Archived posting to the Leica Users Group, 1998/02/14
[Author Prev] [Author Next] [Thread Prev] [Thread Next] [Author Index] [Topic Index] [Home] [Search]- ---Mike Johnston <70007.3477@compuserve.com> wrote: > > >>>I'd buy a newly-minted CLE in a microsecond - - provided the QC problens > are overcome.<<< > > George, > I'd buy two. The CLE is the camera I really need. It's just that I simply > refuse to pay up to $1,000 for a 15-year-old sample. (Leica should be learning > a lesson from the ridiculously high used prices of the CLE, however.) > They don't even really have to change anything, from my standpoint. Just > reissue the darned thing. > Also, I agree with whoever said that the CLE is a better camera than the CL. > I'd even pay $1,000 for one, as long as it was new and had no QC problems. > > As far as Art's critique of my economic arguments, note that I umbrellaed my > comments by saying "we don't know." But it certainly is not impossible that the > scenario Stephen Gandy and I are positing might be true. I'll venture the > following points, again umbrellaed by the fact that neither I nor anyone else > knows the real truth: > > --If the major appeal of the whole product line is the lenses, and the only > body the lenses will fit on is the $2,000 M6, then cutomers must buy the M6 in > order to use the lenses. This surely "forces" some M6 sales from people who > would choose to buy a cheaper body if one were available. > --The CL and CLE were being made by Minolta. The M6 was being made in Wetzlar. > It doesn't stretch credibility to my mind to imagine a disadvantage to Wetzlar > if the CL and CLE were selling well. > --The CL and CLE were not made for the whole Leitz lens line. They had their > own budget lenses. If the CL/E takes off in popularity, what does that do to > sales of the Leitz lenses not intended for it? > --Finally, from a pure economic standpoint, generalizations are shaky and > suspect. What follows is a hypothetical example. Imagine you've got a premium > model that sells for $2,000, and half of that is profit. You've got a budget > model that sells for $500, and 1/5th of that, or $100, is profit. That means > you've got to sell 10 of the budget models to make the same profit you make > when you sell 1 of the premium models. You say you can just "raise the price of > the hot-selling item," but that doesn't work either--to make the same level of > profit, the budget model would have to sell for $1,400--and it might not sell > at all at that price-point. In fact, it might not be a good seller at _half_ > that. Positing an imaginary price of $500, you might kill sales just by raising > the price to $700. What is all the good SLRs all cost $600? It depends on what > else is available from other companies that the $500 model is competing with. > Again, we don't know. But saying that a company would never kill a > good-selling product just doesn't take into account many factors that may have > well been true of the CL/E. > > --Mike > > Again, apologies for the fact that this doesn't have a subject line. My offline > reader does not give me an easy way to change the subject line in a reply. > Then how do you explain the previous "budget" R offerings, R4s, R4sP, RE? _________________________________________________________ DO YOU YAHOO!? Get your free @yahoo.com address at http://mail.yahoo.com