The Cost of Cables


We all know that there have been countless posts with endless debates about cables on every audio forum available. The reason I start this post is to garner thoughts from others on the cost of cables, not necessarily whether they make a difference or not. I find the prices for cables staggering and I (me personally) do not understand where the cost comes from. Some will say R&D, ok, I can go for that to a point, but can the manufacturing of wire really cost much? (In thinking about this, the discussion could be applied to audio as a whole.)

Obviously cable companies survive because we purchase their products, I include myself. But if we quit paying these large prices, would prices fall dramatically or would they just quit making cables such as we know it and/or close their doors?
brianmgrarcom
I agree with Tvad. In hi-fi in general, sales numbers are too small to bring costs down substantially.

Now this doesn't mean I agree with $3000 power cords. I think there is some overinflation going on too.

Also, have you noticed how many cables (and amps) have actually seen big price increases lately? One dealer told me it is because the cost of copper and silver has skyrocketed.

Arthur
I think the cable prices are inflated more than any other area of audio. They don't have the nickname 'wire bandits' for nothing.
Having said that though, ultimately, the fault lies with the consumer. If I only had a cable for every manufacturer that has told me that the public demanded a new higher priced cable, so they make it. They are simply filling a need. Some people need to spend a lot on cables, so there has to be someone there to fill this niche, don't you think?
I had one manufacturer tell me recently that he had to make more expensive cables because he had customers telling him that while his product sounded excellent, it's cost was too low compared to the customers reference cables to consider purchasing them. So obviously the manufacturer created more expensive cables.

Supply and demand.

Don't blame the manufacturers, they are simply filling the customers demands.

John
the wire in hi end cables is 'magic'. it costs lots of money to cast a spell on copper...even more for silver. also cable jackets that are cool colors are many times more expensive than colors that are not cool. cables also sounds much better (sweeter highs, and more detailed) when shipped in a wooden box with a lining......i can't believe i'm the only one who knows these facts.
Some cables cost a bit because they are hand made to order. Others may have an exotic construction with strands individually coated in ceramic, etc. Yes, copper has gone up in price lately, but it fluctuates like all commodities. Sometimes it's low in price. Amortization of R & D is also a consideration. However, for the mass market cables from the usual suspects, cables are simply a high margin product that are significantly marked up at the retail level. The big box store that sells you the TV on a small margin will try to make up some profit by pushing an expensive cable. The marketing pitch is that you should get a premium cable in order to get all the benefit and performance you paid for in the expensive TV (or stereo).
RD plays a big role, materials, along with low volume sales cant be dismissed. Cables get a huge mark-up and are many times a cash cow for dealers. And never forget the price of Prestige.