Jordan Brand will be remastering (building better quality shoes) starting in 2015

[SuperQ]

I love when people bring up inflation to justify the higher prices of RETROS (not new shoes). Inflation has very little relevance in figuring out pricing when it comes to retros. When determining cost of production for any consumer goods, most people only think of the cost of the materials and labor to put the product together. What they tend to forget (or don't realize) is that the majority of the cost of a product is in the research and development for that product. Creating an initial design, building a prototype, testing it, finding the flaws, fixing the flaws and repeating all those steps over and over again until the company comes up with a final product they're satisfied with. This is the bulk of the cost that the company tries to spread out with the wholesale/MSR pricing, thus is what you're REALLY paying for. However, none of these costs are a factor for retros because that was all dealt with already 10, 15 or 20+ years ago. All they have to do now is worry about the cost of materials and labor to recreate the product, which is dirt cheap by comparison.

This is why when anything new comes out in consumer goods (think video games, TVs, cell phones, etc), the initial MSRP is high. They're trying to factor in recouping the cost of R&D into the price tag. As time progresses and those costs are recovered, the prices drop because now all that's left is the cost of actual materials and labor (very small in most cases), so they're basically almost making sheer profit off sales at that point. Retro sneakers have been at that stage for a decade or 2, so the excuse of "inflation" for higher prices and/or poor quality is absolute BS.

It's plain and simple. The prices are high/keep going up because they can get away with it. And as a business trying to make as much profit as possible, I don't blame them. Good on them for capitalizing on the moment. Shame on the buyers for giving them that kind of power by continuing to shell out the money for something they're not satisfied with.

I mentioned that there were zero R&D costs a few pages back and yall tried to clown...

 

[rob1ne]

@Anomaly Whats good!? Nice to see you back on board!

 

[digiballs]

Says the dude who asked "are the dub zeros gonna be IVs?" U were arguing with yourself!

and there he is.. every village has one

 

[hollahollygrove]

and there he is.. every village has one

Where I'm from we refer to this as the Pot calling the kettle black! You obviously recently got into Jordan's so please go learn about the shoes before you try to talk to me or anybody else about inflation or anything else... Are the dub zeros gonna be a IV?... SMDH! Are you JBs lawyer?

 

[digiballs]

Where I'm from we refer to this as the Pot calling the kettle black! You obviously recently got into Jordan's so please go learn about the shoes before you try to talk to me or anybody else about inflation or anything else... Are the dub zeros gonna be a IV?... SMDH! Are you JBs lawyer?

Is that all you got?  A mistake I made about a shoe?

The difference between the two of us is I can admit I made a mistake.  You on the other hand keep spitting the same BS, and pretend to have some sort of knowledge you can share, when in fact you are wrong, and will always be wrong.  You come into the Jordan forums and talk the same old tired bs about being overpriced or whatever you have to say.  Most of us are here to learn about new releases, talk about some rumoured stuff and the like. You come in here, stomping your feet like an old man telling the kids how good it was in his day.  Nobody cares about your negativity so take it somewhere else.

 

[noblekane]

Lol inflation

Its like believing in the easter bunny

 

[hulk7280]

I love when people bring up inflation to justify the higher prices of RETROS (not new shoes). Inflation has very little relevance in figuring out pricing when it comes to retros. When determining cost of production for any consumer goods, most people only think of the cost of the materials and labor to put the product together. What they tend to forget (or don't realize) is that the majority of the cost of a product is in the research and development for that product. Creating an initial design, building a prototype, testing it, finding the flaws, fixing the flaws and repeating all those steps over and over again until the company comes up with a final product they're satisfied with. This is the bulk of the cost that the company tries to spread out with the wholesale/MSR pricing, thus is what you're REALLY paying for. However, none of these costs are a factor for retros because that was all dealt with already 10, 15 or 20+ years ago. All they have to do now is worry about the cost of materials and labor to recreate the product, which is dirt cheap by comparison.

This is why when anything new comes out in consumer goods (think video games, TVs, cell phones, etc), the initial MSRP is high. They're trying to factor in recouping the cost of R&D into the price tag. As time progresses and those costs are recovered, the prices drop because now all that's left is the cost of actual materials and labor (very small in most cases), so they're basically almost making sheer profit off sales at that point. Retro sneakers have been at that stage for a decade or 2, so the excuse of "inflation" for higher prices and/or poor quality is absolute BS.

It's plain and simple. The prices are high/keep going up because they can get away with it. And as a business trying to make as much profit as possible, I don't blame them. Good on them for capitalizing on the moment. Shame on the buyers for giving them that kind of power by continuing to shell out the money for something they're not satisfied with.

the problem with your argument is the R&D on shoes is a VERY small percentage of the TOC.. its 10 percent or less..

R&D is NOT the main cost.. its Manufacturing and production.. thats from 1995.. they charged 25 cents for every pair of shoes for R &D on a 70 dollar retail shoe.

http://www-personal.umich.edu/~lormand/poli/nike/nike101-8.htm

 

[hulk7280]

Lol inflation

Its like believing in the easter bunny

so Inflation isnt real?

 

[noblekane]

It is when your shoes arent made of computer paper and plastic milk jugs now

 

[bravelude]

It saddens me and it embarasses your folks that some of you folks are naive and ignorant. Economics 101 will teach you that supply and demand dictates price equilibrium. Business classes will teach you about profits and margin.

Although the price increase in retros may or may not be justified, it is obvious that it isn‘t based on just one factor. With that said, yes supply, demand, margins, and inflation are drivers.

And idiots who disregard inflation are those that do not understand it. They simply do bo understand.

 

[bravelude]

so Inflation isnt real?

Dont waste your time. People here often purposely say things to attract attention. Yes, inflation is real, but its too difficult for most to understand.

 

[noblekane]

Here comes mr negative kno it all again lol

Never everrrrrr seen you post anything positive.

Always just negative condescending arrogant pompous opinion and comments

Too grumpy

Breathe

 

[hulk7280]

Dont waste your time. People here often purposely say things to attract attention. Yes, inflation is real, but its too difficult for most to understand.

I think its pretty darn simple.. a dollar today is worth much less then a dollar 30 years ago..

 

[hulk7280]

Here comes mr negative kno it all again lol

Never everrrrrr seen you post anything positive.

Always just negative condescending arrogant pompous opinion and comments

Too grumpy

Breathe

but you just said JB makes there shoes out of milk jugs and computer paper and someone else is negative and grumpy?

 

[noblekane]

That is true but nike is inconsistent with their pricing.

 

[noblekane]

but you just said JB makes there shoes out of milk jugs and computer paper and someone else is negative and grumpy?

Look at the guys post history. Nothing but negative grumpy ****

Nike quality is garbage now. Thats a fact

If it makes your stomach hurt dont mean im being grumpy

 

[hulk7280]

Look at the guys post history. Nothing but negative grumpy ****

Nike quality is garbage now. Thats a fact

If it makes your stomach hurt dont mean im being grumpy

not true.. family forever 1's LM 1's, cigar 6's all GREAT quality shoes.. i have no complaints for black/sport blue 3's, bred 1's, shadow 1's, etc..

there are some shoes that are subpar but for the most part Im fine with the quality of JB retros.. they are hit and miss, but I guess I have been lucky

 

[noblekane]

You are right i should have said most releases. They do put out premium products from time to time

 

[nyknicks207]

I find it laughable that people still think inflation plays a major role in JB's pricing. Just this year, Jordan 6s retailed for $170 and those Chris Paul's retailed for $125, yet the Brazil pack retailed for $500. You don't think JB set it at $500 because they knew they'd sell out at that price? JB, like all other businesses, are in it to make as much profit as possible in the long run and they'll continue to raise prices as long as people continue to buy their products

 

[airdhazzal]

Only Jordan's get the inflation treatment. Do you guys even look at other retros. Penny 1's are still the same price they were in 1994. Adidas Superstars (premium leather mind you) under a $100.

Someone wanna explain.

 

[hulk7280]

Only Jordan's get the inflation treatment. Do you guys even look at other retros. Penny 1's are still the same price they were in 1994. Adidas Superstars (premium leather mind you) under a $100.

Someone wanna explain.

your picking out ones and twos here.. in general the price of sneakers have gone up the past 30 years.. now getting a pair of shoes under 100 dollars is a bargain.  but in the 90s a 100 dollars for a pair of sneakers is buying the best sneakers Nike makes..

foams are 250 dollars now.. shaq attaqs are 160 now.. air maxs are 180 bucks.. its not just jordans, I can name 10 shoes that have gone up in price, when you can pick out one or two that have stayed the same..

 

[hollahollygrove]

Is that all you got?  A mistake I made about a shoe?

The difference between the two of us is I can admit I made a mistake.  You on the other hand keep spitting the same BS, and pretend to have some sort of knowledge you can share, when in fact you are wrong, and will always be wrong.  You come into the Jordan forums and talk the same old tired bs about being overpriced or whatever you have to say.  Most of us are here to learn about new releases, talk about some rumoured stuff and the like. You come in here, stomping your feet like an old man telling the kids how good it was in his day.  Nobody cares about your negativity so take it somewhere else.

Blah blah blah... You and your buddies keep coming in here bringing up inflation... You referenced me and I responded to you! Believe what you want pay what you want... For crap!

 

[rcjbbp1313]

they charge that much cuz they can and still sell out, plain and simple and until they hit a spot to where they no longer sell our instantly then they will calm down but gone are the days where the price reflects the quality, the price reflects the demand and demand is high because of thirsty dudes who continue to feed resellers who buy them all up. let a reseller lose his butt on a 10K purchase and he wont do it again but yall dont do that you go in with the mind frame that "its only 20$ more for retail and if i strike out reslae here i come" and with that it will never end and just like everything else in life if you want things to change you have to work at it and in this point if you dont get retail then leave it alone and then do the same to JB once resellers calm down. nobody listens to the fact that we have the power but will not excercise it, not even remotely trying.

 

[hollahollygrove]

I find it laughable that people still think inflation plays a major role in JB's pricing. Just this year, Jordan 6s retailed for $170 and those Chris Paul's retailed for $125, yet the Brazil pack retailed for $500. You don't think JB set it at $500 because they knew they'd sell out at that price? JB, like all other businesses, are in it to make as much profit as possible in the long run and they'll continue to raise prices as long as people continue to buy their products

Nah that's because of inflation...

 

[hulk7280]

they charge that much cuz they can and still sell out, plain and simple and until they hit a spot to where they no longer sell our instantly then they will calm down but gone are the days where the price reflects the quality, the price reflects the demand and demand is high because of thirsty dudes who continue to feed resellers who buy them all up. let a reseller lose his butt on a 10K purchase and he wont do it again but yall dont do that you go in with the mind frame that "its only 20$ more for retail and if i strike out reslae here i come" and with that it will never end and just like everything else in life if you want things to change you have to work at it and in this point if you dont get retail then leave it alone and then do the same to JB once resellers calm down. nobody listens to the fact that we have the power but will not excercise it, not even remotely trying.

nike air max's sit like crazy yet they are STILL priced at 179.. Foams sit at 250.. Air max 98s are sitting at 159.99..