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Posted: 20 April 2012 10:12 AM   [ Ignore ]   [ # 31 ]
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I would probably make honey cake in it.

I would, too!  I love honey!  But I would make all kinds of cakes in it afterwards!

This thread about the pricing is very interesting!

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Posted: 20 April 2012 10:34 AM   [ Ignore ]   [ # 32 ]
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Flour Girl - 20 April 2012 04:38 AM

Amazon has a discussion on this topic:

I had seen a few discussions on it, but no one really knew anything.  The CNN article link supported my speculation that the prices were being randomly adjusted by a computer program.

One thing I learned in Microeconomics in college was that if a company knows the demand curve of their product (i.e., how demand changes with respect to price), then a company can choose the price that optimizes their revenue.  What is even more ideal is to know the demand curve for each individual customer, because you can then optimize the revenue from each customer for maximum profits.  Trouble is, historically companies could only guess at the demand curves.  However, sites like Amazon can probably measure that with great accuracy, which is why I think they fiddle with the price so much.

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Posted: 20 April 2012 12:01 PM   [ Ignore ]   [ # 33 ]
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Anne in NC - 20 April 2012 01:12 PM

I would probably make honey cake in it.

I would, too!  I love honey!  But I would make all kinds of cakes in it afterwards!

This thread about the pricing is very interesting!

I agree about the thread. 

Would you buy that pan?

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Posted: 20 April 2012 12:07 PM   [ Ignore ]   [ # 34 ]
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I would buy the heritage first and then buy that one—except that I’m not buying any more pans!!!!

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Posted: 20 April 2012 12:11 PM   [ Ignore ]   [ # 35 ]
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CharlesT - 20 April 2012 01:34 PM
Flour Girl - 20 April 2012 04:38 AM

Amazon has a discussion on this topic:

I had seen a few discussions on it, but no one really knew anything.  The CNN article link supported my speculation that the prices were being randomly adjusted by a computer program.

One thing I learned in Microeconomics in college was that if a company knows the demand curve of their product (i.e., how demand changes with respect to price), then a company can choose the price that optimizes their revenue.  What is even more ideal is to know the demand curve for each individual customer, because you can then optimize the revenue from each customer for maximum profits.  Trouble is, historically companies could only guess at the demand curves.  However, sites like Amazon can probably measure that with great accuracy, which is why I think they fiddle with the price so much.

As a result of browsing I’ve noticed prices reflect interest in a product.  I think their software is like a double-edge sword because, speaking for myself, my habits are to read reviews and then buy the product (if the price is comparable) from a local store. That is especially true of books. So, in essence, my browsing hurts their customers.

Perhaps it is a better idea to browse through camelcamelcamel or similar price-watching sites???

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Posted: 20 April 2012 12:12 PM   [ Ignore ]   [ # 36 ]
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Anne in NC - 20 April 2012 03:07 PM

I would buy the heritage first and then buy that one—except that I’m not buying any more pans!!!!

But that one would be on your wish list…interesting. I have to give that one a second look.

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Posted: 20 April 2012 01:13 PM   [ Ignore ]   [ # 37 ]
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Flour Girl - 20 April 2012 03:11 PM

As a result of browsing I?ve noticed prices reflect interest in a product.

Why do you think so?  I think it’d be pretty impossible to determine this with the data we have available.  I’ve noted that the price has dropped down to $23.10 while this thread has been going on, so if a price is sensitive to the number of clicks, clearly you and I can’t have any significant effect on that number.

There are a number of reasons why that’d be a bad strategy, anyhow.

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Posted: 20 April 2012 02:09 PM   [ Ignore ]   [ # 38 ]
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Since you posted the link to camelcamelcamel, I have not been on Amazon’s castle pan page. The price of the castle pan significantly rose at the same time the discussion of that pan began and links were posted here to that item.

It would be an interesting experiment to pick an item, note the price and click on that item throughout the day, hmmmm…

Now that the pan is at $23 are you going to get it?

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Posted: 20 April 2012 02:37 PM   [ Ignore ]   [ # 39 ]
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Flour Girl - 20 April 2012 05:09 PM

The price of the castle pan significantly rose at the same time the discussion of that pan began and links were posted here to that item.

Yeah, but none of us bought it.  grin  Does it make sense to raise the price when lots of people look, but no one buys?  That’s when the price ought to go down.  I think the timing of the high price was just a coincidence; the price was all over the map that day, and it had hit $30 many times before, sometimes staying there for days.

Anyway, I had set my “alert” at $23.00, not $23.10, so it’s not time yet.  grin

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Posted: 20 April 2012 03:03 PM   [ Ignore ]   [ # 40 ]
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CharlesT - 20 April 2012 05:37 PM
Flour Girl - 20 April 2012 05:09 PM

The price of the castle pan significantly rose at the same time the discussion of that pan began and links were posted here to that item.

Yeah, but none of us bought it.  grin  Does it make sense to raise the price when lots of people look, but no one buys?  That’s when the price ought to go down.  I think the timing of the high price was just a coincidence; the price was all over the map that day, and it had hit $30 many times before, sometimes staying there for days.

Anyway, I had set my “alert” at $23.00, not $23.10, so it’s not time yet.  grin

Yes, nobody bought it but it did seem there was a lot of interest in it. Could the software be picking up clicks and not purchases? On that day, I put it on my wish list. Does the software add that to the equation?

If the software adjusts the price depending on interest and not purchases that would mean Amazon wants to get the highest price they can for an item. Also, if the price increases after customers show interest and put it on their wish list, the message to customers is to buy now before the price goes up.

As for your $23 goal, I will not click on that item until you get the best price LOL

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Posted: 20 April 2012 04:26 PM   [ Ignore ]   [ # 41 ]
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Flour Girl - 20 April 2012 06:03 PM

If the software adjusts the price depending on interest and not purchases that would mean Amazon wants to get the highest price they can for an item.

Could be, but it wouldn’t be rational.  Companies, in general, want to maximize profits, and profits depend on price and volume.  As price goes up, volume goes down.  There is a particular combination of price and volume where profits are maximized and that’s where pretty much everyone wants to be.  If you raise the price higher than that, while the profit on each item goes up, the volume falls to a much greater degree and total profits go down.  I could draw you a graph if we had a whiteboard.  wink

I had wondered the same thing you did about whether putting something on the wish list affected the price; I haven’t noticed it, but it wouldn’t surprise me if that’s taken into account in their calculations.  I’m sure their algorithm is far more complicated than I can envision.

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Posted: 20 April 2012 04:45 PM   [ Ignore ]   [ # 42 ]
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What about supply and demand? A case in point occurred two years ago on Christmas. My grandson wanted these 5 inch plastic figures, Marvel Legends.  At that time I was astonished to see the price was $59 for 2 tiny figures. After I made the purchase, the item shot up in price even higher.

Today, looking back at this item, I am amazed anyone would spend $99 for it.

http://www.amazon.com/gp/product/B000LL0WP6/ref=oh_details_o01_s00_i00

I better stop clicking on it or the price will go to $150 and some kid won’t be able to get it.  LOL

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Posted: 20 April 2012 05:01 PM   [ Ignore ]   [ # 43 ]
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Flour Girl - 20 April 2012 07:45 PM

I better stop clicking on it or the price will go to $150 and some kid won’t be able to get it.  LOL

No, keep clicking!!!! I just got the pan for $22.89.

I couldn’t help it, after all our discussion about this pan, I just had to grab it.  Geez, I’ll never use it.  And I never got an alert from Camel^3.  That site must not check the price very often.

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Posted: 20 April 2012 05:10 PM   [ Ignore ]   [ # 44 ]
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Flour Girl - 20 April 2012 07:45 PM

Today, looking back at this item, I am amazed anyone would spend $99 for it.

It’s probably for adult collectors.

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Posted: 20 April 2012 05:20 PM   [ Ignore ]   [ # 45 ]
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CharlesT - 20 April 2012 08:01 PM
Flour Girl - 20 April 2012 07:45 PM

I better stop clicking on it or the price will go to $150 and some kid won’t be able to get it.  LOL

No, keep clicking!!!! I just got the pan for $22.89.

I couldn’t help it, after all our discussion about this pan, I just had to grab it.  Geez, I’ll never use it.  And I never got an alert from Camel^3.  That site must not check the price very often.

Way to Go Charles !!  LOL

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