Post by mshenay on Dec 25, 2017 20:04:53 GMT
I doubt the headphones cost focal $800 to manufactor, but possible that $800 is even to break even. Cover both the manufactor cost, plus what ever potential mark up is needed to cover their over head plus some salary.
Do remember that while Massdrop gets its cut (probably just like a retailer, 10-20+% of the sale price - maybe more or less; these deals vary a lot), the rest of the distribution chain is much simpler which reduces costs significantly. Knowing the demand in advance also allows optimization of material costs (even down to warranty replacement requirements).
The fixed costs (employees, contractors, rent, etc) tend to be amortized over multiple products and while it has some bearing in a campaign like this, it is often substituted with revenue/margin targets instead.
Would be very surprising if focal doesn't make a good chunk of profit out of this campaign + the induced sales of their other headphones to impatient customers not willing to wait 4 months.
Btw, Tyll has posted his review of Focal Clear. He prefers the Clear over Utopia and Elear, and states that 'Tonal balance is the best I have heard'.