Quote:
Originally Posted by Larry Pattis
Yep.
Say, NAMM is right around the corner...I wonder how soon after that we'll see the Cargo (and other new-CA guitars) hit the streets for public evaluation/consumption...?
|
Good question. I would think it would be some time after NAMM, maybe toward early spring?
Here is what I am wondering about, based on comments made over the past year or two in this and the MacNichol forums...
I am given to understand that the cost differential between making the Cargo and the larger, much more expensive CA guitars was really not very large because the difference in material cost was rather small and the labor costs to build either instrument type were also very close. I may have completely misunderstood some of the posts that touched on this, so if that is the case, my underlying premise for the remainder of my comments in this post may be completely off base.
Anyway, based on that understanding, I can't really see how Peavey could build the Cargo at better margins, even considering potentially greater "economy of scale" (possibly because their manufacturing facilities might be more efficient and they could probably push more product out the door, not to mention their existing large network of dealers and their advertising potential for greater visibility worldwide) because I can't really see the actual market for the Cargo being HUGE of a market when all is said and done enough to make up for that cost differential (the unlikelihood that every guitar player will want to own one). It seems to me that Peavey will have to either raise the price of the Cargo so they can make enough money to continue making this product or lower the costs to make it - either choice being intended to increase margins so that they can continue that business at all.
To me, this observation/conjecture is separate from whether they make real improvements on the Cargo (unless said improvements add noticeably to the cost of manufacture and/or materials involved).
So, yes, though I already own three (count 'em!!!
) Cargos, I will watch this unfold with interest.
Tony