Author Topic: Expensive? (Read 1625 times)

boytoy · « **on:** June 24, 2004, 10:46:18 PM »

I have had a few Lane#1 balls, and I do pay a fair amount more for a Lane#1 ball then most other balls out there. Why? Does it cost more to make a Lane#1 ball? I have no idea why they cost more. I am not asking why I buy the balls personally. I am asking why they typically cost more then other companies?

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Boytoy

Bowl Cool Wear SHADES

Ragnar · « **Reply #1 on:** June 25, 2004, 02:45:49 PM »

(ragnar peers cautiously at topic and slowly backs away)
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"Things fall apart; the center cannot hold; mere anarchy is loosed upon the world,"

mumzie · « **Reply #2 on:** June 25, 2004, 03:08:49 PM »

I'm sure the cost is related to economy of scale, as author states.

If it costs a certain dollar amount to do research and development on an item, and one manufacturer makes 10,000 items, and the other makes 1,000,000, the manufacturer making the 10,000 items has to recoup 100 times the manufacturing cost per item that the manufacturer making 1,000,000 items does.

For example - it costs $1,000,000 to do research, development, and manufacturing engineering set up for a new bowling ball. (I have no idea what the actual costs are - I just want to keep the math simple

)

Manufacturer L makes 10,000 balls of the new line they just developed. They have to recover $100 per ball just to pay for R & D for that line.

Manufacturer B makes 1,000,000 balls of the new line they developed. They have to recover $1 per ball to pay for R & D.

Lane #1 is a very small company. Ferarri doesn't build that many cars, either - compared to Honda or Toyota or GM.
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All things are difficult
before they are easy.
---- Thomas Fuller

boytoy · « **Reply #3 on:** June 25, 2004, 08:11:14 PM »

quote:

Lane #1 is a very small company. Ferarri doesn't build that many cars, either - compared to Honda or Toyota or GM.
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All things are difficult
before they are easy.
---- Thomas Fuller

Ya can not really say that any ball on the market is a Ferrari, wile other ball manufactures are putting out GM or Hondas.

I can see the cost of R&D and how the smaller companies need to get more of the developmental costs back, where as the bigger companies need less as they will sell alot more balls.

Last time I checked there sure was alot of people buying these saws.....
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Boytoy

Bowl Cool Wear SHADES

solid9 · « **Reply #4 on:** June 25, 2004, 08:20:11 PM »

I am really shocked that this thread didn't have flames coming out of it by now. Jab are you on medication?

seadrive · « **Reply #5 on:** June 26, 2004, 05:02:35 PM »

I think it is largely a marketing decision by Lane #1.

It's true that their fixed overhead and R&D as a percentage of sales are probably higher than their higher-volume competitors, such as Brunswick and Ebonite, but you could say much the same for similar-size companies, such as Dyno-Thane and Roto-Grip.

I guess Richie believes he makes a superior product, so why shouldn't he charge more than the other guys do?

Yup, it's all about marketing.

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seadrive
Cogito ergo bowl

MI 2 AZ · « **Reply #6 on:** June 26, 2004, 05:39:36 PM »

Maybe you could include the Lane#1 FAQ in the Clique thread.

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I just want 2C was'zzub.
____________________________________

I am the SGT Schultz of bowling.
"I know nothing!"

omegabowler · « **Reply #7 on:** June 27, 2004, 11:51:53 AM »

how about this. Lane 1 has less In house R&D. they have no RD cost to account for on coverstock.

they use the same core design. less R&D overall. if anything they may have an inflated cost from Big B to make test balls.

shipping the cores is not a real cost. nothing here to make the ball any more expensive.

it's just Capitalism at it's finest. No excuses, no reasons. FLat out, the owner wants profits! and as long as people will by them no one in there right mind would lower the cost.

think about this. if the core design was so much more special then any other symmetrical core design a big company would buy by them and the patten for mega bucks. If it really mattered they could charge 500 bucks a ball and every tournament bowler would line up to by them.

they target a price range and they get.
good for them!

the only answer anyone here can really say without seeing the finiancials is, "Just becuse they can!"
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"deserves got nothing to do with it."
-- William Munny