Alpine Electronics will raise prices on some subwoofers by up to 25 percent, effective October 1, as the cost of components increases, it said.
The price action follows increases earlier this year from JL Audio, Audiovox and others.
Alpine’s Mike Anderson said, “We’ve absorbed the price increase [on component parts], but the increases from our vendors got to the point where we couldn’t do it anymore. “
Alpine’s price rise is larger than some of the single digit or low double digit actions announced by other suppliers, however some suppliers have had more than one increase.
Even more vendors are expected to raise prices in the coming months.
Dual’s Ed Sachs, speaking from the floor at KnowledgeFest noted, “Everyone who makes speakers will have to raise the price. The price of component raw earth metals have increased by 5 to 30 percent. So it’s a matter of time for everyone.”
Some companies are expected to build that increase into their 2012 pricing on new products to be introduced in January at the Consumer Electronics Shows. But speakers often have long product cycles of two years or more, so some suppliers may not be able to wait for a product refresh.
Dual said it is “reviewing what to do and how to do it,” regarding pricing.
Memphis Car Audio’s John Linn, also said “If things continue the way they are, then there will be price increases at some point.”
Both Sony and Kenwood said they will not raise prices for the time being.
Sony’s Mike Kahn at KnowledgeFest admitted that the sheer size of the Sony Corporation allows it to absorb costs. “We internally discussed it but don’t think it’s the right thing—not for the next six months.” He admitted however, “It’s a tough business decision.”
Metals that have seen price increases include copper, zinc, aluminum and sliver as well as strontium. The latter is often found in speaker magnets.
Source: CEoutlook
