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…

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Showing 1 response by drbarney1

I am not convinced you always get what you pay for and I am skeptical of extreme prices. In 2005 the WAVAC 833A stereo amplifier was reviewed in Stereoplile magazine. Its price was $350,000. It had the grid of the 833A transformer coupled from a 300B SET. You can build this simple SET circuit yourself for less than $2000, $4000 if you use Western Electric 300B drivers. Hammond makes robust output transformers built the same way with the same materials as the most expensive Japanese transformers, all of which are not rated to carry as much DC current or signal current as the Hammond. You can drive the grids with Lundahl transformers which are arguably the best you can buy, and you can use globe 45 or 245 triodes which are built the same way Western Electric 300B triodes were built and drive them with mu follower directly coupled 6SN7 dual triodes. The power supply can have polypropylene filter capacitors when many $10,000 SET amplifiers use inferior electrolytic filter capacitors in the power supply. 

There has to be something fishy about selling such an amplifier for $350,000. 

What about speaker cables costing $27,000 a pair? How far do you have to go before credulity breaks down? 

Here is another consideration. A sound system will never perfectly reproduce how a live performance sounds. If a $5000 system is 70% accurate by some yet to perfectly define measure, is a system with six figure components that much closer, say $80?