Klarinet Archive - Posting 000251.txt from 1999/08

From: "Mark Weinstein" <cpaok@-----.net>
Subj: Re: [kl] Roger's economic theories
Date: Wed, 11 Aug 1999 21:25:57 -0400

Clark Fobes said:

His argument that one has to either pay $29 or $150 is also ridiculous.
There are far more mouthpieces available at the $50 -$100 range
than at the $150+ range. For example, Van Doren mouthpieces are without a
doubt the most popular and common mouthpieces in this country. Depending on
the source you will pay about $55-$100. They have a tolerable (to some)
range of consistency and produce to some ears a perfectly satisfactory
sound. I suspect that a Van Doren mouthpiece requires on average less than 5
minutes of hand work once the mouthpiece is molded and faced (by machine). I
do make a hand finished mouthpiece that competes on a price
level (list for $89) with the Van Doren. It is called the NOVA.
================================================
No argument here, from anybody.

"Also, to indicate that someone can make $102,000 on 6000 mouthpieces is a
bit of mathematical chicanery. His asumption is that SOMEONE is making $17
per mouthpiece. As a maker I don't sell the mouthpieces to stores for $29.
This Roger understands. (By the way Roger's base prices are not correct
either). But a music dealer who is buying 12 mouthpieces at a time is
absolutely entitled to make a full mark up when you consider his/her cost of
doing business. Which in most cases is very high. Now, let's consider
Roger's comment that it would be preferable for makers to make a $50
mouthpiece from hard rubber:"
=================================================
Lets not focus on the price point of $50 retail, rather than the REAL
issue. The retail price doesn't need to be $50, its needs to be an amount
that can satisfy a financial deal between manufacturer ----------> "middle
man"/retailee ---------> clarinetist/consumer.
That way we reach a "SYNC" we balance financial results with a better
quality product/mouthpiece. (nobody seems to argue the point that a rubber
mouthpiece is always preferable to a plastic mouthpiece, both refaced
properly --- to the same specs)

"What if you successfully market 3000 hard rubber mouthpieces for $50 each?
Profit is then ~ $96,000. " RG
==================================================
VOLUME is KING ---- it seems to be difficult to refute the demands/results
of MASS MERCHANDISING. Plastic appears to be the SOLUTION that pays the
rent for the retailer. SO, unless the consumer DEMANDS another solution,
Plastic mouthpieces (in mass quantities) are KING. If anything, this sounds
like a retail conspiracy --- the artist is forced to deliver what the middle
man wants. And, since that is a cheaper mouthpiece any Consumer Advocate is
going to be hard-pressed to find fault with the seller or detriment to the
consumer. Roger's point is well taken. The relative markups makes
absolutely no business sense --- the retailer demands his "daily bread" ....
a "keystone markup" ---- "100% markup on cost" ----- "50% markup on
retail". <all 3 are the same> The situation is clearly an anomaly. I am
trying to find a corollary to other retail products which would "share" this
situation or replicate this dilemma. Can't quite get there right now.
Markup is usually with a given range in vertical products, at least that has
been my experience in business. That is, manufacturing markups & middle
man/retail markups don't have a significant variance within most industries.

"The fundamental truth is that many teachers and band directors prefer the
consistency and playability that my "Debut" mouthpiece offers to the highly
inconsistent, mass made, mass marketed rubber mouthpieces now available at
more than twice the price. The steady yearly increase in sales of "Debut"
mouthpieces I have observed is driven by consumer desire, not store
profits."
==================================================
Sounds to me like the DEBUT is a wonderful & vastly underpriced mouthpiece!

Mark Weinstein

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