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What Products I liked at Gen Con- A Publishers Perspective
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<blockquote data-quote="JohnNephew" data-source="post: 318916" data-attributes="member: 2171"><p>There are a couple of reasons why manufacturers don't discount at a show like Gen Con.</p><p></p><p>First is that it is expensive to be there, and while they make a higher profit per item sold, they have a lot of bills to pay (thousands of dollars on airplane tickets, freight bills, booth fees, meals, etc.). They need all the money; even so, many publishers lose money at conventions (even Gen Con).</p><p></p><p>Second is that it looks really bad for a publisher to discount. Retailers are understandably upset when they visit a booth, and see "40% off everything!" or the like. The retailer then wonders, well, if the product isn't worth the retail price that the publisher suggests -- if the publisher himself has to sell it at a discount in order to make sales -- then why am I expected to sell it at full price in my store? Because if the retailer can't sell it at full price, they may as well not carry it at all, and instead sell something that CAN be sold at the manufacturer's suggested retail price.</p><p></p><p>I think it's very important for publishers to charge the same price that they expect retailers to charge for their goods. If they see that no one wants to buy at that price, then they might consider whether their prices are too high (or maybe if it's a product that just doesn't appeal to gamers).</p><p></p><p>One exception is that it may be a good idea to have a damaged/closeout items area with cheap goods. I know Chaosium always has a big pile of Cthulhu novels (dinged-up returns from the book trade) that they sell for a straight $5 each. Then you're offering some cheap deals, but it's "as-is" merchandise (just like a game store's used section or discounted close-outs or whatnot), not discounting the pristine brand new items.</p></blockquote><p></p>
[QUOTE="JohnNephew, post: 318916, member: 2171"] There are a couple of reasons why manufacturers don't discount at a show like Gen Con. First is that it is expensive to be there, and while they make a higher profit per item sold, they have a lot of bills to pay (thousands of dollars on airplane tickets, freight bills, booth fees, meals, etc.). They need all the money; even so, many publishers lose money at conventions (even Gen Con). Second is that it looks really bad for a publisher to discount. Retailers are understandably upset when they visit a booth, and see "40% off everything!" or the like. The retailer then wonders, well, if the product isn't worth the retail price that the publisher suggests -- if the publisher himself has to sell it at a discount in order to make sales -- then why am I expected to sell it at full price in my store? Because if the retailer can't sell it at full price, they may as well not carry it at all, and instead sell something that CAN be sold at the manufacturer's suggested retail price. I think it's very important for publishers to charge the same price that they expect retailers to charge for their goods. If they see that no one wants to buy at that price, then they might consider whether their prices are too high (or maybe if it's a product that just doesn't appeal to gamers). One exception is that it may be a good idea to have a damaged/closeout items area with cheap goods. I know Chaosium always has a big pile of Cthulhu novels (dinged-up returns from the book trade) that they sell for a straight $5 each. Then you're offering some cheap deals, but it's "as-is" merchandise (just like a game store's used section or discounted close-outs or whatnot), not discounting the pristine brand new items. [/QUOTE]
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