Has the world turned upside down?

[SWAFARetired]

Hello my friends, I know it's been a minute since the last time anyone has heard from me. As the end of the year approaches, I find myself scratching my head. Is it just me, or have some of the vendors, mainly those in China, gone mad with their prices

All one need to do is take a look on eBay, Amazon and other platforms. This year has seen some incredible increases in model pricing. I can't help but think some of these price increases are purely out of greed and not actually due to production cost increases. Maybe I am crazy and way off base, but I fail to see any logical explanation for the huge increases

I know that the harder it is to find a particular model, the more premium the price. But on readily available models, it just does not add up. If anyone has an explanation that actually makes sense please enlighten me. I know I could just be lost in the fog of having purchased roughly 135 models this year and my addiction to spending several hours a day "shopping" for more. I need help , I know, but I need prices that make sense, more space for my ever growing collection and a good addiction support group.

More about the growing collection coming soon. Hope everyone is doing well and wishing you all a very safe and happy holiday season. Now I have to run, I caught wind of a much desired and elusive BA A380 Model! TTFN

 

[JJ Skippy]

The cost of models has been going up due to increase in shipping costs, raw material costs, and general inflation in the economy. If companies want to make money when costs are rising they will have to raise the prices of their products, much to the dismay of us collectors. GJ had one over the summer which has been well-documented.

NG’s prices have gone up slightly too — though in my observations that’s because they’re trying to acquire licenses from the airlines. I wouldn’t be shocked if the above factors cause them to raise their prices by a couple bucks down the line. Others are trying to stay at a consistent price but given these factors we might see more price increases from other brands long-term.

 

[SWAFARetired]

The cost of models has been going up due to increase in shipping costs, raw material costs, and general inflation in the economy. If companies want to make money when costs are rising they will have to raise the prices of their products, much to the dismay of us collectors. GJ had one over the summer which has been well-documented.

NG’s prices have gone up slightly too — though in my observations that’s because they’re trying to acquire licenses from the airlines. I wouldn’t be shocked if the above factors cause them to raise their prices by a couple bucks down the line. Others are trying to stay at a consistent price but given these factors we might see more price increases from other brands long-term.

Now that is a logical explanation, and only makes sense. It's the sellers that have taken an NG Models you can get for $59.00 and now it's $140.00. Costs have gone up but certainly not enough to warrant a 104% price increase. I voice my frustration with them and making sure that I don't purchase their products.

 

[keji833]

Yes the price has increased about 10% compared to two years ago at the same time, so about the inflation number. I also bought over 150 models this year but now I have a cap on all but one of my purchases. Normally that cap (buy trigger) is about 40 for a narrowbody and 50 for a widebody. For new NG and PH releases, it's actually possible if you are willing to search around, some offer free shipping with 10% off which makes them stay just below my cap line. Otherwise I just wait for those big sales events, like 7/4 or black Friday (I sourced 55 models during black Friday)

Now I very rarely purchase JC wings/AV400/PM in the states bc they are just way overpriced. For those I have friends buying them for me in China which you can usually negotiate some deals at only half of the price compared to that in the States (which is same as NG/PH, crazy)


Any deal with too high a price is not a good deal! Overall I feel the price has been on the rise but with intelligent purchase and souring it's still manageable, at least for now.


On a side note, I've really been curious about the cost price for retailers to import, say, NG models. My guess is that for a model with $50 retail price, the cost is probably around $25-30.

 

[SWAFARetired]

Yes the price has increased about 10% compared to two years ago at the same time, so about the inflation number. I also bought over 150 models this year but now I have a cap on all but one of my purchases. Normally that cap (buy trigger) is about 40 for a narrowbody and 50 for a widebody. For new NG and PH releases, it's actually possible if you are willing to search around, some offer free shipping with 10% off which makes them stay just below my cap line. Otherwise I just wait for those big sales events, like 7/4 or black Friday (I sourced 55 models during black Friday)

Now I very rarely purchase JC wings/AV400/PM in the states bc they are just way overpriced. For those I have friends buying them for me in China which you can usually negotiate some deals at only half of the price compared to that in the States (which is same as NG/PH, crazy)


Any deal with too high a price is not a good deal! Overall I feel the price has been on the rise but with intelligent purchase and souring it's still manageable, at least for now.


On a side note, I've really been curious about the cost price for retailers to import, say, NG models. My guess is that for a model with $50 retail price, the cost is probably around $25-30.

I too spend a lot of time checking various sources both in and out of the country. I try to stay in the $70 range for widebody and $50 for narrow body. I look for free shipping and price compare between the different vendors.

I have had incredible luck on eBay and have made several purchases from 2 different sellers that I get good deals I have learned to appreciate the hunt as an integral part of collecting. It really is a bit of a high when you find that one rare and expensive model at a bargain price and you buy it.

 

[Jazajia]

Now I very rarely purchase JC wings/AV400/PM in the states bc they are just way overpriced.

I can't speak for JC Wings or Aviation400, but Panda are actually some of the more affordable models you can find in today's market. All of us in the US retail their widebodies in the 48-54 ballpark, and narrowbodies around 45 (some retailer exclusives being the exception since by default they tend to be more sought after by a niche group). Here's my selection, I do have discount codes and free-shipping over certain amounts, etc... That's just the standard in the U.S.

For those I have friends buying them for me in China which you can usually negotiate some deals at only half of the price compared to that in the States (which is same as NG/PH, crazy)

I'm not sure what you are talking about here bud. Production costs in China have been going up for years now. The society here (I happen to be in Shenzhen right now) has been developing and with that the standard of living and education (which makes them aware of how much their skills are actually worth) are going up. In general, people don't make airplane models for pennies here.

Even if you find a "factory" deal here, the cost of getting your model over to the U.S. will kill the deal for most of us.

Any deal with too high a price is not a good deal! Overall I feel the price has been on the rise but with intelligent purchase and souring it's still manageable, at least for now.

I agree. I have never been as meticulous as I have when trying to save pennies buying airplane models. I used to have carts at three different online stores loaded up with the same models, tweaking the shipping provider, and applying all the codes to see who could save me half a penny .

As a retailer, I still need to refine my pricing, but honestly, with so many of us trying to sell models in the U.S. there is not much that one can do. To that end, I will tell you that the way the market is right now, many products are being sold at the absolute lowest possible price (this is particularly true for GJ).

On a side note, I've really been curious about the cost price for retailers to import, say, NG models. My guess is that for a model with $50 retail price, the cost is probably around $25-30.

That's a 40-50% profit margin per model. Boy, that sounds nice. Not quite working like that right now. After you factor in the shipping costs, business-operating costs, and the discounts that you have to give if you want to keep the models moving, most of us make a lot less per model. In fact, you'd be surprised how many models are being dumped into the market close to cost.

I find that there is not a whole lot of speculation going on at the retail level right now.

 

[Jazajia]

All one need to do is take a look on eBay, Amazon and other platforms.

The bold words above could be shedding some light on why you perceive prices to be dramatically out of control. In the die-cast airplane model world it pays to stick to the traditional online stores and giving your vote of confident to some new-comers every now and then

 

[SWAFARetired]

Well, I really didn't think that this would spark this much opinion, obviously it was high time some attention was put toward the topic. I'm happy to see so much information being out out there explaining things. Knowledge is power and the more we know about the what drives the pricing of what we collect, the better we can choose to support vendors and retailers that share the same values as ourselves. I feel better about spending more when I know the manufacturer pays their people a decent liveable wage. Also knowing a retailers view on social issues is important to me, and I would prefer to support those retailer's that are non discriminatory, and believe in equality and respect for all.

 

[danwashere]

Overseas shipping costs has increased substantially

Margins are next to nothing on NG especially with a lot of retailers carrying them you have to sell low

 

[squatchys_diecast_hangar]

If the proposed tariffs with the incoming administration holds true, you can add at the very minimum of 10% to all models across the board starting February/March. We were already put on notice by one of our distributors. I’m sure others will follow suit soon enough.

 

[The_SingingAvgeek]

If you guys over in the US are having a hard time, think about us Aussies. Due to the value of the Australian Dollar and our geographical isolation, despite being closer in distance to where the models are made (China), we are seeing some places like Collectable Aircraft Wings Australia (my preferred place to buy from) has NG narrowbodies for $89.95 and NG's 747s for $114.95. There's a place down in Melbourne that has the same narrowbodies for $99. And these are all in AUD.

And NG isn't alone, we are seeing aircraft like Saab 340s, in 1:400 scale selling from model stored for close to $80. This is really bad for our wallets.

For my 2 latest models, both NG 737s (Qantas and RAAF), I had to pay $190.32 total including shipping and I live about an hour from Collectable Aircraft Wings Australia (they're only a PO Box, so no physical store).

I remember the days that you could get a 737 for between $20 and $30, infact, my first model (a Qantas A330 by Dragon) was $20 in 2013. The same model now on eBay is upwards of $60.

Sadly, from here I can only see model prices skyrocketing. Especially if China decides to not play so nice in the pacific. I have been thinking of starting a company that 3D prints models of Australian Aircraft, but, as someone late in their CPL studies, I have neither the time nor money to do so. So its back to buying absurdly priced models.

 

[pommy80]

If you guys over in the US are having a hard time, think about us Aussies. Due to the value of the Australian Dollar and our geographical isolation, despite being closer in distance to where the models are made (China), we are seeing some places like Collectable Aircraft Wings Australia (my preferred place to buy from) has NG narrowbodies for $89.95 and NG's 747s for $114.95. There's a place down in Melbourne that has the same narrowbodies for $99. And these are all in AUD.

And NG isn't alone, we are seeing aircraft like Saab 340s, in 1:400 scale selling from model stored for close to $80. This is really bad for our wallets.

For my 2 latest models, both NG 737s (Qantas and RAAF), I had to pay $190.32 total including shipping and I live about an hour from Collectable Aircraft Wings Australia (they're only a PO Box, so no physical store).

I remember the days that you could get a 737 for between $20 and $30, infact, my first model (a Qantas A330 by Dragon) was $20 in 2013. The same model now on eBay is upwards of $60.

Sadly, from here I can only see model prices skyrocketing. Especially if China decides to not play so nice in the pacific. I have been thinking of starting a company that 3D prints models of Australian Aircraft, but, as someone late in their CPL studies, I have neither the time nor money to do so. So it’s back to buying absurdly priced models.

I also live down under and buy most of my models from Asia, as with shipping included, it’s still a good 20/30% cheaper than buying them local.

Also I would advise against that store in Melbourne. It’s a complete ripoff, as is his eBay store.

 

[keji833]

If you guys over in the US are having a hard time, think about us Aussies. Due to the value of the Australian Dollar and our geographical isolation, despite being closer in distance to where the models are made (China), we are seeing some places like Collectable Aircraft Wings Australia (my preferred place to buy from) has NG narrowbodies for $89.95 and NG's 747s for $114.95. There's a place down in Melbourne that has the same narrowbodies for $99. And these are all in AUD.

And NG isn't alone, we are seeing aircraft like Saab 340s, in 1:400 scale selling from model stored for close to $80. This is really bad for our wallets.

For my 2 latest models, both NG 737s (Qantas and RAAF), I had to pay $190.32 total including shipping and I live about an hour from Collectable Aircraft Wings Australia (they're only a PO Box, so no physical store).

I remember the days that you could get a 737 for between $20 and $30, infact, my first model (a Qantas A330 by Dragon) was $20 in 2013. The same model now on eBay is upwards of $60.

Sadly, from here I can only see model prices skyrocketing. Especially if China decides to not play so nice in the pacific. I have been thinking of starting a company that 3D prints models of Australian Aircraft, but, as someone late in their CPL studies, I have neither the time nor money to do so. So its back to buying absurdly priced models.

wow thats hard to hear, I think you should try myhobbyhouse which is located in Malaysia. They had a price increase recently but even that with shipping to the US (which is furthur away compared to Australia) is still cheaper than directly buying from the US.

 

[The_SingingAvgeek]

wow thats hard to hear, I think you should try myhobbyhouse which is located in Malaysia. They had a price increase recently but even that with shipping to the US (which is furthur away compared to Australia) is still cheaper than directly buying from the US.

I have considered purchasing from First Class Collectables in Hong Kong. They have Jetstar A320s (which I need quite a few of) for about $65 AUD. And they've got some nice rare models. I'm not really wanting to purchase from MHH, as they only accept 3 currencies, none of which are AUD.

 

[OscarBravo992]

I have considered purchasing from First Class Collectables in Hong Kong. They have Jetstar A320s (which I need quite a few of) for about $65 AUD. And they've got some nice rare models. I'm not really wanting to purchase from MHH, as they only accept 3 currencies, none of which are AUD.

First Class Collectables are great, as are MHH. The best value currency compared to AUD at MHH is MYR, which our banks have at about 1 MYR equals 0.34~0.36 AUD rate. I’ve never had any issue purchasing from them to be honest, however I understand your reluctance to spend in overseas currency.

 

[UALFan1994]

I have considered purchasing from First Class Collectables in Hong Kong. They have Jetstar A320s (which I need quite a few of) for about $65 AUD. And they've got some nice rare models. I'm not really wanting to purchase from MHH, as they only accept 3 currencies, none of which are AUD.

FCC is awesome. Great selection and fast shipping in my experience. Not sure about communication but never have had any major issues with my models so far from them.

 

[BHD]

Bought from FCC twice no complaints. It just shipping took a bit long then estimated. FCC have a lot of jewels in their catalog .