Analysts Predict High Price of iPhone X Will Lead to 'Weakened Demand' in Q1 2018

[convergent]

Hang on... I wasn't comparing the phones themselves.

It was simply an analysis of price psychology. For instance:

People lost their minds when Apple launched a new phone with a $1,000 price. OMG, what were they thinking?!?!?

But there are other phones that cost $900+ and nobody says a thing.

There's not much difference between those two numbers once you get up that high. That's all I was saying.

There's a difference when one nearly requires you to tack on several hundred for AC and the other frequently is several hundred discounted. So now you are looking at $650 vs $1250, which is nearly double the price for a smaller less capable device that has a notch. Everyone gets to do their on cost justification.

How so? They fulfill the same role. Biometric screening for security.

This really isn't that hard to understand. There are use cases where FPS is better and one's where face is better. Having both would have been the preferred option. And yes we have choice and I chose not to buy Apple and very happy with my choice.

 

[MH01]

You make it sound as if Apple only offers one phone starting at $2000. False. Apple offers a range of iPhones at different price points. If the X is too expensive there’s an 8, or 7, or 6S or SE at a cheaper price point.

The discussion was about the X, frankly either pay attention or stop moving the goal posts ..... you are completely off topic ....it's the iPhone X ... I'm sure you know which one it is .... it's starts at $999.

Go on, off topic once more tell me there are cheaper iphone options when I'm discussing with someone that the IPhone x.... the iPhone x .... the iPhone x .... is too expensive for many ...but not the poster ? Clear ?

You really have missed the point of this exchange least when I am wrong I admit it ....

 

[25ghosts]

Use time and capability often have very little to do with each other. I've got a $25K car that I use on a daily basis. It gets me where I need to go, was reasonably priced, and gets great gas mileage. I've also got a $50K truck for the purpose of hauling heavy items and towing on the weekend. However, it gets really crappy mileage and is simply too large for my general around-town driving. Two products for two very different use cases.

Is the car suddenly worth $50K and the truck only $25K simply because I use the car more? Of course not, I'm paying for the additional capacity and manufacturing costs for a product that meets my needs. A car simply can't do enough.

Same thing for the decision between a laptop and a smartphone. The phone does enough to get most people through the day, but when it comes time to do some real work they need the additional processing power that a laptop with a full computer operating system provides.

Ultimately it is the total cost of manufacture that drives the price of goods. A company may be able to come up with a product that defies that in the short-term, but eventually competition will level the playing field out. A laptop costs more to manufacture than a smartphone and as long as people need that capability they will continue to pay more.

The iPhone X does not represent a car that gives you great milage and gets you from a to b.
It attempts to reflect a 750 HP Lamborghini that does a LOT more than get you from a to b. It is a luxury item. You need to understand that.

Your example does not analogously interlace the car for the an iPhone but the car for a 2001 Nokia. In which case you would be absolute right.

I do realize that the post to which you replied should have read ' I know a lot of people who use their iPhone more than their laptop for the same routines. Meaning Web Surf, Email etc. Not for heavy lifting GPU stuff as in real-time rendering of 8k 60FPS RED Video Color Grading. But those folks are rate anyway.

 

[Michael Scrip]

There's a difference when one nearly requires you to tack on several hundred for AC and the other frequently is several hundred discounted. So now you are looking at $650 vs $1250, which is nearly double the price for a smaller less capable device that has a notch. Everyone gets to do their on cost justification.

Once again... I was comparing a $900 phone from Samsung where no one has a problem with the price... to a $1,000 phone from Apple where everyone has a problem with the price. Even though there's not much difference between those two numbers since they're in the same ballpark.

My point was... it's not only Apple who sells expensive phones... there are others in the neighborhood of $1,000.

Actually... Verizon says the retail price of the Galaxy Note 8 is $960.

So again... the pitchforks came out for Apple when they announced a $1,000 phone... but I don't remember the pitchforks when Samsung announced a $960 phone.

Those two numbers are in the same vicinity... which is all I was saying.

There's a whole other discussion about different phones you can get for a cheaper price... but that's not what I was talking about at all.

I was simply saying how people lost their mind at one company's price... but they don't bat an eye if someone else sells at a similar price.

 

[25ghosts]

Once again... I was comparing a $900 phone from Samsung where no one has a problem with the price... to a $1,000 phone from Apple where everyone has a problem with the price. Even though there's not much difference between those two numbers since they're in the same ballpark.

My point was... it's not only Apple who sells expensive phones... there are others in the neighborhood of $1,000.

Actually... Verizon says the retail price of the Galaxy Note 8 is $960.

So again... the pitchforks came out for Apple when they announced a $1,000 phone... but I don't remember the pitchforks when Samsung announced a $960 phone.

Those two numbers are in the same vicinity... which is all I was saying.

There's a whole other discussion about different phones you can get for a cheaper price... but that's not what I was talking about at all.

I was simply saying how people lost their mind at one company's price... but they don't bat an eye if someone else sells at a similar price.

Perhaps that is because one company makes a phone worth paying $1k for an the other does not.
At least the Samsung makes sense in tactile use cases. The iPhone X is does not.

 

[crescentmoon]

Don't worry.... your tax cuts are coming.... LOL!!

 

[Newjackboy]

Contrary to the Analysts and many in here, I don't believe that the price is going to cause (if a decline) the forecast decline. I think Apple could have priced the iPhone X below the iPhone 8 and still see a world wide declination in sales.

Folks talk about +1000USD for a phone being a high price. But USD2000 for a laptop isn't - USD4000 would be though. But I know a LOT of people who use their phone MUCH more than they use their $2000 Laptop. Thus, in hindsight, it would have made more sense to pay $2k for the phone $1k for the laptop.

If a product meets or exaggerates one's expectations in its capabilities the price becomes tertiary or even less.
It doesn't really matter whether the product is a phone, tablet, ear-lett, watch, laptop, desktop or glasses. They are all fitting the same base-class: computers, representing electronic devices which assist human beings in their daily lives.

On a personal note, I'd rather pay $2000 for an iPhone with a supernatural battery which doesn't exceed size and has 3 days of talk time, 30 days of standby along with being able to withstand daily use-cases a bit better, a device which basically utterly meets and exceeds my expectations of it, than paying $2000 for a 2017 laptop.

The iPhone X could carry a price tag of $500 and I still wouldn't buy it due to all its limitations which anyone can find everywhere on the web. Reason being that I don't buy anything that I don't need or find non-compelling, no matter the price tag. $100 would be too much for that phone because I would never wanna use it. Unless of course I could sell it for $1000 and make $900. But that would satisfy a different and financial need, and not the need for using a phone.

If price were the only criteria that mattered to me and everyone else, we'd just go buy a huawai or Samsung.

In the end what really matters is the pudding. The software that drives the hardware. If someone hacked iOS and let it run on Samsung and Co. I doubt that Apple would sell iPhones at all. Today, I'd rather pay $1000 for iOS and have it run on third party hardware than pay $1000 for an iPhone running iOS. The moment iOS loses its edge over Android (That day will probably never come) the iPhones won't matter at all.

If the X came in at the price of the 8 plus, and there was no 8 Plus - sales of the X would have been INSANE and would have smashed all previous records
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Have you seen what ProMotion can do? Obviously not if your dismissing it as just a special feature.

I’ll never understand why people want new features for the same exact price but hey your wallet not mine.

Apple were always doing that, until the iPad Pro 9.7 came out
Cars release new models for small price jumps. The new 5 Series will never cost 25 percent more than the previous version... these are mammoth price jumps we are seeing .. that’s what’s spooking lots of people

 

[Unami]

we‘ll see. i certainly hope it‘ll not sell well, so they‘ll have to rethink their „make it 100€ more expensive every year“ business-strategy.

or give me some value that‘ll not be lost after 1-2 years. i‘d gladly pay up to €1000 for a fair-trade iphone (realistically, i‘d rather pay 700, but it‘s apple...) . otherwise I‘ll wait until I can get a used 7 for around € 300 or a new SE comes out to replace my (already 2nd hand) 5s.
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use the camera on the x.

still a crappy phone camera with a tiny chip and it’s inherent physical limitations, that‘ll be outdated this time next year. ask again in 10 years, when computational photography has matured.

 

[69650]

Absolute garbage.

Who the hell pays outright for a phone anyway.

Besides the X is like a few bucks more than what you’d pay for the latest maxed-out 6 Plus / 6S Plus when they were released - people got short memories.

Get your iPhone X now and stop the whining. Cry babies.

People are not stupid. Just because you don’t pay outright for your iPhone doesn’t make it any less expensive. You’re just paying for it in instalments instead.

 

[Martyimac]

Absolute garbage.

Who the hell pays outright for a phone anyway.

Besides the X is like a few bucks more than what you’d pay for the latest maxed-out 6 Plus / 6S Plus when they were released - people got short memories.

Get your iPhone X now and stop the whining. Cry babies.

At least one person buys outright, me. And i'm pretty sure I'm not the only one out of the millions of folks who have bought iPhone's.

 

[dampfnudel]

Have you seen what ProMotion can do? Obviously not if your dismissing it as just a special feature.

I’ll never understand why people want new features for the same exact price but hey your wallet not mine.

I have, but don’t pretend like Apple isn’t excessively jacking up the prices here. That’s the main point here. The market will ultimately decide if Apple comes back to reason or not. It looks like that may be starting already as demand shows signs of cooling and it’s not even 2018 yet.

 

[MyMacintosh]

But some people WANT a new phone. They want a new camera. Or more storage. Or they want to give their old phone to someone else in their family.

I was actually one of these people a few weeks back. Gave my mom my 6, bought a 7+ used. I have more than enough money to buy the iPhone X outright, but decided not to for the reasons I mentioned above. I think alot of people on this forum kinda overguestimate the average consumer. But you kind of reiterated my point which is the difference between needing something, and wanting something. Im not a major techie. Just an average consumer when it comes to these gadgets. Most people I speak with when new phones come out tend to be those types as well. If I told them the X has OLED they would have no idea what i'm talking about. "True Depth, True tone" = "huh? What is that?"

Most dont see these small increments of speed, camera quality or relating to the power consumption. Its all about battery life, speed, size, and aesthetics. They look at the iPhone X and see the home button missing. They look at the camera and see portrait mode on front and back. Everything else functions like the 6-8 in terms of app usage. At that point it becomes "why shell out $1k? My selfies look the exact same on my phone i'm using now and they are close enough looks. My phone is already super fast, how much faster is this one? Facebook/Instagram/Twitter is exactly the same on this new phone". Consumers are alot smarter nowadays about shopping. They read/watch more reviews and are generally more conscious about their spending habits.

 

[macgabe]

Still getting over the fact analysts said you wouldn't be able to get one into Feb..... I'm going to become an iPhone analyst , captain obvious , this gig is easy, just reposition your analysis on the current situation .

My carrier still doesn't have them (France) in the higher GB range or white. I bought one from Apple online on day 1, but then gave it back to get my carrier discount. So maybe there are plenty in the US, but here they're still unavailable. So I think this quarter will be yuge.

As for the next quarter, well I thought Apple didn't make predictions for 2 quarters out, so how can they *update* their predictions if they haven't made one yet? Usually Apple predictions for the current quarter are very accurate and they're predicting a blow-out quarter for the current period. Sure analysts can over predict then under predict , so what.

 

[saudade]

Apple is busy preparing a software “update” for your iPhones that will make you reconsider.

Yeah i know what do u mean dude. The Apple’s special recipe right?

 

[JediZenMaster]

I have, but don’t pretend like Apple isn’t excessively jacking up the prices here. That’s the main point here. The market will ultimately decide if Apple comes back to reason or not. It looks like that may be starting already as demand shows signs of cooling and it’s not even 2018 yet.

ProMotion is enough to raise the price on a device. I think since they have different price points then that should suffice.

Not every device is going to be priced so everyone can have it but with carrier financing everyone can have it. Let’s just agree to disagree.

 

[macTW]

If £1350 with AC+ is a fair price and getting old for some of you guys..... well for some it's a lot of money. Glad it's not for you .

I don’t have one because it’s too expensive... but these “analysts” keep pushing price as an issue when other manufacturers sell phones at $1000+ and any drop in spring sales directly relates to increased production and sales at the holidays that traditionally would occur in the spring.

 

[MH01]

My carrier still doesn't have them (France) in the higher GB range or white. I bought one from Apple online on day 1, but then gave it back to get my carrier discount. So maybe there are plenty in the US, but here they're still unavailable. So I think this quarter will be yuge.

As for the next quarter, well I thought Apple didn't make predictions for 2 quarters out, so how can they *update* their predictions if they haven't made one yet? Usually Apple predictions for the current quarter are very accurate and they're predicting a blow-out quarter for the current period. Sure analysts can over predict then under predict , so what.

My job is as an analyst, and I have a chuckle at these articles, especially Kuo, they are more like weather presenters....
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I don’t have one because it’s too expensive... but these “analysts” keep pushing price as an issue when other manufacturers sell phones at $1000+ and any drop in spring sales directly relates to increased production and sales at the holidays that traditionally would occur in the spring.

What other manufacturers sell a phone that is $1000 + . Or was that a non US currency?

 

[44267547]

My job is as an analyst, and I have a chuckle at these articles, especially Kuo, they are more weather presenters

Accept, Kuo has the most accurate track record than any other analyst when it comes to Apple. He doesn't have to be right on everything in order to not make a prediction worthy of consideration.

Some analysts are typical mudslingers that derive their own facts based off nothing of evidentiary nature.

 

[Black Tiger]

we‘ll see. i certainly hope it‘ll not sell well, so they‘ll have to rethink their „make it 100€ more expensive every year“ business-strategy.

or give me some value that‘ll not be lost after 1-2 years. i‘d gladly pay up to €1000 for a fair-trade iphone (realistically, i‘d rather pay 700, but it‘s apple...) . otherwise I‘ll wait until I can get a used 7 for around € 300 or a new SE comes out to replace my (already 2nd hand) 5s.
[doublepost=1514419871][/doublepost]

still a crappy phone camera with a tiny chip and it’s inherent physical limitations, that‘ll be outdated this time next year. ask again in 10 years, when computational photography has matured.

A “crappy phone camera”... come on. The photos I have taken and seen on iPhone X are stunning.

 

[OutSpoken]

I bought the X and honestly I thought it was very expensive for what you’re getting however, I’m not someone who upgrades every single year regardless!

My previous iPhone was the iPhone 6 as i prefer to get the ‘tick’ cycle iPhones, basically a major body design change, which the 6S, 7 and 8 were not!

 

[MH01]

Accept, Kuo has the most accurate track record than any other analyst when it comes to Apple. He doesn't have to be right on everything in order to not make a prediction worthy of consideration.

Some analysts are typical mudslingers that derive their own facts based off nothing of evidentiary nature.

Sure , when his predictions were ad hoc, now that they are Almost daily, it's getting to the captain obvious levels in my opinion . Heck he is not wrong.... though I can also tell you that if 5cm of snow falls in London , stanstead , Luton and Heathrow will likely close down

 

[Shanghaichica]

X is expensive but on contract the note 8 is not far off here in UK on EE

I pay £87 a month but note 8 can be £70-£85 as well

Even the 8 plus is £80 on EE

So on a monthly contract there isn’t much between the top flagships

Yeah you are right. I really thought there would be a large difference in price between the note 8 and iPhone X on contract but there really isn’t. I was paying £76 a month for the note 8 but I’ve paid it off now. For my iPhone X I’m paying £84. So it’s only £8 more and included in the price I get a free screen rplacement it the screen gets broken.

 

[25ghosts]

If the X came in at the price of the 8 plus, and there was no 8 Plus - sales of the X would have been INSANE and would have smashed all previous records
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I don't belive that. Had Apple ditched the iPhone 8 and only offered the iPhone X - Samsung, Google and the rest would have seen a surge and Apple's stock would have plummeted.

If the iPhone X would be Apple's only phone not even iOS (which is the only reason I buy Apple iPhones) would have kept me from switching to Samsung. And I know for a fact that none in my circle's have bothered to purchase the iPhone X. None. And we're talking people who buy iPhones on day 1 of their release. This time we all were like - no way. This phone came out downright wrong.

iPhone X IMO is 100% Non-Apple-Like and begins a new era of products which the world don't need at all ~

 

[Newjackboy]

I

I don't belive that. Had Apple ditched the iPhone 8 and only offered the iPhone X - Samsung, Google and the rest would have seen a surge and Apple's stock would have plummeted.

If the iPhone X would be Apple's only phone not even iOS (which is the only reason I buy Apple iPhones) would have kept me from switching to Samsung. And I know for a fact that none in my circle's have bothered to purchase the iPhone X. None. And we're talking people who buy iPhones on day 1 of their release. This time we all were like - no way. This phone came out downright wrong.

iPhone X IMO is 100% Non-Apple-Like and begins a new era of products which the world don't need at all ~

interesting take

Can you explain this part? iPhone X IMO is 100% Non-Apple-Like...

 

[25ghosts]

I

interesting take

Can you explain this part? iPhone X IMO is 100% Non-Apple-Like...

1) Clunky to Use. Home Swipe, Control Center Swipe.
2) The Notch - Always in the way.
3) Awkward Aspect Ratio - No fit for watching 16:9 movies.

Before iPhone X, Apple was always 1 gen. behind the newest to have. I believe they said to be choosing proven over experimental technology. This served, in all the phones I had, to be a good concept. Never had any issues nor gripes with my phones.

I am pointing out three issues above which are deal-breakers for me and anyone I personally know and as it seems millions on the web. Prior to the iPhone X I have not experienced any deal-breaking features personally nor in my circles of communication. And that is what I mean by Apple non-Apple-Like.

A phone which people just used to purchase without a blink and desire to own, turned in to a 'do I really need this gadget' phone full of compromises.

As Robert De Niro so elegantly said, in the movie Ronin:
Whenever there is any doubt - there is no doubt !

And doubt seems to be the one thing 'bezeling' (no pun intended) the iPhoneX these days !

I believe that many will purchase this phone just thinking it will be awesome because that is what we've come to expect from Apple. Just as I ordered the iPhone X without blinking. Had it not been for a n uncle visiting already owning that phone I would be using the X instead of the 8 Plus today. But after having it in my hands for 10 minutes I was devastatedly disappointed it and cancelled my order and got an 8 Plus. I believe many are in for a huge surprise when they get their X. And that after this cycle people will be looking elsewhere to buy their phones unless Apple re-thinks this phone in 2018.

Anyway, Time will tell.... and discussions are great for improvement !