From engaged enthusiasts to plain gullible.

Started Dec 1, 2012 | Discussions thread
jayrandomer
Contributing MemberPosts: 626
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Re: From engaged enthusiasts to plain gullible.
In reply to PhotoKhan, Dec 2, 2012

PhotoKhan wrote:

jayrandomer wrote:

The projected sales in the product-life cycle for a new lens in our days is multiple, multiple times that of a model launched back in 2002.

Even if design and production costs have marginally or moderately increased (...they can't have rocketed because the basic design and manufacture processes are evolutions, not radical departures from previous processes...), establishing such an huge mark-up for a new version of a sub-performing product can only be accounted to pure greed and the knowledge that the target market will be gullible enough to pay for it, no matter what.

Shame on Canon. Shame on us.

I can't argue about your conclusion that it's overpriced, but I don't quite get why "pure greed" is always the conclusion when something comes out more expensive than we want it to be. Canon isn't a not-for-profit camera collective, it's a company that is expected to pay its employees and make a profit for its investors.

Why would an entirely newly designed lens justify a premium of 30 to 35% over the previous model (70-200) and, just a couple of years later, a similar upgrade (...minus a newly designed IS, mind you... ) call for a 70 to 75% markup, except for the simple "we can get away with it" reason?.

I don't know their costs.  Why does it matter?  How does profit margin equate to greed?  Is there some magical profit margin where it would stop being greedy?  All they are doing is selling a product to get the best possible gain for themselves.  It's not a public service.  If it's not justified for enough people, they won't sell money and they'll either lower the price (if they've even got room to go lower) or just consider it a failure.

I suspect the price is high to recoup the development expenses and provide for enough returns to justify those expenses in the first place.

New offers from the same models for each automobile manufacturers represent huge investments in design, manufacturing processes implementations and assembly line re-tooling and, yet, no one single brand would even think of crossing the 10/15% price increase threshold. Why?...because they couldn't get a way with it as clients would flock to other brand's, same segment, competing models.

PK

All you can do is not buy it.  Complaining about the company being greedy for not selling you a luxury at the price you want to pay is silly.

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