Trains.com

Subscriber & Member Login

Login, or register today to interact in our online community, comment on articles, receive our newsletter, manage your account online and more!

Klein's

27907 views
288 replies
1 rating 2 rating 3 rating 4 rating 5 rating
  • Member since
    January 2009
  • From: Maryland
  • 12,897 posts
Posted by ATLANTIC CENTRAL on Wednesday, January 24, 2024 3:28 PM

Well if that was Hattons plan, to convert the MTS website into a drop ship ecommerce business, that was doomed before it was thought about.

Walthers, Bowser, Athearn, Intermountain, Broadway Limited, Bachmann and Atlas all have direct to consumer web pages.

Why would they sell at wholesale to Hattons and do all the work for them? It makes no sense. 

I bet all or most of those companies laughed at the idea?

If any of these companies is going to put a single item, or even 5 items, in a box and send to directly to a consumer, they are going to keep all the markup - they don't need the "ModelTrainStuff" logo to sell their stuff.

They sell wholsale to the big dealers so they don't have to do as much work, by filling large orders where shipping and handling is more efficient. And because many of ther best web/mailorder shops are also brick and mortar stores where peolple do walk in and buy stuff.

Back in the day, when it was till made here, Athearn products only left the factory in case lots of 12 - 12 of all the same item. 

I would bet today that Atlas track still only leaves their building in case lots, except for direct to consumer business, which I think for them is full retail like Walthers.

As I said before, I won't miss them, the website was impossible for me. The last stuff I bought from them was in person before they closed the retail store.

Seems like everything Hattons did in North America was flop.....

Sheldon

 

    

  • Member since
    February 2002
  • From: Mpls/St.Paul
  • 13,892 posts
Posted by wjstix on Wednesday, January 24, 2024 3:06 PM

drgwcs
Hattons really goofed all this up in short order.

I don't know if it could really happen that fast - buy a thriving business in September, have to close it down as a failure in December? Seems just as likely Kleins/MTS was having difficulty behind the scenes already, and Hattons thought they could step in and salvage it.

As mentioned, we may never know the whole story.

Stix
  • Member since
    October 2005
  • From: Central Texas
  • 365 posts
Posted by MJ4562 on Wednesday, January 24, 2024 2:16 PM

As with any business transaction only the owners and other insiders really know what happened.  Very sad but I expect to see more of this as new generations take over.   

  • Member since
    February 2008
  • 327 posts
Posted by AEP528 on Wednesday, January 24, 2024 2:09 PM

Shouldn't be a surprise to anyone. I told you earlier in the thread all that remained was a domain name.

  • Member since
    June 2002
  • 569 posts
Posted by drgwcs on Wednesday, January 24, 2024 1:26 PM

IRONROOSTER

They appear to be gone forever.

Paul

The following is on their web site:

Customer Notice

We regret to inform you that MB Klein Inc. (Model Train Stuff) has now ceased trading. 

Thank you for your custom and support over our incredible 111 years of continuous operation. 

Our customer service agents are available for a limited period to assist with any final queries.

 

 

 

 

I can't say I am surprised although it is sad to see. This reminds me so much of what happened back in the 80's with TG&Y discount stores. They were bought out by McCrorys who took on a huge amount of debt to do so. They did not understand their market- they took big stores that were at least competitive, halved their size and shrunk selection and quality more than that. They were gone pretty quickly.

For Klein's drop shipping with a severely reduced selection as a long term plan here sure wasn't going to work. Really sad to see. Hattons really goofed all this up in short order.

Jim

  • Member since
    September 2004
  • From: Dearborn Station
  • 24,281 posts
Posted by richhotrain on Wednesday, January 24, 2024 1:19 PM

That is a weirdly worded message, and it is different from the message that I read earlier this morning after reading Douglas' post about MTS.

The earlier message on the MTS website talked about a temporary closure during reorganization.

Rich

Alton Junction

  • Member since
    January 2009
  • From: Maryland
  • 12,897 posts
Posted by ATLANTIC CENTRAL on Wednesday, January 24, 2024 1:04 PM

IRONROOSTER

They appear to be gone forever.

Paul

The following is on their web site:

Customer Notice

We regret to inform you that MB Klein Inc. (Model Train Stuff) has now ceased trading. 

Thank you for your custom and support over our incredible 111 years of continuous operation. 

Our customer service agents are available for a limited period to assist with any final queries.

 

 

 

 

Wow!

    

  • Member since
    February 2008
  • From: Potomac Yard
  • 2,767 posts
Posted by NittanyLion on Wednesday, January 24, 2024 12:27 PM

That is certainly some British English there.

 

The whole thing is just so weird and purposeless.

  • Member since
    June 2003
  • From: Culpeper, Va
  • 8,204 posts
Posted by IRONROOSTER on Wednesday, January 24, 2024 12:18 PM

They appear to be gone forever.

Paul

The following is on their web site:

Customer Notice

We regret to inform you that MB Klein Inc. (Model Train Stuff) has now ceased trading. 

Thank you for your custom and support over our incredible 111 years of continuous operation. 

Our customer service agents are available for a limited period to assist with any final queries.

 

 

 

If you're having fun, you're doing it the right way.
  • Member since
    December 2008
  • From: Heart of Georgia
  • 5,406 posts
Posted by Doughless on Wednesday, January 24, 2024 8:50 AM

IC_Tom

 

 
ATLANTIC CENTRAL

 

 
Soo Line fan

The website can no longer be navigated, only the main page is partially acessible. https://www.modeltrainstuff.com/

Lets hope they are busy making improvements.

 

 

 

Depending on which senerio you think is most likely, they are moving. It is impossible to move a business and operate it at the same time unless your business is VERY large. No company in this business is that large.....

Sheldon

 

 

 

 

If it's all web-based e-commerce and they also have a drop-ship relationship, it's quite possible to run the thing remotely, making moves entirely possible, too.

 

What is not being mentioned is that they're destroying the web front.  It's all retail.  In retail, you keep the doors open and maintain consistent hours at all times.  Closing the doors when your customer base is used to certain hours is death to your sales.  It's the same as radio silence on a radio station.  If there's nothing to see or hear, people move on.  Most never come back.

 

I assume most will come back to Klein's once they get their site back up.  I don't need access to a train store every day, so for me, who checks their site about 6 times a year, they could be down for 4 weeks before I even might notice it.

I'll buy or not depending upon what the inventory and pricing is. I'm not going to hold a grudge because they paused their business while they reorganize.

- Douglas

  • Member since
    January 2009
  • From: Maryland
  • 12,897 posts
Posted by ATLANTIC CENTRAL on Tuesday, January 23, 2024 5:40 PM

IC_Tom

 

 
ATLANTIC CENTRAL

 

 
Soo Line fan

The website can no longer be navigated, only the main page is partially acessible. https://www.modeltrainstuff.com/

Lets hope they are busy making improvements.

 

 

 

Depending on which senerio you think is most likely, they are moving. It is impossible to move a business and operate it at the same time unless your business is VERY large. No company in this business is that large.....

Sheldon

 

 

 

 

 

If it's all web-based e-commerce and they also have a drop-ship relationship, it's quite possible to run the thing remotely, making moves entirely possible, too.

 

What is not being mentioned is that they're destroying the web front.  It's all retail.  In retail, you keep the doors open and maintain consistent hours at all times.  Closing the doors when your customer base is used to certain hours is death to your sales.  It's the same as radio silence on a radio station.  If there's nothing to see or hear, people move on.  Most never come back.

 

That is where you are wrong, at least before Hattons they did not deliver products thru drop ship relationships. In fact, I have not found one online retailer in this business doing that. Places like MTS, ToyTrainHeaven, Transworld and others get their product direct from the manufacturers. The manufacturers are not setup to provide that. They simply pass thru, mostly case lots of product when it gets here from China. This is not an industry on the scale of Amazon.

Sheldon

    

  • Member since
    March 2021
  • 260 posts
Posted by Tin Can II on Tuesday, January 23, 2024 3:08 PM

John:

Thanks for posting a picture of the Zuckers.  I have been acquainted with them for years (and have bought lots and lots of stuff from them).  They made several Texas shows, in Temple and in Plano, that I used to attend religiously.  Now that I am in Kansas, I am thrilled to find that they attend the Garden City show.  

I will make my way to Nebraska, hopefully sooner than later.  I want to attend the big Free-Mo meet held in April; seems like a good excuse to kill two birds with one stone.

 

  • Member since
    June 2022
  • 96 posts
Posted by IC_Tom on Tuesday, January 23, 2024 12:08 PM

ATLANTIC CENTRAL

 

 
Soo Line fan

The website can no longer be navigated, only the main page is partially acessible. https://www.modeltrainstuff.com/

Lets hope they are busy making improvements.

 

 

 

Depending on which senerio you think is most likely, they are moving. It is impossible to move a business and operate it at the same time unless your business is VERY large. No company in this business is that large.....

Sheldon

 

 

If it's all web-based e-commerce and they also have a drop-ship relationship, it's quite possible to run the thing remotely, making moves entirely possible, too.

 

What is not being mentioned is that they're destroying the web front.  It's all retail.  In retail, you keep the doors open and maintain consistent hours at all times.  Closing the doors when your customer base is used to certain hours is death to your sales.  It's the same as radio silence on a radio station.  If there's nothing to see or hear, people move on.  Most never come back.

  • Member since
    January 2009
  • From: Maryland
  • 12,897 posts
Posted by ATLANTIC CENTRAL on Tuesday, January 23, 2024 11:25 AM

York1

This has been an interesting thread.

For an example of how to run a business:

About fifty miles south of me is Spring Creek Model Railroad.  It is in the town of Deshler, Nebraska, that has a population of 700.  It is ten miles off a highway.  The closest town of any size is 90 miles away.

Yet it is successful.  What's the secret?

It seems to be hard work, helpful employees, and owners who love their work and love the people they meet.

Hard work -- they attend train shows all over the country, taking one or two trailers with their supplies.

Helpful employees -- their website is limited.  They take orders over the phone.  Their employees will work with a customer to get exactly what the person wants.  It may mean extra work tracking the product down, but they will do it.

Owners who love their work:  The owners are at the store when they aren't traveling.  They love meeting and talking to customers.  When you go into the store, they will make you feel like you are important to them.

 On their counter, they have an autograph book that customers sign.  Looking through it, you will find customers from all over the U.S. and from other countries.  These are not customers at the shows -- they are customers who have traveled long distances to get to the store.

Even in this day and age, a store like this can still succeed if the owners work at it.

This isn't an ad -- I just admire what these people have done.

 

 

 

And just in this one picture you can see their commitment to the other secret to success - inventory. You can't sell what you don't have.

But that takes space and resources.

We have a shop like that in this region, nearly all alone on a rural road in south central PA, barely over the line from Maryland, in a little crossroad town. Mainline Hobby Supply in Blue Ridge Summit PA. Great inventory, great service, good prices. Two hours from anything you would call a city. But a great place to buy trains.

Sheldon

    

  • Member since
    February 2018
  • From: Flyover Country
  • 5,557 posts
Posted by York1 on Tuesday, January 23, 2024 9:09 AM

This has been an interesting thread.

For an example of how to run a business:

About fifty miles south of me is Spring Creek Model Railroad.  It is in the town of Deshler, Nebraska, that has a population of 700.  It is ten miles off a highway.  The closest town of any size is 90 miles away.

Yet it is successful.  What's the secret?

It seems to be hard work, helpful employees, and owners who love their work and love the people they meet.

Hard work -- they attend train shows all over the country, taking one or two trailers with their supplies.

Helpful employees -- their website is limited.  They take orders over the phone.  Their employees will work with a customer to get exactly what the person wants.  It may mean extra work tracking the product down, but they will do it.

Owners who love their work:  The owners are at the store when they aren't traveling.  They love meeting and talking to customers.  When you go into the store, they will make you feel like you are important to them.

 On their counter, they have an autograph book that customers sign.  Looking through it, you will find customers from all over the U.S. and from other countries.  These are not customers at the shows -- they are customers who have traveled long distances to get to the store.

Even in this day and age, a store like this can still succeed if the owners work at it.

This isn't an ad -- I just admire what these people have done.

 

 

York1 John       

  • Member since
    January 2009
  • From: Maryland
  • 12,897 posts
Posted by ATLANTIC CENTRAL on Tuesday, January 23, 2024 8:43 AM

Soo Line fan

The website can no longer be navigated, only the main page is partially acessible. https://www.modeltrainstuff.com/

Lets hope they are busy making improvements.

 

Depending on which senerio you think is most likely, they are moving. It is impossible to move a business and operate it at the same time unless your business is VERY large. No company in this business is that large.....

Sheldon

    

  • Member since
    October 2005
  • From: Detroit, Michigan
  • 2,284 posts
Posted by Soo Line fan on Tuesday, January 23, 2024 8:38 AM

The website can no longer be navigated, only the main page is partially acessible. https://www.modeltrainstuff.com/

Lets hope they are busy making improvements.

Jim

  • Member since
    June 2022
  • 96 posts
Posted by IC_Tom on Monday, January 22, 2024 2:55 PM

ATLANTIC CENTRAL

 

IC_Tom

 

kasskaboose

Thanks for finding out.  Anything more to the thread?  It's past due for closure.

Sad seeing this happen, but finding another vendor makese sense.  It happens. 

 

 And yet, the MR story itself is contradictory:

"Hattons does own M.B. Klein; However, the two companies are operated as separate entities.”

"Since the announcement of Hattons closure, the status of Model Train Stuff’s website changed to reflect the current status of the company."

So, if they are separate, then why is there a "status of the company" (singular) for both?

 

I mean no disrespect to anyone on here, but when topics like this come up, I often wonder about the business experience/knowledge of some of those who respond.

LOTS of businesses, even relatively small businesses, run different parts of their operation as "separate entities".

EVEN your local new car dealship is actually run as multiple "departments" that are pretty much stand alone separate businesses under one roof. New car sales, used car sales, parts, service, body shop each keep their own books, track their own sales, pay each other for goods and services and show their own profit or loss.

Yes, the service department "buys" the parts from the parts department and then sells them to the service customer. The used car sales department "pays" the service department to inspect and repair the trade-in or auction purchase before it goes on the front line.

Historically big corporations are actually made up of multiple separate companies under an umbrella holding company. Often the down stream companies operate with a high level of autonomy.

So for Hattons to treat the purchase and operation of ModelTrainStuff completely separate, especially considering it is in a different country and has to be a separate company in some way anyway, would be the proper business approach.

And yes, investing in the US market may have been seen as a hedge against changes in the UK market even if the decission to close the UK operation was not made until recently.

True we don't know all the details, and, it really is not our business.

We will eack make our own choices about who to do business with moving forward.

But unless the MTS web site is improved they still won't get my business. 

Why don't I like the web site? WAY to hard to look up and find specific items. I hate flipping thru web page anfter web page of "pictures" after searching with a very specific description.

I hate being "marketed to" by forcing me to sift thru stuff I'm not interested in.

On others sites, Trainworld, ToyTrainHeaven, I can get to specific items with a minimum amount of "sifting".

Sheldon 

 

And yet, I have a small business and have been incorporated for at least 16 years (in addition to other sources of income).  I don't pretend to know everything, but point out contradictions when I see them.  I'll leave it at that.

  • Member since
    October 2005
  • From: Central Texas
  • 365 posts
Posted by MJ4562 on Friday, January 19, 2024 1:05 PM

ATLANTIC CENTRAL
I would rather a retailer have consistant competitive pricing across it whole offerings rather than have to wait for or search for the "sale".

agreed 100%.  It's annoying enough with other products but the nature of model trains makes the practice even worse.  

  • Member since
    December 2008
  • From: Heart of Georgia
  • 5,406 posts
Posted by Doughless on Friday, January 19, 2024 10:01 AM

ATLANTIC CENTRAL

I'm old fashioned, when I need or want to buy something, service, inventory selection, and convenience are balanced agains the "lowest price".

I would rather a retailer have consistant competitive pricing across it whole offerings rather than have to wait for or search for the "sale".

That is what built MTS/M B Klein 60 years ago. EVERYTHING was simply 20% off retail in a time when neary every shop was full retail.

As explained above, I have not shopped at MTS for a long time and it has nothing to do with price - it has to do with "ease of use", which their web site fails at in my opinion.

I do think they are moving to a state/place with lower business costs than here in the Peoples Republic of Maryland. I personally would have left years ago except for family. The current location of MTS is in a very expensive part of the Baltimore metro area, in a county with high property taxes, lots of regulation, high labor costs, and no special shipping advantages.

So it makes sense that Hattons would move the operation.

It is typical for this type of business to save on moving costs by lowing the inventory size somewhat until after the move.

Sheldon

  

 

What I have noticed is several sites will have deals on newly arriving stock...specific roadnames.  Not sure why, but the prices are substantially lower than some competitors.  So I wait at times to see when other sites receive something.  And other sites will have sales on various categories, rolling stock, structures, etc, in inventory.

Some things sit in inventory and when I decide I want something, I'll just surf different sites and usually something is cheaper than what MTS had it for.

Agreed on their website.  Not the best.  And their rewards program brought prices down, but I don't care for the attempt at captivating my customer-hood, as is common for some retailers.

IMO, there were some quirks about MTS that turned me off.  I hope Hatton's eliminates those if they can.

- Douglas

  • Member since
    January 2009
  • From: Maryland
  • 12,897 posts
Posted by ATLANTIC CENTRAL on Friday, January 19, 2024 9:49 AM

I'm old fashioned, when I need or want to buy something, service, inventory selection, and convenience are balanced agains the "lowest price".

I would rather a retailer have consistant competitive pricing across it whole offerings rather than have to wait for or search for the "sale".

That is what built MTS/M B Klein 60 years ago. EVERYTHING was simply 20% off retail in a time when neary every shop was full retail.

As explained above, I have not shopped at MTS for a long time and it has nothing to do with price - it has to do with "ease of use", which their web site fails at in my opinion.

I do think they are moving to a state/place with lower business costs than here in the Peoples Republic of Maryland. I personally would have left years ago except for family. The current location of MTS is in a very expensive part of the Baltimore metro area, in a county with high property taxes, lots of regulation, high labor costs, and no special shipping advantages.

So it makes sense that Hattons would move the operation.

It is typical for this type of business to save on moving costs by lowering the inventory size somewhat until after the move.

Sheldon

  

    

  • Member since
    December 2008
  • From: Heart of Georgia
  • 5,406 posts
Posted by Doughless on Friday, January 19, 2024 9:37 AM

hbgatsf

So here is another computer glitch.  

When I saw the post about the announcement I went to the MTS website and pulled up one of my wishlists.  There were actually a few items available so I put one in my cart.  I then went to checkout and went all the way through but backed off just before placing the order.  I don't know what would have happened if I tried to complete it.  

That isn't the end of the story.  A couple of hours later I got an email from them reminding me that I had left something in the cart, and they gave a link to it.  

I guess not everyone got the message.  

 

That's normal operations.  I gather up items in my cart that I know I want, then wait hours or days before I other add others or just check out my cart.  I always get messages telling me I forgot to check out.  Nothing to see here, and it sounds to me like they would have processed your order normally.

- Douglas

  • Member since
    December 2008
  • From: Heart of Georgia
  • 5,406 posts
Posted by Doughless on Friday, January 19, 2024 9:36 AM

Reorg meaning that maybe Heartland has to ramp up for more volume. 

Damm 403 forbidden error.

- Douglas

  • Member since
    December 2008
  • From: Heart of Georgia
  • 5,406 posts
Posted by Doughless on Friday, January 19, 2024 9:30 AM

richhotrain

 

 
riogrande5761

FWIW, Kleins now has this announcement:

Customer Notice

 

We have stopped accepting orders, pending a company reorganization.
Customer service agents are still available to handle order queries.

We will provide more information as soon as it is available.

 

 

 

This will be a real uphill battle going forward.

 

Rich

 

They had a "moving sale" before the holidays.  Maybe they are actually moving now and organizing the Nebraska warehouse.

I am not a big fan of Kleins.  Other sites would have periodic deals on stuff that beat Klein's and TW's prices, so I would just surf the net to find them rather than go to Klein's.  Whenever I shopped, Klein's hardly ever had the best price, especially when sales tax was included.

Just saying that if they have trouble, I think their prices were a bit higher than other sites at times. 

- Douglas

  • Member since
    January 2009
  • From: Maryland
  • 12,897 posts
Posted by ATLANTIC CENTRAL on Friday, January 19, 2024 9:16 AM

drgwcs

 

 
ATLANTIC CENTRAL

 

 
Tin Can II

MTS accepted an order last Friday from me; I placed it primarily to use a gift certificate I had been given in October.  Everything worked; what I ordered showed to be in stock.  Now let's see if the order is fulfilled.

I think Hattons may have miscalculated the US market, a bit.  Any discount seller relies on volume to make cash flow to sustain the business.  It appears there was a big lull in sales volume between the MTS moving clearance sale, and the re-opening in Nebraska.  It appears that Nebraska sales were hampered by a lack of access to the same product lines that MTS had before the corporate sale.

I had already shifted most of my online business to Midwest Model Trains.  Good prices, and I can get most products within 2 days.

 

 

 

I don't know anything about this outfit in Nebraska, but I know one thing for sure. Before all this "change" started, everything you bought from MTS was sitting in their warehouse in Cockeysville MD.

"Access to the same product lines"? That is a another statement that makes it sound like the model train business is as big as Amazon - dream on.

Today, MOST product in this hobby goes from the factory in China to the designer, "manufacturer", marketer (Walthers, Atlas, Bachmann, BLI, etc, etc) and from there most of it goes DIRECTLY to places like Trainworld, MTS, ToyTrainHeaven, and to bigger brick and mortar stores (higher volume ones who generally also have a web presence or established mail order clientele).

Very little goes to "middle men" distributurers any more.

Specifically, MTS has been buying direct from all the major manufacturers since the 1960's - long before the internet......

I think you are right about one thing, Hattons does not have a clue about the North American market.

Are there exceptions to all of this, sure.

Bowser and Walthers sell their own product and also sell the other brands.

Athearn is only sold from one warehouse to dealers and consumers, they do not sell to any of the remaining "distributors". 

A number of other small brands also have no extra discount for distributors and only sell directly or retailers or to the consumer.

Sheldon 

 

 

 

Going off the addresses of shipped packages those orders from Nebraska are coming from Heartland Hobby Wholesale as a drop ship (as Kleins said third party shipper) rather than from Kleins itself. This explains the missing lines like Athearn (Horizon only) Walthers (only from them)  and others. Heartland is also not a Digitrax distributor. You can not really operate like that without those major lines as a retailer. Guess that reinforces the idea that Hattons has no idea of the North American market. I could see them selling the website to Heartland- for a wholesaler that might make sense as it would broaden their market- just adding sales (and at a higher margin.) However to a regular retailer it would be taking away sales as you are missing major segments of the hobby.

Jim

 

I can tell you this, using Heartland hobbies to fill orders at MTS prices makes no sense long term. There is not enough markup in this stuff for it to be profitable for MTS/Hattons to do that.

To sell model trains at MTS, Trainworld or ToyTrainHeaven prices you NEED to be buying at the lowest price direct from the manufacturer. 

Notice the product lines not carried by Heartland? All the ones that control their own distribution.

And, they sell Bachmann, but just like Walthers, not at prices that would let a retailer compete with the Bachmann prices at MTS or the other big outlets. We have a local shop in out region who buys Bachmann direct. His prices are as low as Trainworld or anybody else on Bachmann.

The only current business model for success in this business is to buy 90% of what you sell direct from the manufaturers.

Sheldon 

    

  • Member since
    January 2009
  • From: Maryland
  • 12,897 posts
Posted by ATLANTIC CENTRAL on Friday, January 19, 2024 8:43 AM

betamax

The amount of speculation around Hattons borders on ridiculous.

Hattons owners decided, after reviewing their financial reports, that winding down the business was the best choice, instead of waiting until there was no choice. They probably did some forecasting and concluded the situation was not going to improve any time soon.

Purchasing MB Klein had nothing to do with Hattons closing. That deal was probably in the works for a year or more. The reorganising would be related to getting control of how things work and integrating the new operation into their exisiting systems. Waiting until after the Christmas sales rush makes sense.

Everything else is just speculation. 

 

Agreed, well said.

 

    

  • Member since
    January 2009
  • From: Maryland
  • 12,897 posts
Posted by ATLANTIC CENTRAL on Friday, January 19, 2024 8:41 AM

IC_Tom

 

 
kasskaboose

Thanks for finding out.  Anything more to the thread?  It's past due for closure.

Sad seeing this happen, but finding another vendor makese sense.  It happens. 

 

 

 

 

And yet, the MR story itself is contradictory:

"Hattons does own M.B. Klein; However, the two companies are operated as separate entities.”

"Since the announcement of Hattons closure, the status of Model Train Stuff’s website changed to reflect the current status of the company."

So, if they are separate, then why is there a "status of the company" (singular) for both?

 

I mean no disrespect to anyone on here, but when topics like this come up, I often wonder about the business experience/knowledge of some of those who respond.

LOTS of businesses, even relatively small businesses, run different parts of their operation as "separate entities".

EVEN your local new car dealship is actually run as multiple "departments" that are pretty much stand alone separate businesses under one roof. New car sales, used car sales, parts, service, body shop each keep their own books, track their own sales, pay each other for goods and services and show their own profit or loss.

Yes, the service department "buys" the parts from the parts department and then sells them to the service customer. The used car sales department "pays" the service department to inspect and repair the trade-in or auction purchase before it goes on the front line.

Historically big corporations are actually made up of multiple separate companies under an umbrella holding company. Often the down stream companies operate with a high level of autonomy.

So for Hattons to treat the purchase and operation of ModelTrainStuff completely separate, especially considering it is in a different country and has to be a separate company in some way anyway, would be the proper business approach.

And yes, investing in the US market may have been seen as a hedge against changes in the UK market even if the decission to close the UK operation was not made until recently.

True we don't know all the details, and, it really is not our business.

We will eack make our own choices about who to do business with moving forward.

But unless the MTS web site is improved they still won't get my business. 

Why don't I like the web site? WAY to hard to look up and find specific items. I hate flipping thru web page anfter web page of "pictures" after searching with a very specific description.

I hate being "marketed to" by forcing me to sift thru stuff I'm not interested in.

On others sites, Trainworld, ToyTrainHeaven, I can get to specific items with a minimum amount of "sifting".

Sheldon 

    

  • Member since
    February 2008
  • From: Potomac Yard
  • 2,767 posts
Posted by NittanyLion on Friday, January 19, 2024 8:22 AM

IC_Tom

 

 
NittanyLion

That's in no way contradictory.  Look at the chaos in sports television with the collapse of Diamond Sports Group.  Bally Sports San Diego and Bally Sports Kansas City were operated as seperate entities, but they're the same company.

 

 

 

"Contradictory" and "chaos" are from the same bowl of language soup, but whatever. 

 

I have no idea what you're trying to say here. 

  • Member since
    October 2005
  • 1,047 posts
Posted by betamax on Friday, January 19, 2024 6:15 AM

The amount of speculation around Hattons borders on ridiculous.

Hattons owners decided, after reviewing their financial reports, that winding down the business was the best choice, instead of waiting until there was no choice. They probably did some forecasting and concluded the situation was not going to improve any time soon.

Purchasing MB Klein had nothing to do with Hattons closing. That deal was probably in the works for a year or more. The reorganising would be related to getting control of how things work and integrating the new operation into their exisiting systems. Waiting until after the Christmas sales rush makes sense.

Everything else is just speculation. 

  • Member since
    June 2022
  • 96 posts
Posted by IC_Tom on Thursday, January 18, 2024 10:05 PM

NittanyLion

That's in no way contradictory.  Look at the chaos in sports television with the collapse of Diamond Sports Group.  Bally Sports San Diego and Bally Sports Kansas City were operated as seperate entities, but they're the same company.

 

"Contradictory" and "chaos" are from the same bowl of language soup, but whatever. 

Subscriber & Member Login

Login, or register today to interact in our online community, comment on articles, receive our newsletter, manage your account online and more!

Users Online

There are no community member online

Search the Community

ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
Model Railroader Newsletter See all
Sign up for our FREE e-newsletter and get model railroad news in your inbox!