Over $100 is pretty normal for a high quality silicone toy. BD toys are often somewhat large and have many options such as firmness and color available upon request. They could probably get away with selling their $200 products for closer to $150 and still make a profit, but they've established themselves as the top dog (pun somewhat intended) of a very niche market and can get away with charging a premium.

And I think the vast majority of folks who purchase from them have every intention of using their products way more than once.

$200 isn't bad for something bespoke and handmade. A good dildo of similar quality that's mass produced is $50, not to mention that Bad Dragon usually has unique coloring and can be made huge.