QUOTE As for the pricing, if Fly can sell a limited edition model for twice the price of a normal model, then good luck to them! They do not have to justify themselves to anyone, and if any of who have any business sense were in the same position we would do the same thing - the supply and demand theory is basic economics.
Ah, the blissful ignorance and arrogance of a company riding a decent wave of success and believing their own propaganda.
Aaron, their are plenty of folks on this board with a lifetime of marketing experience who would beg to differ. I would suggest that most of the sentiment expressed regarding FLY and their pricing is done so that those at FLY who keep an eye on consumer insights might pick up on this discontent and maybe take this into consideration going forward.
I like FLY cars. I would consider myself loyal to the brand. I was comfortable with their base pricing (less so in the last year). I find the price of the Mini Auto release an abomination. It has seriously hurt FLY's reputation from my perspective and it has diminished my overall perception of the brand. I am shifting toward indifference to the brand.
Supply and demand is a much more complex issue than you profess. And I shall spare the readers of this board a full marketing lesson, but there is a direct correlation between brand loyalty and price elasticity that effects demand up to the point of profit maximization.
Add a proliferation of consumer choices with regard to slots and FLY's waning days as an oligopoly where its easier to exploit a market and you have the potential for some long term financial implications.
Not to mention an increase in consumer utility as the slot car hobby continues to grow (in other words, as consumers get more into something and that something grows and becomes part of their routine, they typically demand MORE from the product). Value is a function of utility x price.
I would suggest that FLY is not investing a lot of money in traditional packaged goods Brand Health Tracking surveys and ongoing consumer feedback. They are likely taking a sales volume approach NOT a consumer approach to their forward marketing strategies. They are likely going on their gut and sales records.
Good luck to them if this is the case they are going to need it at some point.
To label the comments of members of this board re FLY as whinging is to do so at your own peril and blind ignorance of who is making these comments!
I quote a Marketing Vice President fom Molson Breweries whose stock answer to his marketing charges whenver they came running to his door was "Don't ask me, go ask your consumer!".
Ken R
