Return of the King?

[samq45]

I don't disagree Escort products are expensive and some more than others. But they follow standard margin practices most companies follow. Higher price than most? Sure, but not out of the ball park or "killing".

Agreed - It seems like there is not a lot of business people around here.

In addition to what it costs for making the product.You have to recover your overhead when you sell the item. When Beltronics develops these new products a significant amount is used in R&D, sales and marketing - not to mention overhead items like rent, CEO bonuses, taxes in the USA, insurance and the need to make a profit.

The STi was the most expensive R&D project they ever had and it was almost killed due to the cost. Even if the unit cost $50 to make they still have to recover (or charge for those dollars spent) If $1,000,000 went into R&D and they sold 10,000 units, that adds $100 for each unit. If direct salaries (not G&A overhead) are $2,000,000 a year that costs $200 for each unit - for one year.

I know the numbers are different than what I have but you get the idea. Lets make a few assumptions for arguments sake - If they sell 10,000 Sti -Rs and a new STI-R cost $250 to make, after R&D add $100 , Direct Salaries add another $200 and a Profit of 40% add $220. After you add all that up you get a sales price of $770 or so. If R&D was $3,000,000 then it would be $200 more..etc.

Then there is what the market bears. If they can add a few hundred more to the price and still hit their sales target then they will. If people are buying the unit at that price then it is not overpriced since the market agrees to it. If no one buys the product like the old STI-R then we can say it is overpriced, but if people are buying them they are not. Then as the product ages with no more R&D (see V1 or Rx-65) they can lower the price (or keep it the same price as inflation rises) and still make money since the units previously sold provided the money to cover the R&D incurred to develop the product.

I think one reason that the V1 has been able to hold to a price point is that there is no R&D costs to recover over the past few years. They just have to cover direct costs, overhead and then they get their profit, which might be fairly good and comparable to Bel, we don't know.

Ever figure out what an iPhone costs to make, its nothing compared to the R&D to get to the point to make it, not even close - and they sold millions and millions this year alone.

[lugnuts]

I don't disagree Escort products are expensive and some more than others. But they follow standard margin practices most companies follow. Higher price than most? Sure, but not out of the ball park or "killing".

have you ever seen the prices Escort sells their product to vendors/retailers for?

[CJR238]

In addition to what it costs for making the product.You have to recover your overhead when you sell the item. When Beltronics develops these new products a significant amount is used in R&D, sales and marketing - not to mention overhead items like rent, CEO bonuses, taxes in the USA, insurance and the need to make a profit.

Very well stated samq45!

I don't disagree Escort products are expensive and some more than others. But they follow standard margin practices most companies follow. Higher price than most? Sure, but not out of the ball park or "killing".

have you ever seen the prices Escort sells their product to vendors/retailers for?

Yes, but mostly from vendors to the retailers. I actually feel bad for some of the retailers, its not even 40 margin for some of there units while others are slightly above average.

[srtga]

you not only fail, you ARE fail.

That's pretty hard...

[Qui-Gon]

It's too bad there's no upgrade path to current STi-R owners...

vschuel
Junior Member
Join Date: Jun 2009
Posts: 6


STi-R to STi-R Plus upgrade path?
Haven't posted in a while...

Just wondering (and I'm throwing this out there to the powers that be):

For current owners of the STi-R detector, will an upgrade path be made available to the STi-R Plus once it is available in the USA? I would seriously be interested instead of having to buy a whole new unit all over again.

Thanks for listening!

vschuel View Public Profile Find all posts by vschuel
#2
July 27th, 2010
BeltronicsPro
Official Beltronics Rep
Join Date: Apr 2009
Posts: 247



I'm sorry but the hardware is entirely different between the two models. There will not be an upgrade path from STi-R to STi-R Plus

Thank you for choosing Beltronics


Too bad!!!

[ExoticRadar]

Only Valentine had a platform that was somewhat future proof. But its really not futureproof in the truest sense. All other rd's Escort etc offer no upgrade path or future proof solution. What we need is an open platform rd with a removable chipset.

[hiddencam]

Only Valentine had a platform that was somewhat future proof. But its really not futureproof in the truest sense. All other Escort etc offer no upgrade or future proof solution.

Another reason the V1 is the best radar detector ever made.

[nine_c1]

It's too bad there's no upgrade path to current STi-R owners...

vschuel
Junior Member
Join Date: Jun 2009
Posts: 6


STi-R to STi-R Plus upgrade path?
Haven't posted in a while...

Just wondering (and I'm throwing this out there to the powers that be):

For current owners of the STi-R detector, will an upgrade path be made available to the STi-R Plus once it is available in the USA? I would seriously be interested instead of having to buy a whole new unit all over again.

Thanks for listening!

vschuel View Public Profile Find all posts by vschuel
#2
July 27th, 2010
BeltronicsPro
Official Beltronics Rep
Join Date: Apr 2009
Posts: 247



I'm sorry but the hardware is entirely different between the two models. There will not be an upgrade path from STi-R to STi-R Plus

Thank you for choosing Beltronics


Too bad!!!

" No Planned Obsolescence:
Other radar detector makers want you to throw away your old detector and buy new......"

Hey.........I think he was referring to Belscort![replacer_img]

Seems like us Belscort Boyz are always in that boat. Dump your 9500ix for an iQ, STi Driver for a RedLine, STi-R for STi-R Plus.........and in a few months.......your Passport iQ for the iQ Plus.

I wouldn't mind the disposable RD concept if these things were in the sub $300 category.........but their not!

[Riptide]

Thats odd, when that Beltronics rep/distributor (whatever he was) from like Australia was active on these forums he told me they were making an upgrade kit. Not sure how valid that was taking into consideration where it came from.

[CJR238]

It's too bad there's no upgrade path to current STi-R owners...

vschuel
Junior Member
Join Date: Jun 2009
Posts: 6


STi-R to STi-R Plus upgrade path?
Haven't posted in a while...

Just wondering (and I'm throwing this out there to the powers that be):

For current owners of the STi-R detector, will an upgrade path be made available to the STi-R Plus once it is available in the USA? I would seriously be interested instead of having to buy a whole new unit all over again.

Thanks for listening!

vschuel View Public Profile Find all posts by vschuel
#2
July 27th, 2010
BeltronicsPro
Official Beltronics Rep
Join Date: Apr 2009
Posts: 247



I'm sorry but the hardware is entirely different between the two models. There will not be an upgrade path from STi-R to STi-R Plus

Thank you for choosing Beltronics


Too bad!!!

" No Planned Obsolescence:
Other radar detector makers want you to throw away your old detector and buy new......"

Hey.........I think he was referring to Belscort![replacer_img]

Seems like us Belscort Boyz are always in that boat. Dump your 9500ix for an iQ, STi Driver for a RedLine, STi-R for STi-R Plus.........and in a few months.......your Passport iQ for the iQ Plus.

I wouldn't mind the disposable RD concept if these things were in the sub $300 category.........but their not!

Ya unless you stay with your old unit and send it in for service when needed there is no real way to upgrade. Not that upgrading gives you any better praformance, My 8yr old 8500 was about as good as my 9500ix.