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Are Amazon & TRU parting ways or did LEGO just sell out?

 
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johnsocal



Joined: 26 Mar 2005

PostPosted: Thu Feb 23, 2006 6:32 pm    Post subject: Are Amazon & TRU parting ways or did LEGO just sell out? Reply with quote

I know LEGO had a great Christmas of 2005 but does anyone know if Amazon and TRU are staying partners or if TRU is going to start doing their own online thing since they were bought out last year and are closing down a bunch of stores this year?? There was alot of stuff available this time last year @ amazon but this year its almost non existant.

While I've only been seriously into LEGO for a year but this is the worst inventory of LEGO's @ amazon.com

Where did all the LEGO's go???
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Last edited by johnsocal on Thu Feb 23, 2006 6:58 pm; edited 7 times in total
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Obi-1-kenobi



Joined: 29 Jul 2005
Location: Anaheim, California

PostPosted: Thu Feb 23, 2006 6:41 pm    Post subject: Re: Are Amazon & TRU parting way or did LEGO just sell o Reply with quote

Thank you very much, you beat Collin to it and he was on! Good show!

Last edited by Obi-1-kenobi on Thu Feb 23, 2006 10:48 pm; edited 1 time in total
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TurkGuy19
Anime Figure Flickr Floodr


Joined: 01 Aug 2005
Location: Planet Arus

PostPosted: Thu Feb 23, 2006 7:49 pm    Post subject: Reply with quote

Now Obi please edit your post so it doesnt include that long link Wink
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Obi-1-kenobi



Joined: 29 Jul 2005
Location: Anaheim, California

PostPosted: Thu Feb 23, 2006 10:48 pm    Post subject: Reply with quote

Turkguy19 wrote:
Now Obi please edit your post so it doesnt include that long link Wink

Happy now? Wink


Last edited by Obi-1-kenobi on Fri Feb 24, 2006 6:46 pm; edited 1 time in total
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Dazombie
ZOMGpire!


Joined: 04 Feb 2005
Location: Lavalcula, Québecula, Canadania

PostPosted: Fri Feb 24, 2006 9:20 am    Post subject: Reply with quote

Obi-1-kenobi wrote:
Happy know? Wink


No, I don't think that Happy "knows" yet... Should we tell him NOW?

Wink

One thing is for sure, Happy won't be happy to know that Amazon has so few LEGO sets in its inventory.

Where are all the sets going anyway? Is there a new craze for LEGO sets? Is it LEGO's fault, by producing fewer sets? Or is it the retailers fault, not getting LEGO enough shelves space?
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Last edited by Dazombie on Fri Feb 24, 2006 11:14 am; edited 1 time in total
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R2-MB2AstromechMechanic



Joined: 29 Nov 2005

PostPosted: Fri Feb 24, 2006 10:41 am    Post subject: Reply with quote

Daz Hoo wrote:

Or is it the retailers fault, not getting LEGO enough shell space?


Those darn hermit crab retailers... it's always them. Wink
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Obi-1-kenobi



Joined: 29 Jul 2005
Location: Anaheim, California

PostPosted: Fri Feb 24, 2006 6:47 pm    Post subject: Reply with quote

Daz Hoo wrote:
Obi-1-kenobi wrote:
Happy know? Wink


No, I don't think that Happy "knows" yet... Should we tell him NOW?

Wink

One thing is for sure, Happy won't be happy to know that Amazon has so few LEGO sets in its inventory.

Where are all the sets going anyway? Is there a new craze for LEGO sets? Is it LEGO's fault, by producing fewer sets? Or is it the retailers fault, not getting LEGO enough shelves space?

Opps my fault Dan Hooz Wink
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Tasker



Joined: 26 Oct 2005
Location: UK

PostPosted: Sat Feb 25, 2006 1:19 pm    Post subject: Reply with quote

I was surprised last time I was in TRU looking for an Xbox360, the Lego section was almost non existent, not good. Crying or Very sad
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johnsocal



Joined: 26 Mar 2005

PostPosted: Sat Feb 25, 2006 1:59 pm    Post subject: Reply with quote

Tasker wrote:
I was surprised last time I was in TRU looking for an Xbox360, the Lego section was almost non existent, not good. Crying or Very sad


I think that has to do more about LEGO selling alot of stuff during Christmas. I drove down to the local LEGO store @ downtown Disney (only 15 minutes away) and the manager told me that they had the best Christmas ever and sold out a lot of stock.

With that being said TRU is obviously restructuring their retail business and with the closing of so many stores it's possible that their whole supply-chain is out of sync and it's taking alot longer for LEGO's to get to stores that need them.
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Tasker



Joined: 26 Oct 2005
Location: UK

PostPosted: Sat Feb 25, 2006 4:11 pm    Post subject: Reply with quote

Long live S@H Very Happy
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johnsocal



Joined: 26 Mar 2005

PostPosted: Thu Mar 02, 2006 10:15 am    Post subject: Reply with quote

Looks like this answers the question.

http://money.cnn.com/2006/03/02/news/companies/toysrus/index.htm

Quote:
Toys 'R' Us says they beat Amazon

Toy merchant claims imminent ruling will let it end venture with Amazon and create its own Web site.

March 2, 2006: 9:21 AM EST

NEW YORK (CNNMoney.com) - Retailer Toys 'R' Us announced Thursday that it has "prevailed" in its long-standing legal dispute with Amazon.com and that a verdict expected later in the day will allow it to dissolve a partnership with Amazon and set up its own Web site.

Amazon (Research) and Toys 'R' Us inked a multimillion-dollar deal in 2000 for a 10-year partnership in which the toy merchant's online sales would be done exclusively through Amazon.com.

In 2004, Toys 'R' Us sued Amazon, alleging that Amazon violated exclusivity terms by allowing third parties to sell competing products through the Web site. Amazon subsequently countersued Toys 'R' Us, seeking to sever the partnership.

In a statement, Toys 'R' Us general counsel David Schwartz termed the verdict favorable to his company. "Our goal was to protect the Toys 'R' Us brand while continuing to provide a positive shopping experience for our online customers. This ruling allows us to do that," he said.

Amazon.com could not immediately be reached for comment.


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Denise
Herder of Cats [VET]


Joined: 02 Feb 2005

PostPosted: Thu Mar 02, 2006 10:41 am    Post subject: Reply with quote

I've loved the Amazon/TRU.com partnership, so this is rather sad yet not unexpected. I knew TRU had an issue with Amazon because Target.com was selling competing items; I noted LEGO SW stuff at both shops at once. Also it will be interesting to see how TRU.com does on its own; the partnership with Amazon grew from TRU.com's Christmas 1999 fiasco when they couldn't ship thousands of orders in time for the holiday and lots of customers were furious. So let's sit back and see what happens...thanks for the article/link.
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johnsocal



Joined: 26 Mar 2005

PostPosted: Thu Mar 02, 2006 3:09 pm    Post subject: Reply with quote

Denise wrote:
I've loved the Amazon/TRU.com partnership, so this is rather sad yet not unexpected. I knew TRU had an issue with Amazon because Target.com was selling competing items; I noted LEGO SW stuff at both shops at once. Also it will be interesting to see how TRU.com does on its own; the partnership with Amazon grew from TRU.com's Christmas 1999 fiasco when they couldn't ship thousands of orders in time for the holiday and lots of customers were furious. So let's sit back and see what happens...thanks for the article/link.



I also wonder how well TRU will run their own website considering their past track record. I will also miss all those great deals I got last year @ amazon and it was nice since I already had an account with them.

If it means more deals then Im all for it but if it means less discounts and sales then I'm not.
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legomd



Joined: 04 Feb 2005

PostPosted: Thu Mar 02, 2006 5:06 pm    Post subject: Reply with quote

maybe now we can buy toys at amazon.com and not have to pay shipping for items over $25. i hope this works out for amazon.com.
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etcknight



Joined: 07 Feb 2005
Location: Southern California

PostPosted: Fri Mar 03, 2006 7:01 pm    Post subject: Reply with quote

I don't really understand why Amazon needs TRU's support anyways? They already sell so many products that it shouldn't be such an issue for them to conitnue selling toys. I agree though, hopefully, this will mean Super-Saver shipping for our orders now!!! But, too bad, no more Geoffrey's B-Day deals. Confused
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TurkGuy19
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Joined: 01 Aug 2005
Location: Planet Arus

PostPosted: Fri Mar 03, 2006 9:19 pm    Post subject: Reply with quote

etcknight wrote:
I don't really understand why Amazon needs TRU's support anyways? They already sell so many products that it shouldn't be such an issue for them to conitnue selling toys. I agree though, hopefully, this will mean Super-Saver shipping for our orders now!!! But, too bad, no more Geoffrey's B-Day deals. Confused


It was more the other way around. TRU needed Amazon to help out.
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johnsocal



Joined: 26 Mar 2005

PostPosted: Sat Mar 04, 2006 2:41 am    Post subject: Reply with quote

Turkguy19 wrote:
etcknight wrote:
I don't really understand why Amazon needs TRU's support anyways? They already sell so many products that it shouldn't be such an issue for them to conitnue selling toys. I agree though, hopefully, this will mean Super-Saver shipping for our orders now!!! But, too bad, no more Geoffrey's B-Day deals. Confused


It was more the other way around. TRU needed Amazon to help out.


I agree that TRU most likely needed Amazon more back in 2000, but Amazon wanted to take advantage of TRU existing distribution network and nationwide collection of warehouses stocked with toys (I think toys bought through Amazon actually shipped from TRU's warehouses and not Amazons even though the shipping label still said Amazon). TRU could buy toys significantly cheaper then Amazon could alone since TRU bought more units annually to stock hundreds of their stores from suppliers like LEGO, Hasbro, Mattel, and etc and as a result could negotiate a much lower wholesale price. The benefit for both Amazon and TRU was obvious at the time if Amazon could help sell more toys above and beyond existing brick-&-mortar store then this increased sales volume would help give TRU more leverage in getting the lowest wholesale price from companies like LEGO in order to compete against Walmart.

Back in 2000 Amazon was trying to become the Walmart of the internet since at that time Walmart was seriously floundering on the net. Amazon made deals with TRU and Target in their attempt to expand their product line up to hopefully become the largest one-stop shopping location on the internet. Now in 2006 Walmart has properly leveraged their brand with a successful internet store and has significantly wounded Amazons ability to expand their sales beyond books, music, and movies.

I think the result of this will be fewer sales with huge discounts and more exclusives with limited production runs to keep the retail prices higher to improve profitability. By limiting production runs and making products exclusive for particular stores it will prevent the infrastructure from becoming overloaded with merchandise. Its that same overloading of merchandise which results is huge clearance sales since retailers like TRU must dump existing products in order to make room for the new stuff thats on its way. Over the next 12 months (if you are not already seeing it now) will be a greater frequency of particular items being soldout long before they ever get put on the 50% clearance rack.
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Bricksaber3



Joined: 18 Dec 2005
Location: NY

PostPosted: Sun Mar 05, 2006 8:24 am    Post subject: Reply with quote

they sell the old slave 1 still?!
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TurkGuy19
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Joined: 01 Aug 2005
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PostPosted: Sun Mar 05, 2006 9:11 am    Post subject: Reply with quote

It is not Amazon/TRU selling it. It is a person that put it up looking to sell a used copy of it.
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Bricksaber3



Joined: 18 Dec 2005
Location: NY

PostPosted: Sun Mar 05, 2006 9:19 am    Post subject: Reply with quote

ooooh.
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johnsocal



Joined: 26 Mar 2005

PostPosted: Thu Jun 08, 2006 1:53 pm    Post subject: Reply with quote

I guess Amazon and TRU officially split on July 1st when TRU launches its own exclusive website.

http://www5.toysrus.com/Investor/pr/052406.html
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