4 ms·

It’s 100 dollars because it costs 100 dollars to make, including enough margin to support the business

• logicallee 8y ago
  I don't know, from the write-up it does seem that their business was pretty sustainable at their usual prices. It seems to me that if they had received 90% fewer orders (not gone as viral) they would still be in business. Anyway if I had said "$400" my point still applies but I doubt you would say that's what it costs to make, including enough margin to support the business. It's just an alternative way to view a $100 (or $400) price point.
  • albertgoeswoof 8y ago
    Ultimately their pricing model was wrong, they could have charged more and still reached their kickstarter goal, which would have given bigger margins and would have put way less pressure on the business.
  • saalweachter 8y ago
    Strictly speaking raising the price isn't necessary to limit order volume; you could just ... limit order volume. There are X widgets available in 2018, and once they're ordered, they're gone. Granted, raising the price may also be good, because it restricts the market to "people who are willing to pay more" rather than "people who happen to order first", but sometimes that isn't desirable (this is a constant argument around eg PAX tickets).