WGSH Versus DC Retro-Action: Rate of Inflation

[MIB41]

I think when Paul approached Mattel, their book keepers examined the recent market history of this idea and saw what amounted to a luke-warm reception regardless of character line or price point differences - Those lines included Famous Covers, Silver Age DC characters, and Marvel's Signature Series. All were met with mixed reviews and ultimately died off early in their run. I think when they took a hard look at the numbers, they discovered there was little crossover with new generations. So, basically the collectors were buying these up and few others. This was further confirmed when they examined companies like EMCE and Castaway that had made a meaningful niche in this market while producing considerably smaller numbers.

When the cost/risk assessment was examined, it became apparent the only way to maximize profit was to price them on the high-end, by selling them in limited volumes through fewer vendors. Since EMCE and Castaway had already demonstrated a successful track record at the $20.00 price point, this allowed Mattel to slide in and charge the same amount (even though their production run is much higher and cost per figure considerably less than what EMCE and Castway had to pay). Translation: EMCE and Castaway are charging a retail cost that correctly reflects what they can produce and sell. Mattel is making a considerably bigger profit per figure because their costs are much lower. So it all comes down to greed (NOT market costs). This line will die off, NOT when Mattel starts losing money, but when the profit margin begins to slide. That's the reality of it. It's all about money folks, not what you want. Mattel is just having fun picking the pockets of collectors, because the demand currently says they can do this at little risk to their short term investment.

[ScottA]

I appreciate the effort on these. I have 2 sets of Wave 1 and GA and as soon as they show up at my TRU I will purchase Wave 2. I hope we make it to Wave 20 someday. I have no doubt Mattel will figure out the body problems.

[Zemo]

one more thing: can i use this line? i love it. seriously.

lol, you bet!

[EMCEtoys]

people would be losing jobs faster than I fill my laundry hamper

one more thing: can i use this line? i love it. seriously.

[EMCEtoys]

My man, I give you big accolades for asking what can be done and that you will pass it along. I have all the wave one figs including the GA. I have supported the line all along, I'm just at this point (wave three coming out) that these easy to fix basic problems, like standing , should be finished) I will continue to buy them, but if I was the CEO of Mattel and saw this inferior workmanship, people would be losing jobs faster than I fill my laundry hamper. If not they just don't give a crap.

Fair enough and well put and thanx for supporting the line; I wasn't aware of that and it's really appreciated.

All of these things are heard and I really hope we can prove over time that the advantage of all these communication lines is the ability to have an impact.

[Zemo]

They absolutely were not made for mass market to kids, you're right. I think that's been pretty clear. We're hoping collectors open them up and let their kids play with them.

Your feeling on pricing is spot on as well. However, I'm not entirely sure you're reading all the posting I've done the last week or so, so please look at all my posts and you'll see that efforts are being made.

Thanx

My man, I give you big accolades for asking what can be done and that you will pass it along. I have all the wave one figs including the GA. I have supported the line all along, I'm just at this point (wave three coming out) that these easy to fix basic problems, like standing , should be finished) I will continue to buy them, but if I was the CEO of Mattel and saw this inferior workmanship, people would be losing jobs faster than I fill my laundry hamper. If not they just don't give a crap.

[EMCEtoys]

>Mego sold more than one million Action Jacksons in 1972, one could conjecture that Superman would fair even better.

It’s interesting that they sold so many AJs, considering he was kind of a blip on the toy radar. I don’t remember him being around all that long, and I remember him being cleared out pretty early on. ‘Course THAT’S interesting considering AJ himself was the progenitor for so much toy-ness. I guess he was a success (since a toy that lasted more than a year at the time was considered pretty good) but I’m betting he got overshadowed by later tie-in lines; like the apes, or super heroes.

The new retro toys are in a weird spot: they’re not quite real toys for kids, not quite collectors items. (Toys would be cheaper and more stripped down, like molded outfits and fewer joints; collectibles would probably go the hyper-detail route, since they wouldn’t be intended for a lot of manhandling.) The PRIMARY audience seems to be older collector types.... but older, collector types interested in toys for the kids. It’s like Mattel wants to see what wins out.

$20 is a weird price point: it’s a NOTICEABLE amount, precluding impulse buys; but it’s low enough that someone wouldn’t mind shelling it out every month or so. I could see it going either way, depending on who Mattel decides the audience is: coming down as runs increase if they’re considered toys; going up as detail and tooling is increased if they’re considered collectibles.

Don C.

For the record, an excellent observation and an accurate description.

[EMCEtoys]

There is no way these were made for mass market to kids. Kids today don't even know who half these characters are. It's niche market that they will make a few bucks on, good for them for doing it. I personally think the price should be about 15.00, but what do I know. Like some else said, kids are paying 9.99 for a lump of metal or plastic.

I do believe niche or not, at 20 bucks they should work out the basic problems, lighting fast. That's just poor business and leaves a bad taste in peoples mouths.

They absolutely were not made for mass market to kids, you're right. I think that's been pretty clear. We're hoping collectors open them up and let their kids play with them.

Your feeling on pricing is spot on as well. However, I'm not entirely sure you're reading all the posting I've done the last week or so, so please look at all my posts and you'll see that efforts are being made.

Thanx

[EMCEtoys]

I mean this statement says it all. " we will string them along as long as we can"

So really if you don't like what the product is now, don't count on it changing, ever.

Just managing expectations. Don't twist my words. Wanna talk directly? call me at 516.931.1483, as I've invited anyone who thinks we're not adequately communicating on this forum.

[Zemo]

This line will not make it past 4-5 waves at TRU. imo

[Doc]

1974 Mego figure. you say $3, I've seen sales as low as 99 cents but we'll give you $3 although I expect most sold in the $2 range.
2010 $3 figure: $13.28


Rich

Thats about (actually he paid slighty less) what my buddy was paying to get the retro Trek and POTA. into his comic store. So yeah he was still making a profit at $15... So $20s yeah right

[Zemo]

And there's no guarantee that all or any of the comments will actually make it into the next version of the body.

I mean this statement says it all. " we will string them along as long as we can"

So really if you don't like what the product is now, don't count on it changing, ever.

[Zemo]

The price is not what's bad. It's the quality that will hurt the line. Obviously if they are not in any hurry to fix the basic problems, their target is not kids, of even parents that buy them out of nostalgia for their kids.

Really, your talking about a figure that can't hold a pose.

For me that's ok, cause I can fix it and love the costume and heads. But to the average Joe, he will be like ***!

[jimsmegos]

I'm made some of these same points from time to time but looking back I realize that in so doing my statements were actually offensive to those who took the risks involved in doing these things. As a guy who knows all too well about creating your own "commodity" and working my *** off to turn a profit (even breaking even is a nice return sometimes) to those who blast the price you have two options...
1. Don't buy the good or service. -OR-
2. Shell out the cash yourself and in turn take your better priced item to market and dominate it with your lower prices.

Either way, best of luck.

The reformed price complainer,
Jim

[Astronut]

Wow! Someone who's not afraid to use logic! Yeah, isn't that what the inflation calculator was created to do?

I have been saying for *years* comic books should be priced at around a buck. That industry priced itself right into the toilet. And they wonder why kids don't buy them. I think the current average for a new issue is $3.99 if I'm not mistaken. *** it's laughable. F/C magazines have held at around $5 for *years* --- theyre larger format and they have a ton of pages in them, hundreds. I worked in print publishing running F/C newsstand magazines and i know pulp is expensive. But $4 for a comic book?! Seriously, an item at retail has what is called perceived value, and if the pricepoint does not line up favorably with the perceived value then the item languishes on the shelf. It's that simple. Sadly it's what I fear is in store for the Retro-Action line.

Unfortunately you picked two bad examples of items that are far overpriced or a volatile commodity.
It wasn't that long ago that gas dropped down to almost a buck a gallon so where would that fit in your example?
Comics are vastly overpriced for their value.

If you use the CPI Inflation calculator:
1974 comic book 25 cents
2010 dollars: $1.11
and that's about what they are worth.
1974 gallon of gas 53 cents
2010 dollars: $2.35 and gas is $2.60 around me not $3.50
1974 Mego figure. you say $3, I've seen sales as low as 99 cents but we'll give you $3 although I expect most sold in the $2 range.
2010 $3 figure: $13.28


Rich