What's the average cost of one deluxe Transformers out of Hasbro?

Discussion in 'Transformers Toy Discussion' started by xion14, Apr 4, 2011.

  1. xion14

    xion14 Well-Known Member

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    How much does it cost for hasbro to make an average deluxe right out of the factory? Not counting Price raises for profit or money spent making it. Just the price of one made in the factories.


    I've always wondered for years and never found anything on it. Might anyone have an idea or know?
     
  2. Roanstalker

    Roanstalker Great Baan Gaan fan

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    News?
     
  3. xion14

    xion14 Well-Known Member

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    Sorry I clicked News by Mistake. Could a mod move it to toys please and thanks.
     
  4. Paladine

    Paladine Well-Known Member

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    That's what we call in business 'proprietary information.'

    Anybody willing to divulge said information would be putting their job at risk.
     
  5. Batman

    Batman The Dark Knight TFW2005 Supporter

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    From what I understand the price varies because Hasbro budgets the figures by waves and not individual figures.
     
  6. exomega255

    exomega255 Emerald Green

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    Also, the definition of "cost" is what, for you? Design counts as part of it?
     
  7. Motor_Master

    Motor_Master Lets the balls touch

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    Less than MSRP... that's about as close as we're going to get. As Paladine said that information is proprietary and won't be divulged in a public forum.

    My ballpark guess based on no actual information what so ever is probably in the $5-$6 range. But I'm probably over estimating.
     
  8. videriant

    videriant Well-Known Member

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    I've heard that retail make mad profits on toys so "A lot less than MSRP" is my guess.
     
  9. exomega255

    exomega255 Emerald Green

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    do take into consideration labor cost, design cost, prototyping cost, advertising cost though. I mean, they DO earn a lot, I am sure. But there are hidden cost that people often don't consider.

    I mean: take a look at CD's and DVD's. They cost a few cents to make. Its the content that cost the money.
     
  10. silverstreak70

    silverstreak70 Well-Known Member

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    The avg markup on deluxe figures at the big box stores is only about 30%, so it's not like they are what's keeping the doors open.
     
  11. DecepticonSpike

    DecepticonSpike Member of the Scrappy Doo Fan Club

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    If one were to buy a case wholesale, and then divide the prise by the number of figures, would that give you a good idea of how much it cost to make each toy? I don't know thing 1 about business, it's just an idea.
     
  12. xion14

    xion14 Well-Known Member

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    I know there's more things in the cost but I just wanted to know the cost in one figure produced. So you guess around $5 to $6 Moter_Master? I'm thinking it might be $3 to $4.

    Never thought about it being proprietary information until now.
     
  13. Maetel

    Maetel Well-Known Member

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    including material/labor/shipping from china $3 sounds reasonable, R&D costs not included as cost of good sold, but as separate business expense.
     
  14. Grandum

    Grandum Well-Known Member

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    As people seem to be talking about how much Hasbro sells a deluxe to a retailer, include the very details that you specifically asked for NOT to be included etc I thought I'd be the one off who tries to answer your question.

    The cost of making one materialwise would probably be in the neighberhood of a 50 cent.

    If you add the cost for assembly then we're talking maybe $1-1.50$ If you add in the packaging, the instructions, minicomic etc then that cost would go up, depending on what is included
     
  15. xion14

    xion14 Well-Known Member

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    Thanks for the estimate! The prices intrigue me.
     
  16. barrelks

    barrelks Captain Funtastic

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    Yea, raw materials may be fairly cheap for them, but there is way too much else that goes into it. Packaging probably costs the same as the actual product. Figure in R&D, factory costs, costs to make the molds, shipping, and the overall cost of insurance, marketing, other salaried employees, Hasbro call center, and you are looking at a whole lot more that is not connected directly to the product.

    As far as the base price, I would guess that a significant amount is in the R&D.

    When it comes to the retail prices, I would guess that 30% is a pretty high profit margin on them. It is possible, but not a lot of products in a retail setting don't have a lot of margin. I know when I worked at the Home Depot, we took a loss on most of the lumber and building materials we sold.

    I often refer to the bar theory on some of it, a number of my friends have the dream of owning their own bar. Nearly every one of them says, "you can buy a 12-pack of Coors light for .75 a bottle and sell them for $4.00 each, that is $3.25 in profit". There is a reason that if you walk into a local bar, the owner would be more than willing to sell the place to you that night. There is also a reason that a lot of bars mysteriously burn down at 4am in the morning. Beer may be cheap, but rent, licenses, insurance, salaries, utilities, etc add up in a hurry.
     
  17. SCPrime

    SCPrime Well-Known Member

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    That's what I would guess in terms of just cost of materials. But having the steel injection mold made alone costs $50,000 to $100,000. The more figures are made from the one mold the less it'll cost per figure of course.
     
  18. Ellamin

    Ellamin Heroes protect Freedom! not safety! BAKA!!

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    Those universe repackaged cybertron scouts are around $2-$4, I found that out by Walmart not having them in their system, and thus having to look it up in a way that price was brought up.
     

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