vlohjr1 wrote:

Trip

Interesting thought would you want to see customers buying third party screens which can be updated and integrated by bs3 so that it serves as the av processor?

Vince

It's not an issue of what I want, but it reflects the reality of the marketplace. People often buy the TV first and then try and fill in a more comprehensive system around it. By being able to bring them into the brand and the BeoLink ecosystem without making their brand new purchase redundant I can at least give them B&O's level of functionality, integration, and sound quality with the addition of some BeoLab speakers. Then when they're ready to upgrade they can look at one of our pure television concepts because they'll be hooked on those other aspects and see the value more fundamentally. 

Evan wrote:

Yes, Vince has a point. I feel like most people would be buying an external a/v processor for its competencies rather than integration.

They're really one in the same. People want to consolidate the video experience and these days they want to integrate their house to varying extents. Having a competitively priced AV processor that leaves out the concept of multiple screens & video processing would mean that we can build out the ecosystem further and have oppurtunities for BeoLabs and control integration in rooms that we may not have access to with the current portfolio. 

PhilLondon wrote:

sergi0 wrote:

Humm... As millions of people I thought that IBM sold the first PC in 1981.

Wikipedia: Introduced at the West Coast Computer Faire in 1977, the Apple II was among the first successful personal computers.

 

just give a look a this link :

sergi0 wrote:

Humm... As millions of people I thought that IBM sold the first PC in 1981.

Let us not turn this into an Apple thread! This is a new product and B&O thread! I think we really have done the PC vs Mac argument to death and also the integration of Apple and B&O. The interesting thing might be that the top brass at Apple are huge B&O fans.

TripEnglish wrote:

Evan wrote:

Yes, Vince has a point. I feel like most people would be buying an external a/v processor for its competencies rather than integration.

They're really one in the same. People want to consolidate the video experience and these days they want to integrate their house to varying extents. Having a competitively priced AV processor that leaves out the concept of multiple screens & video processing would mean that we can build out the ecosystem further and have oppurtunities for BeoLabs and control integration in rooms that we may not have access to with the current portfolio.

Alternatively, why not sell the AV processor, even fully featured models, at a compelling, strategic price? If people want into a B&O system, then selling them the hub of their choice at a really keen price is the best way to start. Prices could be weighted on the basis that additional sales will follow - an audio master and a stereo pair today, new fronts next year (maybe move the original pair to the rear), a TV panel the year after.....who knows! Upgrades after that.

Speculate to accumulate etc.

Sounds like a plan.......

"fully featured" and "compelling strategic price" are somewhat vague. The BeoSystem 3 costs nearly $8,000US and that's a very fully featured high-performance processor. Arguably one of the most fully featured single units on the market. But how much could we really depress the price? There isn't as much margin in these products as some of the cynics would like to believe, so a slight depression in price wouldn't move the needle in terms of numbers sold, but would almost certainly accumulate to a massive loss in revenue over the entire dealer network.

The real answer is putting out a product that's actually built to an appropriate pricepoint that maintains profitability for the dealer network so that the company can grow and prosper. 

Many AV retailers took almost the precise gamble you suggest and prematurely depressed the prices on flat panel televisions at the expense of their own margin on the assumption that folks would accessorize with AV recievers, speakers, power strips, and interconnects. They found out the hard way that customers were not interested in restoring their lost margins and simply too the TVs at the rock bottom prices and went their merry way. Most mid-fi dealers in the US went bust over the last decade trying to play that game. 

My question is: what would members think of as a realistic price for them to buy into such a concept? Think of a basic AV chassis like the one built into a BV10. What would you pay? $3,500? $4,500? More? Less?

Trip,

I would be happy with an AV processor containing most of the features found in a BV7 (which i believe is a trimmed version of BS3?) with free/subscription updates for the future. I think the AV processor should be resaonably technology stable and therefore can be kept for a good number of years. I would say $4k would be reasonable providing it supports a good range of video displays. I personally prefer the BV4 myself (amazing quality) although I have BV7 but the prices of the BV4 screens is rather prohibitive to buy and to upgrade for future purposes as technology moves on. For BO customers the BS3 should be a flagship product and emphasised from a marketing point of view.

Vince

TripEnglish wrote:

"fully featured" and "compelling strategic price" are somewhat vague. The BeoSystem 3 costs nearly $8,000US and that's a very fully featured high-performance processor. Arguably one of the most fully featured single units on the market. But how much could we really depress the price? There isn't as much margin in these products as some of the cynics would like to believe, so a slight depression in price wouldn't move the needle in terms of numbers sold, but would almost certainly accumulate to a massive loss in revenue over the entire dealer network.

The real answer is putting out a product that's actually built to an appropriate pricepoint that maintains profitability for the dealer network so that the company can grow and prosper. 

Many AV retailers took almost the precise gamble you suggest and prematurely depressed the prices on flat panel televisions at the expense of their own margin on the assumption that folks would accessorize with AV recievers, speakers, power strips, and interconnects. They found out the hard way that customers were not interested in restoring their lost margins and simply too the TVs at the rock bottom prices and went their merry way. Most mid-fi dealers in the US went bust over the last decade trying to play that game. 

My question is: what would members think of as a realistic price for them to buy into such a concept? Think of a basic AV chassis like the one built into a BV10. What would you pay? $3,500? $4,500? More? Less?

I take it that you know the manufactured cost of the BS3 then, are you willing to share it with us?