Quote:
Originally Posted by Silas Loki
Guys, I always thought that the etailers actually ordered and paid for their allocation up front, hence the reason why they can take percentage deposits from customers.
If the 500 pieces all sell through GG, that means a lot of etailers are going to have egg on their faces, and some serious moeny to refund to customers.
Are we sure that the allocation is set from the remainder of what is not sold through GG direct? Has it happened before that an allocation hasn't been met?
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If I'm a retailer, particularly a large online retailer like BBTS, there is no need to tie up your working capital and pay up front. That's essentially giving GG an interest free loan until 1st quarter of next year.
Second if the 500 pieces sell through at GG and they have nothing left for retailers who does that really hurt? BBTS will simply tell their customers that the blame lies with GG for not producing enough statues. If this scenario occurs, GG will be losing sales while potentially jeopardizing their relationship with major retailers.
The guaranteed pre-order is a good way for GG to generate sales for their products. It is to GG advantage to convince customers to pay a little extra to have the ability to "guarantee" their order. Nonetheless, nobody wants to leave potential sales and profits on the table. Therefore, IMHO I think it behooves GG to make sure they have product available for retailers...particularly large retailers like BBTS and other large comic shops.
