Details of Falke/Diana price war 1954
Originally posted 30th September 2009.
When a friend recently lent me his Akah catalogue dated July 1954 (thanks Chris), I discovered that Falke slashed its retail prices by a massive one third between summer 1953 and summer 1954.
Previously, between March 1952 -- soon after Falke's production began -- and June 1953, prices had remained static.
One of Falke's German rivals, Mayer and Grammelspacher (Diana), matched the 1954 reductions. Which company -- or indeed a third company -- moved first to undercut the other(s) is unknown. But it looks very like a price war between companies selling very similar products into the same market.
Interestingly, both before and after the cuts the Falke guns represented somewhat better value for money than the Dianas, perhaps a differential that Falke, being the smaller company, was forced to maintain.
It raises the question of whether the financial rot that eventually scuppered the Falke company set in as early as just two or three years into full production?
See here for the price changes:
There was no apparent currency fluctuation at the time to provide an alternative explanation of the price changes.
See this table, taken from the ucsb.edu website (marks to UK pound in left column, marks to dollar in right):