N&W Roanoke Shops Sign -- Status Report #2

[NW Modeling List]

Further to Miller Engineering options for illuminated N&W Roanoke Shops HO-scale signs:

1.	With respect to commissioning a new sign (i.e., "steam-era" version), Miller Engineering charges a $350 design fee for which the Society would be are allowed one revision.  If that is approved, samples would be $1,000 each.  If the order is placed, both those fees would be credited back to the production order.  The minimum production run is 500 kits. Pricing would be $14-$18 depending on the size and amount of the illuminated area.  So, we’re talking $7,000 (to perhaps $9,000).  The finished sign would normally retail for about $36-$43 (based on Miller’s retail price and reseller pricing for the diesel-era sign).  That’s a lot of signs to have to resell, especially in potential competition with other resellers, unless Miller would agree not to resell to third parties.  I have posed that question to my contact and will report when I have an answer.

2.    For the diesel-era sign that Miller is considering bringing out again this summer, they will give the Society their “distributor" discount of 55%, with a minimum order of $1,000.  Assuming Miller’s $43 retail pricing, with a 55% discount, that would work out to a purchase of about 42 signs.  The Society could probably resell those fairly quickly on a pre-order basis for $35 (cheaper than likely to be available from hobby shops) and turn a nice ($470) profit, or sell for $30 to Members and still turn a $260 profit.  

Nothing additional to report on the non-illuminated version.

Should I continue to explore these options?

Bill D
N&W Steam Only

P.S.  Through the generosity of another member to these list serves, I have located a working version of the diesel-era sign!! 
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