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All iPads Anyone think Apple would eventually only sell cellular iPads?
- Thread starter bniu
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While cellular iPads are awesome and while I, myself, now own two of them, it's a bonus to the line, not a requisite feature and most consumers likely agree.
It would make sense to just sell a cellular iPad at a singular price from a production standpoint, but from a cost-to-buy standpoint, it likely never will. If you thought $130 leaves room for plenty of profit margins, go check out the obscenely high cost of out-of-contract iPhones, for which there's no good reason for such high cost. At $130, we're getting a bargain, especially compared to the out-of-contract pricing of competing cellular tablets (at least in the 9.7" size category; cellular iPad mini competitors are somewhat of a different story).
10 years, really??? I mean the delta between the 2 models in 5 years will likely be $5, with a price difference of $5 you think they still make both?
-Tig
Yes I do and I'm sticking with that. It doesn't really matter the price difference that apple pays. We pay $130 more for cellular and I'm sure apple won't mind extra profit.
Adding Touch ID would not upset many people at all, because there is no additional cost for Touch ID beyond the initial purchase. There's no $15/month charge for an additional device on the data plan, or $10/month for the additional data consumed, no dealing with the hated phone company.
Touch ID is an easy sell. People who are already keying-in pass codes appreciate the potential ease of use. People who have had to deal with forgotten pass codes will be very happy. "My kid can't forget her fingerprints!" Further, an extra $100 for an iPhone 5s gets them a bundle of unique features: Touch ID, a better processor, a motion co-processor, a sexy metal case... Most people do down-and-dirty math; "$100 divided by 4 unique features = $25." Cellular data has a very solid price tag attached. One unwanted feature = $130.
Do they sell the older model in case people hate the new one? That's at best a tertiary consideration. It provides a lower entry-level price point without undermining the price of the current models. Stale bread is cheaper than fresh bread, "everyone knows that."
If millions of people are spending an extra $130 for one feature, why throw that money away? It's about "Whatever the market will bear." It's precisely about having a feature that costs little compared to the price people are willing to pay for it. If enough people are willing to pay the offered price, then the price sticks. If too few buy it, then the price comes down, or the feature disappears.
Apple doesn't sell their gear by pandering to the low-cost/low-margin market. They firmly ignore Wall Street's calls to go for raw market share. The best thing that happened for Apple in the past year was that way more people than expected wanted iPhone 5s, fewer wanted iPhone 5c. Second best? Demand for the expensive new Mac Pro still outpaces Apple's ability to fill orders for it, months after introduction.
Why in the world would Apple ever take a feature that people are willing to pay a premium for (cellular in iPads) and give it to everyman, at a dramatically lower price, unless they can add a new feature(s) to their premium iPad that is equally compelling, to at least as many consumers? And cellular data is a need for many buyers, not just a desire. By-the-short-hairs features like that don't come along very often.
Try to apply this logic in the supermarket: "It costs the farmer the same money to raise a pound of filet mignon as it does to raise a pound of chuck, why don't they just grind it all? Then they don't have to separate the carcass into different cuts, or put different labels on it, and they'll have just one beef item in inventory."
There is no additional cost for the cellular unless you want to use it. Your comment was people don't want to pay for features they arent going to use. Only 20% of iPad owners lock their ipads, that would be 80% don't lock them, and a large percentage of that 80% aren't going to decide lock it just because TouchID is now available.
You are the one saying people don't want free features that they don't use. The overwhelming majority of iPad users don't lock them, so by your definition TouchID is such a feature. I disagree with your entire premise, I'll take as much free stuff as they will give me, but your premise is that people will be mad at Apple for giving them free cellular support, while believing everyone will be overjoyed by TouchID, how many threads on this board alone by the tin foil hat brigade about TouchID and the NSA (or my favorite one NASA who are the same people I found out in that particular thread). I don't know why we are bringing up the $130, because the entire premise of this thread is that now that a single model of Cellular iPad can talk to all the networks (thank you iPhone), and the delta to add cellular to iPad is steadily getting smaller (in fact the iPad Air Cellular costs less in parts then previous versions wifi only), how likely is it that the move to one model (ie the Cellular one).
We've talked about why they should do it alot, it helps immensely on all kinds of supply issues. It hurts their competition and doesnt cost them hardly anything because they have a unified cellular ability already. I believe everyone else is selling AT&T tablets, or Verizon tablets or Sprint Tablets.
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Congrats, over the years there have been really really bad analogies, bunches of car ones by people that don't understand cars being among the worst, however this one however is the worst posted here ever, again congratulations.
-Tig
Apple charges more, because they know people will pay the price. There are always Apple fanboys that will buy the most expensive device and that's why Apple can get away with charging $130 for a cellular version over wifi only.
There are "fanboys" on every camp and every company takes advantage of this, if you think this is dedicated to Apple then you're ignorant to true retail and the consumer market.
I have zero use for a cellular iPad. I think it took it to my parents once and they have wifi as well.
I doubt it. They are charging $130 extra for the cellular models.
If they bring their base price up $130 to compensate, fewer people will buy. If they offer cellular model for $500, people will ask for a cheaper model without because they don't need it.
If they bring their base price up $130 to compensate, fewer people will buy. If they offer cellular model for $500, people will ask for a cheaper model without because they don't need it.
This is true. It would make more sense to have it be maybe $69 extra for the cellular option. That might convince more people to buy the cellular version who may not need it but would like to have the option.
I'm not so sure. With phones getting bigger, especially the upcoming iphone 6 and encroaching into phablet territory, I wouldn't see a lot of demand for the mini cellular tablets...most people use iPads exclusively at home or traveling and cell phones for day to day mobility.
I think this is where we disagree. I think if they offer a cellular model for the base price of $500, and there is no cheaper model, then most people wouldn't ask for a cheaper model that didn't have the feature they don't use. They'd just buy the cheapest available model and not complain. For instance, I once had a laptop with a cellular modem. I never turned on the service because the data plan was so expensive, but I didn't spend much time trying to find a laptop without a cellular modem for cheaper. My microwave has a ton of functions I never use, but it's not worth my time trying to locate one that doesn't have those features. My camera, vacuum cleaner, washing machine... all have more features than I need. Sure, if two models are there side by side at the store or on a website, and one had fewer features and was therefore cheaper, I would go for a cheaper model. But if a cheaper model isn't obviously available, I'm not going to waste my time looking for one, even if I'm theoretically paying for features I don't use.
I think if cellphone companies still sold unlimited data options, that might have actually happened. But I'd say that the odds are slim to none with things as they are now. I don't know anyone where it would be cost effective to not have the option of wifi now.
My rMini never leaves my place, so I don't see the need to purchase a cellular iPad. Usually when I travel, my rMini comes with me, but I tend to pick up wi-fi hotspots at the airport or hotel. Otherwise, I'll just use my iPhone.
I highly doubt that Apple would get rid of the wi-fi only iPad models.
I highly doubt that Apple would get rid of the wi-fi only iPad models.
The only way I can see this happening is if the components become significantly cheaper. If they can offer a cellular model at wifi price with the same profit margin, it could happen. Otherwise it is unlikely.
Looks like T-Mobile is trying that out.
https://www.macrumors.com/2014/04/10/t-mobile-operation-tablet-freedom/
And wifi does go out once in a while, and if you rely on the cloud to store your files for access on both iPad and PC, then the cellular is a godsend to have if that happens.
I just don't see why they would do it. Personally, if there was no other option and the lowest price model had cellular, yes I would buy it. As it is now, I pay $130 extra for it and have activated the data maybe once or twice. I will always be willing to pay the extra $130 because it is nice to have if you get into a situation where you can use it. Just like why would they ever double the smallest amount of storage from 16GB to 32GB. They are making huge profits on the markup and plenty of consumers are still buying the 16GB wifi model. I mean go from 16GB wifi to 32GB w/cellular as the base model and you are talking about $230 less for Apple...probably $200 of which is pure profit.
By that logic, they could still be selling the iPhone with 8GB for the base model. At some point, the technology is going to shift enough so that it makes sense for 32 GB cellular iPad to be the base model. Whether that will be next year or five years from now, I don't know.
I think Apple has somthing else to worry about. For example, the fact that ipad sales has gone downhill for couple years now and Ipad mini retina is a flop.
Recent years, all they did was changing form factor. Smaller, lighter aint gonna do it no more. They need to add more value to actually sell them for 499 base price.
Recent years, all they did was changing form factor. Smaller, lighter aint gonna do it no more. They need to add more value to actually sell them for 499 base price.