Stratospheric audio gear prices
"Premium Pricing
Premium pricing is the practice of keeping the price of a product or service artificially high in order to encourage favorable perceptions among buyers, based solely on the price. The practice is intended to exploit the (not necessarily justifiable) tendency for buyers to assume that expensive items enjoy an exceptional reputation or represent exceptional quality and distinction . A premium pricing strategy involves setting the price of a product higher than similar products . This strategy is sometimes also called skim pricing because it is an attempt to "skim the cream" off the top of the market. It is used to maximize profit in areas where customers are happy to pay more, where there are no substitutes for the product, where there are barriers to entering the market, or when the seller cannot save on costs by producing at a high volume. It is also called image pricing or prestige pricing.
Luxury has a psychological association with price premium pricing. The implication for marketing is that consumers are willing to pay more for certain goods and not for others. To the marketer, it means creating a brand equity or value for which the consumer is willing to pay extra. Marketers view luxury as the main factor differentiating a brand in a product category."
Source: Boundless. “Market Share.” Boundless Business Boundless, 26 May. 2016. Retrieved 07 Feb. 2017 from https://www.boundless.com/business/textbooks/boundless-business-textbook/product-and-pricing-strateg...
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- 151 posts total
Not sure why anyone would care what the price is if it's something you aren't going to buy? There is plenty of moderately priced equipment to fill anyone's needs. Luxury priced gear is fine but just like $500 dollar shoes, I'm not buying because I don't see the value in that. The market you are talking about is very small and doesn't represent the majority of this hobby. |
Much of human happiness, for better or worse, is derived by one's status relative to others in one's perceived peer group. Expensive goods of all kinds is one way to try to raise one's social capital. Audio is just one of many ways to do this. In other words, if there's a criticism to be levied here, it's definitely not specific to audio. Blame the human race! |
If you don’t like the price buy something else instead of whining. I buy items I can afford, and don’t worry about things I can’t afford. Listen to the song. https://www.youtube.com/watch?v=6H6SiNVLcYU&ab_channel=GrooveNoteRecords |
- 151 posts total