I wouldn't compare the prodcuts from ss brewing and blichmann as the same as acer vs. apple...
Definitely not Acer and Apple. Acer's computers sell at most at a 5% margin, just like Dell. A comparison between VW and Audi would be a better model. General consumer model versus premium brand. They share components, but the Audi has some upgrades, a premium branding, and market to a different demographic.
There is also a difference between margin on COGS (Cost of Goods Sold) and overall profit margin. Most of the research out there are basing their findings on overall margin (because that is what is publicly available for figures). However that can be skewed by investments, a new plant to make MacBooks for example. There is a lot of tricks companies can and do play to lower their taxable profit. To set a minimum MSRP price, most companies use the 30/20/10 rule (Materials/Labor/Overhead) for COGS which would include marketing, R&D, etc... Less popular brands or commodity items tend to have to retreat from that figure, and more popular brands can charge more.
That would make the cost of the iPhone around $360 for the $600 model. I say that is too high based on the fact that Apple pays cash, purchases components for an entire year and for a year or more out, and can demand better pricing on components. It's probably more around $250.
So to relate that to the brew bucket, at $225, assuming that was the original MSRP goal, the COGS on the bucket is $135. Sounds reasonable to me. So at $175 they were making maybe a $40 profit. Likely not because of the additional investments they needed to make to fix website issues, and grow capacity to meet demand. Anyhow, basically nobody is getting rich over at SS Brew Tech. 500 units a month at $40 profit, is $20,000.00.
But I digress, we have gotten off topic and nobody probably cares at this point! :cross: