Rusty Traque posted:

Seeing that most of the new Lionel HO line is recycled Model Power (about 75% ex-Marx) , the insert will likely have little impact on the majority of Model Railroader's readership.

Rusty

Humm.

Why do you think Lionel spent that kind of money on an insert in MR if there's to be "little impact"?

Just wondering what insight you may have.

 

 

RT   

If you check the street prices, these simple HO models are being offered at close to 50% less costly than most offered similar products.  I think the attraction will be substantial discounts available at some dealers,  and much less expensive price points for additional rolling stock than currently available. 

May not be a slam dunk, but it's pretty early to be dismissing the market possibilities.  Lionel is the higher priced producer in three rail in many instances, but will potentially be the lowest price producer in HO for some products.  Past performance doesn't dictate future events, as they say in the stock market .

rthomps posted:
Rusty Traque posted:

Seeing that most of the new Lionel HO line is recycled Model Power (about 75% ex-Marx) , the insert will likely have little impact on the majority of Model Railroader's readership.

Rusty

Humm.

Why do you think Lionel spent that kind of money on an insert in MR if there's to be "little impact"?

Just wondering what insight you may have.

No insight, just based on what Model Railroader presents as content.  While Lionel maybe announcing they're back in HO, there's a lot of competition out there in a scale that prizes detail and prototype fidelity over branding.  The product is what sells in HO, brand loyalty is not present in HO as it is in O.

Former Model Power products, which is what the bulk of Lionel's HO offerings are, in the past rarely if ever show up in articles.  The ex-Marx freight cars in particular that Model Power offered don't even meet the level of detail offered by the Athearn-Roundhouse line.

Rusty

 

Re further insight...  

Those of us who are old enough to have participated in this hobby through it's changes among all the scales for the past 70 years have reason to be skeptical of Lionel's 6th or 7th venture/start/resumption/attempt into the HO market since 1957.  Just as their first venture....import of Rivarossi....and second a year later....Athearn...and third in 1960...J. English's HObbyline tooling..., using Model Power tooling and level of non-competitiveness in technology/innovation in HO more than 60 years after Lionel's first entry does not bode well for lessons learned.  

This article published in November 2017 might be worth reading again....Lionel HO History

The demographics and participating population in the HO end of this hobby is hardly small potatoes.  Yet, tempting as it is, if you have been around toy/model trains for 100 years without taking a lead or sustaining position in this lion's share (ironic pun) of the current market, you need some real...REAL...innovation, capital, talent, awareness, vision, stability, chutzpah,....AND marketing to make this one stick to the wall.

Oh, and BTW, Bachmann....current and long-standing leaders in entry level HO sets....now including DCC!!...is a company with a 150+ year history.  And MTH?....only been around in the hobby about 35 or so years.....HO, much less....but have you really compared them with Lionel HO history, participation, innovation....product line?

Advertising $$ is a business expense which pales in ROI comparisons to investments in new/improved  tooling/technology/accuracy/reliability....etc.  That 16-page insert/announcement?.......

Almost THAT sports season again.....YAY!!!   But, Lionel....if you're going to insist on running a Blast, Dive, or Draw every time you break from the HO huddle, it's going to be tough to make the playoffs.  If your playbook doesn't have a flea-flicker, Statue-of-Liberty,.....or Hail Mary! this late in the game, there'll be a few brown bags over the heads in the crowd. 

But, just one man's opinion, mind you.

KD

Now that my copy of MR has arrived I could view the 16 page ad (plus inside cover,) I stand by my initial comments.  It's even less informative than the catalog.

In a magazine known for building and detailing model railroads and equipment the ad basically says "Look, we got HO stuff!"  Pretty much says Model Power is alive and well under a different name.  No mention of DC, DCC or LionChief control of the HO trains and illustrations of the bland, stripped down HO Polar Express Berkshire while stating "Unsurpassed Technology and Innovation."   There's at least two other companies offering the NKP/PM Berkshire in HO and the Lionel model illustrated doesn't hold a candle to them.

This ad buy must have cost Lionel a bundle.  I think the real winner here is Kalmbach Publishing for the revenue the ads brings in.

Rusty

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