Just a reminder for all BFC(Barbie Fan Club) Members- today is the last day to use your first quarter reward! Head on over to Barbie collector and go shopping if you haven't already done so!
And W Club members, remember today is the day for the unveiling! I know that the Liaisons and Integrity Toys designers do work hard on this presentation and I am looking forward to seeing what else is coming this year.
Also, there were 2 more new IT dealers added this week, and since I have gotten out of selling, IT has added 5 new dealers.
This is MY theory on the addition of new dealers- If IT is expanding their number of dealers then current dealers may be giving back some of their allocations on the less desirable dolls. By adding new dealers, IT is guaranteeing their sales - more dealers equals more wholesale sales. Remember that I stated in a previous post that dealers are the main customers of a company, not necessarily collectors. The chain is usually manufacturer/company >dealer >collector. I believe this is just a pure accounting move on the part of IT to make sales and generate money for themselves. After all, IT has bills to pay. If product is sitting in their warehouses, they are not making any money.
I am wondering what is next though- will we see more dealers added or will we see more direct exclusive sales? Thoughts?
I am somewhat confused. In an earlier blog it was implied that dealers are stuck with poor selling product. Is IT now taking back product and issuing refunds to dealers?
ReplyDeleteSorry for the confusion. In my current post, I was referring to dealers handling brand new product announcements.
DeleteDealers must take every item that is in the regular line- we were not allowed to order, the quantities were dictated to us. Now, way back in the very early days, we did place orders for the Candi dolls and the first year of FR. After it took off, I remember I was at Toy Fair and asked about how to order and was told that IT would be contacting us with our quantities. Allocating has been done ever since, and I believe the allocation of product by the manufacturer started way back with the Voyages collection.
When new items are announced, dealers get a notice with the new items and the quantity of each item. I would get anywhere from 20-40 of each item. For example, if I got 30 of a doll but only wanted 20, I would immediately email IT and let them know I only wanted 20, in essence "giving back" dolls to the company. I didn't "give back" often, but it did happen now and then.
Dealers must also take certain minimum quantities, so that is why I said earlier that dealers can be stuck with poor selling product. There is a specific minimum for each item and those minimums must be met or a dealer is in jeopardy of losing their dealership. I am sure that on some product, the minimum was the allocated quantity for some dealers.
Hope this answers your question, I appreciate your comment and the chance to clarify
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Thank you very much. Your explanation really cleared up everything.
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