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In lugnet.general, Erik Bush wrote:
> Hi All,
>
> I was just thinking...Is it possible for TLC to produce and sell lego sets in
> mass bulk (over 1000 pcs of the same type in a contaner) and print a catalog
> maybe even every 3 to 4 months with only these sets/part bags in it? If TLC sold
> parts in mass bulk how many people would buy them other that me?
>
> If TLC started producing sets/bags of part with 1000 pcs of the same brick it
> would be a lot cheaper to order because there wouldn't be as much shipping
> price.
>
> I know that TLC sells in bulk but they only sell around 100 pcs per set/bag
> (like part #3453-#10004, and #3753 which you can buy in 100 pcs bags) so you
> would have to buy 10 bags. Would it be cheaper to for TLC to sell even a few
> bricks in mass bulk because of less packaging? Would it be cheaper for us to
> buy them?
>
> Any comments are welcome.
Sure it probably WOULD be possible for TLC to product 1000 piece bags of
individual parts. And it might cost less to do than ten 100 piece units.
However, VERY few buyers would be interested in 1000 of something as compared to
a much greater number of buyers interested in buying 100 of something.
For example, if you wanted 400 of some part, would you be willing to buy a bag
of 1,000 every time or would you simply prefer to buy what you need? If you
don't object to over-buying all the time I have some items I would like to sell
to you:
--a case of toothpaste -- 1,000 tubes. Never run out again.
--4 tires for a car -- even though you only need one now.
--a 50 pound block of cheese -- you use it every day, quit buying small pacakges
and save half the cost.
--a truckload of salt -- cost is just pennies per pound!
As you say, it would be convenient to buy just one bag of parts when you want
1000 of something versus forty 25-count bags. But if too few people buy that
huge bag then the cost to Lego to stockpile it for a long time adds to the cost.
And the space it takes up means that Lego cannot offer other 1000 piece items
until the first one is sold out.
If you have seen how the current offerings of bulk product are packaged, then
you will know that costs for packaging are not a big deal--probably only .01
percent of the cost of each item. The biggest cost to Lego for the bulk product
is likely that of storage and inventory control. Items that sit as unsold
inventory cost money. Smaller lot units help to ensure that more items sell
more quickly than larger lot units. 1000 lot units are not attractive to buyers
who only want to buy 25 or 50 or 200 of something.
As for shipping costs, 1000 bricks cost basically the same to ship whether
packed as one bag or 40. The package volume or weight would be pretty similar
as you would still be moving 1000 pieces.
Personally, I would like to buy some things in larger quantity than offered, but
for most items, I am not willing to buy 1000. If 1000 was the only size
offered, I would end up buying zero. I believe that most people would do the
same.
____
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Message is in Reply To:
 | | Lego's in Mass Bulk?
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| Hi All, I was just thinking...Is it possible for TLC to produce and sell lego sets in mass bulk (over 1000 pcs of the same type in a contaner) and print a catalog maybe even every 3 to 4 months with only these sets/part bags in it? If TLC sold parts (...) (20 years ago, 13-Jan-04, to lugnet.general)
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