Tom C wrote: > Peter, > > I wasn't trying to make a perfect analogy, as seems to be the > expectation around here. > > My point was that low prices alone, don't necessarily lead to > increased market share, which is probably so obvious it was pointless > for me to state it. :-) > > Market dominance and brand recognition holds trump in the minds of > most consumers. When consumers see that Pentax's top end model is only > $10 - $50 more than a Canon or Nikon, do you think they're likely to > think: > > A) Wow, I can get a K10D for just a little more than a Rebel or D40X! > > or > > B) Wow, why would I spend this much for a Pentax when I can get a > Canon or Nikon for the same or less! > > Pentax does not yet have an upward path from the K10D. In most > consumer's minds a 10MP camera is a 10MP camera. Most of the other > features don't matter. Body sealing probably doesn't matter. SR might > in some cases. The K10D will look like an equivalent item to most > people, especially if priced equivalently Excuse me, but that makes no sense whatsoever. People may be stupid, but I very much doubt that those who don't choose the K10D today would if it had a higher price "because it seemed more professional". If people think any 10MP camera is the same and choose the cheapest option, and/or the most popular brands, why would they suddenly start considering something else entirely if it cost more?
Actually, users who think along those lines are probably lost to Pentax in any case at this stage, unless perhaps they launch a 10MP camera that's significantly cheaper than the Nikon or Canon alternatives. The ones who take more things into consideration would obviously lean towards alternative B) to a much higher degree with a higher price. The fact of the matter is, a lot of people are choosing the K10D right now, and it seems like most of them wouldn't have considered the brand, say, a year ago. I think the most likely cause is that they are actually thinking along the line of option A) above. > If Pentax had a sub-K10D 10MP model, the K10D, and then something > above the K10D like a 12 - 16 MP body, then they could let the strip > version take the profit hit to acquire market share, while making it > up on the higher end. Yes, makes more sense. It seems very hard, however, to launch such a high-end body before you have a reasonable market share, i.e. Pentax may be thinking that they should try to build it up a bit first, *then* expand the product line. - Toralf > > Tom C. > > >> From: "P. J. Alling" <[EMAIL PROTECTED]> >> Reply-To: Pentax-Discuss Mail List <[email protected]> >> To: Pentax-Discuss Mail List <[email protected]> >> Subject: Re: Hoya-Pentax Future - News >> Date: Tue, 18 Sep 2007 13:58:18 -0400 >> >> Bad analogy, Microsoft uses it's monopoly position as much as technical >> superiority or any other factor to insure sales, (PC manufactures get a >> price break sometimes a huge price break, which they'll forfeit if they >> offer a competing OS). Linux producers make very little profit and are >> not necessarily interested in pretending to ease of use, which MS always >> pretends to. >> >> Canon did just that. They built market share at the expense of profits >> to get to the position where they can sell cheap plastic junk for large >> amounts of money. (so I overstated the case so sue me). Pentax needs to >> build market share. They were taking the long view. Hoya doesn't seem to >> see it that way. This is too bad since this is the first time Pentax >> seems to have taken the long view since the early 70's. >> >> Tom C wrote: >> > Where will Pentax end up at though? >> > >> > Ficticious figures pulled out of air. >> > >> > Canon sells 500,000 low end cameras at 20% profit. >> > Pentax sells 100,000 medium-high end cameras at 5% profit. >> > >> > Case in point. Linux is a free operating system (nothing to do with >> whether >> > it's good, better, etc.) Has it yet, in the real sense, overtaken >> Windows >> > which Microsoft is making money hand-over-fist on? Pentax surely >> wants to >> > gain some market share, but doing so at the expense of profits, is not >> > necessarily a winning strategy. >> > >> > Tom C. >> > >> > >> >> Hmmm. My theory has sort of been the opposite, i.e. that many >> people are >> >> buying K10Ds etc. these days because they seem to represent decent >> >> quality and the right amount of features at a very reasonable price. >> >> While I suspect Pentax would loose out to Canon and Nikon (even >> more) if >> >> they tried to make an impression of being more "upmarket". And >> perhaps >> >> also if they went further along the line of really cheap high-volume >> >> products. >> >> >> >> - Toralf >> >> >> >> >> >>> best, >> >>> mishka >> >>> >> > >> > >> > >> > >> >> >> -- >> Remember, it’s pillage then burn. >> >> >> -- >> PDML Pentax-Discuss Mail List >> [email protected] >> http://pdml.net/mailman/listinfo/pdml_pdml.net > > > -- PDML Pentax-Discuss Mail List [email protected] http://pdml.net/mailman/listinfo/pdml_pdml.net
