I am on the hunt for a BLI engine this christmas. I generally do my engine purchases thru my LHS because if there is any problems, I can verify with him before taking it home to enjoy.
At the moment there are websites claiming “Manufactor’s Sale!” specifically one example:
The BLI engines for that price is very attractive. Here is the rub:
My LHS knows nothing about any current sales, rarely do manufactors notify about sales of this nature. I wrote to BLI a nice letter and inquiring as to the nature of thier sales. Perhaps I can guide my LHS to acquire a copy at a good price and still put food on the table.
So. I wonder if you all out there have run into the same issue of a apparent sale by the Factory (Broadway etc) but not really hearing the word in your LHS?
A few weeks ago Broadway Limited announced that their products were on sale at up to 50 percent off. They are evidently having to clear warehouse space for newer models scheduled to arrive in the next couple of months. A LHS not honoring sale prices is nothing new to me, since I have seen several instances of these dealers having older stock on hand for which they are still asking full retail price. With distribution systems being what they are, it takes a while for sale items to trickle down to the local level. Look on the Internet for sale priced items.
I recieved a very nice email from BLI this morning here it is:
we have been running promotional pricing to our dealers on the PRR J1
for since October. At this point, at the manufacturer level, we are
sold out of this product. Your dealer should contact his distributor
and see if he can obtain the product there.
Sincerely,
Broadway Limited Imports, LLC
Broadway Limited Imports, LLC
601 Shenandoah Village Drive, STE 9E
Waynesboro, VA 22980
(540) 949-8300 tel
(540) 949-8377 FAX www.broadway-limited.com
My LHS was rather busy for a time seeking out his end of the sale. He explained the situation to me and offered me a price that is lower than retail but not quite matching some of the other sales.
I went ahead and accepted his offer and ordered the engine, I would rather support the store with this order and perhaps a few other items at retail than to try and go somewhere else.
Perhaps someday if a maker of HO products decided to have a sale, they can perhaps “Lean” on the suppliers to Hobby Stores to ensure that everyone understood that there is a sale.
One of the problems is that sales of this nature sometimes hurts the existing product already on the shelf. Lucklily my LHS did not have a copy of this item yet so I think he still made some profit and that is ok with me.
The problem is, if you LHS ordered this loco months ago BEFORE the sale, HIS cost was likely higher than the current sale price advertised by others who don;t stock inventory. If he bought another one TODAY, likely he would get a far lower price and be able to offer close to the sale price and still have a chance to make a profit.
Why do you think people were ticked off at Lionel? After releasing that Challenger at an INSANE price (why, just because it’s Lionel? Sorry, that doesn’t fly in the HO market), then they blew them out at an incredible discount. My LHS has one sitting on his shelf, and likely will CONTINUE to have it sitting on his shelf at that price, but if he sold it for the sale price it would be probably under half what his original cost was. Can’t stay in business that way. Likewise, one of my favorite internet dealers has the same thing. He got one when they first cam eout for stock, and still has it on his site for what is a great discount off the ORIGINAL MSRP, but in terms of the sale price offered for the closeout is about 3x too high.
I would rather stick with the concept that they needed room for the new product. I imagine that some of the current runs are now “Limited Supply” and BLI may simply trying to “Shake out the hangers on” and get them at least sold.
For example you had a fantasy production run of 50,000 locos it has been a year and you are down to your last 3000 locos hanging around in one corner of your warehouse. They take up alot of room… if you need the room for a new run of 50,000 you would at least try to shake the remaining 3000 out of the door.
Gone are the days where manufactors made engines in good supply for years regardless of market demand *Sniff… now you need to build a warchest and be ready a year in advance to reserve your loco ahead of time.
Some dealers didn’t go along with this supersale. FirstHobby.com, 1stplacehobbies.com, and my LHS.
Trainworld and Tony’s Train Exchange are sold out on most of these sales items. I think the PRR J1 and N&W A were the first to go. Good thing I got my class A before they dissapeared. HA!