Stop LEGO Price Raises
Stop LEGO Price Raises
Why this petition matters
On August 1st, 2022, The LEGO Group will be raising prices on a multitude of their sets, including but not limited to; Star Wars, Marvel, Creator Expert, Minecraft, Harry Potter, Technic, Jurassic World.
The LEGO Group cites; "The current global economic challenges of increased raw material and operating costs are impacting many businesses.
Putting consumers first is at the heart of what we do as a company, and for some time, we have absorbed these costs to keep pricing stable. However, as these costs have continued to rapidly rise, we have taken the decision to increase the price on some of our sets. This increase will come into effect in August and September.
The increase will differ depending on the set and prices will change on around a quarter of the portfolio. On some sets we will not alter price, on others there will be a single digit increase and on larger, more complex sets the percentage increase will be higher.
We will continue to work to ensure our products offer great value and full recognise how important this is to our fans and everyone who love our products."
Some of these sets are increasing upwards of 25%, making already expensive sets even more expensive. In the current economic state of the world, with inflation and increased Cost of Living, buying our favorite Toy and Hobby will become more difficult.
Some key increases are: (Set - Old Price USD - New Price USD - Increase - % Increase)
- 42115 Lamborghini Sian FKP 37 - $380 - $450 - $70 - 18.42%
- 71043 Hogwarts Castle - $400 - $470 - $70 - 17.50%
- 21318 Ideas Tree House - $200 - $250 - $50 - 25%
- 21330 Ideas Home Alone - $250 - $300 - $50 - 25%
- 75309 UCS Republic Gunship - $350 - $400 - $50 - 14.29%
- 75313 UCS AT-AT - $800 - $850 - $50 - 6.25%
- 75308 UCS R2-D2 - $200 - $240 - $40 - 20%
- 76240 UCS Batmobile Tumbler - $230 - $270 - $40 - 17.39%
- 21325 Ideas Medieval Blacksmith - $150 - $180 - $30 - 20%
- 10300 Back to the Future Time Machine - $170 - $200 - $30 - 17.65%
- 10297 Boutique Hotel - $200 - $230 - $30 - 15%
- 75328 The Mandalorian Helmet - $60 - $70 - $10 - 16.67%
- 21331 Ideas Sonic the Hedgehog - $70 - $80 - $10 - 14.29%
- 75330 Dagobah Jedi Training - $80 - $90 - $10 - 12.50%
This is NOT a comprehensive list and is based on Barnes and Nobles updating their prices early.
Popular sets like 21330 Ideas Home Alone, 10300 Back to the Future Time Machine, 75330 Dagobah Jedi Training, and 21331 Ideas Sonic the Hedgehog have been on shelves for less than 1 year, and are already seeing price increases. Last Christmas, 21330 Ideas Home Alone was Sold Out and fans were left to pay inflated prices on the secondary market. In recent time, 10300 Back to the Future Time Machine has been Out of Stock, leaving fans to pay upwards of $240 to secure the set.
Sets that are Coming Soon, such as 75333 Obi-Wan Kenobi’s Jedi Starfighter™, will have different MSRP than when they were originally announced.
This set for example was announced at $29.99 MSRP and will increase to $34.99 on August 1st, the day the set releases.
The LEGO Group is coming off of their BEST year financially in the history of the company.
From 2020 to 2021;
- Consumer sales grew 22%
- Revenue grew 27% to DKK 55.3 billion (US$8.3bn)
- Operating profit grew 32% to DKK 17.0 billion (US$2.5bn)
- Net profit was DKK 13.3 billion (US$1.94bn) in 2021 against DKK 9.9 billion (US$1.33BN) in 2020
- Profit grew strongly while the Group continued strategic investments to meet long-term growth.
- Free cash flow was DKK 12.9 billion (US$1.738bn)
Based on these numbers, The LEGO Group is far from breaking even, rather, profiting DKK 13.3 billion in 2021 (USD $1.94bn). For perspective, that is DKK 13,300,000,000, and USD $1,940,000,000. Citing their raw material and operating cost as reason for price increase, we would expect the company to be hurting and NOT thriving.
In a time of economic crisis and with rumors of a recession, I believe that this will have a multitude of effects on LEGO and economics as a whole. I believe;
- People will buy LESS LEGO (Quantity). Assuming buyers have a budget, higher prices means LESS LEGO. Buyers will have to become more picky of what they decide to buy with their hard-earned dollars.
- People will buy LESS LEGO, and buy OTHER toys or entertainment. This branches immediately from increased prices, but a buyer may consider purchasing something else entirely, due to a more reasonable price OR, out of resentment against increasing prices.
- Secondary Markets will shift upwards. With price increases, any supply in circulation (in buyers hands, NOT on retail shelf) will artificially increase in price. While this IS an opening for some, to buy into LEGO knowing increases are coming, this will ultimately shift and disrupt the current state of LEGO economics. It can be presumed price increases will artificially bump the secondary markets, further incentivizing buyers to purchase for reasons other than personal use.
These are some of the immediate repercussions that come to mind, but as witnessed by myself and expressed by those in the community, none of us consumers are happy with what is about to occur. The LEGO Group is a billion-dollar company, and most LEGO fans are NOT billion-dollar fans. Parents and grandparents, children, teenagers and young adults, everyone of all ages are the fans of LEGO. For some it makes a great gift, a great hobby and even a great form of meditation, an escape from the real world.
With The LEGO Group increasing prices, it is becoming harder for new and old fans alike rationalizing spending 20% more on a set than it was priced months before. Or in the case of 75333 Obi-Wan Kenobi’s Jedi Starfighter™ releasing with a different MSRP than announced.
I ask you to sign this petition to bring attention to The LEGO Group that we stand together and disagree with the upcoming price increases.