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MSRP, diferentiation and the illusion of value

I've been an audiophile for a very long time.  I've gotten to listen to a wide variety of gear, and even participated in the creation and manufacture of some audio gear in my past.  Took college courses in audio engineering I was not prepared for, and read quite a bit from the usual audio rags.

I want to share something I think every audiophile should know, which is how manufacturers leverage the suggested retail price (MSRP) as well as product differentiation to create this illusion of value.

A lot of gear sounds different. Cables are good examples. You make a cable which sounds different to a perceptive ear.  It doesn't matter if it's better or worse, but just make it different, and raise the MSRP above other cables costing similar prices to manufacture. Throw on some connector jewelry and exotic fabric to dress them in and bam, your $1 to make cable just became $250.

My point is, too often audiophiles want to equate different sounding with better. If the MSRP is higher, well, that reinforces this idea that this difference must be going towards some illusory holy grail, floating above the tower of nuns. Another factor that benefits the seller is that we almost never ask ourselves how much this difference is worth.  Lets accept that these cables, or speakers or amps are different sounding, and that you have judged that difference as preferable to what you wanted to buy when you started. How many of us step back and ask "is this difference worth the $$$ being asked?" Will it make my life that much better, or am I just bejeweling my sensual pleasures every chance I get?

I'm not begrudging anyone the right to spend money how they please.  I do however think audiophiles who feel like they work hard for their money to stop and think about these natural forces when judging how they will spend it.
erik_squires
minorl
1,016 posts
 
I actually don't  agree that Audiophiles don't give thought to the value (read, price) of equipment.  They are very much aware of the value/price.  Some either don't care, or the price is acceptable to them, or like me, they lose their @##?? mind on occasion and wake up the next day lying next to new "upgraded" equipment.

The OP is actually correct that some determine that different is somehow better.  Until after acquiring the new unit, they listened for a good while and realize that in actuality, the replaced piece was better.  

Some don't even know how to listen or what to listen for in order to determine "better".  Some determine that changes in volume is "better" because they didn't match levels before doing their A/B comparison test.

It is  journey for each and every one of us. We live, we learn (hopefully) and try to enjoy this hobbie and the positive interactions with others in this difficult, confusing, fun, stupidly expensive and enjoyable hobbie.

enjoy
jtcf's avatar
jtcf
1,617 posts
 
It's easy to lust after audio equipment just browsing through advertisements. The marketing folks know how to get our pulses quickened.Same thing with food adverts.For me personally, I have been underwhelmed more often than not when I've had the opportunity to sample $$$$ systems.
glupson
7,842 posts
 
"...floating above the tower of nuns."

How did you come up with this one?
lp2cd
101 posts
 
Ha! Very true and well said.

For many decades I made wine professionally. It's very much the same in the wine biz. Every wine is at least somewhat different, but there is no objective or absolute standard of wine quality. (Defect, yes.) Since wine quality is almost entirely subjective, people, even professionals, often judge a wine's "quality" based on price. Some inexpensive wines are very good, even some Two (now Three) Buck Chuck. (Now THERE'S a story!) It's largely a matter of selling one's story to the customers and embellishing it with a fancy or unique label or bottle, then convincing them that the wine's difference somehow makes it special and uniquely desireable. Then, if the quantity is limited — this one barrel or this special vineyard — a talented vintner (vintner means "wine merchant," NOT winemaker...) can con an outrageous price out of a bamboozled consumer.Caveat emptor!
jtcf's avatar
jtcf
1,617 posts
 
@glupson
"..floating above the tower of nuns."

How did you come up with this one?
I know you remember that scene in The Holy Grail
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