Klaus Baumann - Trail Blazer for LGB

This is a translation of an article/interview published by GARTENBAHN profi in  magazine 5/2008, pages 16-21. The original magazine is available under http://www.gartenbahnprofi.de/Gartenbahn-Profi-Magazin/Jahres-Inhaltsverzeichnisse.  Italic text in parentheses is background information about related topics in the article.

40 Years of LGB (5): A Conversation with Klaus Baumann -- Trailblazer

"The LGB (loco) was a wonderful product but in the beginning there was no market for that" recalls Klaus Baumann. The former Vice President of Sales for Lehmann (Lehmann is the L in LGB) had to come up with something. Part of it was to podcast (a loco) in the hand of celebrities and VIPs.(And then ) Of course there were his TV appearances.

Klaus Baumann at his best: International Model Train Show in Cologne/Germany; standing in the outdoor layout "Little Erzgebirge" (Little Ore Mountains) at the LGB booth

It is a fine fit to our series (of articles) "40 years of LGB"- that started in issue 1/2008 and will end in issue 1/2009- to converse with a contemporary witness. He is known by almost all LGB fans since he was always 'at the front', conversing, answering, representing at model train fairs and conventions. And when TV reports called for coverage it was he who represented Ernst-Paul Lehmann Co; and he always excelled at doing his job.
The book" Bewegte Zeiten" ("Eventful Times") with the subtitle "Ernst Paul Lehmann Patentwerk, Geschichte einer Spielwarenfarbrik" ( Ernst Paul Lehmann Patent Plant, History of a Toy Factory) (Tümmler Verlag Nürnberg, ISBN 3-921590-90-6) reports at length about the premiere of LGB in 1968 and about the  up-and-coming times ahead. Hardly anyone knows more about this than Klaus Baumann, the longtime Vice President of Sales; the for-mentioned book introduces us to the beginning of his career at Lehmann:
"With Klaus Baumann a new Sales Director joined Lehmann in 1974 who knew this specific market segment very well due to his previous employment with the Nurember model train manufacturer Arnold (Arnold was the leading N-gauge manufacturer in Western Germany.Western Germany was the 'capitalistic sector' of the still divided Germany). He brought with him a lot of contacts, experience and new ideas and into (his new) company."
H.Jürgen Neumann being familiar and tightly intertwined with the history of LGB ever since 1972 (when the LGB magazine shown right was issued) visited Klaus Baumann at his home in Schwanstetten where he interviewed him for the readers of GARTENBAHNprofi (GBP) while enjoying a cup of coffee with (Mr. Baumann's) Boxer "Felix" snugly crawled under the garden table.
GBP: Mr. Baumann, You joined Lehmann in 1974. What did you find, what were your thoughts, and what are your personal memories about that?
Klaus Baumann: My very first task on the job was not that of a sales director. There wasn't even such a position before I joined (the company); they managed that task themselves. I already knew Messrs.Eberhard and Wolfgang Richter from my time at the N-train manufacturer Arnold (he's referring to the N-gauge ). While an opinionated Arnold came to the conclusion they wouldn't need a sales director back then I found an open playing field at LGB. I realized right away that LGB was a wonderful product but there was no market for that.(Model) Trains got smaller and smaller back then. Märklin had introduced  the Z-gauge in 1972 (scale 1:220). And we faced the problem: where (to) do we sell our trains? The dealers said:" Die Big Train is something for Christmas, come back before Christmas" and around Christmas they said:" That is something for the back yard, come back at spring time". So our thoughts went parallel to a simple, toy like entry. "Lehmann 74" was born as a starter bargain; it was a low-price battery train set with tracks made of Polystyrene  with a retail price of DEM 49,50 (equals roughly US$ 18.00 in1974) ++++++++++++++++++++stop on page 17++++++++++++++to be continued+++++

I.M. Wolfgang Richter - Part 7

This concludes (a series of) an article/interview that was first printed in the  German magazine  "GARTENBAHN profi" , issue 1/2009, pages 12 through 18. You can also go to www.gartenbahnprofi.de and download this article then utilizing a translator from your Google or Internet explorer service. In remembering Wolfgang Richter, the co-founder of LGB (Lehmann Gartenbahn) who passed away in November 2012 at the age of  84, this German article was published again by GARTENBAHN profi as a download. Italic text in parentheses is background information about related topics in the article.

GBP: I would like to come back to the problems of the model train industry that we talked about in the beginning. Of course on one hand we have the continuous decrease in demand. But then we also have the problem with manufacturers and dealers where there are only very few left who represent that 'blood,sweat and tears' responsibility who have difficulties sensing those inner desires of their customers. And then we just had immense price increases in the last years. " Kids and young people have to be recruited for the hobby" they say. If  a loco comes with the same price tag as your laptop then you know what  young people want and what the parents are willing to spend.
H.Jürgen Neumann: Basically you're right. That's just what I think, too. But it is a more complex problem. For a while they tried to convince (the market) with the label ' Made in Germany'. You know just as well that they demand everything without wanting to pay for it. And be reminded that the reasonably-priced 'Lehmann' and 'Toytrain' product-line was made for this very target group, the young. Regarding pricing I think they should have better focused on how much the model trainer was able and willing to pay. They wanted to 'adjust the screw' with the eXtra-Shop and - staying with this image- they twisted it. People were disgruntled and turned away. They overrated themselves well and truly at Lehmann.
GBP: What could they have done differently? Give me an example what you would have done differently.
H.Jürgen Neumann: My thesis always was to utilize the old molds of the classic engines of the early years to offer really well-priced rolling stock. These molds hat made their money long ago; they were sort of pitching themselves. I know he who has to decide a lot makes a lot of mistakes. At Lehmann there were too many mistakes made in production planning which is simply not comprehensible. And before you're asking: Adding standard gauge models to their product range means taking the wrong turn in my opinion; that's when they digressed from their straight line.
GBP: Well, you know the reason for that. They said they were running out of narrow gauge archetypes for models that were in strong demand.
H.Jürgen Neumann: That's not the way I see it.  Narrow gauge is just better suited for ever smaller back yards. Who has space for high-speed trains? I think it was a mistake. And to move manufacturing to China I think was an even bigger mistake. Just think about recognizable differences in quality and delays in delivery that resulted from that.
GBP: Mr. Neumann, we could go on like this for hours. Let me end by returning to the cause of this interview: the beginning and the heyday(s) of LGB in their first 20 years (after WWII from 1960's to the late 80's). We were reviewing these times over the span of 6 magazine issues and gave a pretty good insight into the founding years and the 'Golden years' of LGB. There happened a lot in the next 20 years, too but that story has to be written in years to come.   Wolfgang Richter turned 80 in 2008 and we want to congratulate him belated. I'd like to thank him on behalf of the readers of the GartenBahn-Profi Magazine for his achievements. His model train hobby delivered lots of fun to people. Mr. Neumann thank you for this interview.
H.Jürgen Neumann: My pleasure. I enjoyed talking to you about Wolfgang Richter and LGB. I am sending my greetings especially to Wolfgang Richter : stay healthy, lots of success for your future plans and take care!

Honoring Klaus Baumann  (center) at the Modell Hobby Spiel- fair in Leipzig in 2003. Klaus Baumann was the longtime General Manager Public Relations for EPL Patent Plant (the LGB name before LGB was EPL Patentwerk for Ernst Paul Lehmann who founded the factory in Berlin in 1881)Left: Gerhard Bayer, Chairman of the Federal Association of German RailRoadFriends -BDEF- awarding Klaus Baumann the Golden Pin for his achievements in the model train(industry). This was a recognition for Wolfgang Richter (right) as well in regard to the significance of LGB(trains).

I.M. Wolfgang Richter - Part 6

This continues (a series of) an article/interview that was first printed in the  German magazine  "GARTENBAHN profi" , issue 1/2009, pages 12 through 18. You can also go to www.gartenbahnprofi.de and download this article then utilizing a translator from your Google or Internet explorer service. In remembering Wolfgang Richter, the co-founder of LGB (Lehmann Gartenbahn) who passed away in November 2012 at the age of  84, this German article was published again by GARTENBAHN profi as a download. Italic text in parentheses is background information about related topics in the article.

GBP: Do you think that this 'making money' did also work regarding the before mentioned specialty series? And the 'Desing Tuning' thing was abandoned just because not enough money was made (verbatim translation: 'too little was left over')
H.-Jürgen Neumann: On and off the LGB program offered rolling stock where it was obvious they wouldn't make much money with that. That was obviously quite alright then because occasionally decisions were made based on different reasons. As Rhineland'ers we use the term 'just for the fun of it'. The propeller driven "Flyer" for instance was such a vehicle.   I am less worried regarding the "Frank S". I just thing that this model's profit margin was big enough to allow for selling a few price-reduced engines when her term expired. The LGB management itself was pretty excited  about the live-steam "Frank S". And the scale of LGB (engines) was predestined to dare go for such a project.  I myself utilized the  "Design-Tuning' project quite a bit back then; maybe I was the one who placed the most orders with them. The original concept implied to just use two car types to create your desired option. They didn't contemplate the onslaught that would swamp them.  Then again, the LGB factory benefited from this since the creativity of the LGB fans knew no boundaries. And some (of these) models later made it into series production. I refer to the the Saxon cars in green/brown and complete brown that I had them made for me and later those were added  to the LGB manufacturing program. The "Gourmino" dining car was also a customer idea. In general the time and effort that went into these tasks was extremely huge. I know so because I've been there when it happened, consulting desired-option models on-site. The designated Lehmann employee for (hand-made) samples for scheduled new products also worked  for the "Design-Tuning" department but more and more new products were added (to his time-schedule), so in the end they had to close the "Design-Tuning" department because of that. I still like the idea today and I am thankful for the opportunity back then and I give kudos to the decision to offer something like that. There is probably no other model train manufacturer worldwide ever to offer something like that.
GBP: And what about the Aster series that got dropped all in a sudden?
H.-Jürgen Neumann: The first series of the Aster metal-models saw a high demand, the customer had to make a quick decision and then pre-order with his dealer. Later on, years after they recognized the worsening economy in Germany. Just remember the constantly increasing unemployment rates back in those days. LGB recognized that as well. And to be a bit critical I have to say they weren't always that cautios when it came to choosing an archetype. You could have done that differently. The RhB trailing-tender steam loco G 4/5 would have been a nice model for being made by Aster. But it was made by Magnus and Kiss.

Sinsheim Model Train Fair in 2006  presented the LGB layout  owned and displayed by LGB- Friends of Much and was very well liked by Wolfgang Richter. The hand written note by Wolfgang Richter reads: "Just to see this wonderful showpiece by the LGB-Friends of Much was worth the trip to Sinsheim" an attendant standing next to me just told me. Right he is! Carry on (having) safe travels. Best Wishes (combined) with LGB-Pfiff (translates into smarts as well as whistle) Wolfgang Richter

I.M. Wolfgang Richter -- Part 5

This continues (a series of) an article/interview that was first printed in the  German magazine  "GARTENBAHN profi" , issue 1/2009, pages 12 through 18. You can also go to www.gartenbahnprofi.de and download this article then utilizing a translator from your Google or Internet explorer service. In remembering Wolfgang Richter, the co-founder of LGB (Lehmann Gartenbahn) who passed away in November 2012 at the age of  84, this German article was published again by GARTENBAHN profi as a download. Italic text in parentheses is background information about related topics in the article.

 ...............................But it is moot to ask now why they came up with the 20th edition of a Mogul or Mikado instead of a new K 27. Mistakes were made and they overestimated their own market power. That led to the rise of their competition.+++++stop on page 16++++continues now:

Lehmann Management in 1981.Top row left Eberhard Richter, top row right Wolfgang Richter; bottom left Klaus Baumann. The "bearded" head below Wolfgang Richter: Günter Ruhland -head mold Master

GBP: At Lehman, how did they react to that?
H.-Jürgen Neumann: Like a stubborn, defiant child. Their absence from the 'Queen Mary' sales-show in the USA was such a mistake also an act of defiance.
GBP: Over the course of time Lehmann received  many ideas from outside the company. Not all made it. In 1981, their anniversary year, they presented an "LGB cockpit with train-engineer functions" as the "new generation of the electronic throttle". It  never  made it into mass production. In the 1984 catalog a "Lighting and Workshop Car (No. 4075)" was announced that never made it, either. Then there was a" mechanical coupler system (No. 64540) that was gone just as fast. May be you know why these plans failed?
H.-Jürgen Neumann: They would have liked to offer that "LGB Cockpit " to the 'Bigtrainers' but the VDE-regulations (semi federal technical board in Germany, similar to UL in USA) did not seem to allow for that back then. And they had another problem; that thing would have been too expensive. With the 'Jumbo transformer' they later supplied the previously promised; and this time they used a trick to meet all the (technical) regulatory requirements.    Regarding the "Lighting Car" they had pricing problems again; the car would have had no chance marketing-wise. The same  happened to the curved turnout. The LGB-customers wanted them but the turnouts would have been way too expensive to manufacture. Back then they still kept an eye on price-performance ratio. In later years they got ruthless when it came to high prices. The coupler system was  ingenious and the cars should have been uncoupled by 2 hooks. Obviously the LGB customers were operating their cars with just one hook and showed little interest in this product. So they took this coupler off the market after a while.
GBP: Over the years, Lehmann proved to be a surprise to their customers, again and again.I am thinking of the hand crafted models that were made by Christian Höhne (known as Magnus in USA). I am thinking of the commotion the 'Frank S' got as live steam locomotive, I am thinking of the metal models by Aster made in Japan for Lehmann from 1977 on, and I am thinking of ideas like the 'design-tuning' department which from 1995 to 1999 was at the disposal of the LGB customer for his customized LGB model in regard of coloring and imprints. Could you please elaborate from your point of view how you experienced these special products?
H.-Jürgen Neumann: First and foremost the LGB factory was a for-profit undertaking. Even though they manufactured for the hobby market and had a healthy nest-egg they still had to make a profit. For some models that were on the LGB customer's wish-list there was just not a big-enough market (to make it profitable). Mold manufacturing for a new model was already devouring several hundred thousand D-Marks (compare to $150,000 to $ 250,00.00 in 80's or early 90's) so you had to be relatively sure to sell enough (to cover development and production costs).      A 'First Series' volume back then was about 3,000 (locos) manufactured. With the order sheets on hand from the dealers which they got at the annual Nuremberg Toy Fair the Lehmann guys could be relatively sure to sell (what they manufactured). And it wasn't before the third series of this model that they'd make any money. They manufactured a volume of 10,000 Moguls the first year but that (success) wasn't given to all (other) models.(Note : Yours truly cannot trace or confirm such manufacturing volumes for a Mogul first series  in our research.)+++++++++++++to be continued+++++++++++++++