To be clear it's $500 Off + %25. So YEAH! it is a big deal!
Assuming they discount $500 first then 25%, a top of the line MacBook Air that retails for $1,599 will only be $824 (before tax) and an entry model for $374.
To be clear it's $500 Off + %25. So YEAH! it is a big deal!
Discounted macs?
*sigh*
Bad business idea. Sounds like a return to the bad old days of Apple in the 90's where there were a million different pricing points and special ways to get discounts (educational, business, yada yada yada).
Steve Jobs was right. Have a simple, single price point so that all customers are feeling like they have a similar consistent, and slick appearance.
Providing deep discounted products, even when provided to employees, only degrades the perception among consumers about the value of the product, which is one reason that Apple is capable of maintaining its high margins. Why should I pay full price for an item that is worth only half as much to the people selling it to me? That will be the perception.
For example: "Hey, my nephew worked for apple for one month and bought his iPad 3 for $250. Why the heck should I pay $600 to get one?" Good question.
Daft question. Because it is an employee benefit, and you are not an employee. Apple also gave a lot of cash to the nephew, and not to you. Because he is an employee, and you're not.
A Macbook Air for $499? Damn lucky![]()
Marketing is not about logic. Anything that degrades the perceived value of a luxury product sold at high margins is not good for your business. You never do anything remind a customer that a product is not worth what they are paying for it.
Just look at any of the most successful luxury goods manufacturers. For example, I was recently at a baby goods store that frequently provides discount coupons that can be applied to most all things. The coupons however, have a long list of excluded brands at the bottom. On inquiring, this is not because of any policy explicitly sought by the store, but because many of the luxury goods manufacturers actually prohibit sellers from offering their items at a discount. They don't want their brand subverted by having it associated with variable or cheaper pricing -- and usually for good reason. Their customers are not of the type who want to spend a lot of time shopping around for the cheapest price on their items, yet at the same time they don't want to be disappointed that some yokel just bought the same product they spend $300 on for 1/2 the price somewhere else where they were too busy to check. Sorry, that's just human nature.
Apple is in fact a luxury goods manufacturer. After all, pretty much the only thing that differentiates an iPhone from a cheaper android phone is fashion and minor issues related to ease of use. It's marketing 101. Steve Jobs knew it well and I have to keep my fingers crossed that it's not being screwed up now.
Marketing is not about logic. Anything that degrades the perceived value of a luxury product sold at high margins is not good for your business. You never do anything remind a customer that a product is not worth what they are paying for it.
I don't hate on Apple at all.
Six - votes for that? Jeeze folks, save the ammo
Discounts on purchases? What kind of WAGES and BENEFITS do Apple Store employees get? Do they even get healthcare?
Six - votes for that? Jeeze folks, save the ammo
I see some of the most down the middle arguments get downvoted to oblivion
Just don't look at the down/up votes. When a few people decide to get on your case, the contents of your posts even stop mattering. They just vote based on your avatar.![]()
I agree. It's not that impressive a discount. I haven't worked in retail in 20 years (thankfully) but when I worked for The Gap in its prime we got 30% off everything including gift certificates and 50% off several items each month.
Of course, Gap had the advantage of most of their items being made overseas by people making slave wages.
Oh wait...
Discounted macs?
*sigh*
Bad business idea. Sounds like a return to the bad old days of Apple in the 90's where there were a million different pricing points and special ways to get discounts (educational, business, yada yada yada).
Steve Jobs was right. Have a simple, single price point so that all customers are feeling like they have a similar consistent, and slick appearance.
Providing deep discounted products, even when provided to employees, only degrades the perception among consumers about the value of the product, which is one reason that Apple is capable of maintaining its high margins. Why should I pay full price for an item that is worth only half as much to the people selling it to me? That will be the perception.
For example: "Hey, my nephew worked for apple for one month and bought his iPad 3 for $250. Why the heck should I pay $600 to get one?" Good question.
Discounted macs?
*sigh*
Bad business idea. Sounds like a return to the bad old days of Apple in the 90's where there were a million different pricing points and special ways to get discounts (educational, business, yada yada yada).
Steve Jobs was right. Have a simple, single price point so that all customers are feeling like they have a similar consistent, and slick appearance.
Providing deep discounted products, even when provided to employees, only degrades the perception among consumers about the value of the product, which is one reason that Apple is capable of maintaining its high margins. Why should I pay full price for an item that is worth only half as much to the people selling it to me? That will be the perception.
For example: "Hey, my nephew worked for apple for one month and bought his iPad 3 for $250. Why the heck should I pay $600 to get one?" Good question.
Just going to point out it is pretty standard practice for companies to give employee discounts and normally the discounts are pretty nice. Apple has really lagged in their pay and benefit department and still lags there.
Btw you have to work there 3 months not 90 days. It is called a perk of working there and most people see it as such. You work for said company you get a perk of some type. This works to increase the total benefits offered by Apple and it is chump change compared to raising work pay and other benefits which like I said are below industry average.
Are you confused?
You know this is an employee discount?
Its not like Apple are doing buy one get one free down your local supermarket!?
Btw you have to work there 3 months not 90 days.
----------
[/COLOR]
Like I said, marketing has nothing to do with logic. It's all about the perception of your brand. Having a bunch of pimply teenagers who have their first job at the local Apple store get something you paid $650 for, for $250 doesn't do a heck of a lot for it.
Maybe they should let them have the refurbished units at half price.
Do you know how much money in labor cost the teenage is going to make before his is first eligible?
Lets assume the pay is $8/hr and he works 20 hr a week. That would be a $160 a week and $1920 in 12 weeks.
Now lets add in burden cost on top of that employee. Burden being taxes and required insurances of 1.2 which is low.
So now in the first 12 weeks the employee has costed apple $2304 in pay and burden cost.
Btw the pay per hour I believe is below what Apple pays and I know the burden cost is below what it should be.
So employee cost Apple $2300 below said person can even use the benefit for the first time. now you see why it is really chump change in extra cost to Apple and it has other bonuses for Apple like employee moral with very little real money spent. Heck cost wise to Apple could easy be near zero as they are going to be paying near cost for said object.
Lets assume the pay is $8/hr and he works 20 hr a week.
Apple is in fact a luxury goods manufacturer. After all, pretty much the only thing that differentiates an iPhone from a cheaper android phone is fashion and minor issues related to ease of use. Functionally, they are both capable of the same sorts of things. It's marketing 101. Steve Jobs knew it well and I have to keep my fingers crossed that it's not less appreciated by current management.
First, Apple doesn't employ anyone under 18 in the US.
Second, I've yet to hear of a market where average starting pay for a specialist is less than $9.50
This is still a horrible deal for employees is this is replacing the 25% personal 1-a-year and 15% friends and family 4-a-year. Great for iPads, but much worse overall, especially if you want a higher end Mac. What they're doing here is cutting into the used Market. I bought a new Mac every year I worked for Apple and typically sold the old one for profit (not allowed, but I can't help if the eBay auction goes high...)