Everyone's purchasing decisions and value perceptions differ, and have a lot to do with family budgets and lifestyle preferences. Two portable amps with identical SQ (but with different features and support) might well occupy very different price points in the marketplace. We can assume that the price points are market-determined ... manufacturers set prices to maximize profit, taking into account that a lower price will sell more units but a higher price will yield more profit per unit sold.
In other words, Ray's prices are "correct" -- they appeal to the people they are designed to appeal to, and are priced to optimally profit Ray, as they should be. Everyone wins. The invisible hand works since the portable amp market is efficient, thanks to the internet.
I have not A/B'd Ray's amps against cheaper alternatives, and certainly not against a DIY CMOY. But the two amps I have listened to extensively (Predator and Shadow) have superb SQ, and hold their own against other portable amps I have a lot of flying time with: iQube and Mini^3. Reviews by Skylab and others express similar opinions.
Here's why I and others gladly pay Ray's prices (and in fact consider the prices quite fair):
1. Ray ships goods almost immediately. You pay, you get. I like that a lot.
2. There is no assembly or other work required. It all works out of the box. I need that feature, I have no mechanical skills whatsoever. I can barely peel an orange.
3. Ray gives you a wide choice of case colors, and will customize. I like that too. You might not care. I do. I do not enjoy handling goods that are ugly. A company called Apple seems to understand that point as well.
4. Ray includes a carrying case, printed instructions, a nice box to ship the unit back if you have problems or sell it in the used market, etc. These all add to the value -- for me if not for you.
5. Ray supports his products personally over the phone. This means: he gets on the phone himself. I had a trivial question about charging the Predator -- Ray spoke to me directly (I did not even request this), not some dim customer service rep. I have a high-end SACD Player/DAC. It had a serious grounding problem with SPDIF. I could not get a real engineer on the phone -- I got some idiot who spun a stupid analogy about a race car using premium gasoline, insulting my intellegence. In the end Wadia admitted I was correct, but it took multiple emails and phone calls -- angry escalation through my original dealer. You like that? I don't. I love Ray's customer service. You will too.
6. Ray's products have commercial fit-and-finish. TSA never questions them when I fly. You think you can get on an airplane with a hand-wired CMOY in a mint tint without a hassle?
7. The products hold their value in the used market place. I sold my Predator for a fine price, and the buyer loved the deal he got. I wanted to downsize (literally, in size) to the Shadow, and I actuallly made money on the turn (see next point) -- this means with Ray's goods you can upgrade/downgrade for life. What else in audio can you say that about? Only the best brands.
8. Ray supports the community. The community is important to me -- without vcoheda, bozebuttons, nikongod, md1032, el_doug, usg, spritzer, kerry, and many others (apologies to everyone I forgot)I would not be listening as well as I do, their advice as been both practical and priceless. That's right, the community increased my SQ. For real. Without smaller MOTs like Ray, Jack Woo, Drew, Fang, Craig and the rest, the NY/NJ meets (and CanJams -- although CJs get the huge national vendors and others as well) would not be what they are, and I would suffer personally. At a NY meet, Ray contributed a Shadow, which I won at auction, paying less that I sold my Predaor for (see 7 above). On top of that, Ray took an hour out of his life to educate about 5 of us on the history of headphone amps -- that adds to the enjoyment of the hobby.
I would actually pay more for Ray's goods than he asks, because they are worth more to me. You want to pay less, because they are worth less to you. Long live price elasticity of demand, and the joys of responsible consumerism (re-use, re-sell, re-cycle -- but enjoy life!).