Things you did not know about what is inside your speakers and the Huge markups

@ghdprentice wrote:

The "look what the drivers cost" argument has been around for decades. It assumes that a loudspeaker is simply the sum of its parts. In reality, the parts are often the easy part.

The late Peter Snell did great things with his Type A's with the use of cheap drivers, but because of that it can't be denied they had their limitations in certain respects; there can be an incentive to cut the cost of parts for nothing but that, so just because there's a want for more expensive drivers (totally taken out of context of the overall design of a particular speaker it may be) doesn't necessarily mean it isn't warranted and can, ultimately, lead to better sound. Then of course it's likely a very different design, so no doubt a better idea would be to look elsewhere for other speakers. 

What you're paying for is the engineering required to make multiple imperfect drivers behave as a coherent transducer in a real room. Anyone can buy the same drivers. Far fewer can design a speaker that disappears and makes music.

Agreed, except "paying for [...] the engineering required" is a cousin to the chosen markup multiplier, which is - essentially - set by the rules of The Wild West and therefore makes it nigh on impossible to have price being a reliable bearing. 

Judging a speaker by its bill of materials is like judging a symphony by the cost of the instruments.

But is it really that simple - I mean, does it boil down to the claim that it's about judging a speaker solely on the basis of its bill of materials? I anything that's a convenient takeaway that fails to take into account how better/more expensive parts in conjunction with a carefully executed design can lead to a more complete sonic package. 

You know it is BS when you hear there is not "objective sonic difference" between $5K and $10K speakers. 

You could say that about any differentiated design regardless of cost, but since you refer to speakers where one is twice the price of the other, do you really mean to say the more expensive one is objectively better (and not just different)? If that's the case I don't see how you would. Markup multiplier + luxury finishing is dead weight and inversely proportional to value, so throwing that by the wayside in some measure leaves more room for better parts in addition to letting good engineering be more widely accessible to more people. 

@phusis 

There are almost always two variable when comparing audio components, sound family and sonic quality. It is important to be able to tell the difference. I've been listening to audio components for decades and often listen to a single company speaker like Sonus Faber, Wilson, DynAudiom or B&W. So my comment on difference between $5K and $10K is about performance within a category... or sound family. 

Assuming a competently designed crossover (which isn’t difficult these days) 90% of speaker performance comes down to the drivers and cabinet construction. Crossover part “quality” has very little actual impact on performance; and yes, I’ve conducted enough trials to know. 
 

There are cases where inexpensive drivers (Tectonic BMRs for example) can rival far pricier drivers if utilized well within their comfortable range. The rip-off speakers are those that retail for $5K^ but are equipped with the likes of $50/each Seas Prestige drivers. Many brand’s in-house manufactured drivers are severely overrated as well (some Dynaudio and Focal stuff for example). 
 

There are Speaker Companies that design and Produce Speakers that are sold at a near a 500% - 1000% Mark Up. Then to be sold for a period of time by Distributors/Retailers at another 100%-200% Mark Up.

Speakers produced by these companies can be found regularly with retail pricing for a final customer between $20K - $200K.

These are the only Speakers worth buying. Everything suggests they are the very, very best option, as their price dictates how good they are as a speaker.

The escalated markup ensures there will be adequate packaging used when shipping occurs. 

Note: In the US, certain States don't have to comply with usual retail warranty legislation. The escalation in pricing added on by the Vendor might get a Customer a 30 Day warranty, if really lucky, a 365 Day Warranty. 

Is it really a reality that the above is the only option to a customer? Is there no other way for a customer of the above purchase method to realise a high-quality performing speaker to be used in their audio system? 

I own a pair of Sonus Faber Olympica Nova Vs. When I purchased them they were $18K. Since SF makes speakers of all prices, including ones many time the price of the ones I purchased, one can listen to the differences between their sub $10K speakers and their more expensive ones, and judge for yourself. I think there are audible differences, especially in the trebles and mids.

To me the argument about retail being too expensive is fatuous. I spent many years in retail and wholesale distribution. Everything you buy has multiple markups. It is my understanding that audio dealers get about a 30% margin on speakers, meaning for every dollar in retail they make about 30 cents. A normal markup for items in that price range. Also, on brand speakers like Sonus Faber, the distributor sets the price. That's why you don't see deals on new SF speakers or Magico or other good brands.

Before my Sonus Faber speakers, which are all hand made, including the drivers, I owned Golden Ear 2+, thinking I was getting a hell of a deal. To my ear, they sounded much better than their price. In the end, I had several pairs break. Withuot using explitives, whcih Audiogon frowns upon, they were cheaply made. And the minute I auditioned my Sonus Fabers, I realized what a good speaker sounded like. 

When I have gone to shows, I have seen that the good stuff sounded better. If part of what you're paying for is R&D, the manufacturer also has to pay for it. Good audio engineers don't work for minimum wage. 

Audio dealers are constantly going out of business. Do you think that was because they charged too much? I'm sure there are products out there that are too expensive, but for the most part I would say you get what you pay for. If you don't have $!8,000 for speakers (now $22,000 because of tarrifs), Sonus Faber has relatively inexpensive ones, as do many high-end manufacturers.