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Subject: 
Re: Talk me into Bley at BrickFest
Newsgroups: 
lugnet.color
Date: 
Sun, 18 Mar 2007 18:56:25 GMT
Viewed: 
4289 times
  
In lugnet.color, Chris Phillips wrote:
   In lugnet.color, Timothy Gould wrote:
   --snip--

   Who knows? Maybe if somebody within TLC had “cried about pigment change” before it was too late, they could have avoided some of this pain?

I really find it hard to see how the colour change would have been detrimental to TLG in any meaningful way. Perhaps you can elaborate on the idea because I just can’t see any connection.

The company’s trajectory over the past decade certainly implies that something took a dig at their business. Late 90’s: company in financial trouble, saved by unexpected popularity of MindStorms and Bionicle product lines. Early 2000’s, company expands into retail sales in several countries. Mid 00’s: company implements color change, shattering the adult fan base. Late 2006: company announces outsourcing of all manufacturing, packaging, and order fulfillment, sells off real estate holdings, and announces layoffs of 75% of their workforce.

If the expansion into retail was what caused the problem then they would be shutting it down now, but they don’t seem to be doing that. On the other hand, the Ambassador program, more sophisticated model designs, and better brick/buck ratios all seem like attempts to woo back the AFOLs who seem to have abandoned the hobby recently.

If not bley, then what exactly do you suggest caused this sudden reversal of fortunes?

As Marc says the colour change affected a minority within a minority. Hardly likely to be a destructive force for the companies fortunes. Yes TLG support AFOLs and generally try to keep them happy but they are a very insignificant minority in terms of sales.

There is one further issue that has not just affected TLG but every other major toy company: consumer technology. Up until the mid 90s (when TLG were still doing well) kids got toys, books or clothes (in the marketplaces TLG serves). With the proliferation of mobile phones, video games and other consumer technology there was a new competitor in an already fickle marketplace. That is billions of dollars no longer being potentially spent on your product.

Compare that to the colour change which probably seriously affected the buying habits of (at a long stretch) a couple of hundred fairly big spending people.

Tim



Message is in Reply To:
  Re: Talk me into Bley at BrickFest
 
(...) The company's trajectory over the past decade certainly implies that something took a dig at their business. Late 90's: company in financial trouble, saved by unexpected popularity of MindStorms and Bionicle product lines. Early 2000's, (...) (18 years ago, 18-Mar-07, to lugnet.color, FTX)

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