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Thread: Mark Wells explains why you non european types can't be sold to

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    Chapter Master tezdal's Avatar
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    Mark Wells explains why you non european types can't be sold to

    From Games Workshop's Facebook,
    "Our CEO Mark Wells has written a letter in response to people who have contacted him to express their concerns over our decision to restrict European trade accounts from selling outside the EU. We asked him nicely if we could also post it here for all of you who have been letting us know how you feel on Facebook and so here you have his personal reply.

    Sincerely,

    The Web Team

    Dear Hobbyists,

    Thanks for contacting Games Workshop about the change in our trading terms for European accounts. I know this has frustrated you and for that I am truly sorry. As a long standing customer, you deserve to know why we made this decision.

    As you know, we introduce people to the Games Workshop hobby of collecting, painting and gaming with Citadel miniatures through our Hobby Centres and local independent trade accounts. Games Workshop Hobby Centres run introductory games and painting sessions, beginner lessons, hobby activities and events. We provide all these services free of charge. We only recover this investment if customers then buy products from us.

    Where we don't have a Games Workshop Hobby Centre, we support local independent trade accounts. These businesses provide a convenient place for customers to buy our products close to where they live. We support these businesses with local customer service teams and warehouses to ensure customers have immediate access to our best selling products and new releases. Many customers discover the hobby this way.

    In addition we invest millions of pounds every year in our design studio and factory to ensure that each month we release more new products. This makes the Games Workshop Hobby more exciting for existing customers, helping them stay in the hobby longer. We can only afford to do this because of the volume of customers we have recruited and developed through our local Hobby Centres and trade accounts.

    It is for this reason that we have changed our European Trade terms. Over recent years, a number of currencies have moved a long way from their historical relative values, and this has opened the door for some traders to try to take advantage of these currency movements and offer deep discounts to overseas hobbyists. This has been the case with European internet traders selling to some of our customers overseas.

    While this may seem great in the short term, the simple fact is that European internet traders will not invest any money in growing the hobby in your country. Their model is to minimise their costs and free-ride on the investment of Games Workshop and local independent shops in creating a customer base.

    The inevitable consequence if this was allowed to continue is that Games Workshop would not be able to operate Hobby Centres, nor to support local trade accounts. And if this happened in more territories outside Europe, the loss of volume would leave Games Workshop no choice but to scale back our investment in new product development, further eroding our customer base. Not something that we or our customers would want us to do.

    That is why we took the decision to take legitimate action to restrict European trade accounts from selling the goods they purchase from Games Workshop outside Europe.

    While I understand that you may still be unhappy with our decision, it was taken to ensure we can continue to support the Games Workshop hobby communities around the world through our Games Workshop Hobby Centres and local trade accounts. And to ensure we continue to invest in developing the best possible new product releases every month. I hope therefore that over time you will see the benefits of this decision for you and your hobby.

    Yours sincerely,

    Mark Wells
    Chief Executive
    18 May 2011"
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    Re: Mark Wells explains why you non european types can't be sold to

    Quote Originally Posted by tezdal View Post
    The inevitable consequence if this was allowed to continue is that Games Workshop would not be able to operate Hobby Centres, nor to support local trade accounts. And if this happened in more territories outside Europe, the loss of volume would leave Games Workshop no choice but to scale back our investment in new product development, further eroding our customer base. Not something that we or our customers would want us to do.
    Did he just admit that they currently have an eroding customer base? I thought the official stance was that everything was fine?
    Quote Originally Posted by UberBeast View Post
    I was down at my local game store and I asked the manager if the new price-hikes worried him. He started on a rant how he's seen GW raise their price every year and how we gamers always complain and threaten and then as soon as something shiney comes out we are back to buying.

    Basically it was like hearing a drug dealer mock his customers.
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    Re: Mark Wells explains why you non european types can't be sold to

    Quote Originally Posted by uona View Post
    Did he just admit that they currently have an eroding customer base? I thought the official stance was that everything was fine?
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    Re: Mark Wells explains why you non european types can't be sold to

    Quote Originally Posted by tezdal View Post

    Where we don't have a Games Workshop Hobby Centre, we support local independent trade accounts.

    These businesses provide a convenient place for customers to buy our products close to where they live.

    Many customers discover the hobby this way.


    It is for this reason that we have changed our European Trade terms.


    Yours sincerely,

    Mark Wells
    Chief Executive
    18 May 2011"
    Its not convinent for me to go down the LGS to buy as I have to spend transport $$$ and time to just go down to buy say an over-price bottle of paint/boxset whatever I need for my games.

    Buying from online store, I just click here and there, wait 1-2 weeks and its delivered right at my doorstep. No transport cost, no travel time and 1 order just take at most 10mins to complete.

    The LGS did not introduce me to the game, it was a gaming buddy who introduce it to me.

    Change the EU trade terms and I also change my buying habits to stopping my monthly GW purchases.
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    Re: Mark Wells explains why you non european types can't be sold to

    Quote Originally Posted by uona View Post
    Did he just admit that they currently have an eroding customer base?
    I don't think so, there are a bit too many if-conditions in that paragraph. I think the way he intended it to be read would be something like:

    "If our customer base would be eroded outside Europe, the loss of volume would leave Games Workshop no choice but to scale back our investment in new product development, further eroding our customer base."
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    Re: Mark Wells explains why you non european types can't be sold to

    Quote Originally Posted by Griefbringer View Post
    I don't think so, there are a bit too many if-conditions in that paragraph. I think the way he intended it to be read would be something like:

    "If our customer base WERE eroded outside Europe, the loss of volume would leave Games Workshop no choice but to scale back our investment in new product development, further eroding our customer base."
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    Chapter Master logan054's Avatar
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    Re: Mark Wells explains why you non european types can't be sold to

    Quote Originally Posted by tezdal View Post
    It is for this reason that we have changed our European Trade terms. Over recent years, a number of currencies have moved a long way from their historical relative values, and this has opened the door for some traders to try to take advantage of these currency movements
    I think this is the best part of the whole thing, pot, kettle, black.
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    Chapter Master Coasty's Avatar
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    Re: Mark Wells explains why you non european types can't be sold to

    Yeah, 'cos GW would never do that, eh?

    What...?
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    Re: Mark Wells explains why you non european types can't be sold to

    If GW actually sold to the foreign independent (and their own) stockists with the same trade prices as UK companies get, maybe this problem could be solved. Of course, that would mean paying more than lip service to the ideal of "growing the hobby" in foreign markets.

    I'd love to post this on Facebook, but I'm too damn stupid to figure out how to comment on other people's "notes". Can anyone teach me (via PM)? Or post the same thing to their facebook page? EDIT I have to "like" their page first...
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    Re: Mark Wells explains why you non european types can't be sold to

    Quote Originally Posted by Griefbringer View Post
    I don't think so, there are a bit too many if-conditions in that paragraph. I think the way he intended it to be read would be something like:

    "If our customer base would be eroded outside Europe, the loss of volume would leave Games Workshop no choice but to scale back our investment in new product development, further eroding our customer base."
    If that were so shouldnt it have read "eroding our customer base" Instead of "further eroding our costumer base"

    Granted english is not my first language but when i read the further I understand that our customer base is already eroding and if we do this it will erode more. Without the further i would understand it as if we do this our customer base will erode.

    Of course I could be missing some nuances that native english speakers have which means I am not understanding the statement correctly.
    Quote Originally Posted by UberBeast View Post
    I was down at my local game store and I asked the manager if the new price-hikes worried him. He started on a rant how he's seen GW raise their price every year and how we gamers always complain and threaten and then as soon as something shiney comes out we are back to buying.

    Basically it was like hearing a drug dealer mock his customers.
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    Chapter Master Coasty's Avatar
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    Re: Mark Wells explains why you non european types can't be sold to

    Quote Originally Posted by uona View Post
    If that were so shouldnt it have read "eroding our customer base" Instead of "further eroding our costumer base"

    Granted english is not my first language but when i read the further I understand that our customer base is already eroding and if we do this it will erode more. Without the further i would understand it as if we do this our customer base will erode.

    Of course I could be missing some nuances that native english speakers have which means I am not understanding the statement correctly.
    Actually, he's right in using 'further' there (it's actually the 'would be' that doesn't make sense in English grammar).

    Basically, what he was saying was:

    'If X were to happen, and we allowed Y to happen it would allow X to happen even more.'
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  12. #12

    Re: Mark Wells explains why you non european types can't be sold to

    So I'm not a customer to GW if I buy their product in an online store? (scratches head). Something about that doesn't make any sense.
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  13. #13

    Re: Mark Wells explains why you non european types can't be sold to

    Quote Originally Posted by Lordalador View Post
    So I'm not a customer to GW if I buy their product in an online store? (scratches head). Something about that doesn't make any sense.
    No, GW wants to funnel everyone to their stores where they can pay the maximum price possible!

    Wells statement is nothing but self-serving drivel! If they were really concerned about European resellers (read Wayland and Maelstrom) taking advantage of currency fluctuations (read Australian currency) they could easily do a once per year price adjustment to bring it more in line with the UK price. Aussies would be alot less likely to purchase from a UK reseller and more likely would buy from their LGW or LGS. Instead by limiting trade they have monopolized the exchange advantage for themselves! Now only THEY make that extra money since the LGS in Australia pay in Aus currency.

    Australians take note - GW wants to totally wallet-rape you by making sure that you pay double what they pay in the UK and US!
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    Re: Mark Wells explains why you non european types can't be sold to

    Seems fair to be honest.
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    Re: Mark Wells explains why you non european types can't be sold to

    Quote Originally Posted by theunwantedbeing View Post
    Seems fair to be honest.
    Reasoning?
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    Re: Mark Wells explains why you non european types can't be sold to

    Quote Originally Posted by logan054 View Post
    I think this is the best part of the whole thing, pot, kettle, black.

    Hey you! Stop doing that!

    So I can do it...
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    Re: Mark Wells explains why you non european types can't be sold to

    Quote Originally Posted by theunwantedbeing View Post
    Seems fair to be honest.
    How to be fair when we are paying more than twice the amount you guys at UK are paying?

    Does it mean ppl outside of UK are richer and thus dont mind paying 2 times more than what consumers in UK are paying?

    And there are many countries that doesnt have a GW or indie store, so ppl in these countries dont deserve this hobby?
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    Chapter Master enyoss's Avatar
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    Re: Mark Wells explains why you non european types can't be sold to

    Quote Originally Posted by uona View Post
    Did he just admit that they currently have an eroding customer base? I thought the official stance was that everything was fine?
    I think he's saying people are still buying the products, but they're buying them below market value from certain traders thanks to currency conditions.

    At least, that's how I read it .

    Quote Originally Posted by Danteng7 View Post
    How to be fair when we are paying more than twice the amount you guys at UK are paying?
    To be fair, if I were working in Australia my salary would be almost doubled due to the difference in currency, pay practices and conditions. So I think there is a fair argument for regional costing if they are operating outlets and doing business in these areas. I admit that I can't say much for Singapore though!
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    Re: Mark Wells explains why you non european types can't be sold to

    So basically they are are complaining that web shops are stopping them ripping off Aussies etc and making money out of it at the same time? Those naughty shops are acting like er capitalists, something only GW is allowed to do.
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    Re: Mark Wells explains why you non european types can't be sold to

    As for my LGS giving me support, well i was playing in a league and came in 3rd and the club i belonged to had an awards night, but you had to notice the tiny slip of paper stuck to the back wall announcing the awards night. There was no verbal announcement of the Awards night.

    So i turned up the day after and was told i should have turned up at the awards night, i said to the guy behind the counter (deputy manager) that i did not know that there was an award night, he said oh sure there was one, well had i attended i would have won a $100 gift certificate for coming 3rd in the league, and so i said i am here now so can you give it to me, they refused point blank to hand over the $100 gift certificate.

    They reasoned that i had to be at the awards night to claim my prize,i spoke to other in the league almost all did not know that there was an awards night and some had missed out on gift certificates for their positions in the league, overall over $1000 worth of various gift certificate were withheld from winners of said certificates.

    Since then (over three years) i have not been back to the LGS costing them $250 per month in sales that is a total of $9,000 of lost revenue.
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