I really want to support my LHS....but


Two quick comments. Some online shops have very little overhead because they carry no inventory, they order from their vendors when you order from them.
Just remember you can't expect a brick and mortar shop to be there for paint and decals when you buy the gravy items elswhere, they can't maintain that kind of inventory and provide service for penny sales. (Yes I used to work in a hobby shop.)
 
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Just remember you can't expect a brick and mortar shop to be there for paint and decals when you buy the gravy items elswhere, they can't maintain that kind of inventory and provide service for penny sales.
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this argument about paint and other penny items is invalid, sorry. i highly doubt those items are sold at loss. do i buy enough paint to sustain that store? i don't know, but frankly this is not my business. i spend exactly as much as i spend, no more, no less. it is up to the owner of the store to analyze local market, competition, items that move, seasonable items, overhead expenses. then he will come up with profitable price structure and business model.

PS
i have 2 LHS's near me actually, not even 5 minutes away. one i do shop at has almost no RR, yet they carry very impressive library of decals and detail parts for armor and planes. it also has loyalty punch card system that keeps me coming back. the other one that does carry RR i don't feel like even walking in. see, its all about business approach
 
What about customer service? Have you forgot when you buy at your LHS you're not just able to touch and feel what your purchasing, but asking questions about it. Returning defective items is easier. And with the poor quality control coming out of China, believe me there's alot of it.

For example, last month I made quite a few purchases, rolling stock, locos, and structures. I think I had to return defective items at least 2 times during that time.

And it's difficult even trying to get someone to talk to from an online retailer. Let alone returning items and shipping back and forth. What a hassle.
 
The nearest hobby shops in Houston are about 100 miles from where I live. I do most of my shopping online because of the distance factor.
 
I too wanna support my LHS...but,seeing that this is South Africa,everything is extremely extremely expensive ( HO locos go for $300,without DCC ! ) Plus they only stock Kato & Bachmann....atlas flex go for $10/lenght ! On the otherhand I can understand it , shipping to SA really nails everyone in every industry , so I'll buy little stuff from them now n then....but the only other Hobbyshop ( whom is cheaper ) in my province is more than an hours drive....so for that gas money you can pay the little extra at my LHS...
 
I guess I should elaborate on my earlier points. Obviously if you don't have a local hobby shop, (one hour or less away) you can't very well support it.
When it comes to items like paint etc. it takes a lot of sales at forty cents per bottle profit to make a living. That's what I meant. If you make a $15.00 profit on a locomotive then you have to sell over thirty seven bottles of paint or similar items to make the same profit. If your local hobby shop carries a good selection, offers help and advice and has fair, considering what they offer that the internet can't prices you should support them if you want them there in the future. LHS's are getting far and few between. They aren't like canned corn you can get anywhere. Just food for thought.
 
I have a LHS about 1 mile from me. The man opened it about 4 years ago when the owner of another one passed away and he bought it from the owners wife.He called me to let me know and was very excited. He knows I have a rather large RailRoad. I told him to not count on me as I have about all I am going to get. I was one of the original owners better customers. I model the C&O and he knew that so he went and purchased a lot of C&O stuff. I tried to tell him. Anyway I have purchased maybe 4 cars from him several bottles of paint and some decals. I recently asked how the business was doing. He told me if not for train shows it would be over. He operates out of his house.
 
it takes a lot of sales at forty cents per bottle profit to make a living.
i think you seeng from the wrong perspective - i am not into this hobby to make someones living. resaler making profit of hobby suplies sales is a side effect. services of unknowledgable (in most cases) sales rep pushing his own agenda i can live without. i'm spending as much as i will spend. asking for more is asking for charity. relying on charity is a failing business plan . those that adopt bad business plans need to be out of business.
 
Until this recession blows, over I plan to spend some at the LHS -- just so they will be there later on. It's survival time. I like the idea of driving down the street to buy a few bottles of paint and some basswood.
 
^^agreed. i have started shopping on the web a little but i am still deadset on supporting my LHS. i dont spend a whole lot on model rr stuff at the moment, but when i begin to put a layout togetehr i would much rather give him my business for big ticket items. i want them to still be there so i think spending smaller money there now is doing my part to help ensure that (my model rr budget is rather small right now). truth be told, his prices are not that much different from the same or similar items on the web. and there is no charge for shipping ;) his inventory is pretty extensive as well - even tho you can get virtually on the web. when i need something specific, i usually go there first. if he does not have it then i check ebay or other web stores. not to mention, my LHS is literally 10 minutes from my house.
 
Being a "youngin" (17) The only access i have to buying online is borrowing mom or dad's credit card which they are really uneasy with, so i buy or order almost everything from my LHS who sells at full retail price. There's something cool about my LHS though. If you spend over $200 there you get a 10% discount card good for so many visits.
 
^ i am still deadset on supporting my LHS.
with that kind of logic where were you when chevrollet was in trouble? you should have bought a truck or two, even better three to support them. or just pick a failing business of choice and support them with your money. why not?
Business not suposed to run on life support. it is either making money or not. those that don't need to die off. chances are your LHS with extencive inventory is doing well enuogh to have that inventory, your money is not even a dent his budget. and if so happens and he does die off another one will come up in his place this time with better business model that allows survival. this is fierce competition, the fittest shall win, let the owner worry about his business sucsess.

and if you really want to support something why not donate to your local hospital or local youth baseball/footbal team. thats suport.





BTW, the dreaded word "ressession" came across. did you guys know that during ressesion the spendng on hobies actually goes up? anyone wants to guess why ;) ? i live quite far of from the city yet i know of 5 LHS's (not counting the big ones ala hobby loby) within 20-30 minutes drive. apparently there is enough cashflow to keep all of them in business.
and hobby stores are known to fail without any kind of ressesion either. i know of several that closed doors years ago when all was good. its all about business plan, when the plan is bad business will fail as it should. artificial life support is bad plan
 
If your parents are reluctant, your grandparents may not be. Anything bought online when i was in high school was with my grandmothers debit card, then i paid her back. Just a thought.:)

Being a "youngin" (17) The only access i have to buying online is borrowing mom or dad's credit card which they are really uneasy with, so i buy or order almost everything from my LHS who sells at full retail price. There's something cool about my LHS though. If you spend over $200 there you get a 10% discount card good for so many visits.
 
what prevents brick and mortar LHS owner to also sell online? even if its only an ebay store. and e-tailer also has to pay lease on his warehouse. if brick and mortar LHS owner chooses to not sell online whos problem is that?
i am not into this hobby to support anyone's business, best price gets my vote, viva la competition!

A} I have wondered why brick and mortar stores don't have online businesses that could reach far more sales. My very LHS about 5-10 mins away from me has a website....but ONLY to tell you who they are! They should at least have some items up for listing as sale items per month or something. If LHS's CHoose not to sell online that is their fault, nobody elses.
b} Not all e-tailers have "warehouses" many order direct from suppliers or manufactures under the "JIT" method {Just In Time}. you order it, they order it, and it comes in their door right out to your door.
wholesaletrains.com has a small hobby shop for it's "warehouse" anything listed ontheir site as "next day" means they physically have it there already. ANything listed as "available' means they have to get it first. Many other online hobby etailers are the same. Small store with basics like track, but "available" items for everything else. SOme as someone said, may be just in someone's basement.
C} I go for the lowest price too, unless I see something I like at my LHS and want it and am willing to pay that price and not s&H or gas to get to the others, I will buy it.:p
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I almost always buy locally, we have a wealth of shops in the area. Although several have closed in the last few years. That said, I really don't find the people that knowledgable at most of these shops. I tend towards smaller purchases and I like being able to get what I need from them. I'm considering moving to DCC and I don't think these guys can spell it let alone help me with it.
 
I strongly support the LHS. That is where I met many other modelers. Shared a lot of crazy Ideas and did some brain storming. In all honesty I would suggest to anyone just starting in the hobby. If there is an active one near enough to do this visit it frequently and hang around a while. That is probably where you will meet some older very knowledgeable modelers. Most of them will gladly share and help you.
 
Wow quite a response to this thread. I agree with alot of what has been said here. Having worked retail most of my adult life I can tell you that pricing is about VOLUME. Want to know why M.B.Klein a.k.a. ModelTrainStuff.com is the cheapest dealer I have seen on the web?? They sell more therefore their suppliers give them a lower wholesale cost. Which they in turn pass to us. There is something to be said for customer service as well but local dealers don't have to make 100% on everything they sell. I don't know what is but so many small business fail because they think they have to "keystone" everything to make a Reasonable profit. Grocers work on about 2-3 percent and do it all off of volume.
 
Being a "youngin" (17) The only access i have to buying online is borrowing mom or dad's credit card which they are really uneasy with, so i buy or order almost everything from my LHS who sells at full retail price. There's something cool about my LHS though. If you spend over $200 there you get a 10% discount card good for so many visits.

You can get a debit card for yourself. Bank of America has a student account that anyone 16 and older can open without a parent.
 
I got to know the owner of the shop I mentioned earlier. He told me his mark up on track and Kdees was 0. He said people would come in for those 2 items and almost always bought something else. His mark up on everything else was at least 20% below suggested retail. He also would cut bigger discounts on large purchases. I know one Item he sold to me at his cost because I was a good customer. Yes he showed me the invoice where he purchased it. Oh yeah one more thing. nwdrummer379 he would set up an account for you to put money into which you could draw on for purchases or let it accumulate for larger purchases. Almost every modeler I knew kept some money there for that spur of the moment item.
 
From what I've noticed, Intermountain, Kadee, track such as flex-track, and MTH items are almost always slim to none as far as profit.

Some dealers will buy what's in stock and on sale at Walthers, then sell them at 20% off MSRP.

Bill (ST214)'s LHS will buy the stuff that's on sale at Walthers and mark them at the sale price (no further discounts). The Walthers sale price is priced to move so he makes a decent profit while keeping modelers happy (I bought 6 branchline kits for $6.50 a piece!)
 



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