Casio DLC — Diamond Like Cost?
Casio MRG-8000 photograph by Casio
With amusement and bewilderment, I have been watching the prices of the high-end Casio MRG watches skyrocket. The MRG line has always been characterized by the utilization of new materials in case and or bracelet design that has translated into a G-Shock that costs significantly more than Casio’s standard offerings. Generally and historically speaking, there has been nothing exceptional with the MRG modules as they are often found in other Casio watches. The higher prices of the MRG’s are predominantly due to the construction of the watch.
One of the first MRG’s Casio produced, the MRG-110, (pictured below) was released in 1996 at a price of 50,000 yen. At the time, a typical G-Shock costed about 12,000–15,000 yen, so MRG’s have clearly always been expensive Casios.
For years, the retail prices of MRG’s slowly increased. It took about ten years for the price of an all metal MRG to double. The MRG-3000 (pictured below) and MRG-7000 models were the first Casios to utilize DLC (diamond-like coating), and they were released at what was then an astronomical price of 100,000 yen.
Today, Casio’s newest MRG, the MRG-8000 has a retail price of 270,000 yen. Even at an expected discount, this watch has a probable street price of close to $2,000.00. That’s a lot of money.
Sure, enthusiasts can point to its limited-production status, increased module shock resistance, and improved DLC, but my goodness, was the shock resistance and DLC of the 180,000 yen MRG-7500 that bad?
Casio MRG-7500 photograph by Casio
Casio MRG-7100 photograph by Casio
In about the space of a year, Casio has raised the price of their top-of-the-line MRG from 150,000 yen for the MRG-7100 to almost double that for the MRG-8000. Don’t get me wrong, I like the MRG line quite a bit, but the rapid price increases of these watches are making me dizzy. All of the sudden, the MRGs are not only competing with the Swiss, but also looking unfavorable (in price) when compared to similar Japanese watches like a limited edition DLC Citizen Attesa.
Citizen Attesa photograph by Citizen
What do the GMT+9 readers think? Has Casio gone too far, and if not, what is the limit?
November 14th, 2007 at 8:46 am
Hey PeteW…thanks for this interesting article. I love
looking at some of these metal G-shock watches.
As far as high prices, I think there is an entire
set of rules and forces dealing with high prices.
For some strange reason, some objects appear more
desirable, the higher the price goes. That is most
likely what some of the pricier Swiss watches are
utilizing.
I am just hoping that Casio will have a two tier
or even a three tier system: the value for money
system, and the high price system. Hopefully, they
and Seiko and Citizen will also not drop their
value for money system. Hopefully, they will start
another line, something like the “Lexus” line. Paul
November 14th, 2007 at 8:56 am
Hello,
Once more, this example gives the proof that price of a watch is not correlated to its manufacturing cost! This is true for the MRG’s, this is also true for Swiss watches (what justification to a stainless steel chronograph with Valjoux 7750 caliber at 5000 - 6000 EUR?).
Casio is trying, like Seiko, Citizen, Orient, to increase the average cost of their watches, in order to sell more watches in the medium-end and high-end market, because they have to face an increasing competition from Chinese watches in the low-end one.
Their strategies are very different:
- Seiko tries to change its image (with SpringDrive and Credor sonnerie, for example), and begins to market high end mechanical watches outside Japan (yes, mechanical Grand Seiko are sold in France, in Paris Seikocenter only, since mid June!),
- Casio and Citizen add functions (”bells and whistles”) to their watches or change their robustness (example you mention here), or make limited editions,
- Orient has completley renewed its product lines, with more expensive watches like its diver; when will we see Royal Orient sold in western countries?
Swiss manufacturers sell far less watches than Japan ones, but with an average cost (and profit!) much higher and comparable sales amounts.
However, the image of a brand doesn’t change very quickly. Will customers be ready to buy Japan watches the same cost as Swiss ones? Not before the image of Japan brands have been repositioned and these brands considered as valuable as Swiss ones… It is not a technical problem, and is not, for sure, related to DLC!
Best regards,
MikeNovember
November 14th, 2007 at 9:15 am
Hi blackdial and MikeNovember,
Thanks for commenting. I think both of you are right with your theories about the expensive prices being used to create an image of exclusivity. I’ve just been surprised at how fast and aggressive Casio has been with the MRG prices in the last year.
Blackdial, Casio is about to release a MTG-1000 watch for around 40,000 yen that looks to have lots of the MRG features and look without the DLC and cost. I hope to get one and do a review on it. Maybe we will see some MRG features (upgraded dials and bracelet design) trickle down into lower cost watches.
Here’s a pic of the MTG from Casio:
MikeNovember, you raised an excellent point about Seiko/Citizen/Orient/Casio now having to deal with the Chinese competitors. I wish I thought of that and I bet you are correct. The Japanese watch companies have to be looking over their shoulders to watch out for the Chinese. Their upmarket strategy is a good way to differentiate themselves as initially, it may be difficult to compete against Chinese in the lower cost watch sector.
Thanks for reading and commenting guys. I always enjoy hearing your well thought out opinions!
petew
November 14th, 2007 at 1:05 pm
excellent comment MikeNovember.. and the article too of course
thank you
November 16th, 2007 at 9:39 am
I find the article interesting. I personally never go for Casio, as they just seem gimicky, even by japanese standards. I particularly liked the late 90’s period. At the time there was a “high end Tough watch” fever, with a few watchmakers in Japan competing against each other. In addition to the digital MRGs, I lied the analog dialed ones, like this one which I bought in Japan in 2003 and by then it was a rare find:
Photo by Pedrobe
Why could’t they follow this path? if they would have kept it up, they would have gained high end japanese status, precisely what they are trying to do with the Oceanus line now….
November 16th, 2007 at 4:34 pm
Hi Pedrobe,
Yes, that MRG you have is an exceptional model. The crown guards are spectacular. It would have been fun to see Casio continue and evolve with a more classical theme with at least some of the MRG releases. As you mentioned, they seem to be using the Oceanus line for more traditional designs and I’ve noticed they use some identical modules in the Oceanus’ as are used in the MRG’s.
Perhaps in the future?
Thanks for reading and commenting.
petew
November 16th, 2007 at 9:49 pm
Hi petew,
Regrettably, I sold that watch as I don’t wear watches on my right hand and that is definitely a right hand watch. But I do miss it! BTY: congrats on this website, I really enjoy reading the material you guys put here. It’s a classy website. In the end, Casio’s selling point is techno-wizardry, not old world artesanal pride. Thant’s what Seiko, Citizen and Orient mostly bank on (of course they offer both). It would not make sense for Casio to sell mechanical watches at this point (have they ever?). they might have to buy the movements from their competitors!..But for high end watches you need to remove way more plastic and show some nice case brushing and polishing! Another thing I was pondering on: I know that GShocks are favored amongst the Military, both US and Canadian and European. What role is Irak/Afghanistan playing on this marketing upswing? if any?
November 18th, 2007 at 4:54 am
Hi Pedro,
The fact that Casio’s are one of the watches favored by the troops raises an interesting thought on marketing and how or if to market this. I’ve never seen Casio mention this fact in any literature (Casio seems to affiliate itself and its G Shock image with extreme sports) and because the war is a controversial subject, I’d guess that they stay away from it. However, to many people, it is a valid selling point. A watch that is bought and worn regularly by soldiers has got to be tough or they wouldn’t be buying them. What a great marketing opportunity right? You’d think so, but I guess the advertising people think the subject is too sensitive. However, word of mouth travels well.
As I’m sure you know, a popular question that often arises on the watch forums is “What do most soldiers wear?” or “What watch should I buy for someone getting ready to deploy?” G Shock recommendations are always the overwhelming recommendations. That said, I don’t think I’d wear a MRG-7500 if I was a soldier.
I think a basic 5600 would work fine for me.
Thanks for the kind words and oh yeah…you mentioned a mechanical Casio..well I’ve never seen one, and I’d be shocked if there has been one made. Hey Casiophile or Casionerd…if you are reading this, can you confirm?
petew
November 19th, 2007 at 5:12 pm
I’m agreed; the new MRG series are priced higher than they would seem to warrant. What’s next? Antiquorum puts together Casiomania? Can I edit the catalog?
If Casio’s ever sold a mechanical watch I’m not aware of it. They’ve done plenty of battery driven analog models of course and not always with ‘in-house’ modules.
I remember, in the late 90’s, Swatch came out with a few automatic watches which leads me to wonder if perhaps Casio didn’t try the same thing since they did put out a few Swatch-like lines such as the Art, Zodiac, Velocity and Tropic.
Speaking of military watches - does anybody have evidence of issued G-Shocks from the 80’s with markings?
November 20th, 2007 at 10:21 am
Hi Casiophile,
Casiomania Auction. Very good Casiophile..that was clever. We are laughing about that today, but who knows….
As you probably know, there have been Casios issued to a French Military branch that have been discussed extensively on MWR. It was a DW-9000 variant. There is a pic of the watch with the markings in this old sales ad:
http://www.mwrforum.net/forums/showthread.php?p=4315
That said, off the top of my head, I don’t think the DW 9000 was an 80’s watch.
It’s been said that the Australians are today wearing G-9000’s, but they are not marked.
Wasn’t there some G Shock (DW 5000?)produced a number of years ago that was suspect…it was Iranian or maybe Afghanistan or maybe Iraq? I think it had some arabic printing on it. I can’t remember if it was ever proved to be real or not.
Also, in an old G-Shock book I have, there is a picture of a NASA Document…perhaps a purchase order of some sort for a G Shock, but there is no picture of the watch so I don’t know if there were issue numbers stamped on it.
Finally, here is a cool shot of a Casio DEP being used by a soldier:
http://www.afsouth.nato.int/JFCN_Images/2004/Destined_Glory04/KDG040784.jpg
Thanks for chiming in.