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Old 25th February 2012, 01:30 PM   #1
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Default How do group buys work?

How do group buys work? I was looking for some amp to build that seem to be fairly common place here with designers or enough community support for the build and documentation. For example I am looking at the AAK symasym , leach and the fc-100 (Not all at once).

I notice that with group buys your project would be predetermined unless you run it also the quantity of the boards determine the price. I could be wrong but it seems a number of may have in interest in the amp at different times. Is there a way that a design can be given a status. Maybe like Apache project with incubator and top level. There would be certain criteria to meet a top level project such as number of builds, documentation, etc. Then if someone with permission of the author for a top level project wanted to run the boards they could pick a quantity that sets a reasonable price. I am not sure how to distribute the pricing structure. Then have a group buy on the boards. The problem at this point is that the person running the group buy would have netted extra boards or had them partially subsidized by the purchasers. If a larger run was made to save money, rather than keep them on the shelf could they be donated to diyaudio ( I see they have a store). In return diyaudio could consider this a non commercial donation. Then they would sell it on demand. This is given that a group buy is not for gain.

I guess this may be something that does not need to be addressed, but given a number of people build the same established projects having a reasonably priced board on demand would be nice. Also after an author goes though the whole documentation process, has an established support structure (not dedicated, enough people built it) it would be nice to tap into the existing structure on diyaudio. Also I am sure there are a number of holes in what I have above such as a donation in cash vs product, what determines if the project is in incubation, and the entire structure. Certain criteria and limits would need to be set. Also the ownership, dedication and camaraderie to the original group buy could be severed.

Sorry if this has been looked at already, or just does not may any sense in the current structure. Kinda thinking out loud.
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Old 25th February 2012, 02:17 PM   #2
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Join Date: Nov 2011
Location: UK
Group Buys are all about purchasing components that would normally only be available in bulk.

So you purchase 1000 of something then sell them in the quantities that are required by each user.

You can either risk buying yourself and hope that you will sell, OR collect sufficient pre-orders to ensure that the quantity that you have to G.B. will sell.

Either way, it is normal that you will have to buy in advance.

PCBs are a good one. Individually a single design might cost $50 or more to produce, but 100 might only cost $600. If you bought 100 of them you could sell them for $6 each.

Last edited by KatieandDad; 25th February 2012 at 02:20 PM.
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Old 25th February 2012, 03:20 PM   #3
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And you need to get in on a groupbuy while it's happening. If you find a thread for an old groupbuy you are pretty much out of luck unless someone has extra parts.
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Old 25th February 2012, 03:31 PM   #4
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@ KatieandDad, thanks.
@ theAnonymous1 yes, exactly what I am running into a timing issues. Thanks.

I was just thinking if the groupbuy leader had extra and wanted to move on, is there a place for them to pool the parts that others may want. I guess one could always PM the Groupbuy leader.
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Old 25th February 2012, 03:40 PM   #5
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Also if it is an established board, and you purchased 100 for diy only liquidated 60. If you wanted to could you "good will" the 40 to a pool, that future builders can access. If the pool was the diyaudio store, maybe in return they would consider it a donation. I am thinking outside the box. Maybe too far out.
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