Steven Chong
First Sergeant
- Joined
- Aug 25, 2005
- Messages
- 1,365
Before I summarize Andy’s talk, I would like to thank Myszka and Mike Hall of Sierra Toy Soldier for organizing and hosting this event, and Andy for taking the time to talk and answer questions. This is the 8th year that Sierra Toy Soldier has sponsored this event and the 10th anniversary will be very special.:wink2:
Andy started by saying the economy has gotten slightly better and that K&C is fortunate to be headquarted in Asia, where the economy is booming. Unfortunately, costs keep increasing. Despite having more than 1.4 billion people, there is actually a labor shortage in China with few young people willing to do low tech jobs like painting figures. K&C will be celebrating its 30th anniversary, having started in 1983. It started producing in China in 1988. Around that time, a painter earned US$200 to $300 per month and factories had 400 or more painters working double shifts. Now, K&C's biggest factory only has 50 to 60 painters each earning 3 to 4 times more. There has also been drastic increases in raw material and transportation costs (compare cost of gasoline in 1980's to now. But there has also been an increase in quality and variety coupled with customers becoming more demanding. There have been new competitors, but competition is healthy.
Increased costs either means increase quality to match the higher price resulting from this higher cost or reducing quality to lower the price. K&C looking at different approaches:
1. Creating separate line with higher quality and higher price point.
2. Continuing mainstream line as it is now doing.
3. To encourage younger people to start collecting, a less expensive separate line made with cheaper materials, but still have appeal to mainstream K&C collectors.
With subject matters like Real West, introduced Custer's Last Stand. When originally looking at this line, wanted to do something different so did pre-Civil War U.S. Cavalry (1850's). But very limited commercial success, with U.S. cavalry selling very slowly, but the Indians sold very quickly. Relooked at this line and though Andrea/Blackhawk did Custer, K&C felt it could do better quality with the K&C style, but at a higher price. This has proved to be a great success. 14 new Indian figures planned.
WWII has been fantastic. K&C started it in 1994. Every company need to develop a signature line and WWII is that for K&C. Arnheim 44 was K&C's first big commercial success. Prior to 1995, 99% of toy soldiers were traditional glossy. Matt and 1/30 scale is now industry standard. Introduced polystone vehicles. Initially concentrated on late WWII (D-Day and Battle of Bulge), but having been doing more early WWII with Germans in German Grey. Developing early WWII more.
When you look at what to make, have to look at what end user can afford. Want to satisfy many, not few. Rather sell 1000 sets at $199 than 10 at $1500. Concentrate on small to medium sized vehicles and leave big items to Gordon and specialist dioramas for big collectors.
No other company has such a wide range of themes ... American Revolution and American Civil War coming ... NW Frontier ... WWI. 100th anniversary of start in WWI next year and developing something very special for that.
Andy then talked about K&C's history. ON June 17, 1977, Andy and his then wife, Laura, moved to Hong Kong, with Andy having a postion as a junior inspector with the police department. Couple of years later, Andy's brother Gordon sent him a little box of glossy Royal Marines. After that, when Laura went to UK, Andy would ask her to bring back toy soldiers and she would also order them as gifts for him. Soon became frustrated with the long wait time for orders from UK, sometimes as long as 9 months. Then wife Laura told him, "This is Hong Kong, the toy capital of the world ... why don't we make our own."
In 1983, Andy called the Hong Kong Trade and Development Office and asked them for a HK company that made all metal, painted toy soldiers. Called back in 24 hr. and said only one company left in HK. This factory was on 20th floor of factory building in what looked like a slum area. The work conditions of this factory were very bad but this was the beginning of K&C. Laura is still a business partner in K&C.
Andy introducted Laura and she said the industry has survived and there is a need to get children involved and that everyone needs to try to achieve this.
Andy said toy soldiers are like history lesson and that of all the businesses he has been involved in (bar, graphic design) that this has been the most fun and he has made some great friends.
Andy then accepted questions:
1. Winter Panther? Sure, will see one, but not in 2013. 2014 distinct possibility.
2. What were first two or three sets made by K&C? In 1983, Trophy was biggest toy soldier company and Andy's favorite theme was 1890's Sudan. First figures were very similar. Seaforth Highlanders could be painted red or khaki to double the same figure. Royal Marines in dress blue and white plith helmet marching and band.
3. Direction of Life of Jesus and Ancient Egypt (Enemies)? Laura and Andy both Christians and wanted to do something non-military. Andy has illustrated Bible and is following it. Just did John the Baptist, so next Bible stories is gathering of the disciples ... fishing boat and fishermen. In 2013, will be doing River Nile. Saw picture of small reed boats and will be doing variety with hippos. Streets of Old Hong Kong was done for women since the men who visited K&C store wanted to spend several hours but wives wanted to leave. Ancient Egypt developed for couples to collect. Visited bookstore for ideas one day and saw wide section on ancient Egypt. Ancient Egypt is Streets of Old Cairo. Guards just for scenes and no plans to do enemies.
4. Pacific? PT Boat? Marine Landing? Iwo Jima? Pacific War is not major seller, left in dust. When you compare Band of Brothers to The Pacific, the battles in BOB seem so much better, while Pacific seemed grinding and grueling ... kill or be killed with no prisoners. Europe has wide variety of battlefields from desert, Normandy to winter. Need to operate as business.
As for PT Boat, Andy loves model ships. Did line based on Sand Pebbles and wanted to do a San Pablo. Have sample in HK office with cost quote of $250. Say this boat was sold for $500 since really want to sell the figures but shipping costs from China to HK to dealers to customers would have been much greated than price. Also problems with breakage. Same problems with large aircraft.
5. Any thoughts of working in smaller scale? Smaller scale would be less expensive and can do bigger things. Actually considered doing 1/60 scale, but figures still have to be hand painted. Asked for quotation to paint figures in 1/60 scale and the costs actually higher. Also competing with war gamer boys. Would be doubling amount of work for Andy and he needs to stay focused on 1/30 scale.
6. How are figures painted so consistently with no difference between the same figures? Figures painted by team of painters, with one doing fresh tone only, 2nd uniform, 3rd belts and webbing, 4th details, 5th shading, 6th corrections. K&C pays top money so factory can keep experienced painters. Release products every month, so painters keep busy doing K&C style.
7. LRDG group? No new ideas on this theme but sometimes will see something in movie.
8. German WWII Cavalry? Working on it right now for later this year. Selling price a factory with price now $90 to $120 for mounted figures. Have to watch this so set sells.
9. New collector ... Catalog of everything? Reissue retired figures? No catalog of everything though Louis Badolato published several books with many pictures of early sets. Yes, will reissue retired figures when hit brick wall on ideas, but will be in new position with sculpting much better.
10. Willys Jeep with radio? Future plans for Russian line? For sure there will be more jeeps but no date. New lendlease Valentine tank and some new figures with small vehicle (not Russian jeep) in pipeline.
11. German vs. Russian Sniper? Russian sniper coming.
12. Texas Show Charity Figures? Laura and Kings X took over Texas Show last year. Want to help charities and toured U.S. military medical museum in San Antonio. Got idea of doing U.S. Army medics as theme: ACW, WWI, WWII, modern ... but looked at statute of wounded GI with medic and rifle stuck in ground with IV hanging from it. Will do WWII medics helping medics. Two special 2 figure sets will be introduced at Texas Show and available from all dealers, with proceeds donated to charity. Gordon will do special diorama with these two sets which will be auctioned for Charity.
13. Figure sets of 4? Too expensive for most collectors. With price of figures about $45, set of 4 would be $180. Collectors also like the ability to choose the poses they like.
14. RAF fire engine? Considering small one but looking for variety of uses ... RAF, London Fire Brigade (red), and Aux. Fire Service (Grey). K&C use to do 1000 in same paint, but now will do 1000 vehicles in 4 varieties ... more choice and they move quicker.
15. Persians for Ancient Greeks? Next release is more Greeks, then Persians.
16. Are buildings successful? Doing more? Doing well, looking at doing more, but big and heavy, so looking at lighter and cheaper materials.
There were no more questions and talk ended.
Special West Coaster Gift Figure was new classic German marching officer repainted as Afrika Korp.
Andy started by saying the economy has gotten slightly better and that K&C is fortunate to be headquarted in Asia, where the economy is booming. Unfortunately, costs keep increasing. Despite having more than 1.4 billion people, there is actually a labor shortage in China with few young people willing to do low tech jobs like painting figures. K&C will be celebrating its 30th anniversary, having started in 1983. It started producing in China in 1988. Around that time, a painter earned US$200 to $300 per month and factories had 400 or more painters working double shifts. Now, K&C's biggest factory only has 50 to 60 painters each earning 3 to 4 times more. There has also been drastic increases in raw material and transportation costs (compare cost of gasoline in 1980's to now. But there has also been an increase in quality and variety coupled with customers becoming more demanding. There have been new competitors, but competition is healthy.
Increased costs either means increase quality to match the higher price resulting from this higher cost or reducing quality to lower the price. K&C looking at different approaches:
1. Creating separate line with higher quality and higher price point.
2. Continuing mainstream line as it is now doing.
3. To encourage younger people to start collecting, a less expensive separate line made with cheaper materials, but still have appeal to mainstream K&C collectors.
With subject matters like Real West, introduced Custer's Last Stand. When originally looking at this line, wanted to do something different so did pre-Civil War U.S. Cavalry (1850's). But very limited commercial success, with U.S. cavalry selling very slowly, but the Indians sold very quickly. Relooked at this line and though Andrea/Blackhawk did Custer, K&C felt it could do better quality with the K&C style, but at a higher price. This has proved to be a great success. 14 new Indian figures planned.
WWII has been fantastic. K&C started it in 1994. Every company need to develop a signature line and WWII is that for K&C. Arnheim 44 was K&C's first big commercial success. Prior to 1995, 99% of toy soldiers were traditional glossy. Matt and 1/30 scale is now industry standard. Introduced polystone vehicles. Initially concentrated on late WWII (D-Day and Battle of Bulge), but having been doing more early WWII with Germans in German Grey. Developing early WWII more.
When you look at what to make, have to look at what end user can afford. Want to satisfy many, not few. Rather sell 1000 sets at $199 than 10 at $1500. Concentrate on small to medium sized vehicles and leave big items to Gordon and specialist dioramas for big collectors.
No other company has such a wide range of themes ... American Revolution and American Civil War coming ... NW Frontier ... WWI. 100th anniversary of start in WWI next year and developing something very special for that.
Andy then talked about K&C's history. ON June 17, 1977, Andy and his then wife, Laura, moved to Hong Kong, with Andy having a postion as a junior inspector with the police department. Couple of years later, Andy's brother Gordon sent him a little box of glossy Royal Marines. After that, when Laura went to UK, Andy would ask her to bring back toy soldiers and she would also order them as gifts for him. Soon became frustrated with the long wait time for orders from UK, sometimes as long as 9 months. Then wife Laura told him, "This is Hong Kong, the toy capital of the world ... why don't we make our own."
In 1983, Andy called the Hong Kong Trade and Development Office and asked them for a HK company that made all metal, painted toy soldiers. Called back in 24 hr. and said only one company left in HK. This factory was on 20th floor of factory building in what looked like a slum area. The work conditions of this factory were very bad but this was the beginning of K&C. Laura is still a business partner in K&C.
Andy introducted Laura and she said the industry has survived and there is a need to get children involved and that everyone needs to try to achieve this.
Andy said toy soldiers are like history lesson and that of all the businesses he has been involved in (bar, graphic design) that this has been the most fun and he has made some great friends.
Andy then accepted questions:
1. Winter Panther? Sure, will see one, but not in 2013. 2014 distinct possibility.
2. What were first two or three sets made by K&C? In 1983, Trophy was biggest toy soldier company and Andy's favorite theme was 1890's Sudan. First figures were very similar. Seaforth Highlanders could be painted red or khaki to double the same figure. Royal Marines in dress blue and white plith helmet marching and band.
3. Direction of Life of Jesus and Ancient Egypt (Enemies)? Laura and Andy both Christians and wanted to do something non-military. Andy has illustrated Bible and is following it. Just did John the Baptist, so next Bible stories is gathering of the disciples ... fishing boat and fishermen. In 2013, will be doing River Nile. Saw picture of small reed boats and will be doing variety with hippos. Streets of Old Hong Kong was done for women since the men who visited K&C store wanted to spend several hours but wives wanted to leave. Ancient Egypt developed for couples to collect. Visited bookstore for ideas one day and saw wide section on ancient Egypt. Ancient Egypt is Streets of Old Cairo. Guards just for scenes and no plans to do enemies.
4. Pacific? PT Boat? Marine Landing? Iwo Jima? Pacific War is not major seller, left in dust. When you compare Band of Brothers to The Pacific, the battles in BOB seem so much better, while Pacific seemed grinding and grueling ... kill or be killed with no prisoners. Europe has wide variety of battlefields from desert, Normandy to winter. Need to operate as business.
As for PT Boat, Andy loves model ships. Did line based on Sand Pebbles and wanted to do a San Pablo. Have sample in HK office with cost quote of $250. Say this boat was sold for $500 since really want to sell the figures but shipping costs from China to HK to dealers to customers would have been much greated than price. Also problems with breakage. Same problems with large aircraft.
5. Any thoughts of working in smaller scale? Smaller scale would be less expensive and can do bigger things. Actually considered doing 1/60 scale, but figures still have to be hand painted. Asked for quotation to paint figures in 1/60 scale and the costs actually higher. Also competing with war gamer boys. Would be doubling amount of work for Andy and he needs to stay focused on 1/30 scale.
6. How are figures painted so consistently with no difference between the same figures? Figures painted by team of painters, with one doing fresh tone only, 2nd uniform, 3rd belts and webbing, 4th details, 5th shading, 6th corrections. K&C pays top money so factory can keep experienced painters. Release products every month, so painters keep busy doing K&C style.
7. LRDG group? No new ideas on this theme but sometimes will see something in movie.
8. German WWII Cavalry? Working on it right now for later this year. Selling price a factory with price now $90 to $120 for mounted figures. Have to watch this so set sells.
9. New collector ... Catalog of everything? Reissue retired figures? No catalog of everything though Louis Badolato published several books with many pictures of early sets. Yes, will reissue retired figures when hit brick wall on ideas, but will be in new position with sculpting much better.
10. Willys Jeep with radio? Future plans for Russian line? For sure there will be more jeeps but no date. New lendlease Valentine tank and some new figures with small vehicle (not Russian jeep) in pipeline.
11. German vs. Russian Sniper? Russian sniper coming.
12. Texas Show Charity Figures? Laura and Kings X took over Texas Show last year. Want to help charities and toured U.S. military medical museum in San Antonio. Got idea of doing U.S. Army medics as theme: ACW, WWI, WWII, modern ... but looked at statute of wounded GI with medic and rifle stuck in ground with IV hanging from it. Will do WWII medics helping medics. Two special 2 figure sets will be introduced at Texas Show and available from all dealers, with proceeds donated to charity. Gordon will do special diorama with these two sets which will be auctioned for Charity.
13. Figure sets of 4? Too expensive for most collectors. With price of figures about $45, set of 4 would be $180. Collectors also like the ability to choose the poses they like.
14. RAF fire engine? Considering small one but looking for variety of uses ... RAF, London Fire Brigade (red), and Aux. Fire Service (Grey). K&C use to do 1000 in same paint, but now will do 1000 vehicles in 4 varieties ... more choice and they move quicker.
15. Persians for Ancient Greeks? Next release is more Greeks, then Persians.
16. Are buildings successful? Doing more? Doing well, looking at doing more, but big and heavy, so looking at lighter and cheaper materials.
There were no more questions and talk ended.
Special West Coaster Gift Figure was new classic German marching officer repainted as Afrika Korp.
