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The Basement
Grumpy guy observation about the X32 thread
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<blockquote data-quote="John Roberts" data-source="post: 74915" data-attributes="member: 126"><p>Re: Grumpy guy observation about the X32 thread</p><p></p><p></p><p></p><p>It seems a little lost in this discussion that digital consoles have been around for decades, while back in the '90s there were a lot more zeros on the price tag. </p><p></p><p>This product is the convergence of continuing price decreases in the underlying technology, and Behringer gambling that they could turn digital consoles into a higher volume, more mainstream product than they were. Low price has always been dependent on higher manufacturing volumes, while I also see some cost effective engineering, like rolling their own motor-faders. </p><p></p><p>I do not mean to diminish the engineering effort, this was not trivial, but lets not ignore that other pioneers had paved the way. It is always easier to be the same while cheaper, than going where no one ever was, and hoping for an undeveloped market to appear. This market was ripe for anybody to hit the lower very attractive price point, so ripe that even a Behringer can sell a pile of product. Meaning no disrespect, just stating the obvious. Many customers are buying these despite the brand not because of it, due to the compelling price. I have long seen this dynamic in markets. If the price is good enough consumers can ignore many things. (I even reduced this to a fixed percentage for the build in China vs. US decision, that no consumer actually likes.). </p><p></p><p>A fair question to ask is why didn't one of the more capable established players (like Yamaha) do this first. I can't answer. They were apparently happy to run on automatic and keep earning dividends on their significant early capital investment in the technology. They did not make a profit in the early days. </p><p></p><p>I don't expect Behringer to be alone at this new lower price point forever, so they need to make hay while they can. I expect they kept some fat in even that low price. That said I don't see anybody under cutting them on price any time soon. </p><p></p><p>Interesting times. </p><p></p><p>JR</p><p></p><p>PS: I have been aware of more than one digital console platform that was not brought to market because the price was not right and/or the market wasn't trusted to support finishing the product using a specific (value) brand. Now that a market has been proved to exist for that price point, these programs may get dusted off, or not (some approaches are already obsolete or dated technology). I have been out of these trenches for over a decade so my first hand knowledge is incomplete.</p></blockquote><p></p>
[QUOTE="John Roberts, post: 74915, member: 126"] Re: Grumpy guy observation about the X32 thread It seems a little lost in this discussion that digital consoles have been around for decades, while back in the '90s there were a lot more zeros on the price tag. This product is the convergence of continuing price decreases in the underlying technology, and Behringer gambling that they could turn digital consoles into a higher volume, more mainstream product than they were. Low price has always been dependent on higher manufacturing volumes, while I also see some cost effective engineering, like rolling their own motor-faders. I do not mean to diminish the engineering effort, this was not trivial, but lets not ignore that other pioneers had paved the way. It is always easier to be the same while cheaper, than going where no one ever was, and hoping for an undeveloped market to appear. This market was ripe for anybody to hit the lower very attractive price point, so ripe that even a Behringer can sell a pile of product. Meaning no disrespect, just stating the obvious. Many customers are buying these despite the brand not because of it, due to the compelling price. I have long seen this dynamic in markets. If the price is good enough consumers can ignore many things. (I even reduced this to a fixed percentage for the build in China vs. US decision, that no consumer actually likes.). A fair question to ask is why didn't one of the more capable established players (like Yamaha) do this first. I can't answer. They were apparently happy to run on automatic and keep earning dividends on their significant early capital investment in the technology. They did not make a profit in the early days. I don't expect Behringer to be alone at this new lower price point forever, so they need to make hay while they can. I expect they kept some fat in even that low price. That said I don't see anybody under cutting them on price any time soon. Interesting times. JR PS: I have been aware of more than one digital console platform that was not brought to market because the price was not right and/or the market wasn't trusted to support finishing the product using a specific (value) brand. Now that a market has been proved to exist for that price point, these programs may get dusted off, or not (some approaches are already obsolete or dated technology). I have been out of these trenches for over a decade so my first hand knowledge is incomplete. [/QUOTE]
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