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In Reply to: RE: Do you know anything at all about how the industry works? It sure seems not! posted by 3790 on July 24, 2012 at 17:20:25
Wow, I have not posted here in over 3 years, but the debates continue.
I own a pair of Harbeths (Compact 7 ES3) with an LFD Zero mark III amp and am looking to upgrade to the new 30.1s. Yup, they are spendy for sure and close to $6,400 for a pair in Rosewood.
I own a business that does substantial revenue in US and Mexico and Europe and could disect margins, COGS and revenue ratios until your head spins. What I simply do not grasp is the:
1. Price in the UK (3,000 pounds or $3,800) versus:
2. Price in US @ ~$6,000.
Shipping I undrstand, but the rest must be used as distributor margin before it gets to the reseller and that's the disconnect for me. Asuming Harbeth has a transfer price (from factory to US distributor) at equal to what the trasfer price is from factory to UK reseller, then the metrics here are clearly off base and Fidelis is making a healthy margin and I would imagine Harbeth still covers much of the advertising and marketing spend.
These speakers should be around $5,000 in US tops.
Follow Ups:
They are $4200 in Canada.
Holy Sh*t!
As there is basically parity between US and CDN $, then something is off here. Either the US is out of whack or your pricing is not applicable.
$3,800 in UK, $4,200 in CA (if you are, in fact, correct) and then $5,900 in US!! Something is disconnected here.
Because of all our dept and stimulus the us vs uk is 1.57 and I think us vs canada is about 1.1
Not so!
US and CA dollars are at par.
Other models in Harbeth line are same price in CA as US.
Look at my recent thread at top of Speaker Asylum.
Something is weird here.
The US vs UK is acurate. The US vs CA changes. but 5 to 10 years ago the US vs CA was .85
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