I think you're probably right, dub.
Case in point is NVA's popular Taiko lib, which sold for (IIRC) about $120. That's obviously going to be a niche product at any price. Kontakt already bundles a serviceable taiko library, so how many users really need more taiko samples, even very good ones? If you do generic action movie trailers, OK. But for everybody else, it's a special effect you'd use maybe once a year. Something you might happily add to your collection for $20, but not $120.
The smart way to market such a product would have been to publish a list price of $120 but let it go at a $39.95 introductory price, and perhaps also offer a "lite" version for $19.95. The objective is to move as much product as possible in as short a time as possible.
Meldaproductions does this for every new product release. Their regular prices are often beyond my means, yet I own several meldaproductions products because of very low introductory prices. This strategy gets you instant buzz and high-volume sales out of the gate, before the warez pirates have had time to crack and post your product. Devs will tell you that most of their sales happen within the first 2-4 weeks of release, after which volume drops rapidly, often dropping to near zero as soon as the pirated version has been posted online.