Rocnel/Barbaros, an interesting thought

I was looking at the exhange rates earlier today.

Rocnel and Barbaros are turking companies that make premium razors. And they now have a collaboration. We all know that, I think.

I believe they started making razors in 2016, but I'm not 100% sure about it.

Since then, their pricing strategy has changed a lot. I bought their first model for a little less than 50 euros. I guess this was an initial price for the models to create demand and become popular.

Back then, the exchange rate was about 2,98 [dollars to try (turkish lira)-May 2016].

Now, today, the exhange rate is 5,97 [dollars to try (turkish lira)-1/4/2020].

Huge difference. 100% up.

Yet their razors keep getting more expensive. I know they're innovative, they use 316 steel, they look nice etc., despite the fact they are super super heavy. I had a few models and I know what I'm talking about.

Now they ask $450 for an adjustable, through a site that shall be remain unnamed for know, asking for a pre-payment of course.

Maybe their pricing strategy is a bit off? I don't know. Just a thought.


Here is a chart (2015-today)





If they were asking $450 back in 2016, it's like asking $900 now. Like I said, huge difference.

Can you imagine the profit margin?

$450 is worth much more in Turkey nowadays. $450 more comparing to 2016.

Someone makes some serious money. Not sure if it's the online vendor in the States or the makers themselves. Most probably they are both winners from that.



What's your thought about it? I do believe they should ask much less based on the exchange rates alone. Otherwise it's like somehow saying to me that their razor is worth $900. You get my point I think.

I think it's got a fair bit to do with the ego of the manufacturer and how they want their product
to be perceived by the customer. The niche they want to occupy.
For instance, the $280 Varlet sees that Back Eagle is charging $350 for a 28mm brush.
Now you just know he's thinking, hell, I make brushes as good as this if not better.
Boom!
Next thing you know, a Varlet costs $350 now.

Wolfman sees his razors are commanding 2-3 times their value in secondary market,
so it's natural he wants some of that action as well.

I think you can apply this thought process to just about any high end product scenario.
And in many case, the readiness of people to part with a small fortune for a razor also factors in.

PS. Figures quoted are only for illustration purposes.

Inflation is also a factor.

I don’t have a problem with their pricing. I say good for them if people are willing to pay it. They might make more if they charged less and produced more, but that’s not the business model they chose. I’m not interested in their razors because they look to be heavier than what I like. I’m also not a fan of the brand engraving on the top caps.

I don’t have a problem with their pricing. I say good for them if people are willing to pay it. They might make more if they charged less and produced more, but that’s not the business model they chose

This is pretty much my take as well. I've been listening to Seth Godin a lot lately, and he's changed my perspective quite a bit on both marketing and pricing strategy. What I'm hearing from your post Fargo is that the Rocnel / Barbaros razors aren't for you. That's ok. I'm in the same boat. I can appreciate the beauty and craftsmanship, but that's more money than I'm willing to spend on a razor. That just means I'm not their desired clientele. Again, that's ok. They make the razor, they get to decide who they are trying to sell to. One of Seth Godin's marketing lines is "people like us do things like this." Well, people like us (you and I at least) don't buy $900, or even $450 razors. But some people do.

Hello gents, 

I just wanted to make somethings clear from my own perspective.

I made a collaboration with the aforementioned producer when the first batches were out. Currently i am not affiliated with them and really dont know the pricing strategy or the profit margin.

For my side, currently not producing anything. 

About the currency exchange rates, you know higher us dollars creates inflation, raising the prices from electricity to labor wages and other expenses. The prices of electricity and natural gas were doubled in the last 2 years.

Just wanted to point out.

Best Regards
Hasan (Barbaros)

Hello gents, 

I just wanted to make somethings clear from my own perspective.

I made a collaboration with the aforementioned producer when the first batches were out. Currently i am not affiliated with them and really dont know the pricing strategy or the profit margin.

For my side, currently not producing anything. 

About the currency exchange rates, you know higher us dollars creates inflation, raising the prices from electricity to labor wages and other expenses. The prices of electricity and natural gas were doubled in the last 2 years.

Just wanted to point out.

Best Regards
Hasan (Barbaros)

Thanks for that perspective. Several points you made, never entered my mind.

I came into DEs too late to catch any of your work. I do think the B/R adjustables are quite attractive with a unique approach.

I'd wondered where you'd been and whether we would get to see some more designs from you. Personally, I hope the stars align for you very soon and us enthusiasts get to enjoy some new creations.

Thanks for that perspective. Several points you made, never entered my mind.

I came into DEs too late to catch any of your work. I do think the B/R adjustables are quite attractive with a unique approach.

I'd wondered where you'd been and whether we would get to see some more designs from you. Personally, I hope the stars align for you very soon and us enthusiasts get to enjoy some new creations.

You are welcome.

I had to suspend my activities due to some personal reasons. I am planning to go back to production when i get the chance to do it. I have someting in my mind together with the uncompleted designs/works. Hope to finish them in the future.

Best Regards
Hasan

You have pretty cool designs. One of them I am looking forward to:

Yes, that stayed very behind, i am sometimes trying to figure out a way to decrease the head weight and making it slimmer. Not found yet