Don't kid yourselves on them stopping the kits from not making a profit. They made more then enough for the scales of economics to work, plus it's all the same parts that go into an rtr plus more. It's just a sign of the times. Outside enthusiasts, no one wants kits. Why the rtr and artr took off years ago, why electric rigs took off so well. People are lazy and like the easy way.
Heck my one remaining local (ish) hobby shop sells more 1/10 and 1/8 e words then anything nitro and they stopped stocking 1/5 scale models all together. Even when i ask what they are working on, it oh upgrading esc/motor, bearings, kid hit a fence.... all stuff enthusiasts would treat as just part of owning an rc. And they are busy doing that kind of work too!
Sorry to have to say this, but, in all honesty, I don't think you have any true understanding of the additional costs involved in producing, as well as supporting, a kit. Yes the kit contains the same parts...but, there is a LOT more to it than just that. Packaging is different, increasing cost. The fact that all the parts have to be bagged in groups, in their own packaging, that increases cost. There's also the manual, which increases cost. Most importantly, a company then has to increase the size of their customer service department (due to the known fact that the number of support requests WILL increase), which can greatly increase cost. What you don't understand is that the dynamics of macroeconomics & microeconomics (if you don't know what these are, you're more than welcome to look them up) within a business change considerably.
I could go into a log diatribe, explaining everything involved, but I prefer to not waste space in this forum, or my time. Besides, even if I did, there's no guarantee you would truly understand. I promise, you, I'm not saying you couldn't understand (ie. I am NOT "questioning your intelligence"), only that understanding the complex dynamics of macroeconomics & microeconomics is not something everyone can fully understand. Heck, I'll admit that I don't even truly understand every aspect (I only got a B+ in my college class "Macroeconomics and Microeconomics: Math For Business Analysis"). So, instead, I will just say this. Years ago, I worked for a coupe of manufacturing businesses, so I've seen, first-hand, the changes needing to be made in order for something like this to be 'successful'. Some companies (ex. Rlaarlo) understand this, and so they start making the changes needed to succeed when taking on a new direction. Other companies either refuse to accept that such changes need to be made, or just choose to not make such changes, and, in the end, they can financially ruin the company. From what I can see, Kraken understood the changes that would be needed, and decided it "wasn't in the financial interest" of the company to do so. However, instead of continuing to make kits, and causing financial problems within the company, Rob Wee decided it was best to just discontinue the kits, and return to offering RTRs only. Hopefully, worded this way, it will make enough sence for everyone to understand.
Personally, I would have loved to see Kraken continue with the kits...I was one of the proponents that suggested to them, several times, that they should offer kit versions of their vehicles. At the same time, I repect Rob's decision to discontinue producing kits...and, for the most part, I understand the reasoning behind this decision. For a large company, such as Traxxas, to start producing kits, it's not as much of a financial burdon on the company...but, for a small company, such as Kraken, the financial problems it can cause can be considerable. It is for this very same rason that Rlaarlo, and Edison (Rlaarlo's founder & CEO) has stated that, at least for the foreseeable future, they have no plans to offer any kit versions of their vehicles.