(Topic ID: 276728)

Stern price increase on ALL machines 1/1/2021

By Wanimal

3 years ago


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    #33 3 years ago
    Quoted from EricHadley:

    I’m sorry but everything goes up every year, typically 2-3%. Sometimes more sometimes less. 3% of $7599 is $227.97 so $100 is a bargain.

    Inflation has been no where near 3%; especially excluding food and healthcare. And should be more than offset by the positive impact of technology and productivity like Spike and their new, more efficient factory. Their pricing has little to do with inflation and everything to do with maximizing profit - as it should be with any well run business; especially one that dominates the market with 80-90% share.

    #148 3 years ago
    Quoted from pinsanity:

    The only reason Stern can continually raise their prices is because their product sells out within hours/days at that price point. Until this FOMO consumer mindset changes, we will continue to see price rises from them on all their products.

    Certain LE’s sell out quickly but they would obviously sell more pros and premiums at lower prices.

    When your factory is full you can either raise prices or invest to expand. Increasing capacity is usually better if you can consistently fill it up over time, especially in a low capital cost business like pinball. But Stern has apparently decided that the longer term outlook isn’t strong / clear enough right now to make another major investment.

    It wouldn’t surprise me if they expanded and/or actually lowered prices to trounce the competition if any actually ever emerges. Economies of scale is their biggest advantage and they’d be stupid not to use it to derail a serious competitor.

    11 months later
    #356 2 years ago

    If American Pinball could get their act together on licensed themes this would be an opportune time to carve out a meaningful share by pricing below Stern. They seem to have the manufacturing competency and capitalization to forgo short term profits for long term share.

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