BLI Doing MAP Pricing? Ahahahaha You've got to be kidding me!

[Ed Kapuscinski]

http://www.modeltrainstuff.com/Broadway_Limited_Imports_N_471_Alco_PA2_PB2_PA2_se_p/bli-471.htm

I wonder if this applies to Factory Direct Trains (aka, their side door)... ahahahahahahahahahahahahaha

If I were a dealer, there is NO WAY I would do business with these shady clowns.

[artpics]

What is MAP pricing?

[bbussey]

Minimum Advertised Pricing.  It's basically the lowest that a manufacturer will allow its products to be advertised for in magazines and websites.  You find out what the website is actually selling the product for by adding it to your virtual shopping cart.

[bbussey]

If I were a dealer, there is NO WAY I would do business with these shady clowns.

At least the product in question is on hand, as opposed to requiring advanced reservations.

[Philip H]

Yes its on hand, and the discount post cart is not shabby.  But I agree with Ed - manufacturers really need not be in the business of dictating retail mark-ups.  Bugs me about Kato as well.

[Ed Kapuscinski]

I think it's a stupid, ineffective practice, but what I find particularly distasteful here is the chummy relationship BLI has with it's retail arm, Factory Direct Trains, which will grossly undercut other retailers (MAP or not). Essentially they're saying "We can sell them super cheap, but not you, even if they've been gathering dust on your shelves".

The fact that BLI has the cajones (not the pass...) to do BOTH of these things speaks volumes about their values.

Their product might be alright, but I would be very hesitant to ever enter into any sort of business relationship with them, and even if they did come out with a Conrail Correct SD40-2 for $40, I'd still think twice before buying one.

[Denver Road Doug]

That is hilarious.

Rumor has it they're gonna release a new trestle bridge soon in N and HO.   It goes up in flames as soon as you buy it.

[Dave V]

This is awesome.  If you're going to FAIL, at least FAIL hard!

[keystonecrossings]

BLI has had a MAP pricing for at least two years now. Blueline MAP no more than 20% discount.

[sizemore]

They are cutting the LHS/WHS's margins on gaining profit. Hell they (BLI) are already making ~50% of the MSRP from the hobby shop. The LHS/WHS is only making ~25% while the compliment is lost in ether. You can't dictate what a manufacturer advertises a product to sell. There has to be some constitutional law or amendment or business law that this is breaking by stating we can advertise our price and sell directy while you (the LHS/WHS) cannot advertise your price.

Bad sales model if you ask me, its one thing if it was a firesale but even that rolls down to the LHS/WHS. With a product that is already overpriced, and marginally competes with products with better appearances (sorry the anticlimber/shell seperation point as well as some poor almost LL E-8 quality molding doesnt justify the prices asked) I dont know how this company is staying afloat.

The S.

[Ed Kapuscinski]

The answer is HO.

[ljudice]

A correct Conrail SD40-2 for $40???

In this case, I would suspend my normal values....  ;D

[FrankCampagna]

MAP pricing is quite common in the computer industry. Kato hasn't had a lot of people following their lead. Is BLI selling off their overstock through FTD that much different than Walther's overstock sales, and Life-like's old practice of deeply discounting their locomotives after a certain time? Not fun for dealers/distributors, but what is the supplier supposed to do with stock that doesn't sell?

Frank

[Sokramiketes]

Well, at least in the case of Walther's it IS much different.  Walther's still maintains profit margin for dealers when they put an item on sale.

[FrankCampagna]

Well, at least in the case of Walther's it IS much different.  Walther's still maintains profit margin for dealers when they put an item on sale.

Thanks. I don't spend a lot of time on Walther's site, but I know they have had some steeply discounted sale items. And some sale items at above regular discount price.

Frank