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Thread
:
TRU should just fold.
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08-14-2008, 11:42 PM
meyerc13
Cobra Viper
Join Date: Jun 2008
Location: Appleton, WI
Posts: 162
Disclaimer: My wife works for a TRU/BRU side by side on the BRU side.
Now my rant... The computerized inventory systems used by TRU (and for that matter most other retailers) have a major logic flaw (and I work in IT for a living so I know somewhat of what I speak). Here's the scenario:
My local TRU has probably half a dozen pegs for single carded GI Joe. The price ($7) is comparable to Wal Mart ($7) and K Mart ($7), cheaper than Target ($8) and a lot cheaper than Shopko ($10). The pegs are full. So what's the problem? The pegs are full of Buzzer, Serpentor, Lady Jaye, and Cobra Commander. And they've been full of those for months. Eventually a few of those figures will sell and one case of a new wave will be sent to replenish, but that's all the computer will send because there isn't space for more than a case. And the new figures in the new case get bought, and the re-released figures join Buzzer, CC, LJ, and Serpentor warming the pegs.
Now, if you look at this store's sales of GI Joe, they're flat. So if I'm a TRU executive, I say "See, GI Joe doesn't sell." Because I have dozens of stores that have had pegs full of figures for months that aren't selling.
Anyone seeing the flaw in the system yet? The figures don't sell because they are the old undesirable figures. And new figures that would sell won't get ordered because the computer thinks the pegs are full.
To be fair, this is really the perfect storm of inventory problems. First, TRU doesn't have enough pegs for GI Joe. If they had more pegs like many local Wal Marts the peg warmers could sit while there would still be room for new product. The new product would draw more people to the store and eventually the peg warmers would sell. Also, if TRU would track by UPC rather than assign all Joe figures to the same part number, they'd see that some figures sell while others don't. The next part of the problem falls on Hasbro... even if TRU could see that BATs sell, they can't do anything about it because they have to order a case with Torpedos and Wild Bills that aren't selling, and the pegs get clogged again.
To summarize... the problem is:
1) A computer rather than a person ordering new stock
2) All figures getting the same part number in their inventory system (which also means the manager can't clearance out Buzzer and Serpentor to make room for BATs, because if he marks that part number as clearance ALL GI Joe figures would be on clearance)
3) Not enough floor space to display figures
4) Hasbro shipping cases with mixes of figures rather than cases of a single figure (who here wouldn't kill for a case of 8 BATs or 8 Snow Serpents???)
These add up to a sales report that shows that GI Joe isn't selling, when we all know that it sure as heck is in stores like Wal Mart that have enough floor space for peg warmers and new waves. I'm just hoping that TRU stores in some of the bigger cities aren't having this same problem with peg warmers, because I'd hate to see TRU drop Joes or not devote enough space to them. However, since I'm sure the execs at TRU focus more on sales statistics and inventory counts than they do on customer surveys, they'll probably start to think that GI Joe doesn't deserve more shelf space (or any shelf space). And it all becomes a self-fulfilling prophecy.
I sure hope I'm wrong, but I fear I'm not. I wonder if the same problem isn't also why Target doesn't stock much in GI Joe... since I know they also use one part number for all single carded Joes.
Last edited by meyerc13; 08-14-2008 at
11:46 PM
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