WFB 9E "explodes", goes Full Grimdark (tm)

[Charon]

Tell me again how you buying through an FLGS, who pay 60% of GW retail for their stock is somehow sticking it to GW?

Again. Because GW only gets the 60% from retail instead of 100% from me.
Their running costs do not change a bit. They pay the same if I buy from them or the FLGS. Except I do not buy from them so they generate LESS money then they could.

Mind to enlighten me how it is benefitial to get 60 % instead of 80% while your costs are the same?
And they could easily get 80 % instead of 60 % if they would not try to charge 100 %

[Mr Mystery]

You really are working awfully, awfully hard to get this wrong, aren't you?

First up, as I just added to my previous post - VAT at 20% is paid by the final seller. So far Trade Accounts, it's not GW liable for that.

Selling to you through their own store, by my rough figures, nets them around 13% profit, just because of the store.

Buy from a FLGS or Website? They make more money in profit.

Dude, I'm not often deliberately rude, but please never try to run a business.

[Charon]

VAT at 20% is paid by the final seller.

Wrong. VAT at 20% is ultimatively paid by the CUSTOMER.
Yes, the final seller sends it to the tax office but the customer paid for it. BASIC price calculation.
In fact GW also has to pay 20% everytime they sell something. No matter if they sell to the retailer or the customer. Please...

Selling to you through their own store, by my rough figures, nets them around 13% profit, just because of the store.

Which could be more if people would not buy from nasty FLGS.

Buy from a FLGS or Website? They make more money in profit.

Still no, as this is money the shop could have made too. Sorry... this is MORE money the shop could have made.

Dude, I'm not often deliberately rude, but please never try to run a business.

Actually I have a fine running business
I guess the major problem is that you assume things that are not even remotely correct.
And please don't take it too hard that im not going to take business tips from an ex-redshirt.

So a final time and extra easy for you.

GW store with fixed costs of 1000 credits a month sells 15 boxes at 100 credits each. They earn 1500 credits, thats 500 credits profit.
They also provide 40 boxes at 60 credits each to a local FLGS. They earn an additional 2400 credits, making 2900 credits profit at the end of their month.
Totally shiny... and thats where you stop thinking.
Lower price model:
GW store with fixed costs of 1000 credits a month decides to fight the FLGS price and prices their boxes at 75 credits each. Thats a price the FLGS cant afford as it would literally eat its profit.
People STILL want their precious boxes. And as GW is now CHEAPER than the FLGS, they start by from their store more.
So now they suddenly sell 55 Boxes at 75 credits each. Suddenly they go for 3125 credits profit at the end of their month. How could this magic happen? Pretty simple they now get the FLGS profits too.
Even better... the FLGS still tries to sell boxes and still sends you a little bit of credits for the boxes that are taking away shelf place now.

The only way this would not work out if people like to pay higher prices and do buy way more in GW stores than in FLGS.
I would also accept the argument that there are way more FLGS than GW stores and they act as a seller in areas you do not plan to place a GW store. But then again the price the FLGS charges there is of no concern to you as you still get your 60 credits per box from the FLGS.

Or even simpler:
I left (rounded down) 3500 GBP in a UK FLGS this year. According to your numbers (60%) thats 2100 GBP for GW from the retailer.
Flashnews: If GW as cheaper or even EVEN with the FLGS price, GW would have gotten 3500 GBP from me as I would not have bothered to look for another source of plastic crack.

[Mr Mystery]

Yes, GW might have gotten £3,500 off you, as opposed to the £2,100 via the FLGS.

Except, in a GW store, they'd only keep £455 of that......

[Charon]

They STILL have to pay the fixed costs of the store. No matter where I buy they always have their running costs to pay.
Do you think just because they dd not make sales they suddenly have not to cover their costs anymore?

Yes they would probably keep only 455 of that but thats 455 they CAN keep. The profit percentage does NOT CHANGE when the source changes.
When the get money from the FLGS they still have to pay their bills, they still have to play their rent and still have to pay their employees. So that 2100 they get from FLGS ALSO goes down to 273 which is still LESS than 455.

Srsly.. you are so wrong here that it starts to hurt... applying taxes only on one sale, fixed costs are only payed when they actually sell something in person...
Please... just stop. Your remak that bad weather in UK was damaging GWs worldwide profits was kind of funny... but this is just... ludicrously.

[Path Walker]

Nope, GW make more money selling from FLGSs than they do through their own shops or website. Thats why they can scale down on the stores in the US, they don't need to stores to be where people buy their product.

A GW store is primarily a recruitment tool, its more like an advertising cost than anything.

I try and buy a good deal of my GW stuff from my local GW though, because I like the staff, they open 7 days a week and stay open till 8 on a friday, I appreciate them as they're good people, so I pay there to help them as individuals.

[Mr Mystery]

They STILL have to pay the fixed costs of the store. No matter where I buy they always have their running costs to pay.
Do you think just because they dd not make sales they suddenly have not to cover their costs anymore?

Yes they would probably keep only 455 of that but thats 455 they CAN keep. The profit percentage does NOT CHANGE when the source changes.
When the get money from the FLGS they still have to pay their bills, they still have to play their rent and still have to pay their employees. So that 2100 they get from FLGS ALSO goes down to 273 which is still LESS than 455.

Srsly.. you are so wrong here that it starts to hurt... applying taxes only on one sale, fixed costs are only payed when they actually sell something in person...
Please... just stop. Your remak that bad weather in UK was damaging GWs worldwide profits was kind of funny... but this is just... ludicrously.

Sales to FLGS - GW not VAT liable, so that's a significant saving right there, enough to already trump the profit margin demonstrated for their own stores in my rough figures.

[Wolfshade]

Far too much off topic to even attempt to re-rail.