I’m sure most of you are aware that Lionel bought Electric RR. That was pretty much inevitable since Jon went to Lionel last spring. Talked briefly with him last night, sure hope Electric RR is able to continue, the only thing I found better than their products was the service.
Really a great company, best of luck to Jon.
Don, I think this acquisition is really going to benefit Lionel. I can envision smaller, more powerful electronics being placed in Lionel’s trains. I hope the entire product line benefits from this. Not just the high-end stuff. Starter sets with more features and even better sounds would be great!
Jim
I noticed there is a big Lionel badge on the Electric RR web site.
Jon really filled a need with affordable command control upgrades to basic equipment. I installed two in my Beeps and they run great. Right now Lionel has no command control set available for under $500. That really lets MTH undercut them with PS2.0 sounds and command control operation in $350 sets. Then once people purchase the sets…why the command control is just a one time $275 purchase away! I purchased one PS2.0 engine from MTH and have purchased four PS2.0 sets for this very reason. Perhaps now Lionel will implement TMCC in mid to low priced “starter” sets like the Target, Penn Central and Nascar sets and reserve Legacy for the high priced line. That would really put a dent in MTH’s sale of PS2.0 sets (not that it probably matters that much to Lionel). But with any luck they will remember that once a customer starts down the MTH route (with track, transformer, and controller) they will buy fewer components from Lionel.
Best case, Electic RR under Lionel continues to support the same market and even expands its offerings to factory made mid price/ high value Lionel command control sets. Worst case Lionel folds Jon’s expertise into the main expensive product line, sources all the existing lines in Asia (and the resulting delays and quality issues!) and we do not see any new items. I do not believe they would do that, but past history says anything is possible.
Back to the best case…they would be very smart to leave TMCC in the “low-mid cost” and aftermarket product lines. Get customers running Lionel command engines (even if in conventional mode). Perhaps then they would feel comfortable keeping Legacy all to their own in the high priced product line. Unlike TMCC, I think they will be hesitant to allow anyone but Lionel making Legacy engines.
Jim H
Jim - I agree totally with your analysis.
I too have installed two upgrades in the Beeps, and they are great!!! I then installed one in a little Speeder, that is also a big hit at the train club and whenever I run it. This acauisition is definetely a WIN for Lionel, just hope we don’t loose with the ultimate loss of Electric RR.
Jon, not only has developed a great product, but his customer relations, and way with people is outstanding as well.
(Not a good situation for Mike.)
Great news for Jon and Lionel. Excellent product. Excellent support. I also hope ERR continues selling ALL there products. I still have several locos that need sound. Best get my butt in gear and order a couple sound units now, just in case!
Bobby