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Post by Michael O'Brien on Feb 10, 2011 16:52:14 GMT
Due to the world market price of metals increasing, Mithril (and Prince August & Warzone) has reviewed our prices.
While we continue to absorb much of the increased prices some updates are needed. All the rare miniatures ranges are remaining the same. The White Council has also remained the same, as we just released it.
Prices increased on average by 10%. Considering the length of time the prices have remained static this is pretty small.
On our side the price of tin went up by about 200% for example.
Why is the market changing? China for stockpiling metals at alarming rates. Their actions resulted in this rise.
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Post by Gildor on Feb 11, 2011 9:03:20 GMT
this change is very understandable indeed and well, we have no other choice but to accept it, when it comes to MS indeed... Still I find it a bit odd and I don't think I am alone in thinking that, that this announcement was not made a bit before it takes effect... that would have let people understand and maybe accept things without being shocked... I just hope this change won't result in several GF members stop buying the figurines... which would do quite some harm to mithril  |
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Post by Theobald on Feb 11, 2011 9:55:31 GMT
I have to stress Gildor's opinion as I am also afraid that this business-"strategy" might lead to negative consequences.
I would like to add one more aspect.
As I am in "auto-shipment" (as a few others might also be) I always redarded this being a kind of contract. I agreed that the company is allowed to charge me for the products sent to me automatically. So my advantage is that I don't have to order each new miniature myself. The company's advantage is that they can rely upon a loyal customer. - But wouldn't it also be loyal from the company to inform that customer about changes in prices in time?
I hope you can understand why I am a bit concerned about this.
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Post by Gildor on Feb 11, 2011 13:46:39 GMT
I agree with Theobald I had overlooked this...
being myself in FULL autoshipment (M and MS) not knowing in advance about such details could jeopardize the autoshipment process if people would like to retract due to budget restriction...
Indeed, I know the order processes even for autoshipment take some times from the moment the figurine is released for sale and the moment they are actually charged on your visa card and shipped to you... which gives you enough time to retract from the autoshipment process...
still it would be faire to be warned at least half a month before such major changes... as I said, the reasons invoked for this price increase are acceptable and well, true fans and collectors will certainly handle it in a way or another...
see... when Mithril plans some Sales operations, collectors cannot know beforehand that this sale will be followed not only by... well.. a lack of discount indeed lol but also a price increase
I am quite certain that if warned in time, people may have bought more during sales periods of time... and Mithril could have earned more money...
I rest assured that many customers/collectors who do not possess the whole mithril range like theobald or myself are often waiting for promotion offers to buy bunches of figurines they lack for their collection, they would indeed buy more of them if they knew these would also increase in price afterwards...
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Post by Michael O'Brien on Feb 11, 2011 17:47:28 GMT
I agree with Theobald I had overlooked this... being myself in FULL autoshipment (M and MS) not knowing in advance about such details could jeopardize the autoshipment process if people would like to retract due to budget restriction... Indeed, I know the order processes even for autoshipment take some times from the moment the figurine is released for sale and the moment they are actually charged on your visa card and shipped to you... which gives you enough time to retract from the autoshipment process... still it would be faire to be warned at least half a month before such major changes... as I said, the reasons invoked for this price increase are acceptable and well, true fans and collectors will certainly handle it in a way or another... see... when Mithril plans some Sales operations, collectors cannot know beforehand that this sale will be followed not only by... well.. a lack of discount indeed lol but also a price increase I am quite certain that if warned in time, people may have bought more during sales periods of time... and Mithril could have earned more money... I rest assured that many customers/collectors who do not possess the whole mithril range like theobald or myself are often waiting for promotion offers to buy bunches of figurines they lack for their collection, they would indeed buy more of them if they knew these would also increase in price afterwards... Price increases were not planned ages in advance, normally metal has ups and downs, so Lars tries to ride out the changes, so for about 5 years the GSF prices have remained the same. However due to China's impact on the world market which seems to not be lessening we had to increase prices. The price increase on the single fellowship figures is about 5% (19.95 to 21.00). Thats about 1% per year of its operation. That is not going to deal with the actual costs involved but merely helps in reducing our loss a bit. I did mention in newletters that prices would be going up in 2011. I did not know the new prices until days before I put them up (which I argued to keep as low as possible). We delayed ordering new metal in the hope of a price drop, but that in turn delays making miniatures. But we cannot wait forever. The Autoshipment process is not instant either. I sent a newsletter to all our members within 24 hours of updating the prices and adding the new MS figures. I have to manually go to EVERY page on EVERY website to update the code. I am only human. If anyone has an issue with the 5% increase then please email Joan Collins about changing your autoshipment process. We also tried to offer a discount voucher to counter the price rise as well. This effectively gives you 2010 prices again or in many cases an EXTRA discount. |
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Post by Theobald on Feb 11, 2011 17:55:21 GMT
Alas, I did not consider to cancel my auto-shipment, as it has been working fine for so many years since I dared to suggest something like this. - Born out of laziness, to be honest. -
I wouldn't be fair not mentioning that this auto-shipment includes a 10% discount on every purchase.
So why? - It's up to you.
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Post by Michael O'Brien on Feb 11, 2011 18:04:30 GMT
autoshipment still gives collectors the 10% discount on new releases. The voucher code will allow EXTRA purcahses to have 10% off but not a cumulative overall 20% discount on new releases.
In other words, EVERYONE can get 10% off their purchases.
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Post by Theobald on Feb 11, 2011 18:20:24 GMT
Oh sorry, while I was typing I couldn't see your answer, Michael. ... Anyway I have to react.
Thank you.
So please give a hug to Joan. She's the one who can always answers my weird queries with two words, either "no problem" or "done".
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Post by Gildor on Feb 11, 2011 20:17:24 GMT
well thanks for this detailed answer Michael, indeed there is nothing to argue with that it is just a pity that market and prices from China have increased that much... but... this also means that if things would change in the future the other way around (though I doubt it will happen anytime soon but no one can be sure) would Mithril also reduce all their price to adapt to the "raw material" market? From experience in other domains of activity, even on day to day basis, I often see price increases but rarely price decrease when the raw material also decrease in price... thus generating quite a benefit margin for the seller enterprises This I am ok with  providing this margin is used to promote and improve the production and distribution departments |
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Post by Michael O'Brien on Feb 15, 2011 10:13:41 GMT
Lars previously dropped the price of metal on Prince August when the costs of purchasing metal dropped a little last year. He may do so with Mithril if the price of materials drops enough.
Remember we are absorbing the bulk of the cost increase. a 200% rise in tin vs a 5% rise in Mithril prices does not mean if metal drops 5% we drop Mithril by 5%. It works both ways. If metal drops radically then YES, Lars will review prices, and I will bring that point to his attention as well. No-one wants to rise prices.
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providing this margin is used to promote and improve the production and distribution departments