Why has the price of Personna Reds gone up so much?
- Thread starter grampi
- Start date
Blades are made overseas and sold worldwide. We're in a recession and the dollar isn't worth as much as it used to be compared to the euro, yen, etc.
Probably because they are my new favourite blade; and I am the most unlucky human being on the planet.
I sincerely apologize for your being indirectly affected by the universes unprovoked contempt towards me.
-Crisp
Also the increase in popularity of DE shaving might have greated more of a demand.
Makes sense, shipping charges are constantly going up too. The percentage they've gone up is most likely the same percentage that they've gone up for the vendor too.
+1
I agree with the OP. A cost increase of 65% is really high.
I agree with the OP. A cost increase of 65% is really high.
It's also possible that they are trying to make up for the loss of the Wal-Mart sales. Sometimes business decisions aren't based on clear-cut economic rules. Raising prices can bring in more per unit, but it generally doesn't increase sales.
+1. Totally agree. Also even this increase is minimal, considering what one would spend buying 100 carts of any model.
This and also the price of the raw commodities has increased on a global scale. The price of raw steel has increased and the price of oil has increased.
- Thread starter
- #10
The dollar hasn't decreased in value 65%, and lowering prices during a recession would make more sense than raising them....
- Thread starter
- #11
Nothing has changed by 65% though. Sounds to me like there's a bit of gouging going on here...maybe they're taking lessons from the big oil companies?
Only certain countries are going through a recession, such as the US, Canada and what used to be called Western Europe. China, most of Eastern Europe, India, Vietnam and Japan are not in recession and haven't been in many years. Since most blades come from Russia or China (with some from Vietnam and of course the Feathers from Japan), the recession is not even in their thoughts.
That 65% increase in price could be caused by a 40% decrease in the value of the dollar. We're not there yet, but...grampi said:
"Sounds to me like there's a bit of gouging going on here...maybe they're taking lessons from the big oil companies?"
The gouging goes on in the producing countries we import oil from.
http://www.eia.doe.gov/pub/oil_gas/...ons/company_level_imports/current/import.html
Some of the countries on the list above are members of OPEC, others that are not won't deal unless it's in OPEC prices.
It costs them $10-15 a barrel to get it out of the ground, and to get it from their ground to a tanker headed back here, the price goes up to the current $85-90 a barrel. That's a 500 to 700% markup.
That affects the cost of energy used to make the steel, and in the case of plastic razors, the plastic, which is made from petrochemical feedstocks, which come from crude oil.
My first thought as to why the IP's have increased in price is the simple fact they are praised so much around here!
The global economy argument hadn't even entered my mind until I read the above posts.
Maybe they simply went up because a lot of people are willing to pay the increased prices.
The global economy argument hadn't even entered my mind until I read the above posts. Maybe they simply went up because a lot of people are willing to pay the increased prices.You are joking. The price of raw steel has gone up 10% in the last month alone. Also in the last few weeks oil has risen by $12 a barrel.
Although they are called Personnas and have the ASR address on the box, ASR denies making the "Red Pack IP."
I'm not an economics expert but if I own a factory in Europe and the dollar you used to pay me for a pack of blades used to get me 1 euro and now it only gets me half a euro I'm going to ask you to pay more dollars for me to get the same profit.
The value of the dollar vs euro has fluctuated as much as 25% in the past couple years. I'm sure that along with cost of materials, energy and transportation has contributed to the hike.
It could be worse, the price of Feather pro blades has more than doubled in the past year.
We may be over-analyzing a bit in this thread. The price of steel and oil may have risen, but not all brands of blades have changed their pricing (for example, Lord Plats are still $10 per hundred at WCS). When it comes to popular models and good brand recognition, the law of supply and demand is generally applicable. At least, that's what I'm going with.
You may want to check that. China had a stimulus package that they implemented about the same time the rest of us all went into a recession. Ours was less than 1% of GDP. China's was 20% of GDP. China runs a trade deficit with every one of their trading partners save the United States. With us they have a surplus. So goes the USA, so goes China.
I have to agree with this. Most of the countries that produce blades are doing very well.
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