The mobile phone market is very dynamic. It seems that prices are changed weekly or daily to react to the latest model and plan from Nokia, Motorolla, vodafone, T Mobile etc. Look at how many models Nokia introduce, you buy a phone and its out of date in 2 weeks. Get used to this, apple are playing in a differant game now. I say good on them, more iphones for the masses! They will have to update their iphone range quite regularly to keep interest up.
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8GB iPhone Price Drop, 4GB iPhone Discontinued
- Thread starter snowboarder
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The complainers are just laughable. I now know what sort of morons are responsible for George Bush being president.
WOW. That's a whole new bag sire. Some say that is was lack of complaints that got us into the war?
I say we should complain more...
Just kidding, RELAX folks. It's ok for people to blow off their frustrations, it's their rights to do so and there's no need to add more spice to the recipe by getting upset or bringing Bush into this. How did you make that connection by the way? I'm curious....
WOW. That's a whole new bag sire. Some say that is was lack of complaints that got us into the war?
I say we should complain more...
How did you make that connection by the way? I'm curious....
Just calling both groups of people stupid.
Oh and that it's APEC week here so Bush is doing something or other...I understand the disappointment, as I on many occasions have bought a product to find it a bit cheaper the next weekend/month/day, but to complain and say you were ripped off. It's the ones that think $100 back is STILL apple ripping them off that are really ignorant and irrational.
what are you all pissed about, you got a product, when it was HOT, and you paid your price for it, happens with everything like that, PS3, dropped the price, all computers, they drop there price, Ipods, drop there price (ex. 60gb ipod used to 399, then they got 80gb a little after for 349, and not they have 160gb for 349, XBOX same thing, DELL computers and monitors, same thing, 30 inch display used to be 1999, then dropped to 1499, and guess what a week after i got it, there was a special for 1299 did i cry? no!!! but yah i would wish that i wait)
if you want something new just when it comes out, you will have to pay price for it!!!
so stop whining about this price drop...
if you want something new just when it comes out, you will have to pay price for it!!!
so stop whining about this price drop...
Not that complicated
Anyone posting that buyersu should "just get over it" "just don't get it." This is subjective. If it doesn't bother you personally, great, but don't try to tell someone else it shouldn't bother them. If someone feels burned by the timing, they feel burned, and telling them they're whiners, or shouldn't feel burned, totally misses the point. They do feel burned (not that that justifies ridiculous threats to BBB, FTC, etc.). And apparently enough felt that way that Apple felt it had to respond (even if the response was part of original plan), and that was a smart move by Apple.
Anyone posting that buyersu should "just get over it" "just don't get it." This is subjective. If it doesn't bother you personally, great, but don't try to tell someone else it shouldn't bother them. If someone feels burned by the timing, they feel burned, and telling them they're whiners, or shouldn't feel burned, totally misses the point. They do feel burned (not that that justifies ridiculous threats to BBB, FTC, etc.). And apparently enough felt that way that Apple felt it had to respond (even if the response was part of original plan), and that was a smart move by Apple.
People are so shortsighted. They don't see it from the other side. That other side being -
Board - "Hey Steve you just gave away $70,000,000 in profit"
SJ- " Well yes. But I had planned to drop the price of xxxx in a few months and will not do so now because a) people get mad when I drop the price if they pid full price and b) these same idiots who complained and got a $100 credit I will just make it up by keeping prices where they are instead of dropping them."
Board - "Brilliant"
People are so clueless when it comes to business.
What did Steve learn-
Apple customers would rather pay higher prices for things than lower prices. Period. You are better off keeping something priced high and not dropping it as to not make your customers mad.
GJ people.
If you people don't realize that this $70,000,000 will be made up some other way you are a fool and no absolutely 0 about how a business is run
Board - "Hey Steve you just gave away $70,000,000 in profit"
SJ- " Well yes. But I had planned to drop the price of xxxx in a few months and will not do so now because a) people get mad when I drop the price if they pid full price and b) these same idiots who complained and got a $100 credit I will just make it up by keeping prices where they are instead of dropping them."
Board - "Brilliant"
People are so clueless when it comes to business.
What did Steve learn-
Apple customers would rather pay higher prices for things than lower prices. Period. You are better off keeping something priced high and not dropping it as to not make your customers mad.
GJ people.
If you people don't realize that this $70,000,000 will be made up some other way you are a fool and no absolutely 0 about how a business is run
The complaint, as I have stated numerous times, is the time frame. Dropping the cost of a huge, new product line out by 33% within 60 days of its release it setting a dangerous precedent for how soon technological advancements may determine the costs of new products. What's next, a month? two weeks? a day?
When the customers hyped up and paid money for a product and helped make it a success, that's great, and if in a few months the price drops, that's how the market has always been. However, 60 days after a launch is extreme. This didn't happen within 60 days of the RAZR's release, or the De Lorean, or chipsets, or the numerous other examples that have been erroneously used. The issue is precedent. Determining that a product is of lesser value within shorter and shorter time frames is a silly as seeing Fall clothing displayed in July in retail stores. The consumer will begin losing faith in the company it invests in, as was the case with Apple's iPhone announcement, and we all know in the banking industry just how fragile stocks are when faced with news (case in point, the misleading information regarding iPhone sales and how they quickly effected Apple stock within hours).
I'm not arguing that technological advancements will inevitably drop costs of products, my issue was with how soon is a reasonable timeframe for those costs to lower. More over, it has been documented that Jobs planned on lowering the price since day one with the iPod release, which doesn't fair well in regards to how Apple may view its more loyal customer base. This would surely result in those individuals who ponied up more money to make it an initial success to think twice before doing so, as has been stated by many irate $599 iPhone purchasers.
In the end, I believe Apple made a good move by crediting early buyers with a store credit. More money back in their pocket, customers will be happy and the stock should remain as it has. That was my only issue.
Are you clueless when it comes to business? THE MARKET DICTATES WHAT GOES ON. It does not matter if no one else does it. The market dictates when price drops occur. Go learn how to read a sales curve. Declining sales can only be met with lower prices to curve that downward trend. It took 2 months for that to occur. It could have taken 2 years, it could have taken 2 weeks. With the Razr it took how ever long it took.
I don't mean to be harsh, but the time and amount do not matter. It is the market that dictates those things.
Oh no, the slippery slope of frequent price changes! How will people ever make a decision?
So you're an investment banker are you?
Say you gave me a loan today and next week the interest rates go up a couple of %, same the week after, you'll still only charge me the lower rate of interest for at least 6months right?
Grow up. That might help
Actually, it's not going to help when prices change willy-nilly over just a few months. What will I do?
It's not the same scenario. Jesus people, take a deep breath and reeellllaaaaxxx. I was simply pointing out the fact that this is unheard of in such a huge product release and that it might set a new precedent in the market for how soon new technology prices are lowered, that is all. Simple as that.
I think I have to agree with other posters who have stated the quality in how people are treated on Macrumors is sad, very sad. There is no need to jump down my throat, insult me or simply disrespect me. You might not agree with me, but there is not need to treat me any differently than you would if we were calmly speaking face to face (and I'm referring to posters in general, not you).
Is common courtesy and respect that lacking in society???
60 days are not the standard 6-8 mo's. Oh, sorry, 67 days, let me correct myself before someone slams me for my mistake...
I find that a little amusing when recently erroneous information "leaked" a few weeks ago regarding the release of the iPhone caused a quick drop in Apple stock. So what dictates the market? A lot of things. The market does not dictate itself.
NOT THE STOCK MARKET. The free market. How things are sold. The market will always (100% of the time) corrct itself. If something is over priced it may see an initial rush but you will see a declining sales curver. Sound familiar?
Take the Wii. It is underpriced. How do we know? Becasue demand exceeds supply The only way to combat that is to raise price so that demand = supply. Nintenso has chosen not to do that.
It is easy to sell any house in America. Price it right. There has never been a house in America that did not sell if it is priced right. the tricky part is finding what that price is. If you lower a house price every week it will eventually sell when it reaches a price that someone is willing to pay for it (Priced correctly)
Gotcha. I was referring to the stock market for my part of my analogy. Completely agree, can't argue with what you wrote. I was simply taking a general view of the technological market, and as the iPhone is essentially in a category all its own (let's not argue handheld computer v. smart phone, that's like the tastes great less filling debate lol), dropping the price of brand new technology within 67 days by 1/3 is essentially unheard of until now. My only issue was setting a precedent within the technological world in regards to how soon is too soon and what was the justification for Apple in doing so, and how will other companies respond in the future?
I'm done. Flame away peeps, this horse is beaten...
So true.
Just like the folks who say big business needs to be taxed more.
Who pays the tax?
Well, it's the same folks who pay for the rebate of 70 million.
The person known as the customer.
Sorry, but neither really relevant. Taxes paid by big business not that directly related to affecting prices paid by customers. And, a $70M credit (not rebate) no more paid by the customer than any other manufacturing or sales expense (such as advertising). This was all part of a pricing plan, and is not a rebate at the expense of customers.
At the end of the day, I think things worked out pretty well for everyone. Most people that bought an iPhone have been happy with it, and now they get $100 in Apple credit that they had no idea was coming before this week's events.
We can speculate forever on what were the 'true' reasons for the price cut. Is Apple doing it to grow iPhone sales even more, or was it a desperate move to hit its own internal sales targets? Or maybe a combination of both? I don't think we really know.
I will say that I think a price cut of some sort had to be planned in advance, since they were done in conjunction with the new iPods. The new iPod price structure was probably set awhile ago, so Apple knew they had to cut the iPhone price in relation to the new iPods. I doubt that the converse was true- Apple originally intended to sell the 16GB Touch at $600, and the 160GB Classic at say $500. The entire iPod line has a pretty good spread of prices, so I think this was all planned in advance.
Heck, it seems very possible (or likely) that Apple even planned the $100 store credit in advance, in the very possible event there was backlash to the price cut.
We can speculate forever on what were the 'true' reasons for the price cut. Is Apple doing it to grow iPhone sales even more, or was it a desperate move to hit its own internal sales targets? Or maybe a combination of both? I don't think we really know.
I will say that I think a price cut of some sort had to be planned in advance, since they were done in conjunction with the new iPods. The new iPod price structure was probably set awhile ago, so Apple knew they had to cut the iPhone price in relation to the new iPods. I doubt that the converse was true- Apple originally intended to sell the 16GB Touch at $600, and the 160GB Classic at say $500. The entire iPod line has a pretty good spread of prices, so I think this was all planned in advance.
Heck, it seems very possible (or likely) that Apple even planned the $100 store credit in advance, in the very possible event there was backlash to the price cut.
I believe Apple has cut the cost as there is more money to be made from their share of the AT&T contracts, then the one time sale of the hardware. I don't recall how much Apple gets for every AT&T two year contract, but it adds up with millions of subscribers.
A point that is being missed
In all the discussion about how quickly the price has dropped, nobody that I have seen has mentioned that there was also a revision to the iPhone. The topper is that it did not leave the early adopters with a less capable device then the current model.
The addition of Wi-Fi, ringtone and Starbuck capabilities are functional enhancements that in days past would have not been available to early adopters. Apple has managed to build into the iPhone a certain level of technical non-obsolencence. To me this is huge and Apple deserves credit for it's foresight in the iPhone's design.
So now there is more value in my original iPhone and a $100 rebate in the form of a store credit. Color me one happy little camper.
In all the discussion about how quickly the price has dropped, nobody that I have seen has mentioned that there was also a revision to the iPhone. The topper is that it did not leave the early adopters with a less capable device then the current model.
The addition of Wi-Fi, ringtone and Starbuck capabilities are functional enhancements that in days past would have not been available to early adopters. Apple has managed to build into the iPhone a certain level of technical non-obsolencence. To me this is huge and Apple deserves credit for it's foresight in the iPhone's design.
So now there is more value in my original iPhone and a $100 rebate in the form of a store credit. Color me one happy little camper.
One More Thing...
I doubt it.
If so... that would have been the PERFECT "one more thing."
"As of today we are cutting the cost to own a cutting edge iPhone by $200!... oh, and one more thing, to our loyal customers and first adopters, we will be offering $100 in-store Apple gift certificates as our token of appreciation."
Can you see the standing ovation instead of 1569 posts in this thread alone to the contrary?
I think Jobs misplayed his hand this game.
I doubt it.
If so... that would have been the PERFECT "one more thing."
"As of today we are cutting the cost to own a cutting edge iPhone by $200!... oh, and one more thing, to our loyal customers and first adopters, we will be offering $100 in-store Apple gift certificates as our token of appreciation."
Can you see the standing ovation instead of 1569 posts in this thread alone to the contrary?
I think Jobs misplayed his hand this game.
Uh oh. I sense a flaming...
iPhone owners, can you comment on sending/receiving MMS messages? Any major problems?
No problems at all...you can't!