VINYL MAKES THE WORLD GO 'ROUND! As a small business ourselves we were most definitely moved by the recent open letter to the collectors community put out by the little designer-toy-shop-that-can, Rotofugi. They like other similar shops of late seem to be having a tough go of it $-wise. This is common in business, but seems to be a bit of an epidemic recently and we definitely understand the vibe here. Back in the early oughts yours truly attempted to run a contemporary art gallery only armed with curatorial knowledge, and not too much in the field of salesmanship, and only a basic business plan. We were extremely popular and attendance was outstanding, as were critical reviews in the media, but the bottom line suffered as a result of low sales of available works. It was not all for nothing, nor for not trying.
ALARM CALL: So, when we heard about these guys in Chi-town we knew the proverbial cat was out of the bag from the inside out, and as a result released this story: Vinyl Shmynl or This Dunnys Gone To Heaven. But, the story doesn't end there, so we reached out to Rotofugi's Kirby Kerr and his wife Whitney, the couple behind-the-scenes, to get a better perspective on the situation as it stands...
Q: Hello Kirby - How was the response to your open letter about your economic state of affairs?
A: We are very fortunate that the response was overwhelming. Friends, customers and artists that we have worked with all helped share our situation and we received a literal flood of orders for the 4 days after we put our our call for help, and made the weekend after in store one of the busiest we've had in years. We obviously still have a lot of work to do to make sure we don’t find ourselves in a tough spot again, but for the moment we are back in fighting shape and excited about new ideas and ways we can make our business sustainable long term.
Q: Rotofugi is a classic "mom n' pop" brick n' mortar, is that right? Or do you have other business partners?
A: Yep, about as classic “mom n’ pop” as it gets! We’re a family-owned business (myself and my wife Whitney are sole owners) with a staff of 4 very dedicated employees, the oldest of which has been with us for almost 9 years. Whitney and I are also relatively new parents, our son Laszlo is 2 and a half, so we are both figuratively and literally Mom and Pop.
Q: Like a few other like creative folks out there have you considered the option of something like Patreon, or similar?
A: I think Patreon is great for artists, but doesn’t really fit what we do. We’ve long considered some sort of VIP Club with early access to new releases and other benefits, but in the end haven’t ever done it because we have a firm belief that everyone should have a fair shot at getting what they want. It doesn’t mean that we can guarantee anyone a specific hot new release, but we do our best to make shopping with us fair and not be the kind of shop where you need to know someone, if you know what I mean.
Q: I was saddened to learn that recently here in Dallas where we are located that Atama, a similar shop that hosted designer toy exhibitions and offered some cool items had to close after several years. They were pretty much the only type of shop of their kind in this huge city. Is that also true for Rotofugi, or are their other competitive shops that sell similar goods in Chicago?
A: Oh man, I hadn’t heard that Atama closed up. Bummer.
We are indeed the only dedicated designer toy store in Chicago, though I will say we’ve got a couple other places in town that cater to similar customers. Toy de Jour is a great vintage shop that also carries some blind boxes, and Nakama Toys is more focused on anime-style stuff. We do our best to support each other and send customers their way if we don’t have what the customer is looking for.
Q: One wonders about the root of the downturn of sales of designer toys. Sure, some can be higher-end with pricetags over $100, but often these are either unique or in limited edition. Of course we have a more digital society these days....and I've seen a lot of say, Funko products for instance, in shops you'd never expect toys (Nebraska Furniture Mart, 7-Eleven, etc.). What might you attribute consumer dollars to these days and why?
A: I’ve done a few interviews since we put our our plea, so I fear I’m starting to repeat myself. I think there are probably a lot of reasons that we’ve seen dwindling sales for designer toys. The 2008 economic collapse really wiped out a lot of great manufacturers and made the market much, much more volatile. Also, basic inflation has certainly hurt sales. We’ve seen the average blind box art toy go form $4-5 to $10-12 in the course of the last decade. Same for larger vinyl figures. The overall higher prices just mean that it’s that much harder to get new collectors interested, and bringing in new collectors is absolutely crucial.
Another factor is the general democratization of the buyer/artist relationship that is now much easier that it was in 2004 when we started. If a fan wants to connect with an artist or an indie toy company and buy directly from them it’s now much easier. I certainly do not begrudge both artists and collectors for going that route, but at the same time, it makes it hard for stores like us that need a steady stream of new products. Often the best new releases are either out of our reach, or only offered to us after they’ve been available directly from the artist/company for a period of time. Like I said, that’s not so much a complaint as it is just the reality that we have to work with now. It’s also not only about the fact that we can’t get good stuff as frequently, but the fact that it also makes it harder for us to help artists grow their customer base and make the industry as a whole grow.
The explosion of Funko is definitely a double edged sword. On one hand, it makes the idea of collectible toys much more mainstream, and certainly helps create some customers for other lesser known artists and companies. But at the same time if someone starts with Funko by picking it up at a 7-11 or Walgreens, there’s a good chance they’ll never move on to other designer toys. My hunch is that, overall, it’s good for designer toys for Funko to exist. They’ve made some outreach to the specialty stores like us in the recent past, and we do sell Funko Pop and Mystery Minis. They’re good starter figures and you can’t argue with their pricing. Some people just want their “Joker” or “Elsa” figure, not some fancy art thing, and we need to find a way to cater to those customers too.
Q: As I look out into the international market of designer toys, it seems endless, there are so many great visionary artists and makers from all walks of life. It would only seem hand-in-hand that these types of creations be vended by those who speak the vernacular of vinyl vs. resin or Suckadelic compared to Special Ed Toys. How important is the curatorial mind in your line of work?
A: I think there’s a place for everyone, but I see your point. We certainly do see ourselves as curators, both of toys and more traditional art since we have a gallery component as well. Our role, in my mind, is to help people see the connection between mass produced and multiples (toys) and original art. They’re both valid expressions, the method of production and scale may be different, but the intent is often the same.
Q: Could you imagine a world where small businesses are priced out by Amazon.com and Walmart? How do we change the attitude of the consumer to keep local in this double-click age -- and what percentage of your business comes from internet sales? How important is it to have a "showroom" where you can show-off your shiny toy wares?
A: I think that’s pretty easy to imagine. I’m guilty of being a pretty regular Amazon customer, the convenience and prices are just too much to look past, especially when you’re running a business and watching every penny. I don’t know the answer to be honest. I think we just have to remind people periodically that if they want businesses like ours to continue to exist, they need to patronize their local shops when they can. That and offer things that can’t be replicated online, experiences where you get to meet your favorite artists in person, for example.
Our online sales vs. in-store sales have remained fairly consistent for years. It’s about 50/50. That said, they’re different customers for sure. Online is mostly about exclusives and hot new releases (and where we primarily sell original art like paintings) where in-store is more about casual collectors and people looking for unique gifts.
I do think having places where folks can go into a shop, see the figures, their size and quality is super important. We hope that we’re the front line that is recruiting new collectors into the fold and educating people about what these strange toys are. It’s so much harder engage online than it is to have a real world conversation with someone who might have, literally, no idea what makes the toys we sell different from what they see on the shelf at a big box toy store.
Q: Do you have any particularly favorite recent figures?
A: For the last few years I’ve primarily collected Gargamel, but they’ve been relatively quiet. We’re in love with Fluffy House right now and their cute characters. I also really love the Horrible Adorables series that Kidrobot put out earlier this year, and of course, one of our own projects with Squibbles Ink, the Figgle Bits by Chris Ryniak are pretty great. ;)
Q: Anything else you can share about how you feel about the future?
A: The last week has taught me that while it’s humbling to ask for help, it is often the best solution to a problem. Instead of being pessimistic about the future of designer toys we are choosing to do everything we can to make it better for all involved. I think the future is bright if we can all manage to pull together and support one another.
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PS: The moral of the story is Go Local, support brick n' mortar shops now and often! Check out Rotofugi.