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Post by Donnell Wells on Oct 4, 2012 12:56:22 GMT -8
According to the October issue of Model Railroad Hobbyist online magazine, Athearn has taken a bold step and reduced thesuggested retail price of its upcomming GE AC4400CW releases in both traditional and NS Heritage schemes. The latest prices reflect a $30 reduction for the traditional schemes , dropping the price from $149.98 to $119.98, and a $10 reduction for the NS schemes dropping from $139.98 to $129.98.
Regardless if you plan on purchasing these units or not, you have to give credit to Athearn for relieveing some of the wallet stress!
[glow=red,2,300]Kudos Athearn![/glow] I see SP ACs in my near future!
Donnell
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Post by valenciajim on Oct 4, 2012 15:53:04 GMT -8
Well, I guess this isn't all that surprising. I'll bet they found that the prices reached the point where few people were buying. Let's hope that the quality on the RTR line has improved.
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Post by riogrande on Oct 4, 2012 16:07:52 GMT -8
This is good news and hopefully a trend. I'm still looking forward to new SD40T-2's, SD45T-2's and SD45's for D&RGW and SP and I don't relish $160 msrp.
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Post by atsfan on Oct 4, 2012 17:38:12 GMT -8
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Post by johndmock on Oct 4, 2012 20:22:41 GMT -8
This is somewhat old news, and was reported and discussed on other sites a few weeks ago--I believe Athearn even gave the reasoning:
They received plenty of pre-orders for the NS Heritage Units, then added on standard paint scheme units, such that they got a better deal in China on all these models, and are passing the savings along to the buyers. The size of the production run actually does matter with regard to the price.
I do agree, it is good news for the buyers, but I would not anticipate it being the beginning of a trend.
I'm far from rich myself, but would still consider $160 MSRP for DCC ready units as being a good price--because it would be lower than the current price point for some of the other guys' diesels. Example: A dcc ready PA-1 from M.B. Klein is going to exceed $160 even at the "sale" price that other dealers will not touch, and there's a bunch of recently upgraded or newly tooled diesels coming from others at ... more than Athearn's prices.
Respectfully submitted--
John
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Post by Deleted on Oct 5, 2012 3:19:51 GMT -8
Don't forget that Athearn also trimmed the dealers discount. On the heritage units the reduced price will only result in a couple of dollars on even a good discounted price.
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Post by Donnell Wells on Oct 5, 2012 7:23:42 GMT -8
Honestly, I had not seen the earlier announcement or I most likely would not have made this post. I was told this info was posted on Athearn's Facebook page, and usually like to stay on top of information like this, but I hardly access my Facebook account, let alone someone else's...
Oh well...I'm still glad that I don't have to pay the $150!!!
Donnell
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Post by atsfan on Oct 5, 2012 7:56:51 GMT -8
Good point on the discount cut. Street price will still be the same unless for some reason you pay full msrp.
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Post by Judge Doom on Oct 5, 2012 10:49:41 GMT -8
It was posted some weeks ago on Athearn's Facebook page.
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Post by theengineshed on Oct 5, 2012 15:57:01 GMT -8
It was posted some weeks ago on Athearn's Facebook page. Facebook could be at fault here to a degree. Depending on whether you are viewing the most popular posts or newest, sometimes it takes a while for items to bubble up. I've seen new items on my wall from companies that I "liked" that are many days old... |
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Post by atsfan on Oct 5, 2012 18:08:18 GMT -8
It was posted some weeks ago on Athearn's Facebook page. Never look there. And do my best to block that cancer from other internet sites they track and sell from. |
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Post by rhpd42002 on Oct 5, 2012 18:38:22 GMT -8
While I have no interest in the AC4400CW, I appreciate your posting the info, as I don't "do" social media, such as Facebook. It's not something I care to participate in.  Heck, I didn't start getting active with Forums until I started with Atlas' Forum, several years ago. |
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Post by johndmock on Oct 5, 2012 20:52:56 GMT -8
I personally despise Facebook, though I am a "user"--and when I have even tried to bring up Athearn's page, I was unable to do so.
In this case, the price change was also discussed on other train forums, so one need not be a Facebook user to have heard about it.
John
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Post by calzephyr on Oct 7, 2012 17:05:29 GMT -8
According to the October issue of Model Railroad Hobbyist online magazine, Athearn has taken a bold step and reduced thesuggested retail price of its upcomming GE AC4400CW releases in both traditional and NS Heritage schemes. The latest prices reflect a $30 reduction for the traditional schemes , dropping the price from $149.98 to $119.98, and a $10 reduction for the NS schemes dropping from $139.98 to $129.98.
Regardless if you plan on purchasing these units or not, you have to give credit to Athearn for relieveing some of the wallet stress!
[glow=red,2,300]Kudos Athearn![/glow] I see SP ACs in my near future!
Donnell
Donnell It could be the fact that sales are not so good since these units are not correct for the paint scheme. Maybe Athearn has lower the prices now just to kick off the sales. Larry |
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Post by johndmock on Oct 8, 2012 6:03:29 GMT -8
Larry--
Had you read my post above you might have seen that the actual fact is sales were very good--that is the reason for the discount--economies of scale--they got a better price in China due to the size of the order...
Note: I'm not even an Athearn fan, but elsewhere they have clearly stated the sales were good and they were passing the savings along.
John
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Post by riogrande on Oct 8, 2012 8:15:48 GMT -8
As I said before, this is all great, but the items in this example are not good to me or probably many. If they can keep this up when they announce more D&RGW tunnel motors or SP SD45's, then this will be very useful to me. Lets hope Athearn can repeat this exercise when it is something I'd like to buy.
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Post by calzephyr on Oct 8, 2012 9:36:14 GMT -8
Larry-- Had you read my post above you might have seen that the actual fact is sales were very good--that is the reason for the discount--economies of scale--they got a better price in China due to the size of the order... Note: I'm not even an Athearn fan, but elsewhere they have clearly stated the sales were good and they were passing the savings along. John John I missed that point but the post does say the NS models and I thought that might be the Genesis models. It is great that they are lowering the price for many will want these. They probably are a big hit with dealers since they need stock after the lapse in RTR because of the factory closing last year. Thanks Larry |
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Post by atsfan on Oct 8, 2012 12:46:45 GMT -8
Larry-- Had you read my post above you might have seen that the actual fact is sales were very good--that is the reason for the discount--economies of scale--they got a better price in China due to the size of the order... Note: I'm not even an Athearn fan, but elsewhere they have clearly stated the sales were good and they were passing the savings along. John Where did you read this to know this as factual? Not saying it isn't . But from where? Thanks. |
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Post by johndmock on Oct 8, 2012 16:19:26 GMT -8
It was posted on Athearn's Facebook page on September 14. It is there right now, and I just found it--it's still there.
It was also discussed on other forums since that date, prior to being a topic here. I believe I first read about it on the MR General forum.
John
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Post by arandall70 on Oct 8, 2012 16:50:17 GMT -8
Larry-- Had you read my post above you might have seen that the actual fact is sales were very good--that is the reason for the discount--economies of scale--they got a better price in China due to the size of the order... Note: I'm not even an Athearn fan, but elsewhere they have clearly stated the sales were good and they were passing the savings along. John Quote from Athearn Facebook: " New Lower Price for AC4400CWs in traditional roadnames as well as Norfolk Southern Heritage colors
Resuming Ready To Roll AC4400CW and DASH-9 Production
When we ordered the NS Heritage AC4400CWs in ES44AC colors, we also included the AC4400CW and DASH 9 locomotives that were affected by the factory closure earlier this year. Because of the quantity, we were able to secure a better production cost so we’re passing the savings along to say thank you for your patience and support through the transition. These are the first Ready To Roll models to go back into production and we have plenty of room for additional preorders. Athearn.com will reflect the new prices tomorrow (Saturday 9/15)." I fail to find anywhere in this paragraph where it says the price reduction had anything to do with the pre-orders or sales of the models, just that they got a discount because they put three production runs(AC44, Dash-9, and Heritage AC44) in one order to their manufacturer. And besides the heritage schemes being on AC44 bodies, some of them are rather poorly done, including colors on the NW and LV units and some of the paint scheme details like the top nose whiskers on the NS unit not extending over the nose. |
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Post by johndmock on Oct 8, 2012 18:23:51 GMT -8
Dear Sir:
You missed the key phrase: "Because of the quantity".
Larger quantity built, even with paint and detail variations, means less price per unit assembled, period. It's called "economies of scale" and it still holds true.
John
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Post by arandall70 on Oct 8, 2012 18:26:33 GMT -8
Of course they are getting a quantity discount, but the quantity comes from making 3 runs at one time, not because any of the runs has a large quantity of pre-orders.
They even said they had plenty of room for additional pre-orders.
I think you are assuming that when they said large quantity, that they had sold a large quantity. Sure, its a large quantity, because you have AC44's + Dash-9's + Heritage AC44's.
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Post by johndmock on Oct 8, 2012 18:32:36 GMT -8
Ok, I'm a former employee of one of the manufacturers. I can tell you in China they don't really care if it's 3 slightly different models or 1 model--the models are considered to be so similar that for all practical purposes they are building one model with three major variations.
The savings is partly in the setup and tear-down time to not be making something else, and to not do 3 separate runs at 3 different times.
The price discount comes from total units. The Chinese don't care about different ditch lights, headlights, or paint schemes etc. when pricing the cost out (if the models are that similar).
Horizon Hobby, which owns Athearn, probably figured the Heritage paint schemes would be really good sellers--and perhaps on these runs they might have added a better than usual percentage above the pre-ordered quantity.
You said the post says nothing of pre-orders, but they don't build anything that isn't pre-ordered.
John
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Post by arandall70 on Oct 8, 2012 18:38:12 GMT -8
I think you just proved what I was saying with your paragraph.
There is not some massive quantity of each model, but with all three together, it is more than a normal size run. The model making company does not consider the AC44 or C44-9W to be much different, as their fixed costs are the same for a run of either, so when they can make as many as possible with one order(which is an aggregate of 3 orders of locomotives), they can produce them for less.
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Post by johndmock on Oct 8, 2012 18:43:21 GMT -8
In any case, the word on the street is that the Heritage paint schemes--even on incorrect units--have already sold WELL, at least in NS territory.
I know for a fact the local dealer in this town ordered A LOT, and he's a small dealer.
It doesn't matter that it's not a correct model--it's close enough that the average buyer (who isn't on these forums learning about the most minute details) simply doesn't care.
Otherwise, Intermountain and others would not be doing all the fantasy schemes.
The NS Heritage Paint is and will be one of the best things for model train retailers since The Polar Express came out. It's also re-awakening interest in some of the more rare, or somewhat forgotten paint schems, such that people are already begging for more runs of old passenger units in some of the schemes. (I'm not the only one looking for CNJ tangerine and blue F-3A's--others are too).
John
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Post by arandall70 on Oct 8, 2012 19:44:40 GMT -8
I know you are right, however, that most people don't care, even though the difference are about as minute as the differences between an SD24 and an SD50. Other than being 6 axle GE's, there are very few similarities.
Thats fine, im sure they will be happy with theirs and I will be happy with my Sound, DCC, fully lighted on both ends, correctly detailed, better running locomotives for $50 more, or for the same price on the additional non-sound units I'm considering.
Thats the part I really dont get, for the same price and about 8 months, you can have the right model, non-sound, with DCC.
I wonder if there is anyone that freelances, modeling modern day fallen flags, that could be buying these, or just fans of the original roads. I must say, a 2x2x2 set of Interstate AC44's working on a unit coal train would be awesome.
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Post by johndmock on Oct 8, 2012 20:31:47 GMT -8
Yes sir, there absolutely are those who freelance.
At least one of the original Atlas HO forum members had developed what appeared to be a very plausible reason for Penn Central to still exist, and he did a really fine job of interpreting what Penn Central's current motive power would look like--mating worms and all--and it looked very classy. If you search you can find some pretty nice images over there!
So those folks are out there, and some of them do an amazing job. My hat is off to them.
As for me, I've tried everything from steam to the latest diesels, but I prefer the early diesels up to and including some of the Alco Century series...
You are also correct about what might be done with updated tooling--but one of the risks--and where Overland Models lost on rolling the dice with plastic--is that the modern diesel models can change anytime--even within a model--such that your tooling is suddenly obsolete. BTW, if I recall isn't that where Athearn got the tooling for one of the 3 models we are talking about--OMI gave up on plastic diesels (for a variety of reasons)?
I bet, knowing recent history well, that Athearn is actually a bit loathe to release another "latest greatest thing" especially when some of the competition appear to have some models reasonably well covered (whether everyone is happy or not is another story--but the models exist). That is likely one reason they are painting the AC's in Heritage--that and the timeline to market before public interest fades also might preclude an update.
Respectfully submitted--
John
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Post by arandall70 on Oct 9, 2012 7:35:47 GMT -8
I am aware that some of those freelancers exist, but I am wondering if any of them are purchasing these to fill rolls on their layout, and not just for the shiny paint. I was hoping one of those modelers may chime in. I know that there is at least a modern day Southern, PC, NYC, and RI.
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Post by atsfan on Oct 9, 2012 15:22:08 GMT -8
NS Territory is almost half of the USA.
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Post by nw611 on Oct 9, 2012 15:46:59 GMT -8
And don't forget Canada. There is a NS line from Detroit to Buffalo on the north shore of Lake Erie. Ciao. Raffaele
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