Oops! i meant to say: a lot of distributors...
Wel, you tell me:
1.) VK is an unknown quality on the D20 market, it doesn't have a large budget to make a large print run, thus it also doesn't have a large budget to do some serious advertising.
2.) Although a distributor makes more money of an expensive product, it's still a certain percentage of the product. If the distributor sells other items worth $12.95 it still makes the same amount of money.
3.) The distributor is dependant on the retail stores that will carry products, who are in turn dependant on the consumer. If the consumer finds the product to expensive (and it is at more than 40$ cents the page), and goes for a competative product that gives it better value (cheaper or more pages), the $12.95 product becomes rather expensive windowdressing. Retailers aren't stupid (atleast i hope most aren't), thus they won't order such products from the distributor, and the distributor won't buy it from VG.
This is not to 'diss' VG, i actually think that i really like the product, and given the oppertunity would buy it. But as i'm selling RPG material as well, i probably wouldn't stock this item unless there's a sudden change in the market (people demanding VG products).
I would think that if a gaming company wants to produce gaming material in a competative market it would adapt it's pricing structure to the one that's allready in place. Unless of course the material is of such a high 'must have value' that they could realisticaly ask a higher price for it. Or it could go the more competative path of 'underpricing' it's material (compared to other publishers). If the gaming company comes to the conclusion tht it wants to such a small printrun that prices are y high for the consumer, it should IMHO find alternate ways of producing it's material (such as pdf). It could of course also decide to not make a profit on the product (or even take a loss) and through recognition sell more copies next printrun/product...
But then again i'm not a marketing specialist ;-)