evhvis
100+ Head-Fier
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They probably have normal markup. In my country 1.6x increase from manufacturer price to distributer price and 1.6x from distributer price to the retailer price is around the normal average on hi-fi gear. Cables are much higher in that they can be as high as 10x, more normally 3-5x so if you want a certain cable, haggle on the price when you buy some other gear and you will usually get a good discount. The same multiplication seems to be for other countries as well based on the list prices in my country and the list prices I see on stores in other countries.Already fed up with the stock cable after 1 day so I ordered a custom one Sky Audio last night.
It's up there with one of the best deals I've seen, but also goes to show much markup these things have retail price. $2000aud to $700aud within a few years when they're highly regarded review wise.
It is a low volume business so the only ones making lots of money are those that are both distributer and retailer while most stores that specialize in hi-fi gear are making less profit margin than you would deem acceptable in a lot of businesses.
It could very well be that they are selling those units at a loss as it seems like there is a fire sale, but can't say for certain.