Mattel Explains Retro-Action in Discount Chains

[MIB41]

I'm happy Mattel is staying with it and allowing more characters to come out. We're living in unique times my friends.

[starsky]

probably cost them $5 to make the figures.

[geoffdude]

This is EXACTLY what I said happened.

It was not TRU who sent these to discount stores, it was Mattel. It was not body issues of any kind, it was a reduced demand for new stock. Managers at TRU do not order new stock BTW.. it's automated. New stock being auto ordered was stagnated based upon too much wave 1 on the pegs.

Again, to the point, it was due to overstock. Which is not related to Wave 2 only, but the line as a whole. Basically, TRU was choking on too much wave 1, and could not absorb anymore new stock from the line at normal retail stores. Wave 2, thus cut-back, was sent to TRU Express Holiday stores, and initial orders were reduced for wave 2 in general.

Mattel then sent what TRU didn't want (reduced order overstock) to TJ Maxx, etc. discount stores.

Wave 3 production quantities have been reduced, compared to wave 1 & 2, and moving forward there will be less overall in total numbers TRU orders, and receives.

Haters hate.. but this is exactly what I said had happened when this situation 1st developed. (refer to my previous post to support I'm not full of it).

Regards,

Geoff

[MIB41]

I smelled a "I told you so" coming... Now lets hope with the improvements, the train is back on the tracks so we can accentuate the positive.

[Kal-El]

Yes maybe the price should come down a bit and maybe they wouldn't have so much over stock. Paying fifteen dollars opposed to twenty helps when trying to complete a collection . Hey I'm just happy there coming out. I hope they continue the series well into wave 25 .

[jimsmegos]

There's no reason for them to lie about this. Having overstock is much more embarassing than QC issues.

Personally I think the QC issues are what led to the overstock. The internet has VERY big mouth and I do believe shoppers are much more savvy these days. especially when purchasing $20 toys.

On a side note however, I wonder what the stats are on the sales comparisons between the Re-Mego's and DC Universe Classics? Even though they are only a few bucks cheaper they are cheaper and I've yet to hear anyone complain about them. Mind you, you would have to isolate TRU sales only since the DCUC aren't so limited in their distribution.

[MIB41]

Personally I think the QC issues are what led to the overstock. The internet has VERY big mouth and I do believe shoppers are much more savvy these days. especially when purchasing $20 toys.

On a side note however, I wonder what the stats are on the sales comparisons between the Re-Mego's and DC Universe Classics? Even though they are only a few bucks cheaper they are cheaper and I've yet to hear anyone complain about them. Mind you, you would have to isolate TRU sales only since the DCUC aren't so limited in their distribution.

I agree. One big reason for this - COST. If they did indeed lower production, that would curb the bottom line as well, which means wholesale prices would go up. Which also means shelf prices would go up. They haven't. I think Wave 2 were not so much "overstock", so much as "non-distributed" quantities while they fixed the body issue. The distribution for Wave 3 is hitting stores. That's already more than what we could say for Wave 2. How can production be reduced, if availability is better with Wave 3?

[geoffdude]

Personally I think the QC issues are what led to the overstock. The internet has VERY big mouth and I do believe shoppers are much more savvy these days. especially when purchasing $20 toys.

The only realistic (reality-based) problem with this theory is that "MATTEL" would have had to be the one to care enough to "stop shipments" based on QC only. I just don't see Mattel caring about that enough to take that action, unless lead was involved, and a recall was needed.

On a side note however, I wonder what the stats are on the sales comparisons between the Re-Mego's and DC Universe Classics? Even though they are only a few bucks cheaper they are cheaper and I've yet to hear anyone complain about them. Mind you, you would have to isolate TRU sales only since the DCUC aren't so limited in their distribution.

DCUC are complained about quite often.

The sites that have a very active, and vocal, community of DCUC "reviewers" are RTM, criticalmess, and actionfigureinsider.com. The biggest complaints towards the line are price, distribution and quality control issues.

That being said, DCUC probably has MUCH higher sales than the Retro figs, however compared, due to the fact that there are more varied figures per case, ship more frequently and in higher numbers.

Regards,

Geoff

[ODBJBG]

I agree. One big reason for this - COST. If they did indeed lower production, that would curb the bottom line as well, which means wholesale prices would go up. Which also means shelf prices would go up. They haven't. I think Wave 2 were not so much "overstock", so much as "non-distributed" quantities while they fixed the body issue. The distribution for Wave 3 is hitting stores. That's already more than what we could say for Wave 2. How can production be reduced, if availability is better with Wave 3?

Honestly, I'm of the belief that what happened is simple.

TRU was overloaded with too much of Wave 1. Wave 2 had just barely started to ship, when Mattel took the rest of their stock Mostly Wave 1 leftovers and Wave 2 that had just barely started to hit and sent it to outlets.

Then Mattel sent plenty of fresh figures to TRU from Wave 3.

The reason so many didn't see Wave 2 is because it got caught up in the discount shipments for Wave 1. Wave 3 is more readily available specifically because Mattel shipped out all the Wave 1 and 2 that they could get their hands on to discount chains to make room from Wave 3.

Additionally, the levels for Wave 3 have been adjusted so that they hope there won't be a buildup of overstock like their was with Wave 1. Wave 2 was a just a victim caught in the crossfire.



Cost will continue to be the issue overall, though. No doubt about that. Most if not all of these figures would sell well enough... But at $20, not so much. $10 would be the optimal price, but I think they would move better at $15.

[Random Axe]

It appears TRU has lost it's exclusive deal or backed out of it. See another thread here for the latest retailer to pick up the line...

[geoffdude]

Honestly, I'm of the belief that what happened is simple.

TRU was overloaded with too much of Wave 1. Wave 2 had just barely started to ship, when Mattel took the rest of their stock Mostly Wave 1 leftovers and Wave 2 that had just barely started to hit and sent it to outlets.

Then Mattel sent plenty of fresh figures to TRU from Wave 3.

The reason so many didn't see Wave 2 is because it got caught up in the discount shipments for Wave 1. Wave 3 is more readily available specifically because Mattel shipped out all the Wave 1 and 2 that they could get their hands on to discount chains to make room from Wave 3.

Additionally, the levels for Wave 3 have been adjusted so that they hope there won't be a buildup of overstock like their was with Wave 1. Wave 2 was a just a victim caught in the crossfire.



Cost will continue to be the issue overall, though. No doubt about that. Most if not all of these figures would sell well enough... But at $20, not so much. $10 would be the optimal price, but I think they would move better at $15.

I agree with most of your thoughts.. but Wave 1 was never sent to discount stores.

Regards,

Geoff

[TrueDave]

The reason Toys R Us never has what you're looking for is the same reason you have'nt been able to find the toy youre looking for since 1993.
Scalpers and /or collectors who buy up the whole shipment.
I can't see anyone being upset when our very same Mego buddies here buy them up. Check the Marketplace.
These arent tiny Star Wars people. These are larger items which they dont make, ship , or display as much of because of space.
Cost to make them? Negligible. Heads and accesories are teh only new molded items( where the money goes) and getting cloth goods made super cheap in Asia has been an industry standard since Barbie.
What incentive does Toys R us have to stock them in greater numbers? A blockbuster movie? A sell out Video game? A popular Childrens TV program?
I am flabbergasted that Twilight Zone is even in a toy store. Untill the last few years I've been told over and over ultimately its sales to children that keep toylines moving.
As a kid today which would you rather spend your Birthday money on? A Clone Troopers Space Ship or a Captain Cold doll?

[MIB41]

As a kid today which would you rather spend your Birthday money on? A Clone Troopers Space Ship or a Captain Cold doll?

A Captain Cold figure of course! Are you some kind of madman?!

[Teemu]

TOYS ARN'T US...It isnt like it used to be,thats for sure

[drmego]

Stocking wave 3

If the below is true at Toys R Us, then wave 3 will not show up in
stores that still have Luthor and Sinestro on the pegs.

If no one at TRU notices that stock received last April is still
on the pegs, then those stores will never put out new stock.

Managers at TRU do not order new stock BTW.. it's automated. New stock being auto ordered was stagnated based upon too much wave 1 on the pegs.

Again, to the point, it was due to overstock. Which is not related to Wave 2 only, but the line as a whole. Basically, TRU was choking on too much wave 1, and could not absorb anymore new stock from the line at normal retail stores.