Can someone Please Explain This?

[dmar836]

First time around no takers at $2000.
http://cgi.ebay.com/ws/eBayISAPI.dll?Vi ... MEWAX%3AIT

Now it's relisted at $2150?!
http://cgi.ebay.com/ws/eBayISAPI.dll?Vi ... 0510309886

Did the no bids parts prove he was starting too low?
Dave
KC

 

[Jaguar46]

Did the no bids parts prove he was starting too low?
Dave
KC

Maybe his rationale is that if people see the price going up, they better jump on it before it goes to $3000. :lol:

Whereas if it is going down they will wait until it hits $100, and won't bid it now.

Its like the guy selling vacuum cleaners for $50,000. A prospective buyer asks how are you going to sell a vacuum cleaner at that price? You will never have any sales at that price.

He says, "I only have sell one."

The rationale center in the brain has shorted out.

 

[apba1166]

They teach a course at Harvard Biz School on the psychology of pricing on a technology vendor in my field that, 15 years ago, had a software/hardware black box that did less but cost more than competing off-the-shelf technology. They thought if they priced it a bit more, it would make sense, in that their box was an all-in-one solution vs. the DIY one that might takes days to sort out and still not be right. Many of us opted for the DIY, some bought into their unit. They struggled. They disappeared for a year and re-branded completely, priced the thing 5 times higher ($125,000 vs. $25,000), made a string of other ones, deleting functions, down to $60,000, at a time when DIY was about 18,000 for better.

They took off, sold to companies who thought this must now be really amazing, and shortly after became a public company, and the founders made millions.

This guy's mistake--the one you linked on ebay--was not pricing $8,000 at the outset.

 

[Roughwear]

Perhaps the price hike is an attempt to cover the cost of Ebay/Paypal fees. :roll: