DIY driver prices are quite misleading in terms of how much things cost at a wholesale level. This gets even more pronounced when drivers are made in house by the company itself, such as B&W and KEF.
The 10:1 scale is usually the one that is quoted time and time again for most reasonably expensive pairs of loudspeakers. So if it costs $10,000, then it cost the company $1000 to actually make. Half of this flat off comes from the retailer. From what I've been told the retailer will double the wholesale price straight off the bat. So if they are charging $10,000 for a pair of loudspeakers they will have purchased them for around $5000. The other $4000 goes towards peoples wages, marketing and shipping.
When you think of it in those terms you realise how cheaply a company like B&W can actually make a pair of their 800D2s. And also when looked at in these terms it isn't so surprising to find that the YG acoustics loudspeakers cost what they do. Setting up aluminium tooling, such as they use, is phenomenally expensive. Their Carmel 2 costs around $25,000. To them $2500. This is actually in line with what you'd expect.
audiophile dealer markup ( split) for 50% is the same as " fine art" dealers. LOL
Thx I just wanted the OP to give a source for his numbers.
I reckon it's sort of like asking the painter how much a tube of oil paint is haha
Thx I just wanted the OP to give a source for his numbers.
I reckon it's sort of like asking the painter how much a tube of oil paint is haha
Sources are very good. 😉
But don't take my word for cash, check by yourself. Many manufacturers are using public available drivers. You can do the math. Wholesale discount vary from 25% to 60%.
In-house drivers can be cheaper if made in very large volume, but most of the time the R&D costs makes it the same or more expensive. But since the design is exclusive, it has marketing value.
It can vary a lot from manufacturer/distributor/retailer to another, but let's put a realistic example here:
Manufacturer's cost: 5,000$ /pair (total: including packaging, R&D but NOT overhead fees)
Manufacturer's sale price: 10,000$ /pair
Distributor sale price: 15,000$/pair
Retailer sale price: 25,000$/pair
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That's an example only. Numbers can vary.
Keep in mind that ALL of these companies can have only 5-15% net profit at the end of a typical (good) year. And bankruptcy awaits if sales volume is not good enough.
Manufacturer's cost: 5,000$ /pair (total: including packaging, R&D but NOT overhead fees)
Manufacturer's sale price: 10,000$ /pair
Distributor sale price: 15,000$/pair
Retailer sale price: 25,000$/pair
----------------
That's an example only. Numbers can vary.
Keep in mind that ALL of these companies can have only 5-15% net profit at the end of a typical (good) year. And bankruptcy awaits if sales volume is not good enough.
I don't know about today but 15-20 years ago the profit margin on cheapo mass-market speakers was very high. I worked for a big electronic retailer in Canada and i have seen speakers retailing for 899$ with a cost price of 250$.
Usually, higher is the retail price, the less % profit margin is. You probably won't see 50% margin on 100k speakers....
Also, notorious manufacturers can reduce the gap. I wouldnt be surprised to see B&W 20,000$ speakers with a retailer cost of 15,000$ of even more. Because the B&W brand alone can drive traffic in the shop...
Audio retailers in the high end typically markup up 100%. (ie double) the price they pay. If you think that is a rip off ask who is getting wealthy. There are more dealers on the verge of broke than wealthy. Compared to the mass consumer market volumes are small. Same as other luxury markets... fancy yachts, cars etc.
In the 5 years i worked in audio retail, 40 points was usually the maximum cost to retail (sometimes cartridges and accessories would be more). Actual typical resale price was 20-30 points and stuff that didn't sale often went out at cost.
dave
sorry your credibility is sinking further n further.
that's not to my knowledge except for maybe the tiniest no name brands.
FWIW Any large orders >1K and you can customize just about any "standard" driver to your specs. There are what, about less than a dozen major OEMs left in DIY land and the big boys have all theirs in house or captive manufacturing.
you cant generalize like yer doin, there are just too many market segments. jeeze some of you guys pullin dumb numbers out yer butts.
🙄
yours just reached zero.
...why do i even lose my time giving you an answer ? no, seriously...
Scan-speak, ATC, Audio technology, Peerless, SB acoustics, etc... Do you really think these company relies only on DIY market and ''tiniest no brand name co.'' ?
Now, please, there is a lot of threads you can go. Leave that one for the adults.
u wanted me to do the "math" based on your silly statement that speaker designers use DIY sourced drivers, now yer flipping it around. sheesh
boy when the youngsters use that as their argument against a grey beard they reached the bottom.
**BREAKING NEWS**
Sonus Faber uses Scan-speak drivers.
Therefore the Italian company enters the tiny no name club.
Want to see some pictureS of what it looks like, inside a tiny no name brand company ?
Visite de l’usine de Sonus Faber en Italie | Le blog de Son-Vidéo.com
Looks exactly like my brother-in-law basement.
what ever , whats your point now? Im sure they have their own custom drivers built at a cost. grab their numbers and get some quotes. you want me to do the math for your statement?
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Ok, please, Gandalf the grey beard: Write something valuable for the thread or let it be.
k
this is dumb
high end market is NOT driven by components costs. only the dealers know what they can sell to their client... its like the fu fu art market ( and they split the prices 50/50 exactly the same deal )
> you cant price fine art paintings by pricing artists oil paint and the coverage / sq in
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Size-based painting pricing is very common; square inch or linear inch
Maybe you have another topic to discuss ? What about Bordeaux and Bourgogne wines this time ? 🙄
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Let's play ''Where's the 3 Scan-speak boxes at Sonus Faber's'' game.
An externally hosted image should be here but it was not working when we last tested it.
and your point is?
that if you use scan speak drivers and sonus faber use scan speak drivers, you will achieve more or less the same quality speaker?