Release Date

Discussion relating to the Korg Kronos Workstation.

Moderators: Sharp, X-Trade, Pepperpotty, karmathanever

User avatar
jimknopf
Platinum Member
Posts: 3374
Joined: Mon Jan 17, 2011 1:52 pm

Post by jimknopf »

Greg, could you explain your assumption of a different price margin?

If I see the US prices and the sharp market fight over there, compared to the sluggish European market where resellers hardly ever give each other a real price margin fight, I'd rather think the opposite. Add that European dealers have a habit of even hiding extra margins behind European taxes, I have big problems believing your assumption.

The European market as a whole hasd a higher BIP than the US, so the European economic power isn't behind.

I really think Korg's behaior towards European customers is lacking any accaptbale explanation I could follow, and I just regard it as completely unjustified, impertinent two class behavior.

Sorry to insist: I appreciate your kind words anyway.
GregC
Platinum Member
Posts: 9451
Joined: Wed May 15, 2002 12:46 am
Location: Discovery Bay (San Francisco Bay Area)

Post by GregC »

jimknopf wrote:Greg, could you explain your assumption of a different price margin?

If I see the US prices and the sharp market fight over there, compared to the sluggish European market where resellers hardly ever give each other a real price margin fight, I'd rather think the opposite. Add that European dealers have a habit of even hiding extra margins behind European taxes, I have big problems believing your assumption.

The European market as a whole hasd a higher BIP than the US, so the European economic power isn't behind.

I really think Korg's behaior towards European customers is lacking any accaptbale explanation I could follow, and I just regard it as completely unjustified, impertinent two class behavior.

Sorry to insist: I appreciate your kind words anyway.
sure, I know something about capitalism, having worked in the corporate
world for 30 years. I certainly have my sharp criticisms of it, as well. To give you one, many co's ( here in the US) are highly short sighted, 99% focused on immediate results.

We will never know exactly the figures and data of a Korg, Roland, Yamaha
in this niche called the workstation/synth marketplace.

we can make some reasoned estimates, I think. Profit margin and sales opportunity dictates behavior. Don't you agree ?

I suggested 30% here in the US, at retail. This is not far off.

Why don't you check your sources in your country for a profit estimate ?
Kronos 88. MODX8
Achieve your musical dreams :)
https://soundcloud.com/user-898236994
Zeroesque
Senior Member
Posts: 451
Joined: Mon Jan 17, 2011 10:38 pm
Location: SoCal

Post by Zeroesque »

GregC wrote:In the US, there is quite a bit of margin ( let's estimate 30%) to play with.
It's been a few years since I was in the industry, but this would definitely be toward the high end of gross profit for high-tech MI hardware. I highly doubt retailers will see this much profit with the Kronos or any pro synth, for that matter. Perhaps you meant for this to be an overestimate, however.
Kronos 61, Kronos2-88, Hammond B3, Baldwin SD-10
GregC
Platinum Member
Posts: 9451
Joined: Wed May 15, 2002 12:46 am
Location: Discovery Bay (San Francisco Bay Area)

Post by GregC »

Zeroesque wrote:
GregC wrote:In the US, there is quite a bit of margin ( let's estimate 30%) to play with.
It's been a few years since I was in the industry, but this would definitely be toward the high end of gross profit for high-tech MI hardware. I highly doubt retailers will see this much profit with the Kronos or any pro synth, for that matter. Perhaps you meant for this to be an overestimate, however.
context is key.

the 30% figure is derived from the difference in MSRP and actual dealer cost.
for a hot new w/s, there is a strong effort to keep the margin high.

In a year or 2, ( or less), the street price will take over, and eventually drive the profit margin to a small %
Kronos 88. MODX8
Achieve your musical dreams :)
https://soundcloud.com/user-898236994
Post Reply

Return to “Korg Kronos”