Quote Originally Posted by griffin View Post
I'll ask about fixed pricing, to see if it is a factor. I know that the annual Toyfair would limit it to 12 months maximum, but the retailer order forms usually only go as far as September (last time I saw one)... and even if their price was set for the remainder of the 12 month cycle, the next Toyfair gives them new prices. (if they choose to adjust prices on product lines that are ongoing)
I would be interested in if the buyers have fixed terms for 12 month periods or shoot for a longer term deal such as over 3 years. I can assure you that when the dollar dipped so badly retailers in general crapped their pants & would have pushed for extended fixed pricing terms. This would be why we have the current situation & Hasbro would have gone in with a worst case scenario to ensure X% profitability.

As I previously said Hasbro are under no obligation (if this is the case) to pass on ANY price reductions if the contract stipulates fixed pricing & periods. Think of it like this guys. The stores gambled with their expectations & lost heavily the last 18 months for their gamble. If I was in their situation I would have done the exact same thing & anyone who didn't should have lost their job.

If the dollar nosedived back to $0.60 again we as consumers would be buffered from the majority of that impact through the retailers FPA's.

I understand that the major retailers are doing it incredibly tough in the marketplace right now & online sales are hurting them worse than you can imagine. I am working on a very large packaging contract with one major retailer currently as they are looking to attack the online sector head on.

I did advise them as a consumer that their pricing had better offer an incentive for me to not buy either in person at a physical store or online O/S. The point of this is that retailers are sitting up & taking notice of market trends.

The thing is that we need to remember is that smaller nice traders like RK or BBTS are akin to a small speedboat who can turn on a dime & adapt much faster to a lumbering titanic retailer who take time & more importantly have stakeholders they need to justify the expense of opening online portals for clients to utilise.

Quote Originally Posted by Seraphim Prime View Post
A point I've been trying to make, yet said so much more eloquently.

I remember looking at Armada TFs at BBTS back when the AUD was about 54c to the dollar. Definately pushed you towards the local market.
Exactly mate. I am no rocket scientist but due to my job I feel that I can add a reasonable explanation without resorting to hysteria & unfounded accusations (not saying that anyone is doing so here mind you). the simple fact is I believe that rather than a conspiracy between retailers & Hasbro this is just the way it has worked out due to contracts. I am not privy to their contract stipulations but I have worked on plenty of large contracts in my time to know how it works & reatailers especially must minimise risk & financial exposure.