ralphpnj wrote: > I'm not sure about that Southern Seas voyage but I am pretty sure that > no matter hard we tried we could not build and sell a audiophile music > server for $3,000 that would be a success. > > Here's why: > > Let's say the cost to design and manufacture each music server comes up > to roughly $1,500 and we set the retail price at $3,000 which leaves a > hefty 50% profit. > > So far so good but.... > > Now we have to add in the cost of advertising in the various high end > audio magazines and web sites > > plus the cost of providing long term loans of the music server (i.e. > free units) to the same magazines and web sites > > plus the cost of visiting each reviewer at each magazine and web site to > set up music server and buy them dinner (this could run into serious > money with air fare and hotels) > > plus the cost of exhibiting at all the various high end audio shows > (this could run into serious money with air fare and hotels) > > plus the cost of developing and listing both an iPhone and android app > > As you can see even with a what appears to be a hefty 50% profit margin > we would barely break even, if not actually lose money. I think in order > to be safe we need to sell the music server for at least $10,000
True... There is the issue with the marketing budget. But I wouldn't worry too much! When it comes to the audio reviewers I don't think it's the same as entertaining Wallstreet bankers. A flight here and there to a domestic audio show, a few tickets to the local symphony, domestic wine with dinner; I don't think that's a problem. We could enjoy visiting a few reviewer's homes (a server computer isn't too bad to lug around)... Check out the quality of the acoustics, enjoy some LPs played back with He-Man-weight turntables and compare the sound to our glorious server-based digital audio, chat about the "golden years" of hi-fi, test their hearing ability with a few choice MP3 tracks and marvel at their remarkable ability to differentiate Red Book from 24/192. All on the company's corporate account! As for audio shows: We don't need to get our own room as a start. Share a room with a decent speaker and amp startup, talk to some cable company to share the cost. Finally, no worries about the iPhone/Android app. Remember, we're running Vortexbox and LMS! The apps are there already... Heck, we should even a gift certificate for $10 to either iTunes store or Google Play for them to buy whatever app they want! -Pssst... One last thing, I'm trying to build mystique around you with that South Seas voyage. This way when you're a zillionaire, we can invite Madonna over to dry hump your audio rack. :-) Of course, that could be a few year from now and maybe she wouldn't titillate you in the same fashion...- Archimago's Musings: (archimago.blogspot.com) A 'more objective' audiophile blog. ------------------------------------------------------------------------ Archimago's Profile: http://forums.slimdevices.com/member.php?userid=2207 View this thread: http://forums.slimdevices.com/showthread.php?t=103488 _______________________________________________ audiophiles mailing list audiophiles@lists.slimdevices.com http://lists.slimdevices.com/mailman/listinfo/audiophiles