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AirPods and Apple Watch Called 'Underpriced' to Bring New Users Into Apple Ecosystem
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LOL more like they are not selling.[
QUOTE="MacRumors, post: 24400629, member: 3"]![]()
Apple is underpricing AirPods and the Apple Watch in an effort to bring new users into its ecosystem, according to Neil Cybart of Above Avalon. The analyst said this pricing strategy was "unimaginable" ten years ago, when Apple was often accused of pricing products artificially high, aka "Apple Tax."
AirPods cost $159 in the United States, which Cybart said is "surprisingly low" compared to competing truly wireless headphones:Cybart believes a strong case could have been made for Apple to price its AirPods at $249, or even $299, but by selling them for $159, he thinks Apple has "removed all available oxygen from the wireless headphone space" and forced competitors to cut pricing in an attempt to better compete.
Earin's wireless headphones now start at $199, for example, while Motorola's VerveOnes+ are on sale for $189.99. Even at those discounted prices, however, AirPods are still cheaper at $159.
AirPods are estimated to ship in six weeks on Apple's online store, and it has been that way since the day after they launched in December.
Cybart said a similar pricing dynamic is found with the Apple Watch, which now starts at $269 for Series 1 models:Cybart believes the pricing of the Apple Watch demonstrates how Apple is looking to capture not only the premium segment of the wearables market, but rather the entire market. While an entry-level Apple Watch costs $269, for example, a ceramic Apple Watch Edition costs upwards of $1,249.
His research note theorizes that Apple could be more effective now at mass producing products at a lower cost, while offering price points that appeal to a wider variety of users. Higher-priced Apple Watch SKUs likely offset the lower margins of Apple Watch Series 1 models as well, he said.
He even thinks that an Apple Watch for $199 is "inevitable," although there might be less wiggle room for products such as iPads.
Overall, Cybart thinks Apple is in essence "redefining luxury" by offering lower prices while, at the same time, becoming more of a luxury brand. He expects it to be difficult for other consumer tech companies to compete with that strategy.
Of course, many Apple products are still unquestionably expensive. The latest 15-inch MacBook Pro with Touch Bar starts at $2,399, while an iPhone can cost upwards of $969. The 12.9-inch iPad Pro is priced from $799, and a handful of Apple Watch models run over $1,000. All prices are based on U.S. dollars.
Full Article: The Curious State of Apple Product Pricing on Above Avalon
Article Link: AirPods and Apple Watch Called 'Underpriced' to Bring New Users Into Apple Ecosystem[/QUOTE]
QUOTE="MacRumors, post: 24400629, member: 3"]
Apple is underpricing AirPods and the Apple Watch in an effort to bring new users into its ecosystem, according to Neil Cybart of Above Avalon. The analyst said this pricing strategy was "unimaginable" ten years ago, when Apple was often accused of pricing products artificially high, aka "Apple Tax."
AirPods cost $159 in the United States, which Cybart said is "surprisingly low" compared to competing truly wireless headphones:Cybart believes a strong case could have been made for Apple to price its AirPods at $249, or even $299, but by selling them for $159, he thinks Apple has "removed all available oxygen from the wireless headphone space" and forced competitors to cut pricing in an attempt to better compete.
Earin's wireless headphones now start at $199, for example, while Motorola's VerveOnes+ are on sale for $189.99. Even at those discounted prices, however, AirPods are still cheaper at $159.
AirPods are estimated to ship in six weeks on Apple's online store, and it has been that way since the day after they launched in December.
Cybart said a similar pricing dynamic is found with the Apple Watch, which now starts at $269 for Series 1 models:Cybart believes the pricing of the Apple Watch demonstrates how Apple is looking to capture not only the premium segment of the wearables market, but rather the entire market. While an entry-level Apple Watch costs $269, for example, a ceramic Apple Watch Edition costs upwards of $1,249.
His research note theorizes that Apple could be more effective now at mass producing products at a lower cost, while offering price points that appeal to a wider variety of users. Higher-priced Apple Watch SKUs likely offset the lower margins of Apple Watch Series 1 models as well, he said.
He even thinks that an Apple Watch for $199 is "inevitable," although there might be less wiggle room for products such as iPads.
Overall, Cybart thinks Apple is in essence "redefining luxury" by offering lower prices while, at the same time, becoming more of a luxury brand. He expects it to be difficult for other consumer tech companies to compete with that strategy.
Of course, many Apple products are still unquestionably expensive. The latest 15-inch MacBook Pro with Touch Bar starts at $2,399, while an iPhone can cost upwards of $969. The 12.9-inch iPad Pro is priced from $799, and a handful of Apple Watch models run over $1,000. All prices are based on U.S. dollars.
Full Article: The Curious State of Apple Product Pricing on Above Avalon
Article Link: AirPods and Apple Watch Called 'Underpriced' to Bring New Users Into Apple Ecosystem[/QUOTE]
Sometimes the jokes just write themselves. Only a fool would buy the watch or the headphones if they weren't already apple consumers. I still want to know where people find the money for any of this stuff.
Just someone looking to snuggle up to whoever at Apple is giving out demo units or whatever swag Apple gives out when a new product is out. Nothing more then someone looking and getting their 15 mins.
Every Apple product is a premium product in price compared to alternatives, and the two things mentioned here require an Apple phone made in the last 3 years to function at any level.
Every Apple product is a premium product in price compared to alternatives, and the two things mentioned here require an Apple phone made in the last 3 years to function at any level.
You mean like where people find the money to purchase a swiss watch costing a few thousand dollars, or a pair of wired headphones that cost a few hundred dollars as well?
Based on many of the comments one can easily deduct that the "tech" community is better off staying out of business strategy and decision making..........
...and they're both worth every damn penny, IMO.
Can someone smarter than this guy explain to me how Apple is supposedly selling the Airpods cheaper to bring people into its ecosystem when the iPhone, iPad, Macbooks are needed to use the Airpods? Aren't all the people buying the Airpods all ready in Apple's ecosystem?
Joke about Apple's high pricing all you want.
The fact is, while I have met a lot of people that complain about Apple's pricing, I rarely meet people who when ahead and bought the item (watch, iPhone, AirPods, or whatever) and then, after using it for a while, said "this is not worth the money". Quite the opposite in most cases. Once they experience the product, they see its value.
For example, I spent the bare minimum on my first Apple Watch (Sport model). But after a week with it, I liked it so much I returned it for a stainless model. A few months after that, I started upgrading straps.
The fact is, while I have met a lot of people that complain about Apple's pricing, I rarely meet people who when ahead and bought the item (watch, iPhone, AirPods, or whatever) and then, after using it for a while, said "this is not worth the money". Quite the opposite in most cases. Once they experience the product, they see its value.
For example, I spent the bare minimum on my first Apple Watch (Sport model). But after a week with it, I liked it so much I returned it for a stainless model. A few months after that, I started upgrading straps.
Man...just stop the bull. U can't find a pair of truly wireless ear buds around the price of the AirPods. & U surly can't find anything that comes close to that battery life on the AirPods. Just stop it.
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No they don't. There simply a pair of Bluetooth headphones.
The Bragi's have over 20 different controls and that's a lot memory to remember multiple taps, etc.
That's what I like about the AirPods, they're very straightforward and simplistic. Even when using Siri you can just ask the commands to control the most basic tasks. Even though Siri isn't always efficient, it's still an option versus memorizing different functions.
My favorite function with the AirPods right now, is if you're wearing both of them at the same time, pulling one of them out of your ears stops the music completely and then putting it back in you re-enables the music to start playing again. Absolutely seamless when you're interrupted.
I'm so glad someone pointed this out. This really is why Apple is able to price them so low. It's kind of reverse-thinking and counter intuitive, but true.
Apple can price AirPods so low because people who buy them likely already own an iPhone 7/Plus, as a prerequisite. So Apple has already made profit off the customer, even before the customer buys the AirPods.
This is not the case for any other company on that list making wireless earbuds.
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I think it depends a lot on your habits. I haven't found it to be an issue. On the wired headphones I've used, I rarely use the volume controls in the wires-- even after years of use I tend to forget it's there and use the phone controls. I don't use it on the Bose over-ear bluetooth headphones I use on flights because what ever device I'm using them with is sitting on the tray table in front of me and has a more analog response.
The one time I've needed to change volume with my AirPods with my phone in my backpack, I used the volume control on my Apple Watch to adjust it-- obviously an expensive option if all you need is a volume control, but I've only encountered that problem once in the 3 or 4 months I've been using them.
As @Abazigal noted above, most of us are using them to avoid the wires-- that doesn't necessarily mean that we don't have ready access to the device. To each their own.
If they wanted to incorporate volume control, I'd prefer the Dash approach to buttons. The stems on the AirPods would make excellent surfaces to swipe over and adjust the volume up and down. It would need to be butter smooth though for me, personally, to rely on it.
Original iPad was "underpriced" for the time. Analyst were predicting around $800-$1000 at the time and they priced it out at $499-$700. Well below what was expected... it's the reason I went out and bought one right away.
A quick search says no, but the same search makes it clear that the PS 4 isn't easily compatible with most BT headphones. I don't have one, so can't comment on it personally.
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Seems like they left out the obvious:
...---... to call 911
So why are you here since you hate Apple so much?
And the point of wireless headphones IS the wireless part. So no
And the point of wireless headphones IS the wireless part. So no
How do you fire someone who is self-employed? He makes a living writing analysis for Apple-related news for people who subscribe to his content.
The wireless nature of the AirPods is precisely the point. It is the people who keep arguing about how the sound quality of the airpods pale in comparison to the competition who don't get it.
It all boils down to this very simple, yet apparently elusive principle - sound quality isn't the be-all and end-all of what makes a pair of headphones great. There are many other factors which can influence a buyer's decision as well, such as convenience and ease of use. And for many people who favour AirPods (like myself), I have made my decision. The AirPods are portable, pair readily and work great in conjunction with my iPhone and apple watch.
Here's my current collection of headphones. Haven't touched them ever since I got my Airpods in December. That's how much I enjoy using them.