Discounts on LEGO Exclusives

theLEGOman

legogregors said:

I was in a similar situation and sold off the Simpsons house minifigures when they first came out because I did not particularly like the half closed eyes.

They give more Homers, Barts and Marge per box I believe so £7.50 gets house owners a set of normal looking heads for their figures.

Pitfall69

Please, @texaspete‌ , take a look at this thread. If you have any questions after that, well...may God have mercy on your soul :)

http://www.bricksetforum.com/discussion/6868/discounts-on-lego-exclusives#latest

TheLoneTensor

cloaked7 said:

Some stores (I think Target and Walmart?) have offered gift cards with some exclusive sets to get around the no discount policy. And, LEGO does so in the way of Ltd Ed sets with purchase. Not the same as a true discount and typically not used very often, but it's still a discount in my opinion.

By far the best of these deal was the #7347 Highway Pickup that TRU/FAO was including with an exclusive purchase. This brings up a good question, if retailers want to discount exclusives, as they have in the past, why haven't we seen more of the freebie offers?

ColoradoBricks

Right now you can get #31313 at walmart.com for #349.95 but you can also buy it for $461.44 and get a free $35 eGift Card... talk about a freebie...

lordzarak

I can think of two reasons:
1) Christmas season allows for better sales to get your attention/repeat business.
2) Retailers possibly ordered their supply of "Hard to Find" sets before they became aware of TLG's new rule. Now they have tighter inventory control so they do not have to eat the cost of a giveaway set.

TheLoneTensor

Perhaps, but for 2) I don't see much difference between eating the cost of a giveaway set and giving a discount. For example, Amazon had the Fire Brigade for $119 for a couple months (ah, good times), They could today, give away a $30 set for free with another modular and likely it'd be a wash $-wise.

Milne44

When is Black Friday?

Pitfall69

Yeah, I bought a few Fire Brigades and Grand Emporiums during that sale :) I don't see why any retailer doesn't give away a free gift card with purchase just to get around the rules TLG has imposed on exclusives.

TheLoneTensor

^ Google is your friend.

It's the Friday after Thanksgiving.

Pitfall69

Yeah, we Americans get that a lot about Black Friday. I believe in the UK, the day after Christmas is called Boxing Day. I thought it was great that after Christmas you are free to punch people in the face. In the famous words of Yakov Smirnoff: "Whaaat a country."

Milne44

We have mad Friday too in uk, it's the Friday before Christmas Day when all the town centres in uk are mental with drunks.

monkeyhanger

Milne44 said:

We have mad Friday too in uk, it's the Friday before Christmas Day when all the town centres in uk are mental with drunks.

That's "black eye" Friday to a lot of us in the UK. Full of radgies drinking LCL (lose control lager).

DoubleD

Black Friday not much better in the US, when you have a guy punch a old lady for a half price Elmo.

Pitfall69

^The year before, people got trampled at a Walmart. I think someone died.

legogal

legogregors said:

I would look for the "VIP members may get advance promo on Thursday"(Black Friday) 3x VIP points if we are lucky and combine that with 5% off with shopdiscover and maybe a Ltd Ed set thrown in. I think that is about the best you will get.

I was in a similar situation and sold off the Simpsons house minifigures when they first came out because I did not particularly like the half closed eyes.

Gregors,
I agree. Have not gotten the House because I am not a fan of the figs either. And I have enough Creator houses. I do however like the interior of the Simpson's house.

Brickarmor

TheLoneTensor said:

This brings up a good question, if retailers want to discount exclusives, as they have in the past, why haven't we seen more of the freebie offers?

I've been asking the same question, mostly out of regret for not pulling the trigger on that TRU/FAO giveaway. But it is likely the fact that from Jan-Oct retailers have less impetus to compete for sales. Been waiting, and waiting, for another GC/free set sale...

Pitfall69

My daughter has been playing with the Simpsons House ever since I finished it. She puts her Friends minidols in there. It is a greatplayset.

madforLEGO

TheLoneTensor said:

.... For example, Amazon had the Fire Brigade for $119 for a couple months (ah, good times), They could today, give away a $30 set for free with another modular and likely it'd be a wash $-wise.

Wanna talk 'good times'? Amazon and Walmart had the Cafe Corner on perpetual sale at $120 each
You may commence your crying when ready.

People are assuming that LEGO will be decent enough to give 3x VIP points again this year. I have a sneaking suspicion that the 3x VIP points is not going to occur again (knowing how tight LEGO is getting).

You truly best bet is to go for these sets when double points are available, and that will likely be the best deal you will get (unless LEGO decides to allow the exclusives to be on sale again) OR wait until the holidays and hope that the stores do their whole 'bonus' set with purchase of an exclusive like last holiday season.

Farmer_John

^I agree...

Dougout

^^They would be smart to do something with 3x, at least 2x with a good bonus. Resellers know 3x was their best opportunity, and it is also TLG's best opportunity to identify resellers and their volumes. With Lego itself being the best place to buy legos at some sort of discount nowadays they can identify their resellers much easier than when everyone was buying wherever they could get them at a discount.

I will take it easy with my reselling orders if they do 3x again. I would like to place 20 orders during 3x this time around, but I might settle for 5 just so I don't put myself on their radar anymore than I already am.

madforLEGO

Well LEGO would be smart to not ban discounts on exclusives and not take their previous double point 'months' down to two weeks, but it is what it is unfortunately.

Farmer_John

Here's an interesting story that TLG should take note of:

"The study revealed that the addition of sales taxes dropped Amazon's sales by 9.5 percent. For purchases of $300 or more, Amazon sales plunged by 23.8 percent after the company began collecting those taxes."

In short, adding a 5-10% increase in cost due to taxes reduced Amazon's sales by almost 10%; that reduction basically doubles on larger purchases. It should be noted that the collection of sales taxes is really not Amazon's fault; it's the government wanting to get their piece of the pie.

What TLG has done with their discount ban on exclusives in the US is similar except that TLG can't blame the government like Amazon can. Like it or not, TLG is doing their best to alienate their big spenders: the AFOLs.

Pitfall69

Amazon is in support of the Marketplace Fairness Act. That way, they can move their warehouses into every state, city and town and put a stranglehold on the market. They are using the government as a scapegoat.

starwarfan77

amazon is supporting its own business model. initially they wanted no internet taxes since it suited them i.e. they needed to establish themselves. now they want to collect tax since they don't want another player in their own space and they want to put proper barrier into entry. i.e. no competition for themselves.

i used to buy from amazon before they started collecting taxes. it used to save me 10% :D now there is no incentive to buy from amazon. :D its not that i am not buying. just it diverted from amazon to brick&mortar store.

i personally don't think charging sales tax would reduce TLG's sales. People will buy them no matter what.. only way people would stop buying them is only iff they find better/different alternative to LEGO or if they can't really afford them in the number of quantity. even in those desperate times people will buy stuffs for kids. that smile on ones kids face is priceless. these are emotions attached purchases...

TheLoneTensor

What about convenience, selection, competitive prices and great customer service? Then there is the streaming and digital services they offer. You buy a CD and you get the digital instantly. I'm no amazon fanboy, but to say there is no incentive to buy from Amazon is a bit unfair.

mathew

^ That and B&M stores don't stock anything older than a couple of years anymore. For example I wanted to watch JFK again. A fairly popular movie back in the day that you could easily find at a place like Best Buy. Not any more. Even with the 50th anniversary last year not a single B&M store had this movie in stock. Amazon had it for $5.35 w/ Prime. Granted I could have streamed it, but for a $1.35 more I'd rather own it. I can buy used media straight from Amazon Warehouse with free prime shipping very cheaply.

B&M is fine for 'gotta have it now' items like groceries and I will say that Target w/ Red card gets a lot of our money. But I believe that Amazon will always have a place unless they severely limit their warehouse inventories.

Pitfall69

Other than groceries and large appliances, I don't really go to B&M stores that often. Walmart is experimenting with same day grocery/store items delivery. You can order anything in a particular Walmart store and have it delivered to your door that day. They have special trucks to keep items cold.

Between Amazon and Walmart, they will probably drive most everyone else out of business.

Farmer_John

Pitfall69 said:

Amazon is in support of the Marketplace Fairness Act. That way, they can move their warehouses into every state, city and town and put a stranglehold on the market. They are using the government as a scapegoat.

Agreed.

The lower the sales tax, the less Amazon is probably going to feel it. In Tennessee, it's basically 10%...albeit we have no income tax. I'm probably a typical Amazon customer, and I can personally vouch for the story. I just went to my Amazon account and compared Jan 1 - May 4, 2013 to Jan 1 - May 4, 2014. My purchases (in dollars) have dropped by 50% year over year. And this will only get worse as the spending season (holidays) approach.

By killing off discounts on exclusive sets, TLG has done basically the same thing...or worse. I'm just not one of those people that blindly purchases anything without considering the total cost (including discounts and taxes).

By the way, here's the link to the story on Amazon taxes:

http://www.wbir.com/story/money/companies/2014/04/30/amazon-hurt-by-new-tax-rules-in-tennessee/8502481/

Farmer_John

Pitfall69 said:

Other than groceries and large appliances, I don't really go to B&M stores that often.

We actually just purchased a new double oven/range and matching over-the-counter microwave online. The worst part was lugging it up the stairs into the house, but I was able to get everything installed and working great. Most importantly the wife is happy (which is the true litmus test).

Our credit card provides additional points if items are purchased online and we go through a link (including items from Lego [email protected]). We've also purchased other large household appliances from Lowes, etc. online. Like you. our primary reason for going to B&M stores is groceries.

TheLoneTensor

This actually reminds me of an initiative Google was/is trying. Say you're at home and order a widget online, be it food, electronics, Lego, whatever. There's a good chance that widget is somewhere in some store local to you. If so, let's get that widget from that store to you via a local courier, giving everyone involved their fair share. If done right, it ends up being cheaper than shipping it from a distribution center that is most certainly farther away. The interesting facet is that the concept involves multiple retailers, giving you the widget at the best price there is.

It's an interesting concept anyway.

herekittykitty

Does anyone know if the Disneyland Passholder discount still works on exclusives at the Anaheim Downtown Disney Lego store?

TheLoneTensor

Looks as though there's a chink in the discount armor, or a mistake, whatever. Both the Sandcrawler and PR are currently discounted at TRU ($250 and $128 respectively). All sold out now, but apparently they were available earlier until they, again sold out.

Interesting.

mathew

^ The Sandcrawler is probably a Dustcollector at RRP. $300 is a lot of change for a rolling, brown garage. I'd love to have it of course. But at a 20-30% discount. Here's hoping that Lego sees the error of it's ways this holiday season and reverses the 'Exclusive No Discount' policy. Otherwise I foresee Exclusives being slow movers until the inevitable EOL at which point the reseller hoard devours all.

Pitfall69

^...and that is what Lego is probably hoping; which goes against their policy of banning resellers. They speak with forked tongues.

madforLEGO

Pitfall69 said:

^...and that is what Lego is probably hoping; which goes against their policy of banning resellers. They speak with forked tongues.

That is the problem I have with LEGO, mixed messages. Never mind the appearance of 'cutting of their nose to spite their face'.

I think if you look at many reasons provided for the US Exclusives Ban you can see holes in their logic that you could drive a truck through, unless there is some sort of legal issue that has never been disclosed.

Zathras

I still believe most of the policy change is due to TLG trying to control the bleeding from their B&M store fronts.

wagnerml2

^Doesn't or shouldn't lego view the B&M stores as loss leaders under any circumstances? If they wanted to drive traffic to the B&M stores, wouldn't it make sense to not offer the exclusives to TRU or the others at all? I've never understood this approach, but it has been rehashed over and over. I can't see that branch of the company ever being very profitable. Just my 2 cents.

Brickaholic

wagnerml2 said:

^Doesn't or shouldn't lego view the B&M stores as loss leaders under any circumstances? If they wanted to drive traffic to the B&M stores, wouldn't it make sense to not offer the exclusives to TRU or the others at all? I've never understood this approach, but it has been rehashed over and over. I can't see that branch of the company ever being very profitable. Just my 2 cents.

I think if they broke even on each store they would be quite happy. Having the logo displayed in prime retail spots along and people walking around with Lego carrier bags is still a bit of free advertising.

It reminds me a little of Chanel perfume, in the UK you NEVER get it on a discount but when you go into a Chanel shop to buy it, it's a lot better than going into Boots :)

tamamahm

Right. To me it is simply advertisement and marketing. While a parent may not buy anything on a particular day, the kids that drag their parent into the Lego store will more than likely receive some sort of Lego present. I do suspect, though, that certain stores do very well.

madforLEGO

Zathras said:

I still believe most of the policy change is due to TLG trying to control the bleeding from their B&M store fronts.

If they are really worried about ALL of their B&M stores, which would assume they are worried globally as other countries have LEGO B&M stores and still allow discounts to the exclusives at other stores in those countries (correct me if I am wrong). If that is really the case then the discount ban should apply everywhere, not just the US.

Briking

^ Don't give them ideas!!

Basta

My view is it was to help stop grey import/exports. Back in 2011 & 2012 I was buying sets from Amazon and TRU weekly and flipping them for at least $40 - $70 profit each. I sold a heap of VW Campers, Mearsk Container Trains, Diagon Alleys and Millennium Falcons. A couple of things happened that servilely slowed this type of sale for me. That was a wider availability of exclusives in Australia and not been able to get these sets at a discount. It may not have been the main reason behind the ban but it helped in stoping me buying as much from the US.

timt

As of 2015 our LUG has been informed that the monthly Community Displays will be discontinued at LBR stores and replaced by a permanent install. So it seems that avenue to get a discount is taken away as well/

BuriedinBricks

@timt can't say I'm shocked by the change. The program was often chaotic for us...at least before they just stopped giving us a window period at our nearest store. I'm hopeful we can at least get a permanent piece put in now.

timt

iccarus said:

@timt can't say I'm shocked by the change. The program was often chaotic for us...at least before they just stopped giving us a window period at our nearest store. I'm hopeful we can at least get a permanent piece put in now.

Our store has expressed to us that they want us to build the permanent display which will hopefully have some local flavour, but they have tried to give us a time frame of a month which might be a stretch. It was a bit chaotic for us as well until we had two members step up and agree to be the coordinator for each store. We have not heard anything from the 2nd store yet though in our area so I'm not sure if the permanent display guidelines apply for every store.