Games Workshop Pricing Feedback Thread

[Llew]

I think the point is, is that if GW dropped their prices, they would have the sales of those that they do now, and those on lower income. I fail to see how that would make less profit if they sell more at a cheaper price.

It depends. If they sell more, but not enough to make up the difference per unit, then they could make less money. For a simple example, if you cut the price in half, but don't sell twice as many units, you'd lose revenue.

GW's position seems to be that, at present, they can raise prices and not lose overall revenue, so they keep raising them. When they start raising prices, but can consistently watch the revenue fall, then they may reverse course.

[strewart]

So you're saying that considering a handful of part-time employed teenagers is a better sample Australian wages than the official average wage? If you're getting $5K/year, you obviously don't have any responsibilities for that money and can probably put it all back to leisure if you want. Plus, if your sole income is working part-time in a supermarket but are old enough to buy alcohol, you're doing something wrong.

No thats not what I'm saying. I'm giving an indication of the average wage of GW target market. Overall Australian wages are obviously much higher than that, but as we keep saying.. You can't really include the few extremely high earners that push the average up.

I know plenty of uni students old enough to buy alcohol that use shelf filling as their main source of income, most of them into warhammer (but not buying anymore due to prices). And just because you aren't old enough to legally buy alcohol, doesn't mean you don't spend money on it.. Kids are binge drinking from 13 these days.

[Shimmergloom]

It depends. If they sell more, but not enough to make up the difference per unit, then they could make less money. For a simple example, if you cut the price in half, but don't sell twice as many units, you'd lose revenue.

GW's position seems to be that, at present, they can raise prices and not lose overall revenue, so they keep raising them. When they start raising prices, but can consistently watch the revenue fall, then they may reverse course.

Well they are doing a good job of driving down their sales volume, customer base and customer loyalty, while scrapping up more money from the rich.

Way to go. I'm sure the rich fans will support GW instead of doing you know, things that rich hobbyists really do, like buy yachts for their super model girlfriends.

[TheMav80]

"Rich"? I don't think so.

You don't need to be rich to afford GW prices. I am certainly not rich and I can afford it. I still don't buy them because I don't think it is worth the money, but that isn't the same thing.

I could win the lottery tomorrow and have $500 million dollars and I still wouldn't pay the money the are asking for a box of tactical marines.

[Gir]

I think the point is, is that if GW dropped their prices, they would have the sales of those that they do now, and those on lower income. I fail to see how that would make less profit if they sell more at a cheaper price.

If you half the price, you actually have to sell more then twice the amount to make the same amount of money, as you have a lot more production costs.

For example (and these are numbers I made up purely for example):
If it costs $5 to produce something you sell for $20, you make $15 on each item. If you half the price but double the sales, you're paying $10 and getting $20, meaning you're loosing 1/3 of your profit. You actually need to sell 4 items ($40 in, $20 expenses) to make the same amount of money on a single item at double the price.

[New Cult King]

I could win the lottery tomorrow and have $500 million dollars and I still wouldn't pay the money the are asking for a box of tactical marines.

That's beautiful. My disposable income is high enough that I can afford GW. The problem is comparing what I can get for $50 from GW (not even a box of Tac Marines), to what I can get for $50 from Spartan or Corvus Belli or Privateer Press (usually a playable force).

I could go into GW, drop $150, get two boxes of Tac Marines, maybe a character, and no rules, or I could spend the same amount, get two playable forces and a rulebook.

Pretty sure I know where my $150 is going, and among the gamers I know, their money is going the same way.

[Trasvi]

No thats not what I'm saying. I'm giving an indication of the average wage of GW target market. Overall Australian wages are obviously much higher than that, but as we keep saying.. You can't really include the few extremely high earners that push the average up.

I know plenty of uni students old enough to buy alcohol that use shelf filling as their main source of income, most of them into warhammer (but not buying anymore due to prices). And just because you aren't old enough to legally buy alcohol, doesn't mean you don't spend money on it.. Kids are binge drinking from 13 these days.

I'll just make quick points:
1) If you're earning 5K/year stacking shelves, you're a dependent child with lots of pocket money, and therefore fall squarely in GW's kiddie bracket.
2) If you're earning 15K/year you might be able to survive in shared accommodation with very little luxury spending.
3) Just because you can't afford high priced items doesn't mean they're too expensive. You just don't earn enough.
4) If you're illegally spending all your money on alcohol and binge-drinking at age 13, I highly doubt you're in the target demographic for warhammer.
5) I can afford it, and I still say Warhammer is too expensive.

Also, according to this site: http://www.abcdiamond.com/australia/...n-median-wage/ median wage is fairly close to national average for a full-time employed male.

[Chaos and Evil]

median wage is fairly close to national average for a full-time employed male.

Of course, full-time employed males aren't GW's target demographic.

GW's target demographic is school children.

[Tymell]

I could win the lottery tomorrow and have $500 million dollars and I still wouldn't pay the money the are asking for a box of tactical marines.

Well said, exactly how I feel. It's not a case of can't pay, it's won't pay. I could continue buying GW products, I just refuse to pay the ever-inflating prices.

[Tonny]

Well said, exactly how I feel. It's not a case of can't pay, it's won't pay. I could continue buying GW products, I just refuse to pay the ever-inflating prices.

More power to you, If I like a GW product I buy it, the same is true when another company releases something I like.

I ask myself two questions:
Do I like the product?
If yes, Do I have the money to buy it? If agains yes, I will buy it.

I am not thinking damn that's much money for 5 plastic figures.

Things that baffle me is that people/women can pay hundreds/thousands of euros for a handbag. The thing is that those people think the handbag is worth it. So everybody is happy the customers who don't mind paying the price and the companies who sell those products.

But please continue your quest against GW prices

[Tymell]

I ask myself two questions:
Do I like the product?
If yes, Do I have the money to buy it? If agains yes, I will buy it.

I am not thinking damn that's much money for 5 plastic figures.

Things that baffle me is that people/women can pay hundreds/thousands of euros for a handbag.

I can't wrap my head around this logic. You mean you'll pay any amount for something you want? And yet at the same time you're baffled when other people do the same thing?

The thing is that those people think the handbag is worth it. So everybody is happy the customers who don't mind paying the price and the companies who sell those products.

Except all the people who -aren't- happy with the price.

And before the inevitable "No one's forcing you to buy it" response, yes, that's fine, and that's why GW -can- charge whatever they want. But this can still be challenged.

But please continue your quest against GW prices

I'm more hoping for other companies to grow big enough to give them some proper competition. GW prices are unlikely to come down while there are still those prepared to accept price hike after price hike.

[Tonny]

I can't wrap my head around this logic. You mean you'll pay any amount for something you want? And yet at the same time you're baffled when other people do the same thing?

English is not my first language, but what I tried to show with the example was that I have no problem paying the prices GW asks, solong I like the product, but for the person who pays hundreds of euros for a handsbag, maybe thinks that it's a waste of money to buy hundreds of euros for Warhammer mini's.
While I am baffled that people can give that amount of money for a handsbag.

Except all the people who -aren't- happy with the price.

I am sure most people are never happy with the price of a product, it doesn't matter what the product is.

And before the inevitable "No one's forcing you to buy it" response, yes, that's fine, and that's why GW -can- charge whatever they want. But this can still be challenged.

Ofcourse you can.

I'm more hoping for other companies to grow big enough to give them some proper competition. GW prices are unlikely to come down while there are still those prepared to accept price hike after price hike.

Which companies? Mantic? I don't like their fantasy range, the Warpath range is looking very good, but the price for the forgefather isn't that much cheaper than GW's and the recently previewed mini's are monopose and clones.

I am pretty sure GW prices will never come down, they will only go up. As I said before if I like the mini and I have the money to spare, I will buy it.

[jack da greenskin]

I am sure most people are never happy with the price of a product, it doesn't matter what the product is.

Ey? I was very happy with the price of the drink I bought this morning, 2 bottles of mountain dew for a pound is a bargain.

I was very pleased with the price of my khador book. Full colour, great artwork and fluff for £25. I was very pleased with the price of my brittania battle group, a full fleet for £30.

I wasnt pleased buying 10 ghouls for £15. Not worth it IMO.

Which companies? Mantic? I don't like their fantasy range, the Warpath range is looking very good, but the price for the forgefather isn't that much cheaper than GW's and the recently previewed mini's are monopose and clones.

I am pretty sure GW prices will never come down, they will only go up. As I said before if I like the mini and I have the money to spare, I will buy it.

PP offer a similar gaming experience, and as shown by a few statistics, they are seriously challenging GW in north america.

[Tymell]

I am sure most people are never happy with the price of a product, it doesn't matter what the product is.

There are other things in the world people aren't happy with the price of, sure. But that doesn't do anything to invalidate the criticisms of GW.

Which companies? Mantic? I don't like their fantasy range, the Warpath range is looking very good, but the price for the forgefather isn't that much cheaper than GW's and the recently previewed mini's are monopose and clones.

I didn't have any specific companies in mind, I meant that GW keeps raising prices because they know they can get away with it, and part of that is because they have little real competition (note for fans of other companies: that isn't a criticism of quality, just that in terms of size GW very much dominate at the moment).

I am pretty sure GW prices will never come down, they will only go up.

And if so, then eventually they will go bust.

As I said before if I like the mini and I have the money to spare, I will buy it.

In which case you have more money than sense. Sorry, but that's the mildest way I can describe someone who will pay -anything- for a single space marine/orc/[insert model of choice].

[Tonny]

There are other things in the world people aren't happy with the price of, sure. But that doesn't do anything to invalidate the criticisms of GW.



I didn't have any specific companies in mind, I meant that GW keeps raising prices because they know they can get away with it, and part of that is because they have little real competition (note for fans of other companies: that isn't a criticism of quality, just that in terms of size GW very much dominate at the moment).



And if so, then eventually they will go bust.



In which case you have more money than sense. Sorry, but that's the mildest way I can describe someone who will pay -anything- for a single space marine/orc/[insert model of choice].

That's what you think, I think the same about people who buy a fancy sport car or need really expensive clothes, design chairs... .

I will repeat what I said earlier. If I like the mini and I can afford it. I will buy it. The keyword is 'afford it'.

[Tay051173096]

Can't argue with that...

Dark eldar courts rather steep, must be getting on for the most espensive HQ from the armies...

Maxed out costs £123.50, Thats insane

And thats not Aus costs...

[TheMav80]

That's what you think, I think the same about people who buy a fancy sport car or need really expensive clothes, design chairs... .

I will repeat what I said earlier. If I like the mini and I can afford it. I will buy it. The keyword is 'afford it'.

And I agree with you there too.

I have never even bought a sports jersey. I would love to have a jersey of my favorite NFL/NHL player/team, but there is no way in hell I am paying over $100 for a dammed shirt.

I won't pay $60 for a video game that I know will only have approx. 9 hours of gameplay.

Obviously lots of people are fine with doing both of those things. I think they are wasting money.

[Gir]

A good estimate for whether something is worth it (for me anyway) is cost per hour. If I believe I can get an hour of entertainment from every $10 spent, I think it's a good deal. I generally get this from Warhammer 40k stuff.

[LordBest]

Of course, full-time employed males aren't GW's target demographic.

GW's target demographic is school children.

So the target demographic of Games Workshop is a subset of society thas has few if any financial responsibilities and who can spend the entirety of their income on Games Workshop products if they so choose? Not to mention gifts from family, pocket money etc.

I don't like the Australian prices, but they aren't particularly out of proportion to other toy and hobby costs. I have a friend who collects LEGO and he has exactly the same complaints about their prices since the AUD become so strong. The local prices haven't changed to reflect it, and people don't like it.

I would happily pay US prices for GW products, let alone UK prices.

[SunTzu]

I have never even bought a sports jersey. I would love to have a jersey of my favorite NFL/NHL player/team, but there is no way in hell I am paying over $100 for a dammed shirt.

...

Obviously lots of people are fine with doing both of those things. I think they are wasting money.

Comparing one luxury item to another will always depend on personal preference, and isn't very useful. (Handbags, computer games, sports jerseys, whatever).

That's not the comparison should be made. GW's prices compared to other wargaming products would be like the Miami Dolphins charging $150 for a shirt when every other American Football* team charged $60.

You may think $60 is a lot for a shirt... but others may disagree. $150 for something everyone else charges $60 for is just stupid. GW prices are similar to that.

* - yes, I'm British.