many since their costs will be lower. Yes they will make the same $300,000 but their net profit (the bottom line) will be much less. It's not just about the money Hot Toys takes in but the money the company also puts out -- mainly labor, materials, licensing rights, and R&D -- which I assume are much higher than what others in the industry spend.

 

[Skywalker(OG)Kush]

Somebody said something here once. Along the lines of...

1000 people buy a figure at $300 equals $300,000.
2000 people buying at $150 equals $300,000.
3000 people buy a figure $100 equals $300,000.

Bottom line works out the same to the company

Yes it does, except they better not lose too many customers.

Another way to look at is, the loss of single customer will result in loss in profit that doubles the other companies on your scenario. Out of all 3 business company c in your scenario is the most healthy, they have a larger customer base a lower price which will make it easier to get new customers and lose less money as a result of customer attrition.

Higher gp margin and larger selling price doesn't always mean that a company is doing better then others. Since selling and administrative expenses may be higher per sale for the more expensive products due to higher sales commissions