MASSIVE [email protected] sale

[BrickSith206]

I might just take you up on that offer. I've been thinking about a post on The Brothers Brick on this subject. Ideally I'd like to ask the same questions to a panel of about 3 large scale resellers for a broader perspective. I'll scout around on Bricklink to see who else might be interested.

Brilliant idea! I'd be just as curious to hear another large reseller's responses as anyone else!

[zithy]

I think the first thing I would want to know is what kind of sorting system have you found to be best with so many different pieces in your inventory? With that much, time has to be pretty critical when looking for the correct pieces to fill orders. And secondly, once you have all pieces sorted, counted and listed on BL or Ebay, isn't it a pain when you get more sets when a good deal hits, then have to add and recalculate your inventory listed on either site? Having to revise the quantity of say, 100 different Ebay listings doesn't seem fun (although I know pretty much nothing about Turbo listing or other programs . . .)

[King]

One thing I would love to know is why some (one especially) of the big sellers on BL find a part that is a solid $4 seller and come in and list 50 of them for $2 when they would easily sell for much more. Is it that they don't have time to research the price? I teach business at the college level, so I understand the numerous pricing strategies, but I'd love to know what is behind this choice.

King

[Mos_Eisley]

Sure, you can get $4 for the item eventually, but if you want to move large quantities of items, you need to price them for much less than everyone else. Could it move just as quickly at $3? Who knows, but I'm sure the seller has looked at the selling history.

[that guy]

Yeah exactly, as any business person knows, it comes down to how many 'turns' per measured period of time you want on a given item. Some people ask more and sell less, but personally I prefer to sell at lower prices, forsaking margin for turns because I know I'll net more dollars in the long run and keep a fresher inventory that way. This is especially true of replaceable items. Now on one of a kind items like, let's say a Chrome C-3po or Jango Fett, I'll place the item for a bit more but I also don't have new inventory to replace it once it sells so I have to maximize my gains on those items.

Also, as most people here are aware, dealing Lego can be volatile with large ups and downs so on mainstream parts/sets/figs it pays to play the averages and sell a bit lower and make those turns. Plus you get way more repeat customers when you're not charging max market value for everything.

[King]

I understand all of that, but in the case of at least one seller, it is plain silly. For example, a certain item has sold over the last six months reliably for let's say $1.25 and they will come in and list 50 of them for $0.23 when they are easy, reliable sellers at $1.25. They're gone within a day at $0.23.

It isn't penetrative or predatory pricing...this is an established seller with a very large amount of feedback. It might be cost plus or inventory based pricing, but in the case of a particular seller, this is across the board.

I would just love to know the rationale if Nannan is able to ask some of these super low cost volume sellers. In these cases, it is simple to do some back of the napkin math on the $$$ yield for each set for most sellers (if they are breaking an entire set).

I'm not aware of many businesses that chose to compete based on price who use a model of selling an established item for 80% less than their direct competitor in a similar venue of a current product. Although I don't sell a ton on BL (~300 FB in a year), I amassed about 10,000 FB score on ebay selling collectibles from 1999-2007, so I am pretty experienced with the pricing strategies that worked there and these seem to go completely against what I've seen in the past.

King

[BrickSith206]

I understand all of that, but in the case of at least one seller, it is plain silly. For example, a certain item has sold over the last six months reliably for let's say $1.25 and they will come in and list 50 of them for $0.23 when they are easy, reliable sellers at $1.25. They're gone within a day at $0.23.

It isn't penetrative or predatory pricing...this is an established seller with a very large amount of feedback. It might be cost plus or inventory based pricing, but in the case of a particular seller, this is across the board.

I would just love to know the rationale if Nannan is able to ask some of these super low cost volume sellers. In these cases, it is simple to do some back of the napkin math on the $$$ yield for each set for most sellers (if they are breaking an entire set).

I'm not aware of many businesses that chose to compete based on price who use a model of selling an established item for 80% less than their direct competitor in a similar venue of a current product. Although I don't sell a ton on BL (~300 FB in a year), I amassed about 10,000 FB score on ebay selling collectibles from 1999-2007, so I am pretty experienced with the pricing strategies that worked there and these seem to go completely against what I've seen in the past.

King

If I am thinking of the correct seller then I personally think that they have to offer pricing that low because their service is horrible. MUCH slower than any other operation, but I guess most are ok with that because pricing is next to nothing. In all of my calculations there is no plausible way that the member in question can be acquiring the product legally and sell it priced that low and generate enough revenue for it to be worthwhile. I personally think we'll see that star implode in 2011. Of course, this is all said on the basis that we are thinking of the same people...

[J30spiff]

I read somewhere that the 50% off sale prices are supposed to end tomorrow (Sat, Jan 1st) at the Lego Stores. Can anyone confirm this? I called and asked an employee at one of the stores and he said he was expecting the sale to last for a couple of more weeks. Sunday is the earliest I can make it into an actual Lego Store so if the sale indeed ends tomorrow, I'll be placing an order over the phone. Anyone have more concrete info on this?

[BrickSith206]

Most LEGO sales end when they are out of product, there have been a few random temporary promotions in the past, but usually a LEGO sale is until the death!

[that guy]

I understand all of that, but in the case of at least one seller, it is plain silly. For example, a certain item has sold over the last six months reliably for let's say $1.25 and they will come in and list 50 of them for $0.23 when they are easy, reliable sellers at $1.25. They're gone within a day at $0.23.


King

Yeah well now I feel stupid with my answer now that I see your more detailed question. Sorry King, wasnt out to insult you.

[HoboBob1138]

Man, the LEGO online shop is like a ghost town now. There's hardly anything left.

[that guy]

[email protected] just posted up some of the items again and are showing stock.

-update, most of the relisted items have sold out but there are still a few good ones left.

[King]

I understand all of that, but in the case of at least one seller, it is plain silly. For example, a certain item has sold over the last six months reliably for let's say $1.25 and they will come in and list 50 of them for $0.23 when they are easy, reliable sellers at $1.25. They're gone within a day at $0.23.


King

Yeah well now I feel stupid with my answer now that I see your more detailed question. Sorry King, wasnt out to insult you.

Never a problem. I teach business to mostly 18-22 year old college students, so as long as you were not texting while typing the reply...I'm not offended.



King

[ricefields]

I called lego customer service about the midi star destroyer and they said they had over 2000 sets still available in their warehouse. I guess this would be for US and Canada. I was calling to see how long I can wait to pull the trigger, considering there are other sources to get this as well I was trying to buy over $100 and I don't need 4 of these...yet.

Although pig farm was available 30 minutes ago and then just got sold out, they also said they would be getting more so this set might come back to being available.

[simpsonps121]

I just got back from the LEGO Store. I don't think PoP sets where marked down. I got 2 Technic Crane Trucks, plus some others. I posted a dozen photos with commentary here:
http://brickupdate.com/todays-lego-haul ... ane-truck/

Wow - those Crane Trucks are awesome. "My" store is out and they said they are not getting any more. (weeping...)

[J30spiff]

The following are available on [email protected] for backorder:
7752 Solar Sailer - $27.48
7753 Pirate Tank - $19.98
7754 Home One - $54.98
8087 Tie Defender - $24.98

[Nannan]

Glad to see the Pirate Tank come back in the sale. In addition the following sets are also up for backorder:

Squidman's Escape $3
Monster Crab Clash $3.5
Wreck Raider $5

[monophoton]

Pirate tank already gone again.

[onions]

Pirate tank already gone again.

just keep refreshing the page every now and then. it came back and i was able to order it and some tie defenders (which also showed as being sold out earlier today).

[Vegaxe]

Thanks for update. Got a home one, pirate tank, and some other half off goodies like some of the atlantis sets that were not on the site last week. Some sets like the city roller are nice pickups for $15.