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Model Forum / Radio Controlled / Land Models / March 2004



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RC parts industry

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Jason Reynolds - 27 Feb 2004 20:37 GMT
My brother in law has asked me to help him put together his business
model for an online RC parts store, with a local brick and mortar
outlet. You can see the site so far at www.rcpartz.com

Im more familiar with the computer industry.

Who are the major players in RC? Can I purchase directly from
manufacturers as a dealer or do I need to go to a regional
distributor. Any advice?

Thanks
Jason reynolds
px208ATyahooDOTcom (@ and . removed for spam filter)
Bert Olton - 27 Feb 2004 21:26 GMT
> My brother in law has asked me to help him put together his business
> model for an online RC parts store, with a local brick and mortar
[quoted text clipped - 9 lines]
> Jason reynolds
> px208ATyahooDOTcom (@ and . removed for spam filter)

Jason,

Very nice looking site design.  I'm too new to this stuff to give you
any advice on 'major players in RC', so I'll leave that to the more
knowledgeable folks around here.  Just anectodotally, where I live
(western NY) Traxxas seems to be a heavy hitter - I've got a TMax and so
do a lot of folks near by.  But, that means nothing.

What I thought I'd tell you about was a fellow I know who did exactly
what you're describing.  This guy had a very successful, primarily web
based biz in Florida.  Due to a family crisis, he moved up here to NY,
continued the online store but also opened a B&M.  He stocked *a lot* of
manufacturers models, parts and supplies, Traxxas being just one of
many.  It was really great having his store at the end of my street,
walking distance away.  But, he got overextended on inventory and just a
couple of weeks ago had to shut down.

The simplistic advice I'm offering is this:  be careful with the
B&M...overhead is significant.  It might not be a bad idea for your
brother in law to take some time to check out what brands are popular in
the region he's looking at establishing the store.

Best of luck to you both.

Bert
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Jason Reynolds - 28 Feb 2004 03:24 GMT
Thanks for the compliment on the web site. Its amazing what a bit of
playing around  Photoshop and Frontpage can do.

My brother in law is only 15, smart kid, and pretty ambitious. You you
should see the custom trucks this kid builds and sells locally. He
making $1000 a month just doing that.

I will certainly take your advice on inventory. We are looking at
using "just in time" inventory where we order from the manufacturer
only when an order comes in. We are planning to stock only basic
maintenece parts and supplies. This model seems to work well for
companies like Dell.

Thanks again !

Kaspm

>> My brother in law has asked me to help him put together his business
>> model for an online RC parts store, with a local brick and mortar
[quoted text clipped - 35 lines]
>
>Bert
frater mus - 01 Mar 2004 00:14 GMT
> I will certainly take your advice on inventory. We are looking at
> using "just in time" inventory where we order from the manufacturer
> only when an order comes in. We are planning to stock only basic

In R/C most of the manufacturers work with distributors, rather than
with shops themselves.  

Some names to benchmark will be Tower, Great Planes, Horizon, Stormer,
etc.

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