I normally preorder my booster boxes well in advance at one of the large Internet sites. Now, even though we are almost three months from release, Gatecrash booster boxes are preselling at all online retailers for around $110 or more. I emailed the site I usually order from to complain that the prices have gone up over 18% and to tell them that I was disappointed that they chose to engage in the price gouging that I expected from places like SCGs and the like. They responded by telling me that they have raised prices "not for profit, but because the distributor has raised their prices."
I find it hard to believe that distributors nationwide have raised their prices almost 20%. I get the economics and all and I don't need some smart alec's dissertation on supply and demand - what I want to discuss is whether anyone has insight on whether WotC has raised it's prices to distributors or where these price increases are taking place.
RtR experienced this as well from a lot of major sites as well as local game stores. At first it was the regular under $100 for a preorder but with supply and demand a lot of stores and sites have raised prices. I think they are preparing for a lot of sales and because the supply will be limited they are raising prices in advance this time around with Gatecrash instead of a couple weeks before launch as they did with RtR.
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Standard Deck
RDW-a.k.a. Glass Cannon Red
If worse comes to worse, just falcon punch your opponent into submission.
Honestly, this may in fact be the case. I just went into the K-Mart here in town and they were selling booster packs for $4.49 a piece, so MSRP and therefor vendor costs may have indeed gone up.
I think they are preparing for a lot of sales and because the supply will be limited they are raising prices in advance this time around with Gatecrash instead of a couple weeks before launch as they did with RtR.
Does this mean people did not get their RTR preorder on launch day?
Additionally, Toys R Us has boosters for $4.99. They always seem to be high there though.
People did receive it but with the demand for RtR being so high I truly think distributor's are trying to cash in. My local store ordered 10 cases and of the 10 only 4 booster boxes remained after launch day. I can only imagine the same will happen with Gatecrash which will cause for an increase in the demand so as a result they are raising prices early to maximize on their profits.
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Standard Deck
RDW-a.k.a. Glass Cannon Red
If worse comes to worse, just falcon punch your opponent into submission.
Anyone complaining about buying product for below retail, regardless of past experience, is a fool. You're getting it cheaper that way, even if it's more than you paid in the past.
Price gouging is pre-selling boxes for anything over $144.
Given that WotC reacted to RtR shortages with a quick second printing, what's the chance they get a nice large one in for Gatecrash now, since it's obviously gonna be the same problem all over again??
Honestly, this may in fact be the case. I just went into the K-Mart here in town and they were selling booster packs for $4.49 a piece, so MSRP and therefor vendor costs may have indeed gone up.
Hopefully they will react and prepare before hand instead of after the fact. But the sad fact is businesses and major internet sites are going to try to maximize their profit.
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Standard Deck
RDW-a.k.a. Glass Cannon Red
If worse comes to worse, just falcon punch your opponent into submission.
It varies retailer to reatiler. Meijer by me is 4.19 a booster, Walmart is 3.97.
If that's in response to me, it shouldn't vary from retailer to retailer.
MSRP = Manufacturer's Suggested Retail Price
There's only one manufacturer here (Wizards) and, unless there's proof of Wizards suggesting different prices to different retailers (as opposed to the retailers themselves setting prices), then there should only be one MSRP value.
If that's in response to me, it shouldn't vary from retailer to retailer.
MSRP = Manufacturer's Suggested Retail Price
There's only one manufacturer here (Wizards) and, unless there's proof of Wizards suggesting different prices to different retailers (as opposed to the retailers themselves setting prices), then there should only be one MSRP value.
Just because Wizards sets an MSRP doesn't mean that's what the product will sell for. The S part of MSRP is what's important: "suggested". Retailers are allowed to sell the product for any amount they want.
Store's can sell products for whatever they want within reason. Just because the MSRP says one thing a store can sell for a different price.
To a business there is ultimately one goal and that is profit. If a store or site can sell a pack of RtR for 6 dollars vs. 3.99 and they have people who will but it then they will do it.
They are not worried about our feelings or objections to them we are just numbers and cash.
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Standard Deck
RDW-a.k.a. Glass Cannon Red
If worse comes to worse, just falcon punch your opponent into submission.
There are only a limited number of authorized MTG wholesaler dealers available to us brick and mortar stores. Normally we can get nearly as many booster boxes as we'd like for around 40% off the retail price. However, RTR is the fastest opened set in Magic's history, and consequently has insanely high demand. This has several effects. The first is that the distributors sell off their booster boxes as soon as they come in. Distributors can handle this either by raising our prices to discourage stores from over-buying stock and hoarding it, or by limiting the number of booster boxes we can purchase. We're an established store who has ordered upwards of 100 boxes at a time and have good relationships with our distributors, and even still the primary distributors we work with offer either boxes at $100-115 each, or limited to 3 boxes a week at around 35% off. To include profit to account for overhead, this means we have to increase our prices to ensure that we don't run out of loose product for prizes and drafts. Keep in mind that the MSRP for a booster box is about $150. Gate Crash is expected to maintain or exceed demand, so the sites and stores are taking this into account.
To sum everything up, we're not price gouging, but rather adapting to changes due to a high demand market. I promise that if we're selling boxes at $120, we're not making any more of a profit.
They are not worried about our feelings or objections to them we are just numbers and cash.
This is arguable considering that if you're upset with the seller, you're not going to buy from them anymore. That hurts their numbers and their cash.
I was told also that the prices from distributors have increased. I would assume that is because distributors are paying attention, and not that WoTC has raised their prices. RTR and Gatecrash are the hotness, everybody knew it going in, including distributors.
If that's in response to me, it shouldn't vary from retailer to retailer.
MSRP = Manufacturer's Suggested Retail Price
There's only one manufacturer here (Wizards) and, unless there's proof of Wizards suggesting different prices to different retailers (as opposed to the retailers themselves setting prices), then there should only be one MSRP value.
There is only one MSRP. It a lot more than everybody pays for a box of boosters. Even while prices seem to fluctuate, the only thing changing is the profit margin per product.
Unless you are acutely aware of what the MSRP on a booster box is, you might consider counting your blessing that you have never paid MSRP for a box (something recent, not older stuff).
To the OP, who ever raised the price is spot on. If you have the resources and haven't preorder Gatecrash for as close to 90$ as you could, you clearly should be paying closer to what it's worth.
I would recommend the the vendor i ordered from but i am still questioning their reliabilty.
This is arguable considering that if you're upset with the seller, you're not going to buy from them anymore. That hurts their numbers and their cash.
This is true in a sense but ultimately there is someone out there that will buy. I know that everyone is preparing in advance for Gatecrash but ultimately business boils down to profit and expansion and the greedier stores will focus on profit over our feelings or objections.
I do not like it but it is unfortunately true.
Private Mod Note
():
Rollback Post to RevisionRollBack
Standard Deck
RDW-a.k.a. Glass Cannon Red
If worse comes to worse, just falcon punch your opponent into submission.
This is true in a sense but ultimately there is someone out there that will buy. I know that everyone is preparing in advance for Gatecrash but ultimately business boils down to profit and expansion and the greedier stores will focus on profit over our feelings or objections.
I do not like it but it is unfortunately true.
Honestly, I don't think greed is the right word. The getting is good right now, so stores are going to take it. There will be times that business is slow too. You know, like when they make Return to Kamigawa or something.
The prices of these pre-orders are higher than I have ever seen for new boxes. Considering that RTR was the most opened set of all time, at those prices, I don't think they're gouging at all. Obviously everybody is willing to pay that.
I don't think that's greedy, that's just good business.
I do agree with you however for larger locations that make their profit on other things why raise the bar when you are maintaining overall profitability by other means?
Private Mod Note
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Standard Deck
RDW-a.k.a. Glass Cannon Red
If worse comes to worse, just falcon punch your opponent into submission.
I do agree with you however for larger locations that make their profit on other things why raise the bar when you are maintaining overall profitability by other means?
Because then we're losing money on a product that we're not required to carry. Running a business is a delicate balance between being fair and reasonable to your customer while also ensuring that you can eat the next day. We HAVE to make a profit. It isn't a greed thing; its ensuring that you can continue to provide the service. At the end of the day, we're bound to the amount of product that WOTC prints, the demand for that product, and the effect that has on the market.
I don't think I have an issue with box prices raising overall. I'd imagine it's a tough pill to swallow for long time players used to certain prices, but with the game growing in epic proportions, this is how it will be for the foreseeable future.
I think it's just a negative consequence to a positive event. More support for the game means more tournaments, better prize pools, better sets etc etc.. Boxes going up isn't that big of a deal in the scheme of things. As long as stores don't forget who got them there in the first place, everything should work out fine.
If booster box prices remain this high, Magic is in trouble.
Even at $90 a box, you are hard pressed to make your money back by cracking packs. Yes, right now, it's possible, but over the long term, it's not viable. I quit buying boxes a long time ago at $90 shipped because it's a sucker's game. Eventually we will end up busting packs only at draft. The only customer for sealed product other than limited will be stores for singles. At that point, pricing is going to increase across the board even more because less and less product will be opened.
Either distributors will have to be kept in check or prices of singles will have to increase enough to make sealed product worth it.
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Currently Playing: Standard:
Nothing, the format Bores me! Legacy: RBurn (Made on the Cheap!)R RGBelcherRG WSoldier StompyW BReanimatorB EDH: BUGRWSliver OverlordWRGUB BGeth, Lord of the VaultB
It's not the fault of the distributors. It's a self-regulating market. As long as there's a demand for the singles that outpaces the supply, the prices will go up. Box price is initiated by supply, but is maintained by demand. Which means that if demand goes down, so will box prices. Magic price is maintained by the most basic rules of economy, and this will not ever change.
I find it hard to believe that distributors nationwide have raised their prices almost 20%. I get the economics and all and I don't need some smart alec's dissertation on supply and demand - what I want to discuss is whether anyone has insight on whether WotC has raised it's prices to distributors or where these price increases are taking place.
RDW-a.k.a. Glass Cannon Red
If worse comes to worse, just falcon punch your opponent into submission.
Does this mean people did not get their RTR preorder on launch day?
Additionally, Toys R Us has boosters for $4.99. They always seem to be high there though.
RDW-a.k.a. Glass Cannon Red
If worse comes to worse, just falcon punch your opponent into submission.
Price gouging is pre-selling boxes for anything over $144.
Do you have a source for the MSRP price hike?
RDW-a.k.a. Glass Cannon Red
If worse comes to worse, just falcon punch your opponent into submission.
If that's in response to me, it shouldn't vary from retailer to retailer.
MSRP = Manufacturer's Suggested Retail Price
There's only one manufacturer here (Wizards) and, unless there's proof of Wizards suggesting different prices to different retailers (as opposed to the retailers themselves setting prices), then there should only be one MSRP value.
Just because Wizards sets an MSRP doesn't mean that's what the product will sell for. The S part of MSRP is what's important: "suggested". Retailers are allowed to sell the product for any amount they want.
To a business there is ultimately one goal and that is profit. If a store or site can sell a pack of RtR for 6 dollars vs. 3.99 and they have people who will but it then they will do it.
They are not worried about our feelings or objections to them we are just numbers and cash.
RDW-a.k.a. Glass Cannon Red
If worse comes to worse, just falcon punch your opponent into submission.
There are only a limited number of authorized MTG wholesaler dealers available to us brick and mortar stores. Normally we can get nearly as many booster boxes as we'd like for around 40% off the retail price. However, RTR is the fastest opened set in Magic's history, and consequently has insanely high demand. This has several effects. The first is that the distributors sell off their booster boxes as soon as they come in. Distributors can handle this either by raising our prices to discourage stores from over-buying stock and hoarding it, or by limiting the number of booster boxes we can purchase. We're an established store who has ordered upwards of 100 boxes at a time and have good relationships with our distributors, and even still the primary distributors we work with offer either boxes at $100-115 each, or limited to 3 boxes a week at around 35% off. To include profit to account for overhead, this means we have to increase our prices to ensure that we don't run out of loose product for prizes and drafts. Keep in mind that the MSRP for a booster box is about $150. Gate Crash is expected to maintain or exceed demand, so the sites and stores are taking this into account.
To sum everything up, we're not price gouging, but rather adapting to changes due to a high demand market. I promise that if we're selling boxes at $120, we're not making any more of a profit.
This is arguable considering that if you're upset with the seller, you're not going to buy from them anymore. That hurts their numbers and their cash.
I was told also that the prices from distributors have increased. I would assume that is because distributors are paying attention, and not that WoTC has raised their prices. RTR and Gatecrash are the hotness, everybody knew it going in, including distributors.
There is only one MSRP. It a lot more than everybody pays for a box of boosters. Even while prices seem to fluctuate, the only thing changing is the profit margin per product.
Unless you are acutely aware of what the MSRP on a booster box is, you might consider counting your blessing that you have never paid MSRP for a box (something recent, not older stuff).
To the OP, who ever raised the price is spot on. If you have the resources and haven't preorder Gatecrash for as close to 90$ as you could, you clearly should be paying closer to what it's worth.
I would recommend the the vendor i ordered from but i am still questioning their reliabilty.
This is true in a sense but ultimately there is someone out there that will buy. I know that everyone is preparing in advance for Gatecrash but ultimately business boils down to profit and expansion and the greedier stores will focus on profit over our feelings or objections.
I do not like it but it is unfortunately true.
RDW-a.k.a. Glass Cannon Red
If worse comes to worse, just falcon punch your opponent into submission.
Honestly, I don't think greed is the right word. The getting is good right now, so stores are going to take it. There will be times that business is slow too. You know, like when they make Return to Kamigawa or something.
The prices of these pre-orders are higher than I have ever seen for new boxes. Considering that RTR was the most opened set of all time, at those prices, I don't think they're gouging at all. Obviously everybody is willing to pay that.
I don't think that's greedy, that's just good business.
RDW-a.k.a. Glass Cannon Red
If worse comes to worse, just falcon punch your opponent into submission.
Because then we're losing money on a product that we're not required to carry. Running a business is a delicate balance between being fair and reasonable to your customer while also ensuring that you can eat the next day. We HAVE to make a profit. It isn't a greed thing; its ensuring that you can continue to provide the service. At the end of the day, we're bound to the amount of product that WOTC prints, the demand for that product, and the effect that has on the market.
I think it's just a negative consequence to a positive event. More support for the game means more tournaments, better prize pools, better sets etc etc.. Boxes going up isn't that big of a deal in the scheme of things. As long as stores don't forget who got them there in the first place, everything should work out fine.
Even at $90 a box, you are hard pressed to make your money back by cracking packs. Yes, right now, it's possible, but over the long term, it's not viable. I quit buying boxes a long time ago at $90 shipped because it's a sucker's game. Eventually we will end up busting packs only at draft. The only customer for sealed product other than limited will be stores for singles. At that point, pricing is going to increase across the board even more because less and less product will be opened.
Either distributors will have to be kept in check or prices of singles will have to increase enough to make sealed product worth it.
Currently Playing:
Standard:
Nothing, the format Bores me!
Legacy:
RBurn (Made on the Cheap!)R
RGBelcherRG
WSoldier StompyW
BReanimatorB
EDH:
BUGRWSliver OverlordWRGUB
BGeth, Lord of the VaultB
I'll have to check what's up with them.