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Old 10-17-2003, 11:57 PM
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MysteryTrain MysteryTrain is offline
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Location: LaCrescenta, CA,
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Default SPF price increase

TerrysSPF,

If that's true, and SPF is raising their price, I'm very interested to see the results. I personally think it is a very shrewd move. One of the mistakes companies continually make (especially in the Land of the Free, and the home of the discount store) is to drop prices as soon as the competition moves in. No, no, no. If your product is the real deal (meaning high quality) never, never drop your price. It only reduces its percieved value, becomes more common because now the company has to produce higher volume to make the same profit, and thus less desired. Scarcity=demand. The more rare, the more demand. It would be the natural reaction for SPF to drop their prices in effort to combat Shelby, but actually raising their prices COULD serve to position their product as "superior" to Shelby's in spite of the name factor. Whether or not it actually IS superior is another question altogether, but positioning one's product is a huge marketing challenge, and I think SPF would only serve to cut their own throats to get into a price war with Shelby. Kirkham seems to do just fine by producing a high quality product and charging a premium for it. This was true even after the new "real" Cobras hit the market. The big question about Cobra prices will have more to do with the used Cobra market as more cars are produced. Guys like me who are just now reaching a point in our lives to make our dream a reality are just drooling at all the potential great deals. Especially with the economy as it is. I may even hold on another 8 months just to watch the used cobra prices . . . I have a feeling patience will be rewarded.

MTrain
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