If its expensive to make new molds, where does our money go?

Discussion in 'Transformers General Discussion' started by Bass X0, Nov 29, 2007.

  1. Bass X0

    Bass X0 King of Muay Thai

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    Fine. I get that repaints are much cheaper for Hasbro to produce because the mold is already there.

    But when we buy a new mold, aren't we (everyone who buys it) paying for the design and development of the toy? Hasbro should make the money they spent on making the toy back, right?


    Or is there something I'm missing?
     
  2. Paladine

    Paladine Well-Known Member

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    Lots of profit is always better than a little profit. At least for a company.
     
  3. lars573

    lars573 Well-Known Member

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    I've taken an economics seminar, so I'm no expert (anyone who knows better feel free to correct me). But think of it like this. How many units of one mold does Hasbro have to sell to make their 121%. 121% is the profitability line, the bare minimum. It's everything you spent to make and move the product plus at least 21% more.

    Now Haskara costs to make one mold are going to be based on how long it takes their design teams to produce it. Which probalby consits of graphic designers, sculptors, and mechanical engineers. None of whom are getting paid peanuts. Then you have to submit the toys to the safety testing, which does cost money. All of this would fall under the title of prototyping. Then you have to buy the raw materials to manufacture and package them. Then after that you have to get them from the factories to the retailers warehouses.

    The usual practice is for Hasbro to charge say Wal-Mart what it cost them to make and move the toy plus a mark-up. Wal-Mart then does the same. Charges you Hasbro's cost plus their mark-up, and Wal-Mart's mark-up. That mark-up that Hasbro charged Wal-Mart is what goes back in the company to pay for the design and prototyping stage.
     
  4. Motor_Master

    Motor_Master Lets the balls touch TFW2005 Supporter

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    To your first question yes, but we are also paying for the R&D cost of a mold when we buy the repaint.

    To your second question, not necessarily, I think it depends on how well the mold sells. Take Cybertron Mudflap for instance. Hasbro was all geared up to give us a repaint, but it was scrapped because the mold didn't sell well (Botcon 2006, I think).

    By giving us more repaints (which arguably are only of molds that sell well) Hasbro can make more profit by minimizing it's Engineering costs. This would allow them to channel money back into the brand for creating figures for new lines.
     
    Last edited: Nov 29, 2007
  5. Ravenxl7

    Ravenxl7 W.A.F.F.L.E.O.

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    QFT! That's the best I've seen it described. BTW, you might want to update your sig to say Animated instead of Heroes.
     
  6. lars573

    lars573 Well-Known Member

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    I might someday. ;) 
     
  7. Ravenxl7

    Ravenxl7 W.A.F.F.L.E.O.

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    Just curious, and sorry for getting off-topic, but, was it ever confirmed that Devastator and the Insecticons are going to be in the Animated line? I do remember reading something about them being mentioned, but, they really haven't been mentioned since then. We are getting at least one of the Constructicons, though we don't know which one yet, or if he'll even have a name of his own.
     
  8. lars573

    lars573 Well-Known Member

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    Well the listing of Tom Kinney playing "a constructicon" means they'll have a couple others. And Blackarachina needs side-kicks like Bombshell and Kickback.
     
  9. Ravenxl7

    Ravenxl7 W.A.F.F.L.E.O.

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    Everytime I've seen a listing of the voice actors it's always just been Constructicon (no a infront of it). Personally, I'm hoping that we do get Animated versions of the Insecticons and of the Constructicons. This way my Decepticons can have 4 total combiners (I'm counting my 3" Titanium Predaking in that). Back on-topic, I think the need for repaints to recoupe costs of unique molds is even more important with the Movie line, as it would, theoretically, cost more to produce a Movie toy, than it would a Classics or Animated toy. That's why I think that we're getting plenty of repaints with the Movie line.
     
  10. General Tekno

    General Tekno Self-Styled #1 Lugnut Fan

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    Waspinator's confirmed, I know that. No Scott McNeil, sadly.

    Though we're gonna be getting a LOT of new molds in the next year, so I'm not disappointed or anything. Could just be that Hasbro's rebuilding the nest egg with all the repaints now. Considering all the Animated and Universe molds being made, it's not gonna be cheap for them.
     
  11. shroobmaster

    shroobmaster Well-Known Member

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    Hasbro should make mroe retools and less repaints, seriously.
    If I count my collection I got more retools than lazy repaints.
     
  12. Ravenxl7

    Ravenxl7 W.A.F.F.L.E.O.

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    He was? I never remember hearing anything about him other than a couple of fan wishfull thinkers. Or are you joking with me? I'm a little drained from getting ready for finals, so it's a little hard to tell wether you're joking with us or not.
     
  13. Paradigm-Shift Prime

    Paradigm-Shift Prime Unit Warrior TFW2005 Supporter

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    I get repaints of popular molds or characters like 08BB into Cliffjumper but I think repainting every single mold (sometimes twice), even the worst, just to get the volume of product out there is stupid/silly (i.e. Swindle into Camshaft)
     
  14. Bryan

    Bryan ΜΟΛΩΝ ΛΑΒΕ

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    Lars gave a pretty solid run-down. And I'm no expert either, but I did stay at a Holiday Inn Express last night.

    Repaints help keep the overall price of similiarly sized toys down by spreading out the R&D costs over 'different' toys. While it's true that you're paying for the R&D costs when you buy a toy, the sales of that particular toy might not be sufficient to cover the total costs.

    So instead of trying to sell 100 units of the same toy, they try to sell 50 of one paint scheme and 50 of the other. And since it's a different toy, with a little luck, they'll sell 75 of each, which gets them that much farther past the break-even point for recouping R&D costs. If they only released the one version, it would have to cost more because it would sell fewer units for that particular mold's R&D costs.
     
  15. SCPrime

    SCPrime Well-Known Member

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    The revenue that a company makes goes to basically 2 things:

    1. Costs (employees, materials, real estate, etc)
    2. Profit

    So yes, Hasbro hopes to at least cover the costs (which includes design and development) with the revenue. And for the most part I’m sure they do cover costs. But unless you are a not-for-profit company who claims to provide a service without taking profits, you WANT to make a profit. And believe it or not quite a few of Hasbro’s products (including some transformers) DO flop and the revenue generated from those said products is NOT enough to cover the cost of producing it. This means they have to milk the products that ARE successful to make up for the products that are not in order to ultimately generate profit.
     
  16. General Tekno

    General Tekno Self-Styled #1 Lugnut Fan

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    I'm pretty sure I read that someone said he was in Season 2.
     
  17. Robogeek28

    Robogeek28 Who're you calling a geek?

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    Armada Sideswipe would like to disagree with that statement.:lol 
     
  18. Feralstorm

    Feralstorm I ship Nick & Judy TFW2005 Supporter

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    I think David Kaye mentioned that in a panel. In any case, I think Waspy is a character (or voice at least) that can survive without Scott, due to the nature of the voice itself. When I first saw Beast Wars, I originally assumed Frank Welker was doing the Waspinator voice, because he was more or less always the one doing "wierd" voices of that type up to then.
     
  19. Ravenxl7

    Ravenxl7 W.A.F.F.L.E.O.

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    That's really cool if it's true. As it is now, it's just a he-said/she-said rumor imo. Personally, I wouldn't mind seeing an Animated version of Beast Wars Scorponok.
     
  20. Jarodimus

    Jarodimus the guy with that scan Veteran TFW2005 Supporter

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    This is certainly the first I've heard of Waspy. But giant amounts of "YAY!" if true.
     

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