Stern: Cost to make a machine

(Topic ID: 155483)

Stern: Cost to make a machine


By newpinbin

2 years ago



Topic Stats

  • 170 posts
  • 64 Pinsiders participating
  • Latest reply 8 months ago by newpinbin
  • Topic is favorited by 2 Pinsiders

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    There are 170 posts in this topic. You are on page 4 of 4.
    #151 2 years ago
    Quoted from GreenMachine19:

    The answer seems simple then. Just become a distributor and then share with everyone how much you get the machines for.

    What are the steps to become a distributor?

    #152 2 years ago
    Quoted from newpinbin:

    What are the steps to become a distributor?

    Step 1: don't piss off the manufacturer

    #153 2 years ago
    Quoted from newpinbin:

    What are the steps to become a distributor?

    1 - Open up a business.

    2 - Contact Stern.

    #154 2 years ago
    Quoted from Trekkie1978:

    1 - Open up a business.
    2 - Contact Stern.

    I'm glad you like my post so much. Stern does not answer the phone or return emails.

    #155 2 years ago
    Quoted from newpinbin:

    I'm glad you like my post so much. Stern does not answer the phone or return emails.

    They must have Caller ID and see it's you.

    #156 2 years ago
    Quoted from newpinbin:

    I'm glad you like my post so much. Stern does not answer the phone or return emails.

    Call your distributor

    #157 2 years ago
    Quoted from Mike_J:

    They must have Caller ID and see it's you.

    They must with all the times I have called .

    #158 2 years ago

    Guys you have made this an awesome tread!!!!!!!!!!!!!!!!!!!!!!

    #159 2 years ago

    I think this will clear things up

    #160 2 years ago

    Production cost is what you are asking about... but all all we really know after 4 pages of banter is this: retail price > wholesale price > production cost > manufacturing cost, so even if you had all of the retail/wholesale/manufacturing numbers, it still won't get you close to the total production costs per game.

    If you just want the best deal possible on a game, you can become a distributor, but be clear that will involve working a lot of hours to save a few hundred dollars, making your games even more expensive if you're not going to go all in on the business.

    #161 2 years ago

    One critical area that has not been considered is the understanding of licensing costs/programming fees for known trademarked properties.
    This makes a difference in all profit margins from the manufacturing process to the distributors in terms of economic profit.
    It has been this way for any product, pinball or likewise.
    If it is not a licensed theme, the profit margin is immediately higher.
    How much higher is determined by the individual property ownership deal.
    Roger Sharpe is an absolute expert in this area for the past 40+ years.

    Beyond this, individual game distributors do make varying amounts of profit dependent on their personal relationship with Stern.
    Volume "platinum" sellers get better reductions in machine costs for sale, but we are not talking big $$$ here, only in the hundreds, not thousands of dollars. Not all distributors are created equal. The concept of "wholesale price" as applied to pinball machines is not really conducive to the way today's coin operated pinball market operates as Stern is not warehousing machines for stockpile.

    Other factors include material costs variance on economics of industries such as Churchill Cabinet Co, which effect overall profit margins as well. These can change monthly.
    I could list all sorts of aspects which "double down" in to the areas of time, money, and quality in manufacturing of pinball machines.

    This is much too complex to sum up in just a few percentages of value, because the sources would not be understand and people would still be left asking the basic question "why"?

    PinSide speculation, one of life's great mysteries.

    #162 2 years ago
    Quoted from pinbum:

    Fine with me if Stern loses some profits, i would like to have a new game at a fair price.

    The games weren't as good when times are tight. Remember Avatar, Batman, 24 and CSI. I'm okay with profit and Metallica, ACDC, Walking Dead, and Ghostbusters.

    #163 2 years ago

    Amazing how so many people here do not understand basic economics of a manufacturing business. I was about to drain this thread, but the more I read it the more I can now understand some of the things that are said here that never made any sense to me before. The reason they made no sense is because they literally made no sense.

    Here is my suggestion if you want to buy a new pin at a price that brings the least profit to Stern: buy the worst selling game you can get (think WWF and not ACDC). That way Stern will not have sold enough units to have paid off the high cost of design and development of the hardware and software along with the factory tooling needed. That $5000 WWF Pro will net Stern a ton less profit than a $5000 Metallica Pro.

    #164 2 years ago

    just buy my congo and stop f_cking around with all this theory and conjecture BS..

    1 year later
    #165 8 months ago

    The distributor gets the machine for 4100 from stern.

    #166 8 months ago
    Quoted from newpinbin:

    The distributor gets the machine for 4100 from stern.

    Which machine? $4100 means nothing if there's no MSRP to compare it to. I've always heard distributors get machines for between $500-$700 less than MSRP.

    #167 8 months ago

    Any stern pro.

    #168 8 months ago

    Who gives a shit what it costs Stern or any other company to make a game?

    #169 8 months ago
    Quoted from Hazoff:

    Who gives a shit what it costs Stern or any other company to make a game?

    David Horowitz?

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    3 weeks later
    #170 8 months ago

    .

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