Bachmann hike price's by 20%

[Dr Al]

I now more fully appreciate the wisdom of Hattons decision to make a big push into the second hand market.  As prices on the new models become more dear sales on new models will decline unless it is willing to take a smaller margi; profits will drop in either case.  But with second hand models, Hattons has much more freedom to set prices to sustain the margins it requires.

All these price hikes can only push up the prices of secondhand models in time too.

Cheers,
Alan

[EtchedPixels]

and to compare a one man band who needs to do little more than cover his costs with a multinational corporation with the demands of cash hungry corporate and political master to satisfy is questionable anyway...

And without the economies of scale.

As a customer big v small doesn't matter. Bachmann will soon ne 150 quid a loco and UM is 80!

[Roy L S]

and to compare a one man band who needs to do little more than cover his costs with a multinational corporation with the demands of cash hungry corporate and political master to satisfy is questionable anyway...

And without the economies of scale.

As a customer big v small doesn't matter. Bachmann will soon ne 150 quid a loco and UM is 80!

True, but it depends what you want.

A fairer comparison might be that a UM 0-6-0 tender loco will cost circa £70, For that you get a solid if basic model which is well engineered.

A similar (say) Farish 0-6-0 J39 currently discounts to £72 and if one is pessimistic may go up to say £100 over the next couple of years. For that you get a highly detailed model which is equally well engineered, reliable and DCC ready - is the price differential therefore actually that great?

Roy

[D1042 Western Princess]

They can ask us to pay whatever price they like, but if we simply can't afford it and stop buying it will backfire on them. I hope it's not 20% but if it is then my plans for a number of items are going to be very much cut back.

[port perran]

There have been plenty of cases in the past of companies going "one step too far" with pricing.
I hope this isn't going to be the case with Bachmann but 20% is 20%.
I for one will be thinking VERY carefully about further purchases .

[MikeDunn]

A similar (say) Farish 0-6-0 J39 currently discounts to £72 and if one is pessimistic may go up to say £100 over the next couple of years.

Pessimistic ?  No, this is what Bachmann are stating ...

£72 this year, around £86 next, around £104 in '16, around £125 in '17, around £150 in '18 and around £180 in '19.  Don't believe me ?  Re-read their statement & get out your calculator ...

is the price differential therefore actually that great?

Let's say UM increase 5% YOY ...  £70 this year, £73 next, then £77, £81, £85 and then £89.  A 10% YOY gives £77, £85, £93, £102 and £113.  That's quite a difference.

Union Mills prices have oddly enough not changed a lot over the time

So we may see an even greater difference than the 5% I illustrated first ...

There have been plenty of cases in the past of companies going "one step too far" with pricing.
I hope this isn't going to be the case with Bachmann but 20% is 20%.
I for one will be thinking VERY carefully about further purchases .

You, me, and a lot of the purchasers ... although it's interesting to see how many feel such a large increase is valid ...  Will they still think that when the increases hit again, and their salary / pensions drop further behind ... ?

[Lawrence]

Simple really, every one swap to building US layouts where you can buy more reliable locos for a fraction of the cost, that way Bachmann sales will fall and they will have to look for other solutions rather than the lazy option of putting up their prices and making modellers suffer.

[longbridge]

Simple really, every one swap to building US layouts where you can but more reliable locos for a fraction of the cost, that way Bachmann sales will fall and they will have to look for other solutions rather than the lazy option of putting up their prices and making modellers suffer.

Great suggestion Lawrence, I doubt Bachmann America will increase the cost of their locos, they are already on the nose.

I wonder if the British modellers are  subsidiseing the American market as there has been no mention of American prices going up 

[PLD]

A fairer comparison might be that a UM 0-6-0 tender loco will cost circa £70, For that you get a solid if basic model which is well engineered.

A similar (say) Farish 0-6-0 J39 currently discounts to £72 and if one is pessimistic may go up to say £100 over the next couple of years. For that you get a highly detailed model which is equally well engineered, reliable and DCC ready - is the price differential therefore actually that great?

Roy

The J39 is actually a good Benchmark being the one model currently available in 'Basic' (UM) and 'Detailed' (Farish) formats.

Hands up all those who have bought the UM version since the Farish one was released. - I bet there are very few unwilling to pay the current c15% @RRP difference for the higher spec. The test comes in the next few years as the margin (we assume) will increase... Will sales of the UM version pick up again? Truth is we don't know and won't do for several years...

[PLD]

Pessimistic ?  No, this is what Bachmann are stating ...

Actually Mike, No it isn't what Bachmann are stating at all; it is what some comentators wishing to bash Bachmann are stating based on their own assumptions of details not yet published and misinterpretation of what was in the statement released...

Other than a few examples (all 00 models) Bachman have not yet released any revised prices for this year let alone in 5 years time! They have said an average across all ranges of upto 20% this year (some will be a bit more, others quite a lot less) with unspecified rises likely in subsequent years.
This years large rises are stated as including a corrective element for previous factory cost rises not passed on to the customer and some rebalancing on certain products that were actually selling at below cost!

The spurious "20% year-on-year" which is being bandied around and used to extrapolate some of the ridiculous figures you and others are presenting is the Chinese STATE IMPOSED wage rise. Labour costs are estimated by the more reliable sources at between 35% and 45% of current cost base, so other things being equal that implies a 7-9% year-on-year increase at the factory gate.

[1936ace]

Received my kernows newsletter this morning and they are suggesting get in and buy now especially coaches.
A good sale static I reckon!
Over here in oz if it does go ahead I know one set that won't sell and that's the farish BP as it is currently floating close to A$500 in some hobby shops so a big increase will for sure kill its sales
Bart

[Newportnobby]

There have been various threads on whether we have too much stock for our layouts, with some comments being somewhat derisory where this situation exists.
I, for one, am now glad I have far too much stock but consider this..............
Anyone who has their prized N gauge collection insured should reconsider the value as the cost of replacement has just increased vastly, thus a knock on effect on insurance premiums will have to be taken into account

[silly moo]

There are similar discussions on RMWeb about Hornby's price increases so the price hikes aren't just confined to Bachmann items.

A new Hornby LNER teak sleeper coach is listed at 59 pounds on Hatton's website!! You used to be able to get a loco for that price.

I won't stop buying, I'm a model railway addict but I will be thinking very carefully about future purchases.

It's not entirely a bad thing to appreciate what you already have and to value any future purchases even more. When we were young we used to have to save up our pocket money to buy things, looks like we'll be doing it again.

[Chris in Prague]

Having drastically overbought for my planned new layout, I've been steadily selling off items but, apart from having to buy at least one Graham Farish N and some pre-BR design coaching stock, I think I'll appreciate what I already have and think very carefully about future purchases. And, as I've always done, keep an eye out for secondhand bargains. (eBay will be making even more money out of us!)

Like others, I won't stop buying, I'll just buy less and think very carefully about whether I really need it. (Having a WTT is a big help.). I'm fortunate that I already have nearly everything I need for 1961 - 1969 (and I only need a few items in BR Blue as services were far less by the late 1960s). I also don't envy new railway modellers with lots to buy. The GWR branch terminus will be even more popular!

[daveg]

Like others, I'm pleased I have bought what some folk think as too many locos and rolling stock for the size of my current and planned layout.

I've just ordered a GF class N to 'top up' what may well be the final addition to my pre-order book. As Caz says, I wonder how many of the long-awaited models will be re-coded to avoid holding pre-order prices.

Should they suit your modelling era(s), UM locos are certainly worth consideration.

Dave G