Hot Wheels X Transformers Official Announcement

Discussion in 'Transformers News and Rumors' started by RePUGnicon, May 9, 2024.

  1. Aarion23

    Aarion23 Living in the Digital World!

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    Wait have you already gotten tracking? O_O if so that's way earlier than June 28th!
     
  2. PlanckEpoch

    PlanckEpoch Crossdresser Toy Collector

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    Got my shipped email and tracking earlier today as well! Woo!

    Daniel Arsham Rally Porsche came as well. Quite an unboxing experience!

    1000019096.jpg
     
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  3. Aarion23

    Aarion23 Living in the Digital World!

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    NO FAIR I WANT ONE! :( 
     
  4. Ikkstakk

    Ikkstakk Well-Known Member

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    So probably Mattel cleared around $1.08 million (half the gross sales). Manufacturing has to be at least $200k? I don't think we've ever gotten explicit confirmation that Hasbro will be making Transformers based on Hot Wheels cars, but if they are, do you imagine a reduced licensing fee based on IP sharing? There's still roughly $800k unaccounted for, assuming the $200k manufacturing cost is in the neighborhood... I would assume a good chunk of that goes toward employee salaries and benefits, operating costs... Hasbro has to have taken some kind of fee, and if your chief competitor is clearing a cool million off of your IP, you've got to be asking for at least a third of that... don't you?
     
  5. vvvTheONEvvv

    vvvTheONEvvv \/ He Thinks He's Smart.

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    How long until the KO's pop up?
     
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  6. Fenrys

    Fenrys Formerly Tigatron2002

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    I'd probably guess between 10-30% for overhead like salaries and bills to keep facilities operational (I'm an estimator for a construction company, different market for sure, but there's gonna be a similar cost breakdown for projects).
     
  7. Sponge

    Sponge Herald of Unicron

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    What I want to kno is when will we get an OSKO
     
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  8. jungle penguins

    jungle penguins Well-Known Member

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    Usually license fee and royalties (but maybe the IP sharing means less in the initial fee or none?). For Hasbro's side I assume the collabs mentioned here will be transforming figures More 2025 Info Found – Exclusives, Collabs, More!

    Anytime I think of toy financials I really wonder how any company makes money. This stuff sounds so cutthroat especially when retail is involved.
     
  9. jungle penguins

    jungle penguins Well-Known Member

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    Ok I found the statement I remembered reading, this from a Mattel employee on the forums in Mattel Creations, can be applied to Transformers, the first paragraph specifically.

    [​IMG]
     
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  10. diaclone og

    diaclone og diaclone

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    That’s a fair ? I haven’t run into any ko Mattel products in recent he man releases so probally a very slim chance
     
  11. Ikkstakk

    Ikkstakk Well-Known Member

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    So maybe as much as $300k for overhead... I could see manufacturing as high as $300k also. Leaves around $400k to be divided up between Hasbro's fee and whatever else I might be overlooking.

    Would royalties apply in this situation with a limited-edition piece? I usually think of royalties as being a percentage of sales when the total number of sales is open-ended, but in this case they knew exactly how many would sell.
     
  12. neeral36

    neeral36 The Lost Wrecker

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    I would think the gross profit would be more between 15-20%. A first concept product generally does not make much money. It is when they remarket it as a secondary product that they make their money off the concept. The fiscal amount they most likely spent on the R&D would probably shock most people. If they decide to remarket it as a Shattered Glass repaint or a G1 Toy repaint for example. 90% of the manufacturing/fabrication items are already in place. All they have to do is design the paint apps, minor retools, and possibly new packaging (they can either design a simpler packaging or simplify the packaging they already have) and then construct the marketing plan. Hasbro most likely allowed Mattel to use the licensing on multiple products; it is more economical for both parties that way. Hasbro may have even bypassed any royalties on the first release for a larger cut/amount on the possible future releases. If Mattel is planning on future releases of this design concept, they have most likely already produced the products with the intention of future release. It would cost them far less to run the factory(s) for a longer production cycle (for example three repaints - G1, Shattered Glass, and Nemesis) than to start remanufacturing the same product for multiple cycles, months or years apart. The fact that Optimus sold out in 20ish minutes proves they have a winning product concept. I would be very surprised if they do not ride the wave created with future releases in the not-too-distant future. It is still raw and in the minds of those that were not able to get one of the pathfinder products and would be willing to accept and purchase a repaint to own this design concept.
     
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  13. eltonlin98

    eltonlin98 are you compensating for something, talking down?

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  14. Fenrys

    Fenrys Formerly Tigatron2002

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    There's also the inevitable $160 release that includes a trailer, can't forget that one
     
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  15. galvatran

    galvatran Galvatran lives!

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    Anyone care to advise on a pair of gloves? Can't just be any gloves. Gotta match that $80 luxe price.
    There's a diamond studded glove but it's only one hand, unfortunately.

    What Optimus Prime is that?
     
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  16. Aarion23

    Aarion23 Living in the Digital World!

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  17. eltonlin98

    eltonlin98 are you compensating for something, talking down?

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  18. Aarion23

    Aarion23 Living in the Digital World!

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  19. Electro Rush

    Electro Rush Just a guy waiting for the perfect Whirl

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    You're not gonna believe this but I already have one on my shelf :cool: 
     
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  20. jungle penguins

    jungle penguins Well-Known Member

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    I think royalties would matter even more since it's a much higher price and Mattel keeps much more of the money, compared to retail where everyone takes a cut (how Mattel makes any money from $1 licensed Hot Wheels is an enigma of volume).

    I once heard a rumor that Mattel considers something a failure if it's below 30% margin, I'm not really sure what those words mean, but that may help.