What does the Paintball Industry need?

[Robbo]

So, are we agreed that the answer to Piper's question is volume?

.

.... could it be anything else?




PS Sorry Pipes !

 

[Missy-Q]

Missy certainly has some credible answers but every single possible answer is inevitably predicated upon industry co-operation .... and there weeee haaaaave it !!!!!

The solution and the insurmountable problem innnnnn one!!!

What Missy suggests is most certainly coherent enough but it is rendered rhetorical bullsh!t by an industry devoid of commonsense and direction.

I actually feel there are fewer people needed to action this plan than you think, and those that are needed are already motivated to act. This motivation isn't based on 'for the good of the game', which would surely dictate that it would never happen, but on simple survival. I feel that the first manufacturer to offer the correct margins on product and price protection, will make bank. I don't even care of the product is groundbreaking, it just needs to be able to sustain a healthy margin throughout the chain of business.


I also feel that people are already looking for answers to the issue, and looking in the wrong places, ie. a totally different caliber of ball and a re-invention of the way we play. What's the point of that if the industry margins stay the same? There's just another load of stuff to sell without making sufficient profit to grow a business properly.

 

[Dskize]

So it's decided that rather than investing in attracting 15-20% more new business it's better to rehash the margins to sustain a failing industry...

Possibly 30% to be made on 50 cal somewhere and acronyms resposible for 2% alone.

 

[Robbo]

I actually feel there are fewer people needed to action this plan than you think, and those that are needed are already motivated to act. This motivation isn't based on 'for the good of the game', which would surely dictate that it would never happen, but on simple survival. I feel that the first manufacturer to offer the correct margins on product and price protection, will make bank. I don't even care of the product is groundbreaking, it just needs to be able to sustain a healthy margin throughout the chain of business.


I also feel that people are already looking for answers to the issue, and looking in the wrong places, ie. a totally different caliber of ball and a re-invention of the way we play. What's the point of that if the industry margins stay the same? There's just another load of stuff to sell without making sufficient profit to grow a business properly.

Missy, I think we both might agree that any recovery must include Kee, and at the moment, they seem to be generating considerable momentum in acquisition mode.
They are most certainly aggressive in terms of pricing and also the way they approach the general market environment; either the other companys ride the road to recovery on Kee's coat-tails or they wait for Kee to begin 'co-operation' and if it's the latter, they are in for a fackin long wait mate.

I may have read it wrong Missy but the Kee Leviathan is growing unchallenged and seemingly setting the rules in its wake .... instinct and common sense tells me there's no way there can be a lone man standing in 2 or 3 years but someone needs to exert some pressure back it seems .... any suggestions?

 

[Missy-Q]

.... any suggestions?

Let's see how Gino Posterivo does with Valken, they are the closest challengers right now. Alternatively a merge between Procaps and Tippmann would generate a pretty dangerous company.

 

[Missy-Q]

So it's decided that rather than investing in attracting 15-20% more new business it's better to rehash the margins to sustain a failing industry...

Possibly 30% to be made on 50 cal somewhere and acronyms resposible for 2% alone.

I missed the part where there was a viable program to attract 15-20% more new business. Where was that plan? I also missed the part where a 'decision' was made in any direction, who made that?

'Rehashing' margins is misleading. Look at ANY industry, and in order for it to be healthy, there has to be margin up the distribution chain. This industry is in decline, less stuff is being sold, and that stuff is being sold at lower prices. There is no margin up the distribution chain, so the stores struggle to stay open. Of course it would be nice for 20% more people to start buying gear, but it's also unlikely, and a long way off.

 

[campbell08]

I think pro-shops is a good idea. Then you can surport your local site better and maybe get better and cheaper deals

 

[Robbo]

Let's see how Gino Posterivo does with Valken, they are the closest challengers right now. Alternatively a merge between Procaps and Tippmann would generate a pretty dangerous company.

I think Gino may need to recapitalise if he wants to take on Kee and I don't believe he's got the necessary resources to do that but the latter of your two suggestions has, as you have mentioned elsewhere, been talked about for sometime now, and is the only viable market counterpart to Kee I can think of ... it remains to be seen whether Tippmann and / or Procaps realise their respective destinies are so inextricably linked.
If they do combine, then this would create the necessary financial environment for your suggestions to gain the sort of market-place traction it would need to succeed; if they do not, the Kee machine rolls on .... and on ....

 

[Ainsley]

On a lighter note, I think we just need some pit girls

 

[Dskize]

I missed the part where there was a viable program to attract 15-20% more new business.Where was that plan?

Investment in sites to attract new customers ,I'm not saying this is viable (although Im yet to hear an argument against ) ,is it ?. You suggest that this is the realm of forward thinking site owners and later add .

"The field owners already garner more margin that anyone else in the industry. If they want to make more money, they should improve their product. Even through this economic downturn, the fields have done fine, 'well' even. "

So the feld owners are sucking up the extra money the industry needs to reverse it's downturn they are also the people in the position to sell more product given the right help/direction, yet investment in this area is not where we should be looking.

I also missed the part where a 'decision' was made in any direction, who made that?

I was referring to this thread only.

'Rehashing' margins is misleading. Look at ANY industry, and in order for it to be healthy, there has to be margin up the distribution chain. This industry is in decline, less stuff is being sold, and that stuff is being sold at lower prices. There is no margin up the distribution chain, so the stores struggle to stay open. Of course it would be nice for 20% more people to start buying gear, but it's also unlikely, and a long way off.

Sure I understand the need to stabilise what already exists and I feel I'm now flogging the point but surely the idea of variable margins in the first place is to attract more customers ,if you don't attract the customers ...