Tuesday 10 January 2017

To "cheong" or not to "cheong" (Part 2)

Previously, we discussed the rise of bootleg brick toys and possible reasons for Lego collectors dabbling in bootleg brick toys. Not too long after that post, we also received news that "the Lego Group has filed civil actions in China against the manufacturer and distributor of Lepin." (You can read up more at http://brickset.com/article/23648/the-lego-group-takes-action-against-clone-brand-lepin) Please check out the link and read through the comments posted by users as they are both informative and entertaining.

 

What goes behind the scene in the creation of Lego minifigures and sets that justify the prices we are paying? As a sucker of Lego encyclopedias, here is a non-exhaustive list of the design process for minifigures:

1. Brainstorming

2. Sketches

3. Designing

4. 3D rendering

And we are not even talking about set design process which requires much more work! Of course, we also have not mentioned licensing, marketing, safety tests, manufacturing, distribution and etc. In short, it is highly intensive and extensive for a series to be rolled out which racks up costs for the company and leading them to price their products accordingly. But then again, prices are debatable as they respond to demand and supply in the pursuit of profit. I mean no one is out to create toys just to please children and collectors. We can't be that naive.

 

So what really are the issues here? I think the issues here have to do with the need to  protect intellectual property and address the perceived value of the toys. The reality is that if majority of consumers go for bootleg brick toys, we will eventually lose newly designed sets because it is no longer profitable or incentivising for the company to design and manufacture new series. Duh! 

 

Lego also needs to address the perceived value of their products. Look, not everyone is going to buy encyclopedias to read up on your design process and appreciate the creative and laborious process (unless you continue to include awesome exclusive minifigures in them). Yes, you might have established an image of a premium brand and a cult following of loyal fans but such perception changes over time and location. The very fact that bootleg brick toys are thriving suggests something very wrong with the perceived image of the genuine products. Look deeper into the issues.

 

We also need to have a clear understanding of the differences in design and quality between bootleg and genuine Lego brick toys. Don't be afraid to expose bootleg for inferior quality! For example, are they durable like the genuine products? Are they toxic? Do the bricks hold well together? Are the printing good for play or accurate to design? Most Lego fans actually contribute to bootleg sales because they bought sets and figures to figure those questions out. By addressing these questions, you also safeguard casual collectors or buyers new to the product who can't differentiate the bootleg and genuine products. An official guide would really help!

 

By the way, since the post was first drafted, we have seen a race by bootleg companies to release UCS sets rapidly. Until the legal proceedings are completed, the bootleg sets will continue to gain exposure in the market, especially China, where the bootleg companies dominate. 

 

 

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