Archived posting to the Leica Users Group, 1999/10/09

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Subject: Re: [Leica] Hexar RF/M7
From: Bernard <5521.g23@g23.relcom.ru>
Date: Sat, 09 Oct 1999 21:48:05 +0300

Anthony Atkielski wrote:

> > What Leitz really needs, one one hand a beginners model, with
> > a good lens for a reasonable price, and a lower cost body, but
> > reliable.
>
> I disagree.  There are already dozens of cameras like that--Leica will
> just be
> washed away if it tries to compete in that market.

I'm with Anthony on this, and the argument that the cheaper cameras are
useful to make up for the losses of the quality gear is something I
don't find convincing. I don't believe that Leica can market cheap
cameras for a *long* time. Of course, for a *while* there will be plenty
of people who will gladly buy a $300 non-Leica manufactured "Leica".
They want to own something with that name and then try to convince their
neighbor that the $300 "Leica" plastic is superior to the Nikon plastic.
But the name alone won't keep selling those point and shoots (or
beginners models) forever.

It's a cheap, temporary solution. The brand name will erode and the
sales of the high-end gear will suffer more and more from the
non-cultish plastics with the red dot. So high-end sales suffer, and the
low-end will suffer as soon as Nikon et al prove that they're no worse,
which is easy enough for them, because it's true and the big boys have
more cash to get that message across. Down go the beginners models along
with the high-end. Good-bye Leica-cult means good-bye company.

Cheap, quick fixes may save some temporary CEO's reputation, but not the
company. There are thousands of successful small companies in the world,
making high-end gear of all kinds, of which only professionals have
knowledge. Those companies survive if they render outstanding quality,
or a cult-object, or both, as in Leica's case. But not if they try to
make a buck or two by betting on every horse in the stable.

Bernard