Archived posting to the Leica Users Group, 2000/08/15

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Subject: [Leica] On the Nikon S3
From: Larry Kopitnik <kopitnil@marketingcomm.com>
Date: Tue, 15 Aug 2000 08:10:07 -0500

>Some different scenarios on the S3 could get to be the case:

You've overlooked one scenario, the one I think most likely. The S3 
proves popular enough that Nikon introduces a popularly-priced 
rangefinder camera using the same lens mount as the S3, and a line of 
lenses to support it. Those lenses, of course, would be useable on 
the S3 as well.

Consider how the numbers reported here on the LUG -- that Nikon has 
orders for over 7000 S3s at $5500 each, and may manufacture as many 
as 8000 of them -- compare to Leica M sales (I'm assuming the Nikon 
numbers are accurate which, let's note, we do not know as a fact).

7000 Nikons x $5500 each = $38,500,000.00. If they make and sell 8000 
S3s, the total becomes $44,000,000.00. Leica's financial report 
(downloadable as a pdf document from their web site) lists DM 
83,791,000.00 in M system sales last year. According to an on-line 
currency conversion calculator, those DM translate into 
$38,383,334.56.

The Nikon numbers are (I believe) retail price and include dealer 
mark-up, whereas the Leica numbers are strictly Solm's income. So 
this isn't an apples-to-apples comparison. But it does demonstrate 
that, if the Nikon sales figures are correct, with a single 
rangefinder body and a single rangefinder lens Nikon may be 
generating income close to (or possibly even greater than) what Leica 
generated last year with the entire M system.

If I were running Nikon and looking at figures like these, I'd sure 
be contemplating more rangefinder cameras and lenses.

Larry

Replies: Reply from Dennis Painter <dpainter@bigfoot.com> (Re: [Leica] On the Nikon S3)
Reply from "Simon Lamb" <simon@sclamb.com> (Re: [Leica] On the Nikon S3)