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  Lionel has started selling new, overstock, odd lot refurbished and used items on eBay. I checked today and there were 165 different items for sale. Some of these items were bargain priced while others carried a high price tag. Quite frankly I don't know what to make of this but it sounds like there may be a warehouse cleaning operation in progress.

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Hey Guys & Gals,

HISTORY REPEATS ITSELF.....Years ago Lionel put it to all of their Lionel Dealers. This has a slight variation and twist to it. This time they're attempting to enter a market other than the retail level. It would seem that they would know better? Did they make a deal with eBay? I cannot see them paying all the fees involved.

 

Internet sales are going to suffer a big hit in the near future. Lionel is ahead in the game by charging the taxes now. Many states are requiring that state sales tax be paid on ALL internet transactions. Amazon and eBay are fighting the battle, however, it does seem that the war is lost. It's just a matter of time before the logistics are ironed out. Between the tax rates and shipping costs it maybe cheaper to shop locally...IMHO

Originally Posted by Larry3railtrains:

Good or bad prices. Doesn't matter to us up here in Canada. They will not ship here , at least for now according to an e-mail I received from them.  If you check their ads, they say  "WILL NOT SHIP TO CANADA"

Same here Larry. When I look at those ads they say 'Will not ship to Netherlands'. I guess that ebay checks your internet address.

Some of the prices on the refurbished items did look attractive though. 

Theres no seller protection to other countries. This is the main reason i dont do it on ebay when i sell...I had some guy from other country begging me to sell to him it was 2 big ticket items i couldnt do it..What happened if they got broke or didnt make it...Paypal would yank the money it wasnt worth it...Heres the point they wanted 400 bucks x2 to ship them ups or fedex...US mail was 165 bucks x2....

I think it’s just a sign of the changing nature of consumer sales these days. With so many options in the marketplace, it’s important to get product in front of customers in any ways that you can.

 

Look at how many hobby sellers have a store, an on-line interface, catalogs for mail order, set up at train shows, etc. Businesses of all sorts are doing it this way - retail and manufacturer/wholesaler. The goal is to find as many customers as possible, wherever they might be.

 

It’s interesting that, at a time when the Internet has opened up a tremendous variety of ways to purchase product, so many people limit themselves to one preferred way of shopping. I know some folks who shop Amazon almost exclusively, even though what they buy might be available elsewhere for less. Then there are others who always go direct to manufacturer or retailer and never through a place like Amazon. Same thing goes for the ‘bay. You would be surprised how many people look there first before shopping anywhere else.

 

And ebay has done a great job of catering to larger sellers – unfortunately at the expense of smaller, individual customers (like me) who use it to get rid of unwanted or unneeded items and make a few extra bucks along the way.

 

Lionel won’t do anything to jeopardize their relationship with retailers, and if they can move some refurbed product and sell a few items at full price along the way, it’s a win-win.

Just checked the site.  I don't see any real bargains right now. there are some locos with low starting prices, but all have reserves, so who knows what the real price is?  Did find a Fastrack add-on for a figure 8.  Lionel's asking price is $74.95 plus $16 to ship.  Most other sellers are offering mid 50's starting price with $10 to ship.  I guess Lionel is not really wanting to sell on eBay at these prices. 

Originally Posted by Bob Severin:

Did find a Fastrack add-on for a figure 8.  Lionel's asking price is $74.95 plus $16 to ship.  Most other sellers are offering mid 50's starting price with $10 to ship.  I guess Lionel is not really wanting to sell on eBay at these prices. 

So how exactly is Lionel trying to "stick it" to the dealers again?

 

You can't exactly stick it to dealers by selling at higher prices than they do.

I looked at the site.  There is free shipping on items over $99.   I am not sure why Lionel is putting on reserves on its auctions.  They might be doing this so as not to undercut dealer wholesale prices.

 

Generally, it is bad news for dealers when a manufacturer starts selling direct to the public because the manufacturer can sell at or below the dealer price and still make a profit.  This has happened to me several times with my own eBay business.  I had to stop selling several products when the manufacturer started selling the items on eBay for less than he was selling the product to me at wholesale.  

 

It will be interesting to see how far Lionel takes this.  If Lionel puts its entire catalog on eBay it will be rough on the dealers.

 

Joe 

 

 

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