HeadRoom vs. the Community
May 30, 2003 at 7:01 PM Post #16 of 128
Quote:

Originally posted by RickG
I've got to agree with Tuberoller here. My first exposure to the world of top-end headphones and headphone amps was through the monthly ads in Stereophile for the last decade or so. My mouth watered to hear the magic of this stuff.

In light of what Tyll and HeadRoom has done in the advancement of this hobby, I must say, I find this thread disgusting.

I'm ashamed of you cats...

mad.gif


Damn straight. Headroom circa 1994 helped me be able to listen to quaility tuneage while cranking out analysis and SAS coding.
 
May 30, 2003 at 7:32 PM Post #18 of 128
Politics aside, I've never heard a headroom amp that I didn't like. I also have to give them praise for helping to develop the technology involved in crossfeed.
 
May 30, 2003 at 7:38 PM Post #19 of 128
[size=xx-small] Quote:

Originally posted by kelly
....For the sake of disclosure, my position has been that an online community can do both good and evil when it comes to the effects on particular businesses but that an uncensored (and non-self-censored) public forum can provide customers willing to do the legwork with a fairly balanced view of the company and its products.

What do you guys think?....


[/size]I think it safe to say that most of the audio companies I've communicated with very rarely, if ever, participate in forum discussions or attempt to join these communities. I know of several manufacturers and distributors and reps of various audio companies who come to this site, for example, but never post. Some companies have formal policies against posting to forums. I can understand why, too -- take the title of this thread, for example.

Looking at the thread that precipitated this discussion, for example. I honestly can't comment on the parts, the circuit design, etc. It was a legitimate question to ask why the difference in parts. But let's look at the turn it takese before HeadRoom could respond:
  1. [size=small]"Well, if you want some payback for the price gouging...."[/size] Not only is the term price gouging misused here (according to generally accepted definitions of the practice of price-gouging), but it also assumes that the poster is familiar with the company's financials. It also connotes something malicious going on in terms of the company's general business and pricing practices.
  2. [size=small]"....Of course, we all like the guys at headroom, but excessive profits are excessive profits...."[/size] Again, how does the poster know this to be true or not? Yet it is stated as generally accepted fact. That post, to me, served as the mood-changer of that thread, and is one of the reasons I can understand why some companies stay out of forums altogether.
  3. [size=small]"Isn't 'HONESTY' just as, or more important than R&D and putting the parts together??"[/size] Again, this would clearly suggest that something dishonest, something malicious has occurred. Again, the customer might think so, even after an explanation is offered by the company, but, c'mon, let's at least allow for the opportunity of a response before coming to the conclusion that this was an act of dishonesty in practice.
Of course, HeadRoom can provide an answer, and it might be an answer that meets the satifaction of their customers, or it might not. If the product is different than what was stated on the site, I can see why questions would be raised and discussed. But look at the tone that the conversation took almost immediately. Then look at the title of this thread. If I happened upon a thread that accused my company of price gouging and excessive profits (in the context of ripping people off) before I even had a chance to hit the reply button, I'd probably be pretty irritated, too. Maybe their answer will not meet with the satifaction of this or other customers, but, hey, maybe it will.[size=xx-small] Quote:

Originally posted by KJ869
And here comes the nasty word, Profit.
example: Sennheiser hd-600 can be bought for 200e from online store in germany, and store in Finland charges them 400e? does that sound fair profit? of course it dosnt. We all probaly agree headroom has done positive things to get wider audiences intress on headphones, but how mutch should they make profit from theyre amps is the problem. I would say the parts+work paid+10-15% is good profit marginal. I dont know the exact marginal but i would assume its lot bigger, that of course depends how mutch they pay for the work. If some company wants to Customer like them, they should use small marginal as possible, people then dont think theyre robbed, they get nice deal, company gets money, sales get bigger and everybody is happy. If we look to the opposite situation theres the CD-records. Nobody likes the prices and customers are angry.


[/size]Did you just arbitrarily come up with 10% to 15%? Starting a business is always a good way to learn about what the realities are. I worked in audio retail as a salesman for a little while, and, though our average gross margin on any product that went out the door was maybe 30% (or thereabouts), the store wasn't always profitable. I can also assure you that lowering our prices to accommodate an arbitrarily selected goal of 10% or 15% average gross margins would have almost certainly resulted in more frequent and heavy losses.[size=xx-small] Quote:

Originally posted by PeterG
....BTW, I dislike how this thread is titled "HeadRoom vs. the Community" instead of something like "HeadRoom and the Community


[/size]It's how the thread author sees it. For the record, I think it was poorly chosen title, too, but it was the message the author wants to convey.[size=xx-small] Quote:

Originally posted by Flasken
... But the cd-thing is a different situation completely, where
customers are FORCED to pay the premium....


[/size]This is a wee bit off topic, but I have yet to have anyone coerce me into buying a CD.[size=xx-small] Quote:

Originally posted by Pappucho
Tuberoller, I hope you are not inferring that Tyll or any of the other founders of this hobby are immune from critiscm. I feel that if there is a place to voice concern over any of the headphone related products out there, that this is the place to do it. Not only will you get educated responses from unbiased members, but you may also get a response from the president of that company. While I don't always agree with what is posted here, I don't believe any sort of censorship is warranted simply because it may be contrary to a respected individuals products.


[/size]Again, I don't think the issue is whether someone should voice a legitimate concern or not -- Magic77's concern is obviously legitimate. But, again, read what I quoted above (about price gouging and excessive profits), as well as the title of this very thread.
 
May 30, 2003 at 7:45 PM Post #20 of 128
Jude, 10-15% is realistic in company size off headroom. Its based on 2 facts a) its just enought at start to cover your personal expenses. no you wotn get rich and the company parely stands but when it survives b) your company gets good reputation and then comes c) your sale rises and you will start making profit.
 
May 30, 2003 at 7:52 PM Post #21 of 128
Quote:

10-15% is realistic in company size off headroom.


Net profit perhaps....but not gross profit. Various industries operate on different profit margins. There are all sorts of variables involved.

Even if "size" mattered, do you know "the size of headroom"? It's foolish for someone with no experience in operating a given business, to pick a number out of thin air because it sounds good to them. A business would have to be doing a ton of sales with extremely low overhead to survive on 10-15% gross profit.
 
May 30, 2003 at 7:55 PM Post #22 of 128
nice thread title
rolleyes.gif


Personally, I believe that any negative feelings that exist towards headroom(ex: "The bose of headphone amps") exists because of the fact that headroom is the large established company in the market. Like Sony or Bose, some may put headroom down for selling expensive or underperforming gear. Headroom is in a very tough position. They are one of the only large headphone amplifier companies out there. They put money into marketing, r&d, advertisement, etc on TOP of parts and labor. Pricewise, they can not hope to compete with DIYers. I'm sure Tyll has spent time wondering just how some of his amps can compete against a meta42. On the other hand, without headroom this hobby would not exist to its current scale. Headroom offers the chance for the average person to get into hi end audio without worrying about a DIY construction(though I mean no disrespect to the many DIYers out there).

I do however want to bring up a nagging issue I've been thinking about. Does Jan Meier still count as a DIYer? Sure, he sells headphones and his own amps, but surely not on the scale as headroom.
 
May 30, 2003 at 7:58 PM Post #23 of 128
[size=xx-small] Quote:

Originally posted by KJ869
Jude, 10-15% is realistic in company size off headroom. Its based on 2 facts a) its just enought at start to cover your personal expenses. no you wotn get rich and the company parely stands but when it survives b) your company gets good reputation and then comes c) your sale rises and you will start making profit.


[/size]As someone who has started a few businesses with at least a fair amount of success, I feel confident in saying that you're generalizing way too much. First of all 10% to 15% what? Gross? Net? Somewhere in between?

Additionally, regarding your two facts: where are you pulling these "facts" from? Who the heck starts a business to have it barely stand? When you're a business owner, and responsible for not only your livelihood, but the livelihood of others (including their mortgages, much of their healthcare costs, tuition, car payments, and everything else we all pay for with our paychecks), trust me when I say that shooting for barely standing isn't the goal.
 
May 30, 2003 at 8:08 PM Post #24 of 128
One of the great things about capitalism is that one sets one's prices at a level that the market will bear.

The notion that one who makes anything higher than a 15% profit is price-gouging is silly. If they were truly price-gouging, they would be out of business in rather short order. Since LOTS of folks seem to be buying HeadRoom products (the used ones seem to hold a lot of their value), let's assume that this is not the case here.

A manufacterer who assumes risk to produce, market, and support a product is entitled to make a living. This is supposed to be high fidelity audio that we're talking about here. It costs money.
 
May 30, 2003 at 8:12 PM Post #25 of 128
Quote:

Originally posted by KJ869
Jude, 10-15% is realistic in company size off headroom. Its based on 2 facts a) its just enought at start to cover your personal expenses. no you wotn get rich and the company parely stands but when it survives b) your company gets good reputation and then comes c) your sale rises and you will start making profit.


Damn........I am glad that you don't run the company I work for.
 
May 30, 2003 at 8:18 PM Post #26 of 128
Quote:

Originally posted by markl
What are you hoping to accomplish with this thread? If you disagree with Tyll's statement, why don't you just reply to the original thread. I see no constructive purpose to this.


Was there something constructive to this reply? If you don't like a thread, Mark, don't read it, and by all means, don't reply to it. Begone.
 
May 30, 2003 at 8:18 PM Post #27 of 128
Quote:

Originally posted by andrzejpw
I'm sure Tyll has spent time wondering just how some of his amps can compete against a meta42.



I don't.

The differences between Tyll's amps and the DIY amps in vogue now is great.
You really can't compare the two.

If you don't believe me just look at the profile of the most prolific amp maker here.
He can build any amp he wants for himself but owns a Max.
What does that tell you?
 
May 30, 2003 at 8:19 PM Post #28 of 128
Quote:

Originally posted by KJ869
Jude, 10-15% is realistic in company size off headroom.


No it's not. Smaller companies usually have larger profit margins. 50% is normal (small companies and otherwise).

WRT the original question, I think Tyll (& co.) walks the balanced line of overexposing himself in the community (to become a target) and still participating. It's wonderful that he's done as much as he has.

That said, Headroom is not the same as Head-Fi, and it's a gamble to do anything (which is why you see most companies not participating). Again, I think Tyll & co. handle this as well as can be handled under the circumstances (the circumstances being that it is a niche market during difficult times right now).

I wish Headroom all the best.
 
May 30, 2003 at 8:21 PM Post #29 of 128
Honestly, I do think that the HeadRoom website probably does need at least a little updating. But then that's true for most websites in general.

I only say this because among two or more reasonable people, it seems like disagreement and disappointment are frequently the product of simple miscommunication or poor communication.

Not to nitpick, but one example of what I assume is a simple typo might be the published output power specs for the Max and several other HeadRoom amps. To me, the numbers appear, well, non sequitur.

Just an example folks!
Quote:



Anyhow, I'll conclude by saying that I've personally always found the HeadRoom staff very friendly and willing to answer all my questions via telephone. Which just goes to show, sometimes an old-fashioned phone call can't be beat. It's that communication thing, LOL!

TravelLite
 
May 30, 2003 at 8:25 PM Post #30 of 128
Some people only want to pay DIY prices for commercial products. I wonder where people got that idea.

These people will obviously have a problem with Headroom and pretty much any other audio dealer/manufacturer.
 

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