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No, I think the stores can have a sale whenever they choose, which is why it
is limited to 20% [although they may contribute...pity they can't have 1 or
2 50% off sales a year :) ]. However, if an item is put on clearance, it is
usually because the rep has 'credited' them for x number of that set. the
stores can then reduce their price to include the new cost to them. [which
is how Craigieburn toyworld with 39 6709's at $8.99 was able to reduce them
to $3] This means that the stores aren't making a loss on the sets...and I
doubt LA would make a loss either, leaving me to assume that LA make a fair
amount on the sets..Pity they haven't realised that the reason that lego
doesn't sell well is the high price...after all, if they can afford to halve
the cost of a set to stores [3409] then they're either:
1) subsidising the cost through the profit from the rest of the lego range,
or
2) making a huge profit through extreme over-pricing.
Assuming they are going with (2), then I can only assume that the prices are
so highly increased is to allow for the fact that the money is neaded to
keep LA going as they don't make huge sales, when they have forgotten that
the reason they don't make huge sales is that the prices are too high.
Benjamin Whytcross
BWhytcro@PacificAccess.com.au
Ph: (03) 9856 5282
Directory Technology Pty Ltd
1/436 Elgar Road,
Box Hill, 3128
Growing older is compulsory..Growing up isn't :-)
> -----Original Message-----
> From: Aaron Coghill [mailto:cogs@fan.net.au]
> Sent: Wednesday, June 28, 2000 10:09 PM
> To: lugnet.org.au@lugnet.com; lugnet.loc.au@lugnet.com
> Subject: Lego Reps
>
>
> After a brief chat to the guy who runs the toy section at
> David Jones Robina
> (gold coast) I pressed him for some info on the Lego Reps.
> Apparently the
> reps do decide what goes on the shelf. what was more
> interesting to me was
> the fact that DJ Robina is not classed as a metropolitan
> store and is not
> qualified to stock the larger sets (I know it sounds crazy).
> But DJ's can
> order any current set from LA.
>
> I had a thought... does LA have to authorize stores to sell Lego at
> discount, like the great 20%off sales from Kmart, target, and myer.
>
> Aaron Coghill
> Kyola Department Emergency Services
> http://www.geocities.com/kdes_fire
>
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