I think apple is taking the right approach. IMO the reason PCs have so many problems is that the hardware and software are not cohesively built to work with each other. Apple is one of the few consumer product company that does this well. The downside to this approach ,is like the OP said, a slower release of new technology. Having 6 month old technology that performs well is better than new technology that have glitches. By providing quality, Apple is then able to charge a premium. In most cases, intangible assets (quality, ease of use, ergos) are much harder to produce or replicate. Much like the comparison between a Ferrari Modena 360 and Corvette Z06. The price differences is $100k, they have about the same power, look similar on the outside, the Ferrari does handle better though. That last point aside, why is there such a difference? The obvious answer is, its a Ferrari idiot!
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Apple Should be Embarrassed About Mac Pricing
- Thread starter WannaGoMac
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Didn't you just contradict yourself here. They don't need to convince people to spend the $ because people already do spend the $. This is because the majority of people don't care about the 'specs' of their computer. They just want a computer that is 'fast' and has a lot of 'memory' (aka hard drive space since the average consumer doesn't know the difference between the two). All of Apples computers fit into these categories.
As for the complaint that Apple is selling old hardware as new top of the line...not really. They are selling old hardware as what it is. You expect them to say: "This hardware was released 6 months ago."
Macs are selling and users are happy with them..that is all Apple cares about. If they found it was in their best interest to update more often they would do it..they clearly don't find it to be a priority.
Yep, the iMac and Mini are notebooks in a desktop package. You really need to compare machines using similar construction methods.
While people might BITCH (like a jilted drama queen) about changes not coming fast enough, it is a lot harder and more expensive to do much more than offer speedbumps on Apple's motherboards.
A typical PC desktop can easily change a lot quickly, since all they have to do is offer "another" video card option or PCI card to update it.
A laptop video card update (the way apple does it) requires an all new machine.
Since Apple is a small company designing their own machines, they can afford to redo the machines a couple times a year.
Not monthly, which isn't possible anyways.
Sort of the bad news when Apple offers two chipsets, the mobile 945 or the workstation 5000x. The packages of the consumer machines might look different, but their core is basically all the same.
and u know what, for what most people do, intergrated graphics are more than enough. its definetly gotten a lot better than the pentium 4 days.
A couple of ideas for answering the original question:
One, it might be part of their sales strategy. It could be that they would not make enough of a profit if they gradually adjusted their prices as the components went down. The computers would end up costing even more when they came out so they could make enough of a profit.
Another idea: it would seem like they were constantly increasing the cost of the MacBook (or whatever) when new models came out. Here is what I mean: say that the last Gen MacBook started at $1400, then went to $1200 and then to $1000. Everyone would be super-happy about the $1000 MacBooks. But then when the next model came out, the price would go back up to $1400 and people would be upset. The way things work now everyone is just happy when new models come out -- you are getting more for the same amount of money. With the continually adjusting model, you have to pay more to get more. With the constant model, every once in a while it feels like you get a great deal.
-- David
One, it might be part of their sales strategy. It could be that they would not make enough of a profit if they gradually adjusted their prices as the components went down. The computers would end up costing even more when they came out so they could make enough of a profit.
Another idea: it would seem like they were constantly increasing the cost of the MacBook (or whatever) when new models came out. Here is what I mean: say that the last Gen MacBook started at $1400, then went to $1200 and then to $1000. Everyone would be super-happy about the $1000 MacBooks. But then when the next model came out, the price would go back up to $1400 and people would be upset. The way things work now everyone is just happy when new models come out -- you are getting more for the same amount of money. With the continually adjusting model, you have to pay more to get more. With the constant model, every once in a while it feels like you get a great deal.
-- David
Quit feeding this troll.
Yes troll I say. This thread and no purpose other than to stir everyone up therefore troll.
Macs are priced fairly compared to competitors. The OP obviously doesn't want a Mac bad enough to pony up the cash.
That Dell prices out btw totally sucks compared to an iMac.
You need to upgrade the video card which is an integrated video chip.
And I am sorry but Vista Home Basic does not equal OSX. You will have to cough up another $199 for Vista Ultimate to be even close.
I came up with a $300 premium for an iMac. Not bad considering the Dell comes with all kinds of bloatware.
Yes troll I say. This thread and no purpose other than to stir everyone up therefore troll.
Macs are priced fairly compared to competitors. The OP obviously doesn't want a Mac bad enough to pony up the cash.
That Dell prices out btw totally sucks compared to an iMac.
You need to upgrade the video card which is an integrated video chip.
And I am sorry but Vista Home Basic does not equal OSX. You will have to cough up another $199 for Vista Ultimate to be even close.
I came up with a $300 premium for an iMac. Not bad considering the Dell comes with all kinds of bloatware.
Well, you won me over. Screw the higher quality computer, I can get dialup. Woohoo!!
Perhaps you missed my earlier comment? Option B: don't buy one.
Problem solved.
Wow, ya'll are a hostile bunch.
I found this forum, trying to figure out if it would be a good time to buy a MacBook or not after being fed up with PCs (I bought my brothers a Mini for Christmas), and talk about being overly sensitive.
(A) The idea that Mac doesn't drop its price to maximize profits for its shareholders is a great idea for Mac but bad idea for people who are looking to buy a computer. By that logic you justify selling the Apple IIE's for $1,500 since that would return even more value to Apple. The question is better phrased as, "Why should the consumer tolerate it?" Answers such as, "It protects your resale value by holding constant the retail price" is an answer that makes sense from the perspective of the consumer. But unless you're Steve Jobs or have otherwise large holdings of Apple stock, what the hey do you care if it makes Apple more money?
(B) The idea that someone would have to provide data (what kind? marketing surveys?) to support the idea that if Mac decreased their price, they would attract more consumers is a bit silly. Econ 101. But if you must... when I was looking into the Mini, one of the things reviewers/analysts raved about it was that it gave Mac a low/mid-priced foothold into the computer market allowing consumers who otherwise wouldn't have bought a Mac an entry point. Also, for data I can find quickly, in 2005 there were approx. 200MM PC units sold for revenue of 200bn meaning average sales price of about $1,000. Some of the market is above that; some is below. You hit the points below, you increase your market share. And Mac could stand to increase its market share.
(C) Ragging on the OP for the dialup comment was obviously childish since he obviously meant it tongue-in-cheek sarcastically. But the internet turns everyone into five-year olds, apparently. *sigh*
I found this forum, trying to figure out if it would be a good time to buy a MacBook or not after being fed up with PCs (I bought my brothers a Mini for Christmas), and talk about being overly sensitive.
(A) The idea that Mac doesn't drop its price to maximize profits for its shareholders is a great idea for Mac but bad idea for people who are looking to buy a computer. By that logic you justify selling the Apple IIE's for $1,500 since that would return even more value to Apple. The question is better phrased as, "Why should the consumer tolerate it?" Answers such as, "It protects your resale value by holding constant the retail price" is an answer that makes sense from the perspective of the consumer. But unless you're Steve Jobs or have otherwise large holdings of Apple stock, what the hey do you care if it makes Apple more money?
(B) The idea that someone would have to provide data (what kind? marketing surveys?) to support the idea that if Mac decreased their price, they would attract more consumers is a bit silly. Econ 101. But if you must... when I was looking into the Mini, one of the things reviewers/analysts raved about it was that it gave Mac a low/mid-priced foothold into the computer market allowing consumers who otherwise wouldn't have bought a Mac an entry point. Also, for data I can find quickly, in 2005 there were approx. 200MM PC units sold for revenue of 200bn meaning average sales price of about $1,000. Some of the market is above that; some is below. You hit the points below, you increase your market share. And Mac could stand to increase its market share.
(C) Ragging on the OP for the dialup comment was obviously childish since he obviously meant it tongue-in-cheek sarcastically. But the internet turns everyone into five-year olds, apparently. *sigh*
Thanks for your enlightenment. Sorry our little forum has failed to meet your expectations.
Thanks for ignoring everything of substance in the post. But I guess using a smug emoticon makes it all ok.Thanks for your enlightenment. Sorry our little forum has failed to meet your expectations.
That doesn't answer my question: Why would an iMac need HDMI/HDCP? (It doesn't).
I responded to the part that applied to me. Why defend myself for an argument I didn't have?
Why respond at all to something that doesn't have anything to do with you? Best I can tell this was your first post in the thread. Just jump in and be snarky and smug for no reason. C'mon. You have 10 emoticons left to use before you run out of things to say.I responded to the part that applied to me. Why defend myself for an argument I didn't have?
But really, just forget it. Don't be a troll.
So to recap, your point is that one shouldn't care about Apple's profit, but should care about Apple's market share?
Woah, welcome to the land of hypocrisy.
It did. You made snotty comments about this forum in general. As a member, that includes me, and those were the points I rebutted.
This was your first post in the forum and you "jump[ed] in and [were] snarky and smug for no reason". WTF?
Troll? Seriously, this is a joke, right? Your entire post was nothing more than a troll comment, and I'm the troll? Give me a break.
It did. You made snotty comments about this forum in general. As a member, that includes me, and those were the points I rebutted.
This was your first post in the forum and you "jump[ed] in and [were] snarky and smug for no reason". WTF?
Troll? Seriously, this is a joke, right? Your entire post was nothing more than a troll comment, and I'm the troll? Give me a break.
No. To recap my point is for people not to be idiots. Summary of thread:
OP: Prices of Apple components drop and prices of Apples don't.
Others: We like Apples.
OP: Yah, but prices of Apples should drop.
Others: Prices staying the same let Apple make more money, troll.
OP: Yah, but I'm paying a premium to buy an Apple. I'm going to buy one anyway, but still.
Others: It's not that much of a premium, TROLL.
OP: Yah, but if Apple dropped their prices then they'd make more sales.
Others: Where's your data on that... TROLL!!!!
Me: Whatever. Seems obvious that, as a consumer, you care about the value delivered to you as a consumer. And that giving excess profits to the seller is a bad idea. Sure, it can be part of a business model where it goes back into R&D in things like pharma and what not, but I haven't really seen that concept raised. People defended the high prices on the idea that they like Apple being profitable. Basically. And challenged this guy on his assertion that lower prices would lead to increased sales. Which seems like a, "duh" kind of thing.
But what I really want to know is if there's going to be a new MacBook coming out any time soon or if I should just buy the current gen now. Not really bicker with random people.
I thought that this point was covered. Although the price-point remains the same between revisions, the value to you -- the consumer -- increases with each rev. as either additional hardware is added, or the specs of the hardware increase. Often times, both happen.
As for your MacBook question, there are already a gazillion threads about that. Basically, like the mac mini, nobody knows when Apple's going to announce the next ones, or what the specs will be.
Who cares? Apple doesn't need justification to charge any price for any product. They're selling like hotcakes and why in the world should someone being too bloody cheap or broke be Apple's fault?
I feel the mini is way overpriced considering for a few hundred more you could have an iMac. So I won't buy a mini. What I won't do is stand around and demand Apple either lower prices or bump spec on the mini to make it attractive to me.
I'm kind of frugal myself. But goddamn it I cannot stand a cheapass.
Once u go Mac u never come back!
ok i have had a pc for a few years and over the years there has been many times of sitting in front of it crying and screaming on the phone to people who i don't understand. i got a and ipod and got applecare with it. any problems (and they were few) the apple people fixed and were always very nice. on top of it all i ran over my 60gb ipod with mt car and with applecare i got a brand new new. that is one of the reasons i got a mac book. so they can charge what ever they want. i'll pay. just try and call the h/p hotline! you'll get nothing like like u do when u call apple!
ok i have had a pc for a few years and over the years there has been many times of sitting in front of it crying and screaming on the phone to people who i don't understand. i got a and ipod and got applecare with it. any problems (and they were few) the apple people fixed and were always very nice. on top of it all i ran over my 60gb ipod with mt car and with applecare i got a brand new new. that is one of the reasons i got a mac book. so they can charge what ever they want. i'll pay. just try and call the h/p hotline! you'll get nothing like like u do when u call apple!
What it comes down to is:
Something is worth as much as the market is willing to pay for it. Apple computers are that something and I am sure as hell going to keep paying for it; more expensive or not.
My two cents.
Something is worth as much as the market is willing to pay for it. Apple computers are that something and I am sure as hell going to keep paying for it; more expensive or not.
My two cents.
Thanks so much for your comments. You are right on with all 3 (including my sarcasm on the third
). I stopped respond to the thread because it had gotten out of control...