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

@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. 

The level of markups has been well known for the last 50 years.  What never stops surprising me is how many still happily pay them.  The DIY crowd has long side-stepped this buy building their own loudspeakers and electronics.  Even the good kit systems are a bargain.

The kit amplifiers from VTA perform just fine thank you at a fraction of the price of the big names.  When you find them on the used market, theyʻre insanely cheap compared to new gear that performs no better.

People love to point to the Big Name brands and go on about how their engineers use proprietary magic dust.  You can get equally good engineering from the better kit designs.  The Joseph Audio Perspective 2, which retails for something around $14k or so today, is almost identical to the SEAS Thor kit, designed by Joe DʻAppolito himself, from Madisound at about $2700.  

The Linkwitz Lab designs have long been hi-end audio reference grade.  Even today, you could build the full LX521 system - loudspeaker enclosures, drivers, active crossover, amp channels and cabling, for well under $10,000.   The LX521 compares just fine to loudspeakers in the $50k+ range.  Tack on the major price tag for the amps buyers of the $50k+ systems use and itʻs not hard to drop more than $100k on an amp/loudspeaker combo no better than a DIY LX521.

Iʻm still running my Linkwitz Orions some 20 years now.  Sill love ʻem.  When you see them on the USED market, they can be had for very low prices.