Why Is Hi Fi Gear So Darn Expensive?

Was it Julie Mullins from one of the legacy mags that recently described the trend of manufacturers targeting the "ultra" high-end? I know I commented on it, and thought it was here (though I'm not a regular reader of the magazines anymore).

In the early '70s, when I got serious about this hobby, everybody had a stereo system. It might not have been a great one, but usually TT/Receiver/bookshelf type speakers. 

Today, hi-fi is not just a niche pursuit, but a luxe goods product. Which allows a lot of room for profit- from the importer/distributor to the dealer and on to the consumer. The market will bear these costs to a degree but the enthusiast market, in my estimation, was never about how big the check was- it was the pursuit of building something excellent (whatever that means to you) over time--many of us gradually upgraded to get where we are after various systems that were probably more than "OK" to the average consumer. 

Part of it is simply consumer culture. An Hermes store opened on South Congress near me. For old Austinites (I don't include myself in that category), it is emblematic of the "new Austin."

A lot of the people I know who have long been deep in this hobby are not in the billionaire class- they are just ardent hobbyists who don't spend on boats, Ferraris, second or third homes, jet shares or whatever. (I read a funny thing recently that said that X was a product for people who ran out of things to spend money on). For some reason, I don't think hi-fi is even on that list for most people.

In short, we are nuts about this stuff- hi-fi bugs (I think I did keep the LP with that title and the art is photos of insects).

Respectfully,

@whart "they are just ardent hobbyists who don’t spend on boats, Ferraris, second or third homes, jet shares or whatever"

Regular people don't get to spend on boats and Ferraris ever. They may buy a new mid-size car once or twice in their lifetime.

95% of the people, including me are trying to pay their bills on time, and avoid penalties. We are not not billionaires, we have 0 money to spend at the end of each month. Spending $500 on gear is a magic trick we can pull once every 5 years or so, when the stars align.

@grislybutter -fair comment and my observations may be dated. At the time I came up, it was possible to buy really good hi-fi without being rich. I depended much on used cast offs from the flavor of the month club. Now, that may be out of time.

I made money when I worked, but I never considered myself rich. I lived well based on my choices-- today, it is probably much harder. I have no kids and as long as the basics were covered (the mortgage, the normal overhead, eating, etc.) I was good to go. Perhaps we live in a different world now. NYC was never cheap and I always felt "behind," but somehow I carve a good life out of it. Today, maybe that isn’t possible; I don’t know. I’m a retired NYC copyright lawyer who kept very busy when I was in demand and eventually decided the fast track was no longer for me. By the time I bailed, I was in my late ’50s. I’m now close to 70 and don’t regret a minute of it. I had a blast.

@whart good for you! I know most people here are above or way above average and I am happy for them, their ability to pay for their hobby. There wouldn't be Ferraris and 30K speakers without them.

whart

... the enthusiast market, in my estimation, was never about how big the check was- it was the pursuit of building something excellent (whatever that means to you) over time--many of us gradually upgraded to get where we are after various systems that were probably more than "OK" to the average consumer ... A lot of the people I know who have long been deep in this hobby are not in the billionaire class- they are just ardent hobbyists who don’t spend on boats, Ferraris, second or third homes, jet shares or whatever.

I think that’s an excellent summation and we all started somewhere. For some of us, audio is a long-time priority, so that’s where much of the "discretionary spending" goes. Further, it’s a bit simplistic to think the alternative is a Ferrari or boat. It’s really all about the habits and practices that Thomas J. Stanley explained so well, starting with The Millionaire Next Door.