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Friday, January 20, 2012

What do these Transformers or heck any toy Really Cost?

Yesterday I went to my Local Kmart and found a few Transformers on Clearance. They were the Kmart Exclusive Human Alliance Sideswipe and Icepick with Sergeant Chaos. And another was the Black repaint of Human Alliance Bumblebee with Spike. Now one was $25 and the Other was $22. Now I had hesitated to get these figure because of their original costs of $40 and $45 for the other. So at close to half off I was really thinking about getting them. As I was holding them in my hand contemplating how I could get my Wife to OK my buying them I noticed that there was a sign hanging:

50% OFF ALL CLEARANCE TOYS!!!

My Jaw dropped wow. Now I know I could sweet talk my Wife into agreeing to that type of prices. Heck at that price I could get my Son some toys of his own. I look around to see what I could find. Pirates of the Caribbean $3 , Thor $5, Green Lantern $7 Larger Playsets $9, Halo $8, Kung Fu Panda $4 and that was the Prices before the 50% off. And for the Girls Barbie for $8 and many others. Sorry didn't pay too much attention to the girls. So I got my son the whole line of the Pirates with Light up face gimmick or something like it.


So I got home. And I opened up my First figure and I thought to myself. Hmm if I paid half of 50% off the regular price of the figure how much do these figure actually cost Kmart or other retailers. I am sure Kmart has to make some sort of profit even at this price point. Or do these Retailers get a kickback of sorts from Hasbro? Made me wonder. Then I thought some more if the retailers can take off this much money off the retail price and not lose money then there can only bee one conclusion.


WE ARE OVERPAYING AND GETTING OVERCHARGED BY THESE RETAILERS!!

So are we really getting overcharged by these companies? And is it really by these high amounts? I mean don't get me wrong I can understand that these companies need to make money but do they really need to make that much of a percentage above costs? By that I mean this:

Transformer toy retail cost $45, Clearance $25 half off $12.50.

If the Retailer can sell it at $12.50 and make a profit then realistically we can say they paid $8-$10 for that figure from the manufacture. Lets go with the Higher number of $10

So $10 of actual cost and $45 Price tag for the consumer (thats me and You) That means retailers would be making a Profit of close to $35 a figure.

Now I know these numbers aren't actual numbers but it does make one wonder. So what do you folks think? Are we over paying for these toys? Are retailers really making that much money off us?





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