- Oct 3, 2008
The kickstarter could be awesome in order to low the price and give some public light to the project (because being honest, this project is still in a deep dark cavern).
That is actually the main reason -not- to do a Kickstarter. Kickstarter supporters have been conditioned to expect the product at a discount AND Kickstarter requires a cut of the revenue. ED is already cutting it very thin with the margins on the Pyra. To make up for Kickstarter's cut, he would potentially have to raise the price above what the pre-orders here have paid. That isn't such a bad thing though. The pre-orders to date have all been funding the project during a timeline with a higher risk. The Kickstarter participants would essentially be ordering a device with already existing and distributed prototypes - their risk would be much lower by comparison.
The counter argument is that the scale of the orders would allow the price to go down. To justify a lower (or even the same) price for Kickstarter participants, ED would need to make the funding threshold represent roughly 2500 to 5000+ units, so roughly 1 to 2 million Euros. If the Kickstarter price is lower than the DragonBox pre-order price, do those individuals demand a refund at DragonBox and then order on Kickstarter? That would be a mess too - with even more profit margins removed.
It is a bit of a conundrum. Additional sales and publicity are always a plus. Giving up ~20% or more of the purchase price - over half of the markup over production and support costs (profits) is a huge negative.
But - the main point is - doing a Kickstarter on this project would not necessarily mean lowering the price and may require a higher one for Kickstarter and future retail sales.
I'm sure ED understands these concepts and will follow a path that works for him and his company.