I truly hate to post a blog with just a few questions, but this is the most efficient way to get the best feedback so please excuse me this one time. I have been talking to some of the older members and have gotten some good answers but I am still somewhat confused. I am smart enough to think I know the basic reasons for their behavior but as a former corporate manager I am still stunned by a seeming lack of acute business sense, also please keep in mind that even though I'm an older guy, I only became involved in April of this year, so I don't have any practical experience with the U.S. Mint to compare to.
When presented with a product that does not sell, (I will use the American Innovation Dollar Coin, after all they are still trying to sell the coins that were produced in 2018 & 2019), they continue to increase the prices each year. I know they are committed to producing this coin, and I really don't know how much it costs to produce, but really? Increasing the cost 15% on a product that has yet to empty the stock produced in the last two years stuns me.
As Mr. Norris pointed out in his blog, the mint is looking at increasing the 3" medal pricing from $39.95 to $160.00, this also on an item that is not selling like expected and is "losing the mint money". Who is not dealing within the realm of reality here?
I understand that many of these programs are congressionally approved and have a run time, for example the Dollar program listed above is supposed to run from 2018-2032. Can we not put some logic into this program? How about when started if a product doesn't sell a certain amount within a reasonable time frame, the program is reviewed, with the option to cancel the program?
And don't even get me started on the Colorized Silver Basketball coins. The increase on the pricing for one simple red ribbon around the coin almost doubles the price? I'm not buying one anyway, but it is a classic example of what I am confused by.
I can afford these prices if I really want the item, but am I willing to do so? Are John and Susan Q. Public willing to do so? Simple Supply and demand is at work here, I don't care what your purchasing power is, the more each coin costs the fewer coins an individual will or in many cases can purchase.
What about our younger members just starting out, or as a friend whose blog I read faithfully said recently "I am a blue collar guy and have to watch what I spend", what about our Retirees living on a fixed income? Remember, it's not only how much you make, it's how much you allocate to this hobby we all love.
Something else that is on my mind is the price of Gold, Silver and other medals, we all know the asking prices fluctuate, since they are higher right now, (although silver is coming down) are the prices next year going through the roof? Does the mint set the price of the medal based on market price plus a certain percent over for profit? As my Grandfather would say to me "Boy, I ain't got a clue".
Finally in closing I will just say that dealing with the U.S. Mint is making me want to pull out what hair I have left. If times get tougher, I will adjust, heck, we all will. I am just at a loss for what seems to be a total lack of proper and logical planning . I shouldn't expect more, I was military and dealt with the government aspect for years. But if they keep on at the pace they seem to be sitting this will no longer be an affordable hobby for all, it will once again be a "Hobby of Kings". Please see if you can help explain it to this old guy. Sorry if this came out more like a rant than a question. Later Y'all