Why is the Segway So Expensive?

[the_unrepentant]

Hi all
I am a proud owner and love the Segway but i was very lucky enough to get mine for free. I don't think i could have ever justified the cost of one otherwise, despite really wanting one.

Everytime I get stopped gliding, the usual question is "How much are they?" and when i say, I get the look of amazement along with "Thats ridiculous!"

Surely if Segway sold their units at a more reasonable price, then they would sell many more? Baring in mind, i live in the UK so the price of the Segway here is Dollar for Pound.

Maybe the Segway needs serious competition and the new Toyota version might do well and force Segway to lower their prices.

[florin]

It doesn't cost that much, it's worth that much !

Sure, take the toyota thinghy, only don't think about things like performance, speed, radius, safety, redundant systems, etc.

[SegwayDan]

As Florin says, you have to have an appreciation for the technical achievement of the Segway, and then for the cost of that technology. As many and as much as people may want one, it's not up to any "vote" as far as how much they cost. I often ask those who are incredulous over the Segway's price, "What if you wanted an airplane, and you thought its price "ridiculous", would you attempt to organise some public protest?" Of course not. It costs a lot of money to make a device not only capable of carrying 1-4 persons up into the air 10,000 ft and over hundreds of miles, and also do it safely. Same thing with the Segway. It ain't natural to expect a device with two wheels side-by-side to stay upright at all, much less expect it to carry a body safely over any distance.

We don't know what that Toyota thingy is going to cost, but you probably won't like its price, either.

You could also look at it this way: if Segways and airplanes were as cheap as pipe dreams we'd all be in a pickle, wouldn't we! There's a sort of a "natural selection" benefit to a "high price" for such things. Those that can afford them would be naturally more capable of handling them responsibly.

Having said all this, my wife and I just acquired our SECOND machine, and it should arrive in a few days. As emotional as I am over such technology (I'd REALLY like to have an airplane, too), she supplied a good dose of incredulity over the prospect of getting our first Segway. She relented eventually, but then eventually recognized its value over time, to the point where recently she really wanted one, too.

So we found a way to get one. "Where there's a will, there's a way." It's still a true saying.

[pam]

I am sure that the UK prices are higher than the US prices, particularly with your import fees, etc. The dollar is pretty weak at this point, so the prices should have compensated, I would have thought - but after talking to the guys at Funky de, they haven't - at least for Germany.

IMHO, to a certain extent cost is a state of mind. Here the Segway is in line with the cost of some motorcycles (less than some, as a matter of fact) and ski-doos, and some other things. There are bicycles that cost as much as a Segway, I think - the Fezzari Widows Peak DT Swiss MSRP is $7200. Considerably more than a Segway. You can buy it for less, but the MSRP is still more than a Segway.

If you are embarrassed about the price, I think you tend to attract to you people who will say things that mirror your feelings about the price (I know, this is my metaphysical side coming out <G>).

If you take some time and do some comparison shopping and can say things like "a lot less than your wife's engagement ring" (be sure she has a nice big one before you make that statement) (or say, "a lot less than a buddy's wife's engagement ring") or "about as much as a ski-doo" (we have lots of those in Florida, and you'll see them sitting outside houses that have definitely seen better days..), people will have something to compare to, and it will seem more reasonable. People will spend the money on something they really want. If they don't really want it. it could cost $1k, (and the batteries are more expensive than that - price out batteries some day, not just Segway ones) and people would find it too expensive.

A part of it though, is getting your mind around the value in it. This is a well-engineered machine, with the equivalent of 2 PCs in the computers, 5 gyroscopes, a technology you don't see anywhere else, redundant systems, built by a company who takes safety as a primary goal.

In my opinion, competition is not always the goddess it's set up to be. If lowering prices means lowering quality, I wouldn't want it. And although I'm sure there's some leeway in the price, (and I think Dean Kamen's original goal was to have it down around $2500 - someone will correct me on those figures, I'm sure), There's probably not enough leeway to get it down to Dean's original goal. Until battery technology takes off, prices are not going to drop significantly, I don't think. - and this is all my opinion, nothing has come as a statement from INC. directly

Pam

Originally Posted by the_unrepentant

Hi all
I am a proud owner and love the Segway but i was very lucky enough to get mine for free. I don't think i could have ever justified the cost of one otherwise, despite really wanting one.

Everytime I get stopped gliding, the usual question is "How much are they?" and when i say, I get the look of amazement along with "Thats ridiculous!"

Surely if Segway sold their units at a more reasonable price, then they would sell many more? Baring in mind, i live in the UK so the price of the Segway here is Dollar for Pound.

Maybe the Segway needs serious competition and the new Toyota version might do well and force Segway to lower their prices.

[ledebuhr1]

I think if the Segway had some real competition you would see a much smaller price. The Segway has a monopoly so they can charge what ever they want. All the other products mentioned have competitors. Also the Segway needs to be available at a more retail stores nationally. There are still many places that dont have a Segway dealer, other than the internet.

[the_unrepentant]

Just to let you know, i do respect the Segway as much as any of here do. I totally understand its technology and appreciate every ounce of it. I love it. When anyone asks me the price, they are not getting that from some telekinetic feelings they are feeling from me! They are asking as not many people in the UK have ever seen a Segway! When i get the look of shock, i totally compensate it by quoting the cost of fuel and the carbon footprint cars are leaving to justify its price.

Also, just to add, the cost of this Segway was twice as much as my Ford Cougar!

[mark1qhorsey]

You are right, competition beats down cost. That said, Dean Kamen's teams invented lots of new technologies for the PT, and Segway had the right to try and protect them for about 10 years past the first delivery date.

The main issue was not the cost per unit but the number of units that would sell. Those numbers are generally inversely proportional. With this machine nobody had a real clue - and the answer was pretty few, unfortunately. We are indeed fortunate Segway pushed through the "valley of death' in its business model to give the world a gen2 machine!

If you delayed buying another $ 15 to 35 K car or SUV because you picked up the i2, you saved a bundle.

Originally Posted by ledebuhr1

I think if the Segway had some real competition you would see a much smaller price. The Segway has a monopoly so they can charge what ever they want. All the other products mentioned have competitors. Also the Segway needs to be available at a more retail stores nationally. There are still many places that dont have a Segway dealer, other than the internet.

[DarthSegVator]

People that ask the price generally fall into two categories. Those that are truely interested in the technology and those that wouldn't (couldn't) buy one even at $1,000 or less.

The latter is the kind of person that wants something for nothing and doesn't have a clue on how to make a valid value assessment. The thought process is totally subjective, but there is a thought process one goes through. These people seem to lack the ability to do this kind of evaluation.

They are also generally the ones that yell stupid/vulgar statements at you as you glide by.

[SegwayDan]

Very true!

Originally Posted by DarthSegVator

People that ask the price generally fall into two categories. Those that are truely interested in the technology and those that wouldn't (couldn't) buy one even at $1,000 or less.

The latter is the kind of person that wants something for nothing and doesn't have a clue on how to make a valid value assessment. The thought process is totally subjective, but there is a thought process one goes through. These people seem to lack the ability to do this kind of evaluation.

They are also generally the ones that yell stupid/vulgar statements at you as you glide by.

[jryan]

I agree that the Segway would certainly sell more if they were lower in price. But look at Inc. They do not post their financial reports, but many believe that they are not really making a whole lot of money even at the prices they are at now. That being said, say DK decided to invest a lot of personal money to get a "mass produced" verison of the Segway. Parts would be cheaper, etc.

But that would open up a world of troubles. Soon you would have people who do not glide responsibly, because they don't appreciate the value. You would have several injuries (kids going off ramps, etc.) and they would most likely be banned in several places they are not now. One of our biggest strengths when trying to get acceptance is the fact that Segway users now, for the most part, glide responsibly. I think lowering the price would be nice, but could certainly lead to a world of troubles.