Yup.
However, the correlation people make with MSRP being related to quality is unassailable. Even if people agree that higher price doesn't always mean better performance there is no doubt that their ingrained belief system still clings to this axiom. It may be unconscious and/or purely emotional but it's the truth for a huge majority of people regardless of intelligence or how adamantly they may claim otherwise.
And as far as sales via dealers, they are all used to cables being the "gravy train". It's like car dealers and their add-on accessories. Those $150 wheel locks cost $25 at the local auto parts store.
My cables cost about 1/3rd to 1/5th vs other companies who sell cables using wire and plugs from the exact same companies I do, yet it's very difficult to convince people to even give them a try with a 30 day free demo. Even with excellent reviews and many, many claims that they are even better vs my "competition"... even after 6 years of being in business without a bad word being said anywhere, and AFAIK every single one of my customers being happy. Maybe it's the lack of fancy packaging, glossy color brochures and 6-figure ad placements in stereophile?
IME, people lament the "unfair" markups but then they buy those same products anyways, even given an alternative with fair markups. Given this very interesting phenomenon, I wouldn't expect to see a change anytime soon! It make me want to shift to a dealer-sale model to be honest, or at least start another brand that sells via distributors and dealers.
Dave,
I really respect that you are trying to keep away from the typical marketing strategy that so many of your cable competitor's buy into.
Probably if you were to triple or quadruple ( more??) your pricing structure, you would gain more traction with those folks who equate price with value. However, I do think that that path ultimately leads to a failing business plan. Instead of acquiring loyal customers, I believe you would get long term dissatisfaction along with some negative push-back. OTOH, there are companies in your field who have made this a successful business plan, ( can we say Nordost and MIT and particularly, Transparent) --question becomes for how long? Plus, all of these companies have their 'entry level' product at considerably lower pricing. ( they all deal through dealers).
Question becomes whether you want to seek out the consumer who listens with their eyes, and not their ears, and buys based on price; or whether you want to continue to look for the consumer who is a little more discriminating...and buys based on sheer performance and value...and who will be there for you in the future! IMHO.