RCU Forums - View Single Post - ARFs from China
View Single Post
Old 12-26-2008 | 08:02 AM
  #39  
LDM
My Feedback: (15)
 
Joined: May 2003
Posts: 9,326
Likes: 0
Received 2 Likes on 2 Posts
From: Denver, PA
Default RE: ARFs from China

Ok , I hate to keep taking it away from the hobby but we are not dependant on China , we are dependant on a retail price we are willing to pay , its that simple .
70 to 90 % of the food you consume everyday is 100% made in the USA . However what you may not notice is the ever decreasing size before you will every see a change in retail price , why ...because retailers know that consumer have a comfort with certain price points .Example $1.99 is better then 2.19
Now imigine if that happended with the hobby , this is what it would look like . We all read the post on how Horiszon is crazy and taking price increases yet we would go nuts if they did this , take every warbird from 64 thru 66" span and make them 54" thru 56 " span !!!
Yet lets say they kept there price the same !!! well as we all know that is a price increase but lets say all there prices stayed the same with the span reduction .
A newbe may not know they were reduced but all he knows is that at $249 the corsair looks good .
This is all about buying habbits , so now take the hobby and relate it to retail
Tower is -walmart -big powerful and seeminly unstoppable
Horiszon is -Target -unique , somewhat more upscale but more subject to price problems in difficult times
Big Importers like Nitro Planes =your value channel -Dollar Tree /Family Dollar Dollar General -these guys like Nitro and distributors of CMP really succeed in a value climate like we are in now .
KMP =Maceys , while less prown to price problems becuase its high end they will continued to be measured to the mid tier as value vs quality continues to rise .
Lastly as the CMPs of the world get better (BF109) you /we will continue to raise our expecttations of what we can get for our RC dollar .
Just look at the very very proven business model of Hobby Lobby -great people , great servace but premium priced in an eletric market when you can now buy from many choice with total turn ley products .
Just look at Easytiger , you can get a jet , battery , radio ect for about $200 to $249 from Easytiger , same quality at Hobby lobby would be in the $400 range .
All of these aspects change our level of expectations and what we are willing to pay