Odd, my gas and electricity bills are going up by between 9-32%, there's just been a rise in my main transport costs of 8.5%, over the last year food has gone up between 25-70%, and it was announced today that the UK inflation rate is 4.4%, more than double the government's target... so you must be living in the only part of the UK that isn't showing inflation, as far as I can see.
Gas is the primary riser, not electricity, this has been going up by a far smaller amount, to be honest my eletric bills havent gone up, guess you choose the wrong supplier ;) Btw the i have seen GW products raise by 50% in 4 years (chaos warriors used to be £12), this is well about inflation, in short inflation has little to do with GW price rises. The price rises just create more price rises, people spend less and less on the hobby thus forcing a price rise (i think GW really overvalues that GW sticker on a packet)
GW is a business; it has costs. It needs to recoup on them if it is to stay in business. It may make its financial situation worse by its bad decisions, but really that's by-the-by. Bottom line, it needs to make money. Raising prices is one way of doing that.
And raising prices again helps this how? sure it helps if people to continue to buy the same amount, i hear many people being put of from starting new armies or evening start new games. One of my mates was going to start a marine army however is struggling to justify paying £18 for a codex (which it will be after the 29th.
Cutting prices could also be a way of doing it (making £5 profit on a million items is not as good as making £1 profit on 10 million of them). Both strategies have risks.
The merit of lower prices however is that people start to see the product as better value or lose with their wallets. I've been playing GW games for a long time, i think the chaos warrior box hit £18 i really started to question the value of their products, just recentlt i noticed that a plastic orc chariot costs the same as a metal Chaos chariot (WTF)
It doesn't really matter if the prices of other luxury goods are coming down, and you're right they are; partly because GW's transportation costs are higher than for CDs, for instance - think how many CDs you could fit in the Macragge or Skull Pass or Black Reach boxes, then work out how much that "space" is worth. I'd suggest you could fit at least 60 CDs in the Macragge box, at a tenner a pop, that's £600 pounds. Multiply that by 500 boxes or ahatever a truck can hold... so a "GW trukkload" is worth 500x£40 = £20,000; an "HMV truckload" is worth 500x£600 = £300,000... but the costs for the truck are the same. In other words, GW have to run 15 times more trucks (have 15 times more transport cost) to pull the same profit as HMV. But that extra 15 times has to come from somewhere, so in fact, as their overheads are more, they need to sell more than 15 truckloads...
Ahh but it does because GW is a luxury item, nothing more, its matters because they are GW competitors, the real money loser for GW is it stores, hence all the closures. The other thing with GW is that is actually has little within the impulse buying range (this would actually boost sales alot). On impulse i might go buy a CD, its doubtful im going to buy a £40 box of knights because i have that urge.
Not that I'm defending all of GW's decisions here. I think they could have handled many things better over many years. But some things that might be bad for GW are actually great for us in the short term. Black Reach is fabulously good value... there's about £160 worth of minis in there, if you buy them a box at a time, for £40 - that's a quarter of the price you'd pay over the year for them, which is pretty spectacular. I can't see how GW can sustain that, but in the meantime... wayhay! 120 quid's worth of free minis!
I think most things better would be more like it, i agree however that black reach is a great bargain, its a shame im only ever going to buy one box and need a £18 codex to use the marines.
Meh. It's all just stuff. We'll continue playing while we can afford it and it's interesting. GW might price themselves out of the market, they may go bust, the quality may go down if they cut production costs, they may dick about and piss us all off. But, at the moment, in the face of mounting costs, some of the plastics (and especially Black Reach) are just fantastic deals.
I dont think its a maybe, i think the problem is that GW relies to much on fanboys and kids with rich parents, to be honest i used to be a very loyal GW customer but i think with hoe poorly the rules are usually written and comments from jervis johnson along the lines of "i dont write rules for rules lawyers" or "its you own fault if you have rules arguments" Then we factor in the poor done HE release "oh lets just tweak two units, majorly
shake up the force origination chart and use ASF in a really cunny manor, so cunning infact it fixes nothing!
(the other thing that makes me think it was just to boost sales was the lack of any new core models). Then we move onto the chaos split invalidating so many armies, why exactly, ah yes, not to improve a game (better game = happy customers = more sales), no, and attempt to get people to buy what they dont want (i was less than impressed being stuck with a beastman army i dont want.
Ontop of all this (just to name a few) we then go and raise prices! oh yes! i swear to god, everytime i get past something GW does that annoys me they throw me a curve ball
Not the avid fan i once was, still i do enjoy my wargames
well maybe its just the company that pisses me off