Will Canon make a profit (globally) on the M10?

meland wrote:

Strannik2011 wrote:

meland wrote:

Strannik2011 wrote:

Its hard not to make $$ on a cam with (most likely) such a low cost of production. The question is whether it will sell for MSRP. Personally, I think the price will me adjusted to a more reasonable one simply due to other mirrorless offerings on the market. In Canada it is listed at $730 which is nuts (IMO) for such a camera. I hope Canon will start selling body only (especially in North America) at a sub $300 price, which will make this camera somewhat attractive to the gearheads with their existing lens collections (just as a light travel cam). I doubt a lot of folks on this forum will be interested in paying MSRP for the kit (personally I am not interested in this lens at all). It is also possible that by the time we see a reasonably priced body only M10 option, Canon will bring to the market something more exciting in mirrorless. In that case, a lot of gearheads will probably be saving their $$ towards the higher end body. Or maybe Sony will come up with an a6000 successor with EF adaptor soon which will be even more attractive for those who already has Canon glass. In any event, M10 will sell ok with a price adjustment and a body only option. Just my opinion.

That's a reasonable opinion, that is if manufacturers were really that interested in 'gearheads', (your phrase not mine I hasten to add).

The truth, although most manufacturers would probably not admit it, is that catering for enthusiasts (shall we call them that?) is a pain in the proverbial.

They think they know more than they do, demand a lot, complain too much and don't buy enough to compensate.

Haha fair enough. I was just commenting in regards to one of posts above about whether this cam will sell in the "gear heads market".

But I also admit that I don't understand the mentality of a "usual buyer" who would agree to spend as much as Canon is asking for MSRP for the kit. WIth such advanced cameras on cellphones and so many cheaper offerings in "travel compact zoom and superzoom" categories, I just don't understand why would someone spend that much money on such an ICL cam with selfies/basic travel photography in mind. I know this market exists, but I just admit that I don't understand the reasoning behind it. So going back to the original post, I don't think this cam will be popular at MSRP regardless of the market. Canon will likely still make money on it though. Not due to popularity or reasonable price, but simply due to low production cost.

There will always be a segment of the population who are prepared to pay the MSRP initially. They may be just impatient, or not that price sensitive, or just have money to burn. No matter, the price / demand equation generally illustrates that when a product is first released it can command higher prices. Not to take advantage of that, whether at manufacturer or dealer level would probably be a bit stupid, especially as your competitors will.

or the camera will then look better when it starts to go down in price.

canon's selling the SL1 kits in USA for around 499 USD.

canon's actual MSRP in yen for the M10 is around 699 for the dual lens kit, and $360 for body alone, and $490 for single lens kit - so there's a pretty big buffer already in there for it to move down, without even really hitting an FOB change (logically speaking that is)