DaDane Offline Upload & Sell: Off
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RDKirk wrote:
While I don't know the cost of each of the models (cost of goods sold), the profit contribution may be much closer model to model in an absolute sense even if the volumes are not.
Or maybe not. Canon will have sales goals for each model and may not expect nearly the same profit from the high ranges than the lower ranges (in fact, sales figures they've released for years have confirmed that they've always made most of their money from the cheaper cameras).
It's bad marketing and business for either Nikon or Canon to ignore any part of the total market. Their high-end visibility sells more low-end cameras. Canon's goal will be to have the greater overall share of the entire DSLR market.
What's more, - the 1D owners of today are the 350D owners of yesterday. Not entirely of course, - but still. Read the thread about how people went to be Canon users.
I believe that the low-end is very important. For different reasons, - first off these people still buy accesories like lenses, flash etc. A guy from my church has a 350D with several pretty nice lenses (a wide angel, - I think 10-22, 70-200F2.8 (not IS) and he might have more, - not sure).
Probably more important, - once you buy a camera you are somewhat likely to stick with that, - of course your likelyness will increase with more usable stuff (nice lenses, flash, etc.)
Last, - people influence each other. We are now three people in my church having DSLR. All three of us have Canon. As mentioned one have a 350, another on a 1DmkII and I have the 20D. All of us have a somewhat nice setup of lenses. Mine is a Sigma 24-70, Canon 70-200F4, 135 softfocus, 50 1.8, Sigma 20 1.8.
If someone new wants a DSLR they obviously will ask one or two of us. And what do we tell?
But now, - at least in Denmark where I live the Nikon as well as the 3.rd-tier is somewhat cheaper.
The 350D is approximately 5200 dkr (870 US$), the Nikon 50 is just 3995 (670 US$). That does make a difference when people starts out.
So for me a dirt-cheap 3000D will be a very obvious choice for Canon. It might have just 6 MP, just ISO 1600 etc. And most people buying it might want to change quite soon, - still it will be a very nice card for Canon to play.
I am of course very aware that the people buying a dirt cheap 3000D will also spend less money on lenses! Still I think that most of these people will be loyal too.
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