Olympus abdicating entry level ILS market?

sderdiarian wrote:

007peter wrote: The entire point of Low-End isn't to make money, but to maintain growth.

Many of us begin Micro43 journey with a cheap Olympus E-PL1, E-PL2, E-M1, E-M2. It is the entry-level-camera that attract new users into the fold: hence the growth. Then later, you up-sell them to higher end advance models like EM10, EM1, GH4.

Without entry-level-camera to entice new users into the fold, M43 base will dwindling. Going premium is a profitable short-term solution, but a long term disaster in the making.

I have to agree. Name a car manufacturer that doesn't have a volume sales leader as the entry portal to their brand. Maybe Rolls Royce and Ferrari? Hardly volume leaders, but rather ultra-premium niche players, something Olympus and Panasonic clearly are not.

The arguments by some that Sony is perhaps "dumping" their 24MP a5000 at an MSRP of $500 strikes me as a stretch. I'm guessing this price was set for their volume leader model to make money, just not as much profit as their mid-tier models. That's part of a fundamental marketing strategy of getting new customers in the door and later keeping them through upgrades.

Finally, somebody understood the real economy. Sony isn't making A5000/A5100 to make a huge profit, but instead to price them Lower > Micro43 to attracted and LOCKED users into Sony E-mount. Once people buy into a system, they aren't likely to switch to another system. That is why every manufacture have an entry-level-model.

Here is the latest BCN Sales # from Japan. http://bcnranking.jp/category/subcategory_0008.html

• #1 Nikon D3300 double lens kit
• #2 Canon 700D (X7i) double lens kit
• #3 Nikon D5300 double lens kit
• #4 Canon SL1/100D/Kiss X7
• #5 Canon 700D (X7i) + 18-135mm STM kit
• #6 Sony A6000 double zoom kit Silver
• #7 Sony A6000 double zoom kit Black
• #8 Canon SL1/100D/X7 double lens kit2
• #9 Olympus e-PL6 (the only M43)
• #10 Nikon D750 + 24-120 VR kit

Not a pretty picture for Micro43.

• DSLR outsell mirrorless camera easily even in the mirrorless loving Japan
• The only M43 is an "entry-level" Olympus E-PL6 (not your high end EM1, or GH4)
• 6/10 camera in the top 10 lens are Entry-Level-Camera
• 3/10 are Mid-Range (Canon 700d + Nikon D5300 + Sony A6000)
• 1/10 are High End FF camera

2014 hasn't end yet, but here is the figure from last year.

• http://m43photo.blogspot.com/search?q=+BCN

The fall of M43 in Japan coincide with the rise of Sony.  That figure likely get worst since it doesn't factor in the sale impact of Sony A6000/A7.  I live & travel between USA and Asia frequently, and I can tell you from experience, that Sony is the only mirrorless I'm seeing in Asia now.

Now, selling cameras that were released at $1100 MSRP with kit lens for a desperation price of $599 (GX7) or a camera that was released at $749 MSRP with kit lens for $499 (GM1), that's another matter. That's more likely indicative of overly optimistic MSRP's and sales projections.

Olympus? Their release of a camera in 2014 without a built-in EVF for $699 (E-PL7) simply flies in the face of what the competition is doing and the marketplace is buying. That they have no current model to compete with the $599 24MP a6000 with EVF, or the $499 24MP a5000 without EVF is frankly startling to me. Perhaps the E-PL7's price will be reduced quickly, but that approach risks sowing distrust in their pricing by purchasers.

Exactly my point.  GM1, GX7 are all great camera, but neither one of them can compete against a Sony a6000 pricing it at just $599.  Sony has bigger sensor, better low light, better dynamic range, higher 24mp vs 16mp, and above all else, a lower price tag.  That is why Sony is selling so well, and Micro43 (gone premium niche) isn't selling well @all.

I didn't realized that GX7 was price so high @$1099.  Checking M43rumor, I can buy a brand new GX7 body for just $399 now.  Good for 1st-time buyer but bad for existing users who paid the original $1100.  Why not price the camera Lower in the beginning, instead of suffering a humiliation of massive depreciation?

This is my last post on this subject.  I speak my peace and vent my frustration.  I'm moving on.  Merry X-Mas everyone.

I find it odd that EOS M is actually gaining ground and Nikon 1 is losing it... I know it's totally unrelated to the main M4/3 vs Alpha conversation but still. Did Japan have the same EOS M fire sales the US did last year? I guess that would contribute to it...

Kinda amusing the two mirrorless systems with the least amount of new lenses were the one experiencing the most growth. Dunno if that says something about the typical mirrorless buyer in Japan or it just traces back directly to the big sales.