MiniAuto Gt40

QUOTE ...if you overcharge you damage your own company

Overcharging is illegal and can only be done by the retailer: a premium is a clearly marked price differential and you pay it if you wish.

QUOTE FLY slot car are no better perceived than Scalextric who's quality control is much better. So in lot of customers minds they do not justify a premium.

Who says? Bentley, Lamborghini, Audi, VW, SEAT and Skoda have similar quality control, yet they are each perceived quite differently and command varying price premiums. All offer value for money to those who buy them; even if to the Skoda buyer a Bentley seems otherwise.

QUOTE The continued recurrence of threads such as this seems very strong evidence that the 'brand image' of Fly has been weakening for some considerable time

Surely, the opposite is true. The recurrence of such threads proves that Fly is holding true to their market position.

QUOTE Toyota not in that list Scott??

I do not want to become too boring and predictable in my biases.

Scott

Excellent points Scott

All the time that threads and forums like this exist, and keep talking about Fly, then the free publicity is great for Fly. As for holding their market position, then that point is in the eye of the purchaser, who may feel that Fly cars are great and so holding their position, or may feel that another manufacturer is better and so in their eyes Fly may have dropped their market position to that person.

To be honest, it is irrelevant to everyone where in the market Fly may be except to the retailers and to Fly themselves. If you like the cars, and many many do, then buy them. If you don't like the cars for whatever reason, then don't buy them and stop whinging about them or Fly themselves!

QUOTE I agree with Gary, and would like to see some justifiable reason why some FLY cars are so very expensive?

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.

QUOTE At £38.42 this shoots down the price is fixed by Miniauto theory.

If I state on this forum how things work, I do so because the majority of people will take what I am saying as correct, which it is. I cannot, however, speak for retailers who sell the cars at less than cost (as confirmed by Gary at MRE on his earlier posting) or members of the forum who think they know better.

Aaron

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