Aifix Trading Terms

[EpoxySniffer]

There's an interesting announcement on Models For Sale today. Vince has said that he can no longer sell Airfix kits outside of the UK and Airfix will now only trade with retailers that also have a bricks and mortar shop. Apparently Airfix have changed their terms and conditions of business.

That is bit of a blow for some of the small online only retailers. They really are starting to have a bit of a tough time, first the Royal Mail kill the mail order paint and glue sales and now Airfix pull the plug on them. Hope it doesn't hit Models R Go too hard he is a good guy.

[Lee]

A lot of big companies are starting to make unrealistic demands on the little guys these days. Not cricket really.....

[T3hGuppy]

Yeah it is very underhand tactic to increase profits.

Games workshop have been doing the same thing slowly to force people to buy from their website.

[ScaleModelling1105]

That's just out of order. They shouldn't be allowed to do that. It's the smaller and more personal businesses that really make a difference, and what do they get in return? A slap in the face.

[Panzermeister36]

That's just out of order. They shouldn't be allowed to do that. It's the smaller and more personal businesses that really make a difference, and what do they get in return? A slap in the face.

1. SLAP TO THE FACE
2. SUE FOR MONEY
3. BOYCOTT AIRFIX
4. DIE OF LACK OF AIRPLANE KITS TO BUILD

Problem solved!

[ScaleModelling1105]

That's just out of order. They shouldn't be allowed to do that. It's the smaller and more personal businesses that really make a difference, and what do they get in return? A slap in the face.

1. SLAP TO THE FACE
2. SUE FOR MONEY
3. BOYCOTT AIRFIX
4. DIE OF LACK OF AIRPLANE KITS TO BUILD

Problem solved!

That's pretty much it!

[Neils]

Hmm it does seem an odd move like cutting your nose to spite your face. Just wondering if such a thing is legal under EU law as it would seem to be a restriction of trade.

Can anyone really see airfix saying "no you can't sell our stuff" to amazon for example and just how are they going to stop ebay store sales?

I suspect we'll get some clarification over the next few weeks as, as described it seems counterproductive

[Wayne]

If Airfix do this it will be the end of them. 80% of there sales is from online shops So this will be a big shot in the foot.

[benc123]

Just when airfix are starting to turn peoples heads again with lovely competitive kits they go and do this? Absolutely crazy!

[DC87]

What a crazy move, I know Airfix kits can be purchased in toy/ book shops etc but that must be a tiny percentage of turnover. I wonder if a growth in the Asian market has anything to do with it (no idea if it has grown - just a thought)

[EpoxySniffer]

There will still be online sales, from what I have read they are saying that in order to sell Airfix online you must also have a bricks and mortar shop. Any online business that also has any form of retail unit will still be selling online and instore, for instance Emodels, Hannants or Models 4 Sale etc. However they will be prevented from shipping outside the UK. It will be purely online businesses that will be hit as they trade online only so won't get any more stock from Airfix. From what I gather Airfix will no longer supply these online only shops and traders.

Like someone mentioned you can bet that Amazon will be exempt from this, there is no way Hornby will pull all their products off
Amazon. It will only be the small online retailer trying to make a living that gets shafted not the corporate big boys.

I can see why they are doing it, to stop people buying wholesale and selling at rock bottom prices online and under cutting the retailers that also have shops. For companies like Emodels it is probably a good thing, not good for those that are purely online ventures though.

And you won't be able to buy £1000 of Airfix wholesale and then flog them on Ebay cheap, so it could be an end to cheap bargain new kits on Fleabay. Its probably not fair on genuine retailers to allow that to happen, but that shouldn't mean genuine small online retailers should get struck off the Airfix retailers list in order to prevent it.

There is supposed to be EU legislation to govern the free movement of goods throughout Europe so I can't see how they can get away
with stopping retailers shipping to the EU. Even if they say they will stop supplying retailers caught shipping to the EU isn't that still directly causing the restriction of free movement of goods?

[Lego]

I cannot see how they can restrict where people sell goods especially not in europe. Someone with any kind of financial backing would hammer them in court and I cannot see them wanting such bad publicity. Restricting the supply of goods to get more money only works if your goods cannot be substituted. I also think that some pencil pushing bureaucrat in europe would use this politically. Lol anyone ever watch Yes minister? Will wait for some sort of clarification but this is nuts.

[Johni044]

I havn't seen any similar announcement from other retailers yet.

[Neils]

I havn't seen any similar announcement from other retailers yet.

I'm not sure you will. With many it'll be Airfix kits going out of stock and not being replenished, prices going up and a small note to say we can't ship Airfix kits outside of the UK. I doubt they'll say much, they just won't stock airfix anymore

Just a thought. What about non bricks and motar places outside of the UK? Are they going to be supplied and barred from shipping INTO the UK?

What's to stop a retailer from say opening up a box, sticking it down again and shipping it abroad as second hand rather than new?

Such a shame, I'd have thought airfix would have wanted every box sale they could get

[Gav0909]

You have to remember that Airfix is not the company of old. That company died a few years back now when it went into administration. The brand was bought by Hornby Hobbies and continued. So be careful how you refer to things, as its not "Airfix" making this decision, as "Airfix" is just a brand now, NOT a company, the company making this decision is Hornby. Who are a very large company as well now.

[DC87]

Wise words Gav and very true, the way to confirm this policy would be to check what is happening to Hornby stock as it would likely be a company wide initiative to create revenue or cut costs. Has anyone noticed whether the airfix webstore has expanded recently ?

[Neils]

Wise words Gav and very true, the way to confirm this policy would be to check what is happening to Hornby stock as it would likely be a company wide initiative to create revenue or cut costs. Has anyone noticed whether the airfix webstore has expanded recently ?

Some interesting(if that's your sort of thing) stuff here http://www.hornby.com/_assets/files/Hor ... esults.pdf Surprised at how low the overall profits were, and how nasty the loss was from the Olympics stuff :/ . I guess they want to focus on the UK as by far that's where the majority of the revenue comes from. Be interesting to know of that figure how much was from kits bought in the UK and then shipped out, as that's the potential risk.

I wonder what their margins are, probably pretty low as with most retail goods.

[Gav0909]

Yeah I can't imagine that they are the most profitable company in the world.

Games Workshop put in place a similar policy a while back. They stopped webstores from selling outside of the EU, which was forcing guys in Aus for example to either use Aus webstores or go into GW stores where prices are ridiculously high.

They also cut supplies to independent retailers and reduced the amount of stock they could order, and how often they could order restock.

Its a shame to hear that Hornby are doing this, as it does mean some places will no longer be able to sell Airfix. However, as a consumer I guess you might not see that impact too much, as there are places that will still sell it. And in the UK especially you will not feel it much.

[EpoxySniffer]

You have to remember that Airfix is not the company of old. That company died a few years back now when it went into administration. The brand was bought by Hornby Hobbies and continued. So be careful how you refer to things, as its not "Airfix" making this decision, as "Airfix" is just a brand now, NOT a company, the company making this decision is Hornby. Who are a very large company as well now.

We're splitting hairs here mate. I think everyone here is clever enough to know the distinction between Hornby and Airfix and is aware of the collapse of Humbrol and the aquisition of its assets by Hornby in 2006. My understanding is that Airfix was not a company a few years ago but a brand owned by Humbrol, similiar to how it is now a brand owned by Hornby. For the ease of conversation its just easier to just say "Airfix" than toss umpteen names around. Same as I say I will call Airfix to get a replacement part, and not, I will call Hornby to get a replacement Airfix part.

The point of discussion is the supply of Airfix kits so thats why that name is being casually bandied about. We don't know if other Hornby products also have new trading terms or if its just the Airfix products. Thats why, rightly or wrongly, in this instance they are being referred to generally as Airfix.

However for clarity you are technically right, and for those that are confused and were not aware of the difference Hornby is the company and Airfix is only one of their products/brands along with Humbrol, Hornby Model Railways, Corgi, Breyer Horses, Scalextric etc ...

I believe some of the other brands are offered to retailers as a concession, so the trading terms for these will likely differ from the Airfix products. Though I do not work for "Hornby" so have no definitive answers for any of this and only repeating what I read on Models 4 Sale.

[rm6239]

This is sad news but I'm afraid it is a sign of the times, it's happening across all spheres of the retail world. My sister and brother-in-law both own Harley's and they used to be able to buy the little extra's and options from the States, now they can't, no US based Harley Davidson retailer is allowed to ship direct to Australia and that word came down from the Harley Davidson parent company.

I can see why they are doing it, the bricks and mortar, Wholesale - Retail chain are trying to survive the online buying boom and are trying to compete with the online dealers who don't have the overheads that they do.

I recently was given a $50 voucher from a bricks and mortar bookshop, there was a particular book I wanted, it wasn't in stock but they could order it in, it was $54 dollars, a 10 day wait time and I had to go pick it up. I checked on www.thebookdepository.co.uk, $25 delivered to my door. which would you choose?

I'm hoping something fair and equitable to everyone comes out the end of all this but I'm not going to hold my breath.

cheers

Rossco

BTW I went with the bricks and mortar store but I haven't brought anything from them since.

[RobertK]

I have another example, Celestron, who makes amateur telescopes don't allow retailers in US to ship it outside US. The most annoying part is that Celestron cost 50%, or even close to 100% more for certain setups in EU compared to US, insane really.

[Neils]

Seems it *might* be a misinterpretation of the wording as the T&C change is for Hornby as a whole, rather than just the Airfix brand.

http://www.rmweb.co.uk/community/index. ... ?p=1297256

Also *seems* to apply only to wholesalers..

http://www.britmodeller.com/forums/inde ... ?p=1511670

[bluebottle]

I was just about to say that.....

[EpoxySniffer]

Models For Sale have changed the message on their web site it now says

"Re: Not being unable to ship Airfix Kits outside the UK:
This was a badly written statement in Hornbys T&C's and is not the case."

Though there was the other issue about having to also have a bricks and mortar business. I wonder if this was also "a badly written statement"?

[Neils]

Models For Sale have changed the message on their web site it now says

"Re: Not being unable to ship Airfix Kits outside the UK:
This was a badly written statement in Hornbys T&C's and is not the case."

Though there was the other issue about having to also have a bricks and mortar business. I wonder if this was also "a badly written statement"?

Seems so, that particular condition related only to wholesalers. So if I read the clarifications right it means that wholesalers are not allowed to sell to retailers outside of UK&I and that the wholesalers must have a premises rather than operating out of a shed for example.

[EpoxySniffer]

Hope that is the case, because its good news for the likes of John at Models R Go who is just trying to make an honest living and provide a good customer experience.

Hornby have probably had a backlash from their customers and are doing a major u-turn and back tracking. The normal face saving excuse in that type of situation is to normally blame a typo or admin error, I suspect "badly written statement" is a similair facing saving term.