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They give away so free songs with the iPod, or even a free download with registration. As soon as people see how easy it is, they will want to use it more!
 
That may happen if downloads really pick up...>

or they get a lot of pressure from Windows based online music stores that are compatable with other MP3 players. It might eventually get like cell phones, where the companies practically give you the phones for free knowing they are going to make it up on the service. Selling them now at high prices may just be an example of "gather ye rosebuds while ye may." 😉



Originally posted by blueBomber
I understand Apple is currently selling alot of ipods at the highest price the market will bare. But the magic price point they should be shooting for is $199.99, look what it did for sales of console systems. Now it would be nice if they pulled a Nintendo and surprised everyone by lowering the price to $99, but that's not going to happen.
😀
 
just iPod?

i was hoping that the 10% will include computers, not just iPod's. If the discount goes towards computers, then I will pick up my Powerbook 17" on Friday. $300 off a Powerbook 17 is pretty nice. (not to mention a great birthday present!!)

so will it include computers or just iPod's??????
 
This week's US News and World Report has an ad on the back cover for the new *cough* original *COUGH* Dell DJ (underbreath: iPod rip off!) Media Player.

I hope Apple can get more ads out there, before Dell saturates the market with them. This one caught my eye: it was just such a glaring rip off.

I'll be at the Arden Fair store! What time should I get there?

🙂 🙄 😀
 
Bundle iTunes Certificates w/ iPod

Rather than drop prices on iPods, I think Apple should bundle $20, $30 and $50 gift certificates at the ITMS. It keeps the perceived value of the iPod, but increases its actual value for users. Once they ultimately drop prices, it's near impossible to bring them back up. Apple's challenge is to keep providing value that equals $299, $399 and $499.

They may have to scale these prices back a bit as more competition emerges, but it's just smart to milk the opportunity they currently have as long as possible, so long as they don't abuse it. Obviously everybody has a different opinion about whether or not they've done so.

Apple doesn't enjoy MS' volume of sales, and Wall Street is constantly on Jobs' case (check out the latest Forbes article about Apple "running out of steam") so I don't begrudge Steve making sound business decisions, even if that makes them seem like cold capitalists, versus the happy technohippies many of us would like them to be.
 
Re: just iPod?

Originally posted by diehldun
i was hoping that the 10% will include computers, not just iPod's. If the discount goes towards computers, then I will pick up my Powerbook 17" on Friday. $300 off a Powerbook 17 is pretty nice. (not to mention a great birthday present!!)

so will it include computers or just iPod's??????

It should include everything: Apple shouldn't expect people to just buy iPods for the holidays, a good number of consumers probably want to buy computers too, and a 10% discount would be more than enough impetus for some.
 
Ya know at this point I don’t care what happens at this event as long as it entrenches iTunes and iTMS onto the Windows platform. I’m honestly nervous about MS making their debut with a music store next year. Apple’s only hope is to:
1. Sell more iPods then ever before. (Get into a nice and comfy position with a 50% market share.)
2. Get iTunes firmly entrenched as THE media player for Windows. (Unfortunately with iTunes lacking WMA support people will still use that OTHER media player which isn’t a good thing.

Jobs can do a jig on stage for all I care as long as it increases sales. God willing it will be late summer before Microsoft is ready to roll this out and by that time, knock on wood, iTunes 5 should be out along with a steam roller add campaign from Apple.
 
what time sale starts?

will the sale start on friday morning when the Apple Store opens? I want to get there early so i can ask all the questions i want not in a hurry, and can open my powerbook there so that I can set it all up.

i have heard that it gets very busy, and that people actually line up outside the store before it opens-- is this true? if i recall, before panther was released, there was a carnival-like atmosphere outside, with literally almost 100 people outside. will it get this crazy on Friday?????????????????????
 
Apple purportedly is selling every iPod they can make (well, have made for them) so why reduce prices at this point. I think we'll see a lower price AFTER the first of the year.

Now, about rumors of a $749 Device posted elsewhere. Perhaps it will be introduced at the November 28 store festivities.

Maybe it's a DJ iPod!!
 
Originally posted by gwangung
More business geniuses. Now is NOT the time to do this. Wait until there's a little softness in the demand side...otherwise you leave money on the table, since you're selling all that you make [key point that last one]

There was an Experimental Economist at UR that studied monopolies and price controls along these lines. The market revolts. Its astonishing to watch, a huge collective cutting off of the nose to spite the face.

Yes if they cut it too much they leave money on the table. They also don't get the money as fast and money today is worth more than money tomorrow.

Finally Pigs get fed; Hogs get slaughtered.

What I think will happen is modest price cut. What Apples long term goal probably is is to get the RIAA hooked on the profit stream and then get them to cut royalties. When that happens the price of iPods will crater.
 
What I'm surprised they haven't done yet is an iPod/iTunes Store joint promotion. Now that they have the gift certificates up and running, each iPod also gets you a $20 credit to the iTunes store. It's perfect. That's the event, besides this mystery item.
 
Originally posted by MongoTheGeek
There was an Experimental Economist at UR that studied monopolies and price controls along these lines. The market revolts. Its astonishing to watch, a huge collective cutting off of the nose to spite the face.

But Apple is neither a monopolist or price fixing. (Speaking only of the MP3 player market.) There are many (viable) competitors and prices are all over the spectrum. Apple simply makes the market leader, but still owns (I beleive) less than half the market.

Apple is more akin to the upper-echelon BMW or Mercedes. They make a fabulous product that most everyone wants, but some simply can not afford. So should BMW drop the price of 7-series simply to increase sales? Of course not. Rather, they produce a 32x and sell it at an "entry-level" price and get people used to buying BMW's. Over time, THIS will sell more 5- and 7- series cars for a better profit.

So I say again, bring back the 5Gb as an "entry-level" iPod.
 
On the Friday after Thanksgiving, I'm sure the Apple Stores will be busy, as are almost all stores on that day. With discounts and giving away iPods, I think it will be a great way for Apple to lure some more switchers.
 
i thought the 5 gig hard drives were no longer being produced by whatever company that is that makes them (toshiba?)....so it would be be impossible to bring the 5 gig ipod back. or maybe i just imagined that i read that somewhere around here a couple months ago.
 
Diehldun wrote:

i have heard that it gets very busy, and that people actually line up outside the store before it opens-- is this true? if i recall, before panther was released, there was a carnival-like atmosphere outside, with literally almost 100 people outside. will it get this crazy on Friday?????????????????????


At the UTC store grand opening/Panther release there were easily 2000 people outside the store at 8pm waiting for the store to open. I doubt an event like this will attract that many people unless they are giving away something (dogtags) to everyone that comes to the store. A cool little iPod pin would be nice.

By the way, San Diego is so saturated with iPod advertising, you can't leave the house without seeing an ad somewhere. Is apple trying too hard for product recognition? At what point will oversaturation backfire?
 
It's going to be all about the ipod. You buy one and you get 10% off and probably some iTMS coupons. Apple always pushes one product for the holidays, like last year was the 17inch imac, which I actually bought.

I doubt a $749 video ipod would come along with it, but you never know.
 
Originally posted by the_mole1314
I doubt we'll see iTunes 5 for a LONG time.

Next spring isn't out of the realm of possibilities. 6 month since an update? I'm thinking there’s a good possibility and IMHO I think there are a few additional features that should be added.
 
Originally posted by machan
i thought the 5 gig hard drives were no longer being produced by whatever company that is that makes them (toshiba?)

Nope....
 

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I really like the idea of a $99 5gig iPod. Now with the ITMS, Apple needs to get more consumers to start using the service. What better way than this.

And I know lots of people, mostly mid-market, who just go to Circuit City and purchase a 128meg mp3 player because they've think it's the thing to get, where the iPod is out of their price range.

A cheap 5gig model would blow the doors off the competition and allow Apple to retain it's marketshare. Remember, that's why the WalkMan became so popular: various pricepoint models.
 
Originally posted by Foxer
Does anyone know if the 10% in store discount can be combined with the edu discount?

No, it can not be used in combination. That was the case at the Panther launch. Use one or the other.
 
Originally posted by KLFloyd
Apple already has individual CD's made with iTunes and the music store. I just found one in an eMac box I opened and setup a week or two ago. Kinda surprised me.

I think free physical CD's are a great idea. If you have a slower connection you may not want to download the file. And, a lot of people are just more comfortable installing a CD. It's a lot less hassle than going to a website, waiting for something to Download, then install it on your computer. I think it makes perfect sense, if you're going to give someone an iTMS gift card and you know they don't have iTunes, then give them the CD as well saves a lot of time and hassle on the part of the recipient.

Also, I think physical iTMS gift cards are a MUST. They need to be available not only from apple stores but also online (with free USPS standard shipping, come on Apple it's only $0.37) and available for purchase at stores that sell the iPod such as Target and BestBuy. Get those physical gift certificates out there in mass quantities bundled with a iTMS CD and they'll sell. Heck, I've got 3 people on my list right now I'd buy them for.

Would be smart to allow in-store downloading so people can try it out and see how easy it is to use. Download what you want and burn it to CD to transfer to your Mac.

Would also be nice for the dial up user.
 
So I say again, bring back the 5Gb as an "entry-level" iPod. [/B]


Doesn't make sense from a profit and loss standpoint. Let's say Apple makes 40% margins on iPod. The low end 10 GB is $299 retail or $180 cost. A 5 GB drive may lower their cost by, what, $25? So cost for a 5GB would be $155. Selling it for $99 would be a $56 loss per unit. It's not like they can sell you the razors (download songs) to make their profit.

A $99 iPod would surely canibalize sales of profitable higher capacity units. I don't see how this could work.

A $199 5GB, maybe.

A crude example but probably not so far off.
 
5 Gig is Discontinued AND A HINT

The HD you posted is a PC card drive. It slots into a standard PC card slot... which means its thin, but not the same, nor does it have the same dimensions as the ultra mini-HD used in the iPod.

But more importantly....

If you check www.macosxrumors.com, they point out that Apple is beginning to heavily air the iPod commercials in Europe. This I think is a sign of the Music Event's purpose. They will be launching a European iTMS service. (Well, Hopefully... Certainly not confirmation but...)
 
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