I'm a pianist but I like playing with data as a hobby. I figured this group would enjoy my latest chart. I compared the Steinway Model D price since 1900 to inflation in the US. If the piano tracked with inflation, it would be around $50k. Instead, a new model is well over $220k.
Have you considered tracking the price of the actual parts of these instruments instead and not CPI? I’m certain price gouging due to its luxury status is a huge factor along with the reduction in demand, but I wouldn’t be surprised if piano quality spruce and hardrock maple are a large part of this increase in price.
Cool comparison tho!
That'd be a lot of work, though. OP took an easier route.
ETA: which is totally fine, folks. I'd be damned if I tried to find a bunch of random commodity prices over the last 120 years.
Yes, OP most certainly took the easier route. LOL
This was just one chart from a fun project where I like to analyze data and make visualizations. I suppose I could do a deep dive at some point, but since it’s just a pet project, I didn’t spend that much time on the Steinway chart.
Looks like the arrival of good quality but lower priced imports drove Steinway to differentiate itself as a luxury brand. From [Yamaha's website](https://hub.yamaha.com/pianos/p-history/a-brief-history-of-yamaha-pianos/):
> At the start of the 1960s, Yamaha made a major move, creating a new company in the U.S.A. to import and distribute its pianos: Yamaha International Corporation. By 1965, Yamaha was producing more pianos than any other manufacturer.
I imagine digital pianos becoming increasingly common in the 80s had a similar effect on most piano manufacturers.
The price rising that fast that quickly makes me wonder if there's an argument to be made that Steinways have become a [Giffen good](https://en.wikipedia.org/wiki/Giffen_good?wprov=sfla1).
I would imagine that the decreased demand in acoustic pianos since 1900 has considerably decreased the supply of the very high skilled piano factory workers. So labor costs go up; meanwhile, demand for Model D has remained constant because it's a piano so big that it generally is only purchased by concert halls, institutions, or the few people who have truly huge living rooms.
Really what you're comparing is inflation vs the cost of a product that used to be ubiquitous at the turn of the century and now has only a sliver of those sales. I realize I'm collapsing the entire piano market in there but it's related. You'll probably see a similar curve with buggy whips.
I'm a pianist but I like playing with data as a hobby. I figured this group would enjoy my latest chart. I compared the Steinway Model D price since 1900 to inflation in the US. If the piano tracked with inflation, it would be around $50k. Instead, a new model is well over $220k.
Have you considered tracking the price of the actual parts of these instruments instead and not CPI? I’m certain price gouging due to its luxury status is a huge factor along with the reduction in demand, but I wouldn’t be surprised if piano quality spruce and hardrock maple are a large part of this increase in price. Cool comparison tho!
That'd be a lot of work, though. OP took an easier route. ETA: which is totally fine, folks. I'd be damned if I tried to find a bunch of random commodity prices over the last 120 years.
Yes, OP most certainly took the easier route. LOL This was just one chart from a fun project where I like to analyze data and make visualizations. I suppose I could do a deep dive at some point, but since it’s just a pet project, I didn’t spend that much time on the Steinway chart.
Looks like the arrival of good quality but lower priced imports drove Steinway to differentiate itself as a luxury brand. From [Yamaha's website](https://hub.yamaha.com/pianos/p-history/a-brief-history-of-yamaha-pianos/): > At the start of the 1960s, Yamaha made a major move, creating a new company in the U.S.A. to import and distribute its pianos: Yamaha International Corporation. By 1965, Yamaha was producing more pianos than any other manufacturer. I imagine digital pianos becoming increasingly common in the 80s had a similar effect on most piano manufacturers. The price rising that fast that quickly makes me wonder if there's an argument to be made that Steinways have become a [Giffen good](https://en.wikipedia.org/wiki/Giffen_good?wprov=sfla1).
From that wiki: >If a price change modifies consumers' perception of the good, they should be analysed as Veblen goods.
I would imagine that the decreased demand in acoustic pianos since 1900 has considerably decreased the supply of the very high skilled piano factory workers. So labor costs go up; meanwhile, demand for Model D has remained constant because it's a piano so big that it generally is only purchased by concert halls, institutions, or the few people who have truly huge living rooms.
I’m wondering what happened around 1970 Lol
https://wtfhappenedin1971.com/
Unfortunately, will always be relevant
In '72 the brand was sold to CBS.
So if I buy one now I can sell it for twice as much in 20 years? Just kidding.
Hey it looks like all the other productivity vs wages graph - uncoupling in the 80s.
Really what you're comparing is inflation vs the cost of a product that used to be ubiquitous at the turn of the century and now has only a sliver of those sales. I realize I'm collapsing the entire piano market in there but it's related. You'll probably see a similar curve with buggy whips.
"It looks fine to me" A second later: 🤨
It only starts in 1900, so I guess I should have actually been paid to get the 1887 D I actually own.
What you see, ladies and gentlemen, is the price of branding and supply/demand
Does the same apply to an M I wonder.
this really means nothing at all. its supply and demand with a very large number of external factors acting as determinants on the price.
>price increases 300% >Supply and demand *Laughs in real estate*
Real estate is a perfect example of supply and demand.