5D price drops again - Bad marketing?

Please correct me if I'm wrong, but wasn't the initial price of the 5D around $3600? Then it dropped for around $3000 and now, at least in Europe there is a new rebate of 300€ starting next week.

As a consumer, I think this doesn't inspire much confidence. If I had bought one in the beginning (6 months ago) I would be very upset. If I was planing on buying one now, I wouldn't know if I should wait for the next rebate. It looks they are trying to take the most out of every potential customer, and for me this is bad marketing.
Any opinions?

Unfortunately, that's par for the course with digital camera pricing. I paid $650 for my Nikon 5400 and I shutter to think what others paid for it less than six months later.

The reason why some camera prices are coming down now is that the Photo Marketing Assn. Conference and Trade Show is taking place the end of the month. New cameras have and will continue to be announced this time of year. So you can buy last years "greatest" at reduced prices as stores get rid of older inventory, or wait and buy the "latest and greatest" at top prices.

--
gail ~ http://www.pbase.com/gailb
My digital camera BLOGs: Canon S2 IS & A510, Panasonic FZ3, Nikon 5400
http://www.digicamhelp.com/digital-camera-blogs/index.htm

This is probably in anticipation of new product announcements. There has been rampant speculation about a Canon 20D replacement (the 35D) which will be full frame or 1.3 crop and cost $1500.

That would alone probably justify an adjustment in 5D pricing to the sub $2500 price point.

Alexandre Vaz said:

It looks they are trying to take
the most out of every potential customer, and for me this is bad
marketing.
Any opinions?

Click to expand...

Yes. If sales volume starts to fall off they should raise prices, not lower them. ;-)

Curtis2 said:

Alexandre Vaz said:

It looks they are trying to take
the most out of every potential customer, and for me this is bad
marketing.
Any opinions?

Click to expand...

Yes. If sales volume starts to fall off they should raise prices,
not lower them. ;-)

Click to expand...

Yeah, and price yourself right out of business. In todays market you have to make it on volume. Iv'e been in sales for nearly 30 years
and at one time my products where market up to nearly 200%. Now
days i'm lucky to get 40%. In the good old days you did well selling
one piece at a time. Not no more. Volume my friend, volume. Ask the
Waltons! 8-D

--
Keith Lawrence
Perryville,Mo. USA

Canon Pro 1
Canon 430ex
Canon 510
Former Canon S2 and S1

http://www.pbase.com/keithallenlaw

The 5D online price started at 2770€ (3324$) and is now 2530€ (30036$) in Germany and Austria.

240€ (less than 10%) cheaper after 5 month (and after Christmas). I mean a completely usual price drop for such a product.

You wrote, at least in Europe there is a new rebate of 300€ starting next week. Good news for me. Could you give any reference?
---
Best regards
Wertdinger

Within the last month, I came so close to buying the 5D for under $2500 at dell home. I actually had it in the cart and confirmed. Deciced to wait till after PMA to see what else Canon was going to come up with.

Standard pricing tactics for the marketing curve.

Early adopters pay high price which lowers as it moves to mainstream production...price levels until model becomes obsolete or demand starts fading...deep discounts abound to move remaining units. Cost of production also follows this trend, so their profit remains somewhat stable.

--
Targatop

Perception is reality, period.

Not to mention that it helps stem competitors for filling that product slot, because they realize their ROI on R&D early, then make decent money on selling the model after the factory has been tooled and production is cheaper...so first to market has the advantage...

--
Targatop

Perception is reality, period.

keithallenlaw said:

keithallenlaw said:

Yes. If sales volume starts to fall off they should raise prices,
not lower them. ;-)

Click to expand...

Yeah, and price yourself right out of business. In todays market
you have to make it on volume. Iv'e been in sales for nearly 30
years

Click to expand...

i think he was being sarcasist

damo

--
**********************************
'Most often the glass is more capable than the photographer behind it'.
http://www.designsbydamian.com.au

I just look and it seems the 5D is still about $4000 in Vancouver.

--



Jeff
http://www.members.shaw.ca/onepunch/cars.htm

It's a simple formula, based on supply and demand. Low supply+high demand=high price. This is the case for a new camera, like the 5D. As supply increases (more being made) and demand drops (people have bought them, and/or new competing cameras from other manufacturers appear), then price drops. If the cost of manufacturing/distribution is low enough in the first place, then even after a substantial price drop they're making money. As for the consumer, well, you can always wait until the price drops after the product has been on the market for a while--but in the meanwhile you don't have the product to use/enjoy, and next thing you know there's a newer product still (maybe higher priced). When the 5D came out, my sense was that the price was higher than it needed to be, so that Canon can easily afford to cut the selling price. I have a 20D, and the price difference between that and the 5D was too much for me to give it serious consideration.

Bob