Slightly interesting news on Rockford Fosgate

[Twilight 10+ year member]

Not really possible -- I don't know about other companies but there is no way I could cut 20% off my dealer cost and stay in business. I think you are over-estimating how much profit there is in car audio.

I think the retailers are responsible for that somewhat. I know there's MSRP and what not but that's to make the retail price look more attractive. I used to work for a major electronics retailer and I could buy things at the store's cost plus a small fee for handling. Generally this was about half, but in some cases it was less than 1/3 of the posted price.

Unfortunately, even with that kind of markup, retailers are still not making a killing. The Internet helps a lot in that respect because online stores don't have the same overhead that physical stores do. I think I read somewhere that Best Buy makes more money on warranties than any product they sell, but I don't know much about BB so I could be wrong.

 

[audioholic 5,000+ posts]

inflation will drive the price up again everytime gas goes up, then the cost for shipping goes up, and the stores charge more etc.
eventually the prices will rise like they always have.

look at how much the products cost 10 years ago. inflation versus price would probably be about the same percentage.

Not to change the subject, but is that your install in your avatar? Mounting air-cooled amplifiers upside ona roof like that, while cool looking, is not good for the amplifiers.
Just wondering...

 

[newusername 10+ year member]

Harmon/Kardon was in the midst of a buyout that has, at least temporarily, been abandoned because of concerns over their long-term financial viability. So yes, RF is not the only company in a spot of trouble.

 

[19psi 10+ year member]

this is a bit off subject but i have a questionn that i think could be answered here.
IMO and in what i have known, about 75% of the people without stereos or anything aftermarket say they would buy stuff, but its just a waste of money. They talk about expense and such.

the other 25% is just people whose parents are ignorant to the fact that people like quality in their music or just a little bass. They think we have systems to be annoying. They also think its just a waste of money.

I'd say the only reason car audio is losing influence is because of inflation and how much it costs.

So finally my question. Why don't car audio companies just lower their prices without losing quality?

They would not lose too much money, but yet a larger margin of people would buy the products and more of them.

I'm not educated very strongly in this area, but it just seems that this would be a smart idea.

Probably why i don't own RF.

the funny thing is; good equipment costs much less now than it did 15 years ago when i started driving. i remember a good sub amp ranging from $600 to $1k! now you can get more features, and the same quality for much less.

back on topic, it'sg ood to see rf finally not losing money but i wonder if it's too little too late. it sure doesn't seem like much of a profit to be able to stay in business for long...

 

[mdillon 10+ year member]

Not to change the subject, but is that your install in your avatar? Mounting air-cooled amplifiers upside ona roof like that, while cool looking, is not good for the amplifiers.
Just wondering...

....staying off topic. the ref750 was fan cooled and no never overheated. 110 degree summers with radiating heat from the roof. poundin the xxx for hours and ran like a dream. would only do it with a zapco... they got hot but never went out

 

[IamDeMan 5,000+ posts]

I would credit things like the 3Sixty.2 and perhaps their 3kw and 4kw amps -- those are popular. Heck, I've installed four 3Sixty.2s since their debut!
It has been rough... the last few months for me were tough!

I think the 3sixty.2 is probably there best product in a long time. Maybe since the epx2.

 

[AVSTANG02]

Car audio and consumer electronics in general is going to see a massive increase in sales very soon

once the baby boomers kids are working for a few years out of college and start spending money.. it is a massssive generation of youth... that are into spending money..