Hello Gyro,
Yes, I am aware of the problems that face the US retailers, but these retailers are protected by MAP pricing in most cases, and they have a middle market to sell to. The UK stores have no protection at all, and typically, unless they find a niche very fast, they last about a year. Planet is the only store I can think of that has successfully done this. The fact that US websites are competing with US stores does not matter. The fact is that the money is staying in the US. This money facilitates sponsorship budgets for the manufacturers, who are also in the US, for the US teams.
I believe that WDP's philosophy is a much broader one, and possibly the longest dollar investment in the industry - see Pure promotions, Fox Shows, Super 7 Series, NPPL DVD's etc. While its true that WDP are a british firm, thier sponsorship dollar ratio will no doubt be split up as per where thier gun sales are.
Also, lets not get the UK and Europe mixed up. There is twice as much mid-range and high-end business in Germany than there is in the UK. The UK leads Europe in Rental business, but thats where the gravy train ends.
This leads me back to the problem of how little the US understands European business. They are the Vikings rather than the Romans, if you understand the historical metaphor (I know you guys aren't too hot on history - Christopher Columbus and all that...)
The middle market has been choked because, a. there are few stores, b. There is more money in the rental business, which is very strong, c. Because when people do buy midrange markers, there are very few places to get them repaired or use them (see b), It is basically difficult to be a 'scenario player' in the UK, and d. there is no land to play on. Going out to play ball in the woods will get you arrested. 70% of the guns and paint used in the US are used in 'renegade' games, where people just go out into the vast expanse of the US and play ball. This market is missing in Europe, because it is just not possible to do that. You could do it in parts of Germany, and it happens, but technically it is illegal, and therefore not encouraged.
So you are left with rental and High-end. Anyone looking to get into high-end paintball will end up on a team very quickly, and then they will become aware that they can pay less, or get sponsored, or grey import product from the US. At this stage there will be very little for European firms to earn out of them, wheras in the US there would generally be a couple of years of growth and 3-4 gun purchases b4 a player reaches that stage, if at all. Go to a UK event. Look at the guns people are still using, you will laugh. Europeans do not have the disposable income that americans have, that's a simple fact. They choose between a new paintball gun and a new washer for thier wife. The disposable income you guys get, while it is slowly bringing your economy to its knees, creates a much larger entertainment budget for the US family.
And Ronnie, I know your store, and your old man. As store owners do you really think that having Dye and National within an hours drive is going to better your business? Did you know a retail website is on the way with low pricing and direct shipping a la 888 paintball? I beg you to open your eyes and protect your business. By the way, hows the site doing? Loving and nurturing is exactly what the middle market needs. But it isn't going to get it. Its going to get a 'wham, bam, thankyou ma'am', and you will be sore for weeks...
Anyway, you get the picture. I could go on all day.
Yes, I am aware of the problems that face the US retailers, but these retailers are protected by MAP pricing in most cases, and they have a middle market to sell to. The UK stores have no protection at all, and typically, unless they find a niche very fast, they last about a year. Planet is the only store I can think of that has successfully done this. The fact that US websites are competing with US stores does not matter. The fact is that the money is staying in the US. This money facilitates sponsorship budgets for the manufacturers, who are also in the US, for the US teams.
I believe that WDP's philosophy is a much broader one, and possibly the longest dollar investment in the industry - see Pure promotions, Fox Shows, Super 7 Series, NPPL DVD's etc. While its true that WDP are a british firm, thier sponsorship dollar ratio will no doubt be split up as per where thier gun sales are.
Also, lets not get the UK and Europe mixed up. There is twice as much mid-range and high-end business in Germany than there is in the UK. The UK leads Europe in Rental business, but thats where the gravy train ends.
This leads me back to the problem of how little the US understands European business. They are the Vikings rather than the Romans, if you understand the historical metaphor (I know you guys aren't too hot on history - Christopher Columbus and all that...)
The middle market has been choked because, a. there are few stores, b. There is more money in the rental business, which is very strong, c. Because when people do buy midrange markers, there are very few places to get them repaired or use them (see b), It is basically difficult to be a 'scenario player' in the UK, and d. there is no land to play on. Going out to play ball in the woods will get you arrested. 70% of the guns and paint used in the US are used in 'renegade' games, where people just go out into the vast expanse of the US and play ball. This market is missing in Europe, because it is just not possible to do that. You could do it in parts of Germany, and it happens, but technically it is illegal, and therefore not encouraged.
So you are left with rental and High-end. Anyone looking to get into high-end paintball will end up on a team very quickly, and then they will become aware that they can pay less, or get sponsored, or grey import product from the US. At this stage there will be very little for European firms to earn out of them, wheras in the US there would generally be a couple of years of growth and 3-4 gun purchases b4 a player reaches that stage, if at all. Go to a UK event. Look at the guns people are still using, you will laugh. Europeans do not have the disposable income that americans have, that's a simple fact. They choose between a new paintball gun and a new washer for thier wife. The disposable income you guys get, while it is slowly bringing your economy to its knees, creates a much larger entertainment budget for the US family.
And Ronnie, I know your store, and your old man. As store owners do you really think that having Dye and National within an hours drive is going to better your business? Did you know a retail website is on the way with low pricing and direct shipping a la 888 paintball? I beg you to open your eyes and protect your business. By the way, hows the site doing? Loving and nurturing is exactly what the middle market needs. But it isn't going to get it. Its going to get a 'wham, bam, thankyou ma'am', and you will be sore for weeks...
Anyway, you get the picture. I could go on all day.
