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Revell Germany Acquired by Hobbico


Mike

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Well, the press statement doesn't really say they are going to reduce the plastic kits output, so I think it's a bit early to be worried.

Personally I'd expect more RC toys to be available in europe under the Revell brand, but no other difference. Seems to me that Hobbyco was eager to get a distriution channel in Europe and they now found it by buying Revell De. If this was profitable, I can see no reason from the new owners to make any change to a business model that is making money.

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realisticly though........

in the last 15 years how many brand new mold aircraft subjects have been made by Revell USA.......? im struggling to think of a single new tool 1/72nd scale model...... was the last the voodoo? or the F 89 scorpion?....from memory both were issued around 1990 ?

compare that to how many Revell Germany have made and you will see why most of us dont think this deal looks promising...... :(

(but then again Revell USA did manage to do a 1 48th Ventura (but who builds 1/48th?......:) )

So, effectively, you're saying that:

  • Hobbico doesn't make plastic kits, while Revell AG does;
  • Hobbico spends money buying Revell AG;
  • Hobbico then fritters away Revell AG's market position in plastic kits, in order to, well, it's hard to say why.

I can't help feeling that if Hobbico wanted not to make plastic kits, they'd have found it a lot easier not to buy a company that does. It's not even as if they want to kill off a competitor, not the way you tell it. Surely it's far more likely that Hobbico wants to grow (again?) in the plastic kits market and thinks that re-merging with Revell AG is a quicker and easier way to do it than investing in more new kits of their own?

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Well, the press statement doesn't really say they are going to reduce the plastic kits output, so I think it's a bit early to be worried.

Personally I'd expect more RC toys to be available in europe under the Revell brand, but no other difference. Seems to me that Hobbyco was eager to get a distriution channel in Europe and they now found it by buying Revell De. If this was profitable, I can see no reason from the new owners to make any change to a business model that is making money.

I totally agree with Giorgio. Why would someone buy a company that is doing so well in a particular area, then go and change it. It would be sheer madness. I agree that they will use it to just add there own stuff to the European market.

Come on guys. We are NOT doomed! :)

Steve

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Revell did a lot in the past 15 years in terms of new aircraft tools. Just not 1/72 (you didn't specify that in the first sentence).

Well, it seems Revell of Germany has stuck with 1/72 leaving Revell USA to do 1/48. Revell USA's new kits in the past 15 years have been the SB2C-4 Helldiver (1997), Me-410, Me-110, F-15E Strike Eagle, F/A-18E, F/A-18F and the PV-1 Ventura (maybe the Ju-52 was right on the leading edge of that). Revell of Germany's focus in 1/72 was the F-22, the F-16s (MLu, C and B models), the F-4 series and the BAC Lightning (among others), B-17G, the Lancasters. I see that Revell USA is finally going to be offering the RoG F-22 in new packaging, but I'll bet you the RoG kit will STILL have the better decal sheet compared to what ever Revell USA uses. Personally I would love it if Cartograf could do ALL of Revell's decal sheets (Germany and USA).

Add to the Revell/Monogram USA list the F-84 and F-86, but even so that's a relatively glacial output compared to Revell Germany, possibly as many new tool aircraft in 15 years as RG have managed in two.

Time will tell whether RM claw back some of the ground lost to Trumpeter and Hobby Boss.

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So, effectively, you're saying that:
  • Hobbico doesn't make plastic kits, while Revell AG does;
  • Hobbico spends money buying Revell AG;
  • Hobbico then fritters away Revell AG's market position in plastic kits, in order to, well, it's hard to say why.

I can't help feeling that if Hobbico wanted not to make plastic kits, they'd have found it a lot easier not to buy a company that does. It's not even as if they want to kill off a competitor, not the way you tell it. Surely it's far more likely that Hobbico wants to grow (again?) in the plastic kits market and thinks that re-merging with Revell AG is a quicker and easier way to do it than investing in more new kits of their own?

No im saying that since Hobbico took over Revell USA they have produced very very few new tools ....probably 5% of what Revell AGs new output has been ....(.if that.)

the concern is that Revell AGS varied subject matter and large output of new kits will be cut back drasticly

I suspect part of the incentive was to get the Revell AG licence for the new tool STAR WARS kits.... (which Hobbico have been reboxing in the US )

I actually hope youre right and Hobbico have purchased the Revell AG R&D team and to tool new 72nd F102 and 106s ,Stirlings, and obscure variants of the BV222

and continue Revell AGs output of up 20 plus new tools a year )

but in a way youve agreed with my concerns by suggesting

"Surely it's far more likely that Hobbico wants to grow (again?) in the plastic kits market and thinks that re-merging with Revell AG is a quicker and easier way to do it than investing in more new kits of their own?"

History shows that when other model companies have been purchased its often just to obtain their tool bank and to severly cut back new development. (for example: Frog, Monogram,Heller,Matchbox,Esci,AMT, MPC, Polar Lights, Aurora, and Airfix under Palitoy/ CPG/Humbrol to name but a couple :) ) .

the one notable exception is AIRFIX under Hornby and long may that continue !

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The following quote appeared on Steel Navy

Hobbico acquires Revell Germany

Hobbico Inc., based in Champaign, Ill., announced today that it has acquired Revell Germany.

Revell Germany was spun off as a separate company in 2006, and Hobbico has owned the U.S. Revell operation since 2007.

"We are pleased to reunite the Revell brand under one ownership," Hobbico President Wayne Hemming said. "Now Revell can proceed with a worldwide strategy for growth of the core plastic-model business.

"We also view this as an excellent foundation to expand the distribution of our other brands and products into the European market."

After starting the original U.S. company in 1945, Revell founder Lou Glaser established the German operation in 1956. Since then, Revell Germany has been a popular brand in Europe for plastic model kits, paints, tools and accessories. For the last four years, the company has also been a player in the European radio-control vehicle market.

"Hobbico's acquisition of Revell Germany creates an enormous opportunity for our company and our employees," Revell Germany President Hans Remfert said. "With the support of Hobbico as a strong parent company, we have a great opportunity to expand our entry into the R/C hobby segment of the European market."

(Source: FSM e-newsletter 2/15/2012)

There is also a posting from an ex-employee

"Their interest is R/C and the plastics side of things is treated like a sweetheart stepchild since they make a killing on the R/C stuff. They sure haven't done anything of note with the Revell-ogram business since taking it over.."

The Hobbico statement makes it clear that their main interest is in the R/C side. Therefore Revell Germany will have to divert some of their attention to R/C rather than on what we (in our selfish interests!) see as their main (true and proper) business to date. Given the Europe-wide economic standstill/recession, I don't see them expanding, so their efforts on our behalf will be reduced. Ship, AFV and aircraft modellers are expressing common concerns.

This doesn't have to mean that Revell Germany will reduce to the level of Revell-Monogram USA: that will depend upon how much autonomy will be given to local managers and we have no way of assessing that at the moment. Some reduction appears inevitable. If there was one kit that you particularly intended to buy but haven't got round to it yet, do so.

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I still don't buy the idea that the purpose of this is to turn Revell AG into an R/C company. The statement says Now Revell can proceed with a worldwide strategy for growth of the core plastic-model business. Alright, we all know about weasel words, but why would they bother saying this (to whom?) if their real purpose was otherwise? And why muck about with buying another company when all they need to do, if they want to flog R/C stuff in Europe, is secure a distribution deal? Plus, let's remember that when Hobbico last owned Revell AG, it didn't exactly stifle the development of new kits.1

That other argument about buying up the mould bank has more plausibility, I think. But even then I'm reassured by the use of "growth" in the statement.

Still, in the end this is all fruitless speculation. Rather than predict what will happen - mostly on the basis of nothing better than supposition - we should either wait and see, or contact the company to ask them what their intentions are.

1 let's also remember their excellent armour kits! - as someone has done on Armorama.

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Let's wait and see, eh? If you have been putting off buying any Revell kits, why not buy them now, which in some small way will send the message back to the new management that yes, static plastic models are a viable part of their business, and worth continuing to invest in. :shrug:

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The phrase "plastic models" should not be taken as referring specifically to our branch of static scale models - the R/C subjects are plastic too. I don't see this sentence as "weasel words", or necessarily just PR puff, but a simple if vague statement that Hobbico is getting bigger, hooray. The emphasis of the more detailed comments is entirely on the R/C side. I don't think anyone has said that Revell is being turned into an R/C company, implying complete abandoning of everything else, just that emphasis on the R/C side (and other Hobbico products) will mean reduced attention to what we want to see.

Plenty in my stock already, but there's a backlog building up behind the Halifax.

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I love some of the 1/32 stuff Revell has brought out like the superb (and BIG) Hunters, Lysanders, Mk22/24 Spits, Martlet etc. Loads of room for adding bits.

Not to mention the old 1/32 Beaufighter and Mossie (Monogram kits?). Got a Beau, want a Mossie.

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"oh my god, Hornby has brought Airfix, all they do is trains. Its the end!!!"

Not the case is it?

Lets look on the positive side, and hope it will be the making of Revell. More investment, and more stuff crossing the pond

I agree 100%. I've been reading doom and gloom comments on modelling sites about this, far too much negativity in this hobby. Lets wait and see.

I'm sure one of the main reasons they've purchased Revell of Germany is to obtain the broad distribution network that RoG have built up in Europe, and at the end of the day they have a company, as all businesses are, to make money. I know to some that's a dirty word and feel that companies should have some sort of higher moral ethic, but if you don't then there is no business to talk about. In any case what are those objectors going to do, write letters, get up petitions, protest outside the HQ. If you were a major shareholder or shareholders in the company then you may have some influence, other than that the comments won't matter in the slightest to the management of Hobbico, or any other company for that matter. What will matter is sales. So if you like what RoG have been doing just keep buying it.

As richellis said "lets look on the positive side"

Alan

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...'cos, of course, the plastic kit side of Tamiya suffers terribly from their core business and cash cow being R/C, doesn't it...?

;-P

Revell AG has excellent distribution throughout Europe, and for a US company wanting to move into this market with whatever hobby product, that's key. No reason why Revell AG's plastic kit business should be affected at all by using that channel to move Revell branded R/C stuff as well...

Let's wait and see, and as Mike says, go on buying Revell kits - and building them!

bestest,

M.

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Whenever we read of business stuff concerning our favourite brands of kit we all panic and scream doom and gloom.

Wouldn't it be simpler if we just waited to see what happens?

In my view Hobbico gain a European distribution network and a new combined tool bank to cheaply enlarge the kit range.

The enlarged market for the combined range gives us hope of seeing kits we haven't seen for a while, personally I'm hoping for Matchbox armour and the BAC Lightning kits.

David.

Edited by lancfan
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It always easier to look on it as doom and gloom, that way you are not dissapointed if thing do not turn out as expected.

I for one will be cheering if we see new 1/48 Hunters, single and two seaters please.

Robert

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One thing we are conveniently forgetting about Revell USA is while they haven't done much for aircraft (and thanks for mentioning the F-84E/G and F-86D JM, I forgot about those), they have been coming fast and furious with new car model toolings and tricking up some of the older ones. They tend to average about five new car model toolings each year as this is the plastic side of the hobby that is still popular in the USA.

Now that Ed Sexton is back working for Revell (he was away at Academy for a few years and got them to do the F-22), I can see the development on new aircraft models perhaps increasing. Although the reboxing of some ICM subjects by both Revells (the 109F and Spit XVIe) might make them more receptive to reissues for awhile.

BTW, a local buddy of mine is wrapping up his build of the new tool Revel Lockheed PV-1 Ventura. I had a chance to look at it up close on Wednesday and I was blown away with how well engineered that kit was (the wings fit the fuselage so tight they don't need to be glued). So when Revell USA does a new tool kit, they really know how to pull all the stops out to deliver a first class product.

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The way I read it is, Revell AG could not grow sustianably without further investment and a broader and more far reaching strategy. The brand was doing well if the status quo remained it could have perhaps meant Revell AG were in danger of going backwards without the addition of Hobbico as the holding company and investment they can bring.

To me it bodes well.

Marty...

Edited by marty_hopkirk
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Going back several comments I think the Airfix/Hornby remark is most pertinent. Without Hornby money we would now be swapping silly money for a 1989 boxed F15 E or similar since Airfix went belly up. Instead we've had some fantatsic kits land at our feet, all by the intervention of a Model Train maker.

Any take over is viewed with a little suspicion, that's human nature, but these companies are smart and once a full review of the market has taken place RoG may well loose its R/C concerns as that's clearly Hobbico's 'bag'. This in turn will free up finances for RoG to product more plastic exotica (which would be nice).

Who knows

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  • 4 weeks later...

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