I don't get it? Looking at some E sites I see the Late BR M7 is 11gbp cheaper than the Early BR M7. (Pricing on the same site) Besides the emblem, is there that much difference to warrent 11gbp difference? Thanks Rob
Each vendor experiences two pressures on price: downward, to beat the competition; and upward, to meet his expenses (and with luck make a real profit). The price at which these two pressures are equal is the price charged.
Would that be Hattons of Liverpool by any chance? They had on Friday night when they first appeared, the early crest at £60 and the late crest at £64. (Rails of Sheffield had both at £61.95 and both are now out of stock)
Then oddly on Tuesday morning, the early crest on Hattons website shot up to £75 although fortunately I was charged the £60 rate as I ordered on the Friday.
All very odd...
Regards John M Upton
My Fotopic Collections: South Central/Southern, Model Railway & Other Rail Pictures:
I order stock on the strength of my assessment of how it will sell. If I think I can sell 20 late crest and 5 early ones, then that's the proportion in which I will order. I'm perfectly happy to make the same profit on each.
Of course the irony is that if I had waited a few days rather than ordering my early crest from Hattons on the Friday, I would have paid more....
It does sound like Hornby are favouring the big boys of the industry over the smaller stores. If my local store had had it in stock on the Friday evening the same as Hattons and Rails, they would have got my money there and then.
As it was I wanted to secure one as soon as possible especially at the £60 price.
Needless to say that I would like another one but that shall be purchased from my local shop (a little bit more pricey but the service is good as is the banter) as I like to spread my support around, this is of course assuming I have any spare cash left after going to Woking this weekend!
Its up to you how you run your business John and many people think you run a good one, me included. . The logic is simple, though perhaps unfair.
You are going to sell 20 late crest because its what most customers want, and so you make £5 profit on each one.
Your only going to sell 5 early, but you will sell them as there are 5 customers who "must" have them. They will pay extra so you can make £20 profit on each.
It may not seem fair to the customer, but in retailing small shops usually need all the profit they can make and this is how some make it. When my local shop reaches the last model of a run, either a loco, wagon, skaldale building et, he hikes the price right up. He has Lima locos in the High £40 bracket on the shelf, i have seen other hornby tender drive locos that were around £65 hiked to £85. The reason being if someone wants that last one, they will pay extra. It works too!