Is it possible for a high end manufacturer to overprice their goods?


Having just read the interesting and hyperbole laden review by RH of the new Rockport Orion speakers in the latest issue of The Absolute Sound, one thing struck me..

is it possible in the high end for a manufacturer to overprice their product ( doesn’t have to be a speaker, but this example comes to mind)? I ask this, as the Orion is priced at $133k! Yes,a price that would probably make 99% of hobbyists squirm. Yet, the speaker now joins a number of competitors that are in the $100k realm. 
To that, this particular speaker stands just 50.3” tall and is just 14.3” wide…with one 13” woofer, one 7” midrange and a 1.25” beryllium dome ( which these days is nothing special at all…and could potentially lead to the nasties of beryllium bite).

The question is…given this speakers design and parts, which may or may not be SOTA, is it possible that this is just another overpriced product that will not sell, or is it like others, correctly priced for its target market? Thoughts…

128x128daveyf

What we really need is more honesty and this sometimes comes in short supply, at least it has done in my fairly long experience.

That cannot happen if honesty cannot be checked. You go to the HIGHLY RATED automotive shop and get RIPPED simply for the reason you know nothing about vehicles. Same thing happens with same kind of "honesty" in audio industry. Many of you, as noted MANY times don’t know about that and try to argue.

How do you check honesty? You will need education. Education is set of useful information that had been established by the GROUP of people within the time that is given to a student or anyone desiring to acquire such information.

Education on basic physics, electronics and electro-magnetics can literally OPEN EYES of those surfing here and asking questions why indeed Audio Industry profits are nearly as good or BETTER as drug cartel.

@thyname

Now I’ll explain the reason why the profits are nearly same:

In case of cartels they take raw supply and bring it to the powder initially with cost of around $100 per kilo and when it gets to consumer it's $100 per gram (hypothetically)

In case of for example Nordost Odin speaker cable, it starts from somwhere $1 per few meters...

in an ideal world, 2 speakers from different brands with similar sound, characteristics, measurements, materials (~+-10%) would be priced similarly. But they aren't. 

If you don't burn 100 dollars bills after you sniffed coke with it, do your research. There is an amazing selection out there, be a numbers guy for a day.

@czarivey :

In case of cartels they take raw supply and bring it to the powder initially with cost of around $100 per kilo and when it gets to consumer it's $100 per gram (hypothetically)

Thank you for explaining the economics of a drug cartel. I personally have no experience with a drug cartel, so I rely on other people with experience in such matters to learn. See.... education!

In case of for example Nordost Odin speaker cable, it starts from somwhere $1 per few meters...

Source? Or you work for Nordost too?

 

@cd318 :

Your concerns are very valid and well founded. Good observations too. My humble advice on how to (try to) remedy the very valid issue you raised:

1) Lot of noise in the internet. You are right. Coming from "innocent" people with a secret agenda, whether from the manufacturers' side, or themselves profit motif. The key is to get to know the people online or personally that you learn to trust, both integrity wise, and from the perspective of matching their taste with your own. This takes years (if not decades) and constant exposure to what goes on in the hobby, user forums and publications / reviewers.

 

2) As many personal contact as possible with people. This includes dealers (I fortunately live in a place with several dealers, brick and mortar), friends you can visit in person, preferably who have a vast experience, great systems, and money, and finally, visiting audio shows any chance you can.

 

3) Most importantly, before purchase, be able to try for yourself, in your home / system. I realize that one would have to start somewhere (i.e. #1 and #2 above), as we cannot possibly try everything out there for ourselves in our homes.

 

 

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I guess if you go to Barnes and Noble and pick up basics of electronics and electro-magnetics, you will know instead of arguing

As naive as you think I am, I have realized that you have mastered the art of being very offensive to people, without being kicked out of the forums. And that’s skill you have. Thus your 5000+ posts in here (and counting).

Please don't take this the wrong way, and I mean absolutely no offense, a good person will never say jerky (only in a snarky cowardly way) things you post here.