How do companies survive?

I know, right? The world would be a better place for sure.

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For most, I think making yoyos is just something fun to do that puts a couple extra dollars in their pockets. Some companies make it seem like it doesn’t even do the latter, but there’d literally be no incentive to make yoyos and not at least break even.

It was probably easier for companies to do well ten to fifteen years ago. In the mid-2000s, there would maybe be a couple new yoyo drops per month on YYN and people would camp out to buy them. There were 400 Bapezillas and Eetsits, over a thousand Peaks over the runs, and probably a comparable amount of Pyros. It’d be tough to sell that many pieces of a single model today, quickly at least.

Today, there are so many companies that very few can “do well” so to speak. I think companies that do well don’t necessarily have to offer “new” ideas but new/different marketing techniques. People like G2’s vlogs, SF’s anonymity, and A/rt’s general vibe (no pun intended!). They make great yoyos, but it’s hard to argue that they’re leagues above everything else that’s made today. Good yoyos used to speak for themselves, but in a market where every yoyo is good, it’s the people that make or break a company.

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Truer words were never spoke.

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Everything you said is true. The only thing I’d draw your attention to is that 10 years ago machining and anodizing was a lot rougher, as was yoyo design. I’ve talked to brands that were in operation then, it was not unusual to have to write off an entire run of 100 yoyos because the machining was so bad. Likewise you were lucky to get 60% successful splash anodizing. I remember talking to Chris about CLYW years ago. Twice he tried to make a living off of it, and both times all it took was 1 completely failed run of yoyos to send him back to a day job, and his stuff sold out faster than the stores could place a re-stock order.
Nowadays it’s reasonably to expect 90% a-grade machining, and at least 80% from the anno shops if you are dealing with a reputable shop.

Again, not disputing anything you said, just adding to it.

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Motor city literally makes no profit as a company, only keeps its self a float so far hahah
Just spreadin’ the love

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Exactly the same with me. The tiny number of yoyos I sell only helps me keep making yoyos.

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That truer words were never spoken is not necessarily the case.

‘It’s the people that make or break a Company’?

The ‘people’ being the Makers; themselves?

Or the customers and/or potential customers?

Some clarity to identify ‘what people’?

And some actual functional substantiation as to how ‘the people’ fascilitate their own failure?

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Super hard to answer just because of all the variables. But I’d guess around 2500 units a year for me to feel comfortable making the switch and quitting my day job

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Let’s see:

2500 yo-yos per year
208 yo-yos per month
52 yo-yos per week
7 yo-yos per day

That seems plenty attainable to me, if you have the cachet of G2 :wink:

I don’t know how many yo-yos go out in a “drop” but my gut says that’d be like 2 drops per week, every week? Maybe 3 per week if you wanted to be safe and take weeks off?

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The ‘comfortable’ number would also directly be affected by how many units were sold directly or sold to Resellers; wouldn’t it?

If you sold them directly from home via internet… X number of units to achieve financial goals…

And at least double the units if you spread out the inventory for others to mark up and sell for you?

…Or option 3. You establish a certain number of yoyos that need to be sold to satisfy/justify the endeavor in the first place.

And then; you make small batches of exclusive color ways and/or slightly tweaked versions of your current models; to be sold directly; to generate extra capital?

(Notice I just stated the obvious)

…And I would ‘guess’ one contributing factor would be the pricepoint(s) of the products being offered?

No doubt there would be a possibly huge difference between selling $30 plastics wholesale and if you had a strong continuous potential to sell $350 Titanium’s directly😉

Note: this is simply my opinion. I am not in the yoyo selling Business. I may be completely wrong in my suggestions. My suggestions have no roots to personal experiences.

But I do have a certain level of understanding things.

The actual number of yoyos a person would have to sell; can vary widely; simply based on a multitude of factors. I don’t think there is a magic number.

There ‘is’ a number based on your particular circumstances.

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Almost certainly he means sold direct, given who is doing the talking. Resellers, as much as we may love them, take a big cut.

Also given who is talking, we know those comments refer to aluminum yo-yos sold at the ~$90 - $120 pricepoint pretty much exclusively. Last I heard based on his sketchy experience with the Ghost @G2_Jake said he wouldn’t touch fancy plastics again. (My ghost, which you should read as “plastic Banshee”, stripped itself, kinda, so I would concur…)

As far as titanium goes, everything I’ve ever read says they are at best breakeven, perhaps even loss leaders, because you can’t charge nearly enough to compensate for how much dramatically more the material costs over cheap-as-heck aluminum.

Would be interesting to hear from @yyfben2.deactivated in this topic tho :wink:

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So the big question for Jake is whether or not there is enough demand for G2 yoyos to sell 2500+ units every year. I’m sure that to many, the idea of Jake going to full-time yoyo production sounds like a no-brainer. But clearly there’s more to it than just perceived marketplace popularity or otherwise Jake would have taken the plunge already.

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I’d have to be more creative, and aggressive with marketing to expand G2s reach, but I think it’s possible especially if it was my only priority.

Health insurance, Jonah, and Baby 2 on the way are the biggest reasons I’ve been afraid to try.

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My number included my current plans to expan back into retail stores. But the biggest factor that can’t be accounted for product that fails my QC. Will it be 15 or 25 percent. That makes a huge difference in my margins.

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Can’t you recoup by selling those QC fails as b-grades? Like how broken are we talking… a bit of vibe, or “causes involuntary hand amputation?”

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I’m super strick with my QC. I do sell b grades. But those “Glitches” only have very minor issues.

Any issue that is noticeable I prefer to trash. I want every experience for someone getting a new G2 to be as great as possible. And usually buying a discounted product that has a defect isn’t a great experience.

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I dunno, people looooooooooove deals, and as long as the yo-yo is clearly marked and sold as “b-grade” people are usually cool with that too.

I mean look at how insanely popular the YYF b-grade sales were, etc.

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That also circles back to G2 doesn’t pay my bills. I only need to break even, with the added stress I might be more included to sell more b grades.

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True, ppl did go crazy over the beater Banshee drop. Which were yoyo I had my 14 month old toss on the ground before shipping.

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To be honest, as I’ve always said, you of all people are most clearly in the position to make this happen. It really depends what you want personally out of your life, though, and only you can answer that :wink:

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