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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

Showing 1 response by prndlus

prndlus
55 posts
 

I’ve read of two examples from completely separate sources that were so similar they must be indicative.

A speaker manufacturer and an amplifier manufacturer both told virtually an identical story:

‘The ‘bean counters’ looked over the business and said, ‘You’re selling this for $3000.00 dollars? Price it at 10 (thousand dollars.)’

And then there was a story I read from a salesman about customers who are their own worst enemy, who think high price means best quality:

‘People would ask, ‘What’s the best pair of speakers you have? And I’d show them the $3000 pair, the best I had. Then, they’d see the $8000 pair and lose interest in the ones I was showing them. What are these?, they’d ask; tell me about these (the $8K pair.)

 

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