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A Whole New GW (Trade Policy Change)


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  • You will be able to buy GW products in a shopping cart online starting May 3rd
  • Items will only be allowed to be sold at “fixed price” listings, no auctions will be allowed
  • Retailers can not advertise a greater than 15% off discount (Minimum Adversied Price: MAP)
  • Breaking down kits to sell their components (aka BITS) is still prohibited by GW’s Retailer policy in North America


https://spikeybits.com/2017/03/gw-repeals-online-shopping-cart-ban-for-american-retailers.html

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Glad this is happening, but I'm going to miss my 20%-25% discount from Frontline Gaming.

 

I wonder if "x% off your entire order" is included in that stipulation, if a company lists the GW product at full price but then gives a 20% discount on the cart, or something like that.

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In Europe we have none of those policies. Stores can put more than 15% discount, they can have online shopping carts with no problems...

Why they do this to NA? Not only, why its permited legally, but... whats the benefit to GW?

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The US is a very broad country.  Smaller stores can't easily compete when someone discounts to 25-30% and have a webstore on top of that.  The old policy was a draconian way of protecting those stores and by extension the local communities.

There were also issues with standardized representation of products so I imagine GW has a media file to support these carts.

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The internet conspiracy theory that I was aware of was that GW was trying to crush online retailers as a class.  I have no idea if that was the true motive, or if their policies would or would not have been effective in attaining that goal even if it was their actual goal.

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I'll give a very real example.  One store in my town (which has many many stores) sells their GW product at a flat 20-25% off at all times.  None of the other stores can compete with that and thus most players go to them to buy product.  It's a good move from that store owner's perspective as he now ensures that everyone buys from him.  However, the owner is also rude so I don't shop there.  But really, it means that there is less of a GW footprint in other stores as he kinda has a monopoly on it.  Not every gamer or prospective gamer goes to his store and thus may never be exposed to a GW game.  

 

TLDR, it's bad for GW to have less store carrying their product and showing it off.  So equal playing field ensures that more stores can actually afford to carry and demo their product and thus grow the playerbase. 

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Having literally been there on Day One of GW selling to retailers directly, I can tell you it was about keeping brick and mortar viable so there was a place for customers, especially new ones, to see, feel, and play with models. Demos were, and are, key to growth, and internet discounters kill retailers, which means no deno spafe5, which means reduced new customers.

"New customers are our life's blood." That was our mantra. Everything revolved around them. 

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I'm all for this change. I've seen 3 FLGS that stopped carrying GW entirely in recent years, because they couldn't compete with people online willing to sell for just over cost. On top of the more reasonable pricing they've had lately (20 Kairic Acolytes for $50 isn't really far from the days of 20 infantry for $35, after you account for inflation, at least as USD goes), I think that this is going to be great for the independent retailers. Sure, I love getting things cheaper (like those new dorfs), but at the same time, I like shops that have tables and terrain for me to play at.

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44 minutes ago, Lucio said:

European competion laws prohibt pricing policies, hence MRP and RRP can be ignored but in the US they can be made mandatory as a contractual term and it's legal if you sign it

To an extent yes Lucio, but to preserve brand value and identity GW can still elect to tell retailers not to discount as they have done in the US.

Retailers can choose to ignore but then GW could penalise by restricting stock or removing the franchise entirely.

It's the way Apple works in the EU, they dictate the price and will not allow anyone to discount their product by any great margin. The price is the price.

 

I nearly always buy from the local GW store out of choice.  I use their tables, I sit there and paint, I spend time in there socialising, and I feel the least I can do is buy my stuff from him.   There is another independent in the area, who mainly concentrates on Malifaux and X-WING.

He offers 20% but most of the time his GW stock is very thin and although he can order it in, most of my spending is done at the time and in the moment.

 

I feel many stores have suffered due to internet trading, which when you add postage you're rarely getting the full 20-25% advertised.  This means that you generally end up ordering big to make it worth your while.  Forgeworld have done this for years where you pay 12% postage or free over 250 pounds.

I would like to think that the new management realise that the stores are important as hubs and recruiting grounds.  And if this is the case, it cant be all bad.

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33 minutes ago, Arkiham said:

what does shopping cart mean? 

 

like is it seriously what i think it is 

Most US retailers online sales consist of you emailing them and them sending you a spreadsheet back. Yes it is exactly as stupid as it sounds, ebay is easily the best online retailer at this point.

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2 minutes ago, Arkiham said:

wow... poor site design, is shopping cart a thing which isn't allowed for some reason?? seems incredibly 2000's  

Not poor site design, it is what has been required by GW in the US for years now. It was against GW rules to sell GW product via online shopping cart in North America.

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5 hours ago, Galas said:

Oh. I understand now. The old "little shop vs Amazon" but in Wargamers version.

But my point remains in... why NA but not Europe?

My speculation is that it might relate to the gaming culture in the US versus Europe as well.  In the US, gaming revolves around local game stores or someone's home.  We don't have the club culture that Europe seems to have.  As @Sleboda said, it makes supporting the LGS community very important for GWs long term success here.  However, I've heard a lot of LGS owners gripe that GW has not been supportive in the past.

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If my local GW store doesn't have what I want, I order directly from GW and have it shipped to the local store for free. It takes a bit longer and I don't get a discount, but the local store gets some kind of credit so it helps them out. Sometimes paying more is worth it to keep a store locally supported.

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I realize it's not necessarily my place to say this to a mod, but could we please not raise the subject of Brexit on the forums? It's way too divisive a subject and personally I cone here to get away from politics and reality and indulge in a bit of fantasy.

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On 16/03/2017 at 9:10 AM, Gaz Taylor said:

It does seem a bit Draconian but I'm wondering with Brexit coming soon in the UK, if this is something they are preparing for with UK stores?

A lot of companies are starting to take this sort of approach now, to protect their brand from being devalued.  It's a bit like grupon vouchers the minute businesses go down that road they are seen as budget or discount options.

I'd like to hope Gaz that even here in the UK GW is seeing its stores as not only retail and hobby hubs but also community hubs.  

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