GallopingGhostler

On sales tax, some states now require sales tax on mail orders. About a year or two ago, Amazon started charging taxes depending on where the sales outlet or merchant using their service was located in reference to your home state. So, this may not be a Tower unique situation.

I think that the reality is, Tower as is wasn't doing so well, hence why they became bankrupt. Otherwise, they would have continued as always unabated. So, is Horizon attempting to kill them? I think not. But to turn the company around is going to take some doing and not all the decisions will be appreciated.

And yes, Horizon owns them so they will become more Horizon like, it is inevitable. Horizon has remained solvent, so they have been doing things right. Time will tell, but I'm not losing any sleep over the issue.

FlyerInOKC

My Feedback: (6)

Did you guys read the interview between RC Groups\Jim Graham and Horizon CEO and Joe Ambrose? Mr. Ambrose mentions Top Flite will continue but he didn't give specifics. See the cut/paste I added below.

Jim T Talks to Joe Ambrose
Joe Ambrose - "Horizon’s goal in the Hobbico RC business acquisition is to combine the very best of both companies. We are putting Horizon and Hobbico together in a way that creates a ‘new’ Horizon, one that is well positioned to serve RC consumers and grow the industry."

JTG - What would have happened if Horizon had not purchased Hobbico?
JA - We don’t know for sure. We were told that in the bankruptcy auction process Horizon submitted the only competitive bid to buy Hobbico’s RC business. We were also told if no acceptable competitive bid was submitted, it would go into liquidation.

JTG -Will the Hobbico name go away?
JA - The Hobbico name is owned by Horizon and it won’t go away. But the way it gets used in the future will be different than the way it was used in the past.

JTG - What brands will Horizon be keeping?
JA - We will be putting together the Horizon and Hobbico brand and product lineups to move forward with the very best of both companies. We are focused on selling the products that people want to buy. So as we look at various brands and products, we are looking at demand and what consumers want. Several brands, such as Axial, Arrma, Real Flight, Top Flite, and Dromida will continue. We also have the opportunity to reposition some brands. For instance, we have already announced that ECX will become a brand that is only available through brick and mortar retail stores, so we can better support our local hobby shop partners. And there are some smaller brands that have strong products or products lineups. We will continue to sell and support those products. Those products may become part of another, larger brand, but the products will continue to be available. We will continue to sell and support those products that retailers and consumers show demand for.

JTG - How has the merger of the company employees been going? I know I see a lot of my favorite Hobbico people at Horizon now.
JA - We could not be more proud of our employees, both those who were already with Horizon and our new employees coming from Hobbico. In combining the best of both companies, we have added some outstanding people from Hobbico. We are in the process of getting our teams combined and working together as well as consolidating our systems. Everyone is working hard to get the transition completed while making everything seamless and easy for our retailer partners and consumers.

JTG - Will the merger have any effect on product pricing?
JA - Lots of factors impact product pricing but this acquisition is not a factor, at least not a negative one. Moving forward, we will be looking at ways to better leverage our combined scale and to do things more efficiently.

JTG - How will the purchase of Hobbico affect the availability of products?
JA - It will improve product availability. As we know from the information in the bankruptcy proceeding, Hobbico was capital constrained. So fill rates suffered and many products were not available. We are changing that and fill rates will improve to the level that Horizon customers are accustomed. Making changes in the supply chain and improving product flow takes some time. But customers will see improvements soon.

JTG - How has this affected the Axial and Arrma brands?
JA - In good ways. Horizon has hired all the employees who work with the Axial and Arrma brands. We are fixing the problems that caused fill rate problems with Axial and Arrma products. We are also addressing the constraints on new product development, so expect to see some great new releases from both brands as we move forward. And we are excited about getting Spektrum electronics into Axial and Arrma products. So good stuff.

JTG - What will happen to Tower Hobbies?
JA - Tower Hobbies will continue to be Tower Hobbies. Customers will see fill rates improve and much less ‘out of stock’. Customers will also see some Horizon brands and products for the first time on Tower. We are committed to maintaining the shopping experience the Tower Hobbies customer has become accustomed to while improving the selection of products.

JTG - What will Horizon be focused on moving forward?
JA - We will be focused on bringing innovative products to market and providing outstanding customer service. We will continue to focus on delivering products that perform at a high level in every segment of the market. In addition to product performance, we’re focused on improving the user experience. For instance, that’s what the Spektrum iX12 is all about. We are bringing the first truly smart transmitter to the market. We’ll be bringing more products to market that not only perform well but provide a ‘smart’ experience, both in how the products interact with each other and interact with the user. And we know the product is only part of the customer experience. We remain committed to providing the highest level of customer service.

JTG - Is there anything you would like to say to Horizon and Hobbico fans that has not been mentioned yet?
JA - We appreciate the passion that so many of you have for the hobby. We try to listen and make appropriate changes based on what we are hearing from the market. It’s great to hear nice things and it’s tough to hear bad things. But sometimes hearing about those bad things can be most helpful. So please know we care and we are listening.

We are also passionate about what we do. Our vision is to impact the world for good through the influence of Horizon and its people. And we do it through our mission, which is simple – we help people have fun with hobbies. We’re blessed now with the opportunity to combine Horizon and Hobbico by taking the best of both companies. We want to sell and support the products you want to buy, where you want to buy them. We are now in a position to have an even bigger impact on the lives of those touched by the hobby. And we are in a better position to help more of you have fun with hobbies. We are committed to doing just that.

GallopingGhostler

I posted the link on RC Groups, it is in one of their announcement threads. Some have taken a dismal view of the merger, but facts are facts. Horizon was the only bidder that submitted a reasonable, realistic offer. If they hadn't, Hobbico would be liquidated and as such, Tower Hobbies and Omni Models along with Great Planes aircraft would be no more. I don't perceive Horizon doing anything nefarious. Yes, some kits will disappear, but we were already seeing that through time at Hobbico Tower Hobbies and other sales outlets.

I was disappointed that the Great Planes .15 - .25 profile P-38 Lightning was kitted only a short time, then disappeared. The Goldberg kits are no more save a few. So, if we see any more disappear, it would be because there are insufficient sales to justify continuation. Ditto with engines. Reality is reality.

However, for a time favored kits come up for sale at E-Bay and there are laser kit cutters, so in reality I haven't missed out on much, even though the rest of the world has gone the ARF route. Even picked up another Brodak CL kit not long ago.

FlyerInOKC

My Feedback: (6)

I think the main problem is the industry that supports our hobby have failed to that ARFs, BNF, RTF, etc. are fads and have already started to fade and are on the downhill slide. It has opened up the field to small independent laser cutters may who do it on a part time basis. The future has always been building to fly and the only long term future of the hobby will be in those who choose to build and fly. The ARFs, BNF, RTF, etc crowd make no investment or devotion to the hobby and will continue to leave to seek the latest and greatest fad. The companies that don't realize this are building their business strictly on ARFs, BNF, RTF, aircraft are building their business on sand which will shift out from under them causing their market to collapse in the long run.

acdii

It is sad about Great Planes too. There is a calling for the Extra and Ultimate kits. more guys are discovering them and are looking for kits. It's like me with the Liberty Sport, looked for ever to find one and finally found one. Once they are gone though, they are gone.

mkjohnston

My Feedback: (2)

I bought a GP easy sport for Tower last week and got it two days ago. I thought I would be putting it together but NO, the left wing panel has structeral damage on the inside and then I find that I cant push the fuel tank into position because the tank frame is to small. I emailed Great Planes and got an answer from Horizion yesterday and they asked me to send them pictures of the damage. I did that two days ago and I have not heard a thing. I was kind of disappointed that they haven't answered me bac but today, I tried to call the phone listed in the manual and no one answered the phone. Then some said on another thread that Great Planes was not part of the buyout and I also noted that the Top Flite Contender kit is no longer listed on the website. No worry there as I got one a few months back. but its sad to this slide continue with no end in sight.
ThanK You
Michael Johnston

acdii

several wish list items have been deleted on me. Oh well.

GallopingGhostler

Same here. Good though is they are getting rid of items that cannot be ordered and cluttering their site.

Hemikiller

My Feedback: (125)

Doesn't matter if GP was part of the buyout, Horizon/Tower sold you the plane and it's their problem. I'd call Tower on Monday when they open. - 1-800-637-4989

mkjohnston

My Feedback: (2)

Hi HemKiller, I will be calling them tomorrow after noon for sure. thank you
Michael

pdxscotty

Maybe their prices. I haven't bought anything from them in years. Well before the internet and Ebay, they had the best catalog or going to the local hobby shop.

mkjohnston

My Feedback: (2)

Hi pdxscotty, I really think Hobby Shacks Catalog was far superior to towers in the 1970's and when I lived in San Diego' I went to their store up in the La Messa area and it was by the most stocked hobby shop that I had ever been in. I was really sad to see them go and Tower took over the top spot. I called Tower last week and I had my new wing for my easy sport ARF by last Friday. thank you
Michael Johnston

GallopingGhostler

Back in the 1980's when I lived in Long Beach, was glad that in the late 1980's Hobby Shack opened the Lakewood store, 10 minutes away. Prior, I'd have to drive 40 minutes away to their main store / warehouse in Fountain Valley, CA near Anaheim (Disney). Yes, they always had a nicely laid out catalog, easy to read and follow.

pdxscotty

Hi Michael, I first got into the hobby in 85' and I don't remember a Hobby Shack catalog? They must have went out before I was interested in RC. Lately I've purchased from Hobby King and waited for shipments from china (too long of wait). I'm just getting into helos but have bought a PC trainer. It does help but gets old flying on my PC.

GallopingGhostler

I bought a 27" Top Flite all sheet balsa RC cabin kit from Radio Shack catalog late winter 1973. May be later when Internet became the medium of info it may have been discontinued, but they had a catalog into the 1990's.

mkjohnston

My Feedback: (2)

The catalog that comes to mind was in the summer of 1977 and they had this really sharp catalog of all the Pilot ARFS that they sold. I bought an .049 size aiplane and a Hobby Shack Aero Sport 2 channel control and It cost me about $350.00 and I can remember my mom giving me flack over the cost of it. This airplane was a 1/2A and it was not a good trainer to say the least. I really did not learn fly radio control until the following year when I built a Sig Kadet and powered it with a brand new $39.00 OS 25 FSR and thats when the fun started for me. I do have Kadet MK2 in the box that will be built in the next year or so.
The Hobby Shack catalog was very slick it had fancy pictures of all the airplanes engines and radios that they sold at the time. I saw my first Tower Hobbies catalog a year or so later and it was all black and white while the Hobby Shack catalog was in color!
Michale

pdxscotty

Wow! $350.00 in 1977 was a lot of money then. You could even buy an old muscle car for that (rough beat-up one). My flying experience is in the beginning stages but I'm concentrating on my boats right now. Funny I remember Tower catalog in color but its been a while.
Scott

mkjohnston

My Feedback: (2)

Hi pdx it was a small fortune for a a14 year old kid to raise in a matter of 4 weeks. Then once I got the airplane together it was a royal pain in the ass to fly it because you just had two channels and no throttle control. I started with the Cox Black Widow .049 and then I switch out to the TEE DEE .051 what a difference that made but it was still pretty hard to learn on. I moved up to a Sig Kadet in 1978 and a 6 channel Cox/Sanwa radio control. That was a real joy to fly for me! thanks Michael

FlyerInOKC

My Feedback: (6)

I bought a nearly new Kraft 5 channel setup in 1976 it cost me $365, my tax refund plus some!

GallopingGhostler

In 1972 when I had enough cash, bought my first RC outfit, an Ace R/C Pulse Commander single channel with Adams Baby Twin Actuator and rechargeable airborne pack. I paid $70 with a hobby shop in Virginia Beach, VA. Now, that would be $421.99, but i wanted to learn to fly RC so bad that I took the gamble on a meager salary and learned to fly.

mkjohnston

My Feedback: (2)

you have to look at what radio manufactures are left in business today and you still have Futaba and Sanwa. I was always a Sanwa man and they are still around but there is not a lot of aircraft radios left compared to Futaba. Sanwa make some really great car radios and they are always doing something in that world but for the aircraft there is not much. There is only two sources for Sanwa in the USA right now. I switched to Futaba last year with the 8JA radio controland its a fantastic radio. it has more bells and whistles than I will ever need or use. I am not a fan of spectrum and it seems most of the guys at my local club have spectrum controls. One of the guys was telling me that Spectrum has some kind of new technology where the can tell you how much travel you can get at the servo level. I am a technology nerd but thats something I dont really need. Futaba and Sanwa have side business in the electronics world and they build controls as a side line!
Michael Johnston

GallopingGhostler

Back around 1980 I bought a Cox Sanwa 2 channel dry system with plastic transmitter case for $70. It was 2 stick. Sold it with an ARF to someone else. It was kind of novel as it came with smaller mini servos, whereas other systems came with the standard larger servos.

mkjohnston

My Feedback: (2)

My friend got a new 4 channel Sanwa in 1979 which was also plastic but I think he got the standard left and right rotating servos.

Lee Taylor

Hi Michael,
.
I am an old school Kraft guy. Now days I am in the market for a Transmitter. Technically what do you see as the downside(s) if Spectrum

ramboy

I had a Hobby Shack catalog from around 2000.