[Open-graphics] Re: OGD1 pricing

[gary sheppard]

On 2/28/06, Hamish Marson <hamish at travellingkiwi.com> wrote:
>
> On Mon, 2006-02-27 at 21:28 -0500, Timothy Miller wrote:
> > On 2/27/06, Timothy Miller <theosib at gmail.com> wrote:
> > > I really cannot go into details, but I'm trying to get some sense for
> > > how to price OGD1 boards.
> > >
> > > On the one hand, we don't want to price it too high, making it hard
> > > for developers to get it (although we can sell it cheaper to 'signed
> > > up' developers).
> > >
> > > On the other hand, this is also a fund-raising product.  We are
> > > selling it so that we can raise money to do things like work more
> > > hours on OGA and produce the ASIC.
> > >
> > > I was talking to someone who says that products like this are often
> > > marked up quite dramatically, like, say, a factor of 6 over their
> > > parts costs.
> > >
> > > If OGD1 costs $X, what should we sell it for?
> > >
> > >
> > > We need to take into consideration not just OGP developer discounts
> > > but also bulk discounts.  And we still need to raise a load of money.
> > >
> >
> >
> > One other comment.  I went over and visited some profs at the EE
> > department today, looking to see if they would be interested in any
> > sort of synergy with the OGP.  One of them had an FPGA board in his
> > lab with some small Altera part on it.  When I asked him how much it
> > cost, he said, "Only a few thousand dollars."
> >
> > Aside from some LEDs and some other frills, OGD1 kicks the crap out of
> > what they have.  Maybe this gives some perspective on it.
> >
> > I'm thinking of a pricing schedule like this:
> >
> > Individual Retail:  3x
> > Bulk of 10 or more:  2.7x
> > Bulk of 25 or more:  2.4x
> > Bulk of 50 or more:  2.2x
> > Bulk of 100 or more:  2x
> > Individual OGP developer:  2x, limit 5
> >
>
> So we're talking about US$1200 for the board at 3x (Assuming the earlier
> post about $399 & parts cost was read right by me). Lessee... That's
> around 700 sterling... It sounds pricey...
>
> Although with adding LED's it would be pretty :)
>
> Hamish.
>
>
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   @ Timothy,
It really sounds like it is time for the creation of a marketing dept. This
is one of those things that can easily *make or break* this project. If you
have the best *widget* in the world at the best price imaginable but have
poor marketing, you are doomed. Where as your competitor who has a board
half as good and twice as expensive sells them quite well ect. As an example
look  to the mighty but now dead Alpha platform. It was awesome, but they
just did not quite have the marketing savvy. Thus they died for lack of
market penetration. If you know people in a University perhaps there are
marketing students? Just one idea is all.

Keep a strain on it sir,
Gary
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