indubitably

My Feedback: (14)

If i were a manufacturer, why in the world would i use a single distributer for my product? Why not sent it out to all or as many distributers as possible? Why a chokehold, where someone might limit the distribution. Let it get out there would be the obvious choice, but there seems to be something deeper, since so many products are restricted to a distributer. Somebody help me
John

One example is the new struts for the UFlash. They are fabulous, yet are constantly back ordered, and available only through a CARF rep

ModellbauUK

Excellent response Jester. For interest as you know I am relatively new to selling jet products and have been approached by a number of manufacturers with regards to selling their products. My first response would be only if I can have sole distribution rights but on seeing your responses I don't feel this is such a good idea

I can work on relatively low margins as this isn't my main bread winner. I can sell for very good prices which is good for my customers. The only thing is that when my prices appear on our website it reflects how expensive other suppliers are but there again they need the margins to survive.

The only way of the competing with a supplier like me is to then secure sole distribution rights to cut off the supply chain to me.

Customers then pay above what they need to

ModellbauUK

Good points Siclick

I would only be too pleased to see another distributor for the ModellbauUSA products but the margins are not there for most main dealers to even consider it. I don't have a monopoly anyway I just buy from Henry and sell on. Good products competively priced

siclick33

Now the truth comes out

You have to ask yourself if you are actually helping the jet community or harming it with your actions. You may be offering products at a cheaper price but at what long-term cost? Do you really think the modelling community will appreciate having the established retailers being put out of business for your (and similar garden shed companies) part-time amusement? Sure, competition is good but it should be done on a level playing field. Why don't you start up a full-time distribution business, with associated salary and infrastructure costs, and then try to compete on price. I assume that all your accounting is being accurately presented to HMRC[X(].

To me, as a consumer, your approach is not honourable or welcomed. I for one won't buy anything now from Modellbau UK if your whole aim is to undercut those that have served the modelling community so well so far.

Edited due to crossed posts.

sjpateys

I don't want to troll or slur your character or anything and my previous reply was one of bafflement quite frankly, nothing more.

You are a jet distributor who is legitimately making profit (presumably) selling jets. Everyone on this forum is a potential customer for these things.

Its a bit like ASDA doing a survey to ask its customers whether they're happy paying 20p for a tin of beans, or would they prefer paying 30p if ASDA had sole didtribution rights for the aforementioned beans.

ModellbauUK

The cottage industry brigade are on the war path and going to put the big boys out of business.  I don't think so. There has been more cases of big companies buying up small businesses as they are seen to be more competive so are bought to remove them from the market.  That's a fact.

sjpateys

There's no need to feel flattered. you misunderstood my post by the looks of things.

ModellbauUK

No fully understood thanks. I wasn't actually referring to your post.

You have a right to your opinion and I thank you for it.

rcjetsaok

My Feedback: (7)

Why don't you fire off an E-mail to the Walton Family in Benton, Arkansas and get there thoughts and input... I bet they can give you some insight on this subject..


Dan

ModellbauUK

What happened to them?

rcjetsaok

My Feedback: (7)

Sorry,

I just assumed you all have Walmart's in the U.K.


Dan

jetster81

Well we do sort of only its called Asda here. but you are correct supermarkets are the champions of marketing.

Dr Honda

My Feedback: (4)

As a manufacture... I wouldn't agree to anyone being an exclusive dealer of my parts, unless they could give me a guaranteed minimum sales quantity. And lets face it... in this economy, that's not going to happen. Also, as a manufacture, I would be cutting my own throat agreeing to sell to only one dealer, because if that dealer wasn't very active... then my bottom line would suffer.

So... even if a manufacture approached you... in most cases... it's not a reasonable request.

With that said... I do make a few items that are exclusive to a dealer, and as long as they continue to order, I will never sell around those dealers. But, in those cases... I was approached, and was asked to make them a specific item.

Secondly... since I am a manufacture, most of my parts are not sold with a discount from my website. This is so that my dealers can make money too. And... the above "exclusive" parts, aren't even listed on my site.


Now... as a consumer... I hate the monopoly thing. First, as other's have said... I may not like a dealer, so even if I want an item they are selling... I simply wont' buy it because of that. Also, this spring... I wanted a CARF Rookie. But, the USA dist didn't have any... and they weren't expected in. So... if I wanted one... I have to pay for it, and wait a minimum of 10 weeks. Because there is basically one distributor of CARF in the USA... I found that highly un-acceptable! CARF's solution for the long shipping time was even worse. They basically said if I wanted one faster... I'd have to pay $600 to have it air frighted. I know CARF has a great rep... and makes very nice models... but with that kind of biz plan... I doubt I will ever own a new CARF.


Just some food for thought.

VF84sluggo

My Feedback: (55)

Maybe they can use a high-powered load and get us both with one shot....[&o]

stoneenforcer

My Feedback: (23)

Exclusive distribution rights are good for the distributor and saves head aches for the MFG. However, IF the distributor is selling soley to the public and not selling to sub dealers then the consumers purchase options are severly limited and this creates a small monopoly.

The smart thing is for the distributor to set up a nationwide dealer network providing consumers the choice of transaction. In the end, the consumer is happy and the distributor and mfg both sell more jets.

simple good business, sadly not all businesses share this biz ethic.


When a MFG. provides a distributor with exclusive rights, they are also setting the expectations very high with that distributor. The distributor is responsible for stocking inventory, expanding said market and providing proper service and along with full product support. Biz 101. Sadly I see a few operations who call them selfs distributors who dont deserver to have particular product lines much less a distribution title.

On the other hand , there are several that do have a proper network which Im personally able to do biz and suit my edf needs.

Dave Wilshere

So selling a new released product at a few % over cost is good??????????? for who. Horizon Hobby have lost a lot of stockists as a few companies are willing to bank roll their companies with false turn over dream prices, its only bad for the hobby and its sad people cannot see that.

The hobby market is dead in England and soon there will be little choice on dealers...really, real world situation.
Stupid internet, stupid price matching, unequal overheads and costs....

Dw

I need a break from RCU, its back to silly time.

sjpateys

At last some common sense.

bobg

Plus one on that Dave !!...what bothers me is why arethese hobby shops willing to work for so small a profit ,after all one slight mistake on an invoice leads to a loss .!!!

End users think this is great ,getting new realeased models at nearly cost ,but in the end they will suffer ,because their local shopwontbe interested in stocking these items,....

no profit ...no point !!

I also wonder does the end user honestly think thatdiscount shops dont need profit !...if so where do they get it ? they have to screw it from someone..their only optiion is from their customers

discretely on smaller items and especially carriage.

The distributor suffers as instead of having 100 's of customers spreading their goods out to every model shop in the land

andgiving everyone at eitherend of the country a chance to lookin the flesh at their products

he is left with two or three big retailers who now will be in a posisition to dictate prices at wholesale and retail level (bad for everyone )

I get it once a week ,customer buysitem heavilly discounted ,then who does hecome to when he dosnt understand it or it dosnt work!