Why Is Hi Fi Gear So Darn Expensive?


Why Is Hi-Fi Gear So Darn Expensive?! - The Absolute Sound

Interesting read.

"I recently heard a small 2-way stand mount speaker at a show. The sound was excellent. The product was priced at $50,000 or thereabouts, per pair. Allowing for distribution and marketing leaves about $25,000."

$25000 for distribution and marketing? Really? That much more for this than a similar product at 1/10th the cost?

I don’t doubt the marketing cost per unit could be much higher with boutique products. Makes sense. Is the cat is out of the bag regarding the value proposition of boutique products?

How about fancy fuses marketed for free here that cost practically nothing to ship? Oh my!

I guess there are "excellent" expensive boutique products and others that offer value everywhere. Hifi not unique. Take your pick! Live and learn!

The article also chalks up people’s reactions to high-fi prices to emotion. What about the sound they hear? Real or emotionally distorted? What would Mr. Spock think about that? I know he likes music...he plays a harp!

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I’ve been looking at speakers lately and noticed the grilles for Magico speakers cost $850 or something.  The grilles!  There is nothing fancy or special to make them cost that much.  This is just one of many, many examples.

On one hand it seems like manufacturers are taking the piss.  But on the other hand, wouldn’t that leave an opening in the market for some upstart to go for massive volume sales at lower margins, by creating top performing gear at a fraction of the cost?

multiple reasons surrounding the central [greedy] reason of "just because it is what the market will bear." your effortless ability to afford exorbitantly-priced luxury hi-fi gear is one of those symbolic things that tells potential mates that you have enough cognitive and physical prowess that you can take care of yourself and a mate/children with no problem, that you have no trouble earning lots of $$$$$$ in a short amount of time, disposable income in general is one sign of this quasi-genetic fitness for mating. 

They asked what they want and that's the only thing. I can built an amp good looking finish sounds pretty good and van asked 20.000dollars.

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What’s amazing is the sheer  number of ‘cottage’ hi fi manufacturers who create products north of £30000. Given research and manufacture costs for what is probably a small number of sales, I’m not surprised at the price for such high end gear, even with the huge mark ups in price. I guess the more established manufacturers can afford, and need to, to create a flagship product for competitive reasons, benefiting from the trickle-down effect into mid-range products. But for smaller manufacturers, not sure how they make a profit if they just product a couple of high end items.