Prices, Was: Pegasus Phonix D.1 in the Mail.

Mark K. Nelson (
Sun, 2 Jul 1995 15:10:05 -0700

>>On 29 Jun 95 at 8:56, Allan Wright wrote:
>>> Ohhhhh - I got to get that one - but OUCH! the price.
>>It might seem trivial, but is there anyone else disgusted with the
>>latest pricing of some of these kits? Here there's probably $2.00
>>worth of plastic, and maybe $2.00 in white metal. Plus $.50 for
>>decals. And we're paying around (after the exchange) $15-20 for a
>>small kit!

I hope everybody got my note confirming the price for the above kit
(UK9.99, not =A39.99). I promise in the future not to use any funny
characters that may get translated by some other computers. . .

On another note.

Model Retailer magazine has been running an ongoing series on setting up as
a manufacturer. The May issue dealt with pricing and distribution systems.
The main point was deciding whether you could sell your product for a
reasonable price and have good distribution.

For conventional distribution (man. -> dist. - > ret. - > consumer) the
selling final selling price will be roughly five times the actual
manufacturing cost.

If the manufacturer also serves as the distributor the final price may only
be 2.5 times the actual manufacturing cost, but the product will get much
less distribution so the manufacturer will be more likely to fail.


Mark (From Kites & Other Delights in West Edmonton Mall)