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.
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Apple to Give Employees $500 Off Macs and $250 Off iPads
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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.
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. I actually had one store owner call over angrily to a competitor when he had heard they were offering discounts on a prohibited item, because she knew the manufacturer prohibited the discount from being offered by the other business. High end brands often 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.
Likewise, an Apple customer doesn't want to shop in 10 different stores to find the cheapest price. They just want to walk into an Apple store, a Verizon store, a Sprint store, BestBuy, doesn't matter which one, buy the phone, and know that it is the best price they can get. Having to shop around for the cheapest price only makes them feel like there is a game that the have to play, and it makes the shopping experience unpleasant.
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.
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A Macbook Air for $499? Damn lucky
Actually when combined with the normal 25% discount employees can get the entry-level 11" MBA for $249. I confirmed this with my friend who works for Apple.
I would say that despite all the cries of Apple being "stingy", this is a pretty nice gesture for employees.
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!?
You are correct in principle, but I don't think this is detrimental to the perceived value here, because it is a distinct group of people that Apple already has a relationship with. That they can do this for employees doesn't mean a Mac costs $500+ less to make, and I'm not sure most people would even assume that. Apple spends a lot of money on employees in many different ways (salary, benefits, working environment) - taking a bit of a loss on product would be a drop in the bucket.
That is a large change from the turtle neck overlord who would give employees very little of a real discount. I believe he was quoted as saying they should just be happy to work for Apple.
Nice to see theses changes happening.
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I want to say Apple pay and benefits is below the industry average but it looks like Cook is working on fixing that and that is a great thing.
Nice to see theses changes happening.
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I want to say Apple pay and benefits is below the industry average but it looks like Cook is working on fixing that and that is a great thing.
"Of course, Gap had the advantage of most of their items being made overseas by people making slave wages.
Oh wait..."
And The Gap has/had the advantage over Apple how? Apple is under plenty of scrutiny for turning a blind eye to human rights violations in supplier factories in third world countries. Just saying...
Oh wait..."
And The Gap has/had the advantage over Apple how? Apple is under plenty of scrutiny for turning a blind eye to human rights violations in supplier factories in third world countries. Just saying...
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.
Like a few people in this thread got it that I was thinking this discount was "bad", "crummy" and I was "hating" on Apple for offering it, when I have stated no such thing.
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.
Well then, thats the last time I stand up for you
Those "slave wages" account for roughly double China's minimum wage. Only a moron thinks that the cost of living there is anything like it is here.
Because everyone in this world personally knows at least one person who works for Apple, right?
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 1 month. 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.
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Too bad the people who work retail are not paid a living wage so they could afford Apple products. It is really unfortunate that a company as successful as Apple still nickle and dimes their employees by keeping many as part time to avoid paying all the extra benefits and does not pay a living wage despite the workers having to work nights, weekends, holidays etc. But they can afford to give their CEO $400 million in stock options.
Apple isn't a standard company.
Below industry average? Really? Do you have data? By what means of comparison? Does Google or Microsoft even employ an enormous staff of retail sales people across the nation for them to underpay? No.
So how does anyone compare?
I hear Apple's top talent makes millions and I'm sure their essential engineers and programmers to extremely well also. Not exactly underpaid.
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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.
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...)
now that's just silly talk
Apple is a technology company that excels in design, innovation, and just pure genius! Every "smart" phone is chasing the iPhone, just like Windowze has been chasing the Mac for almost 30 years now. Yes, you can make a phone call with a Nokia flip phone just as you can with an Android, but to compare Android with the iPhone is just silly talk!
Phones have never been part of any discount program (with the exception of the phones that were gifted Apple employees way back in the day, something that hasn't happened since, hence the $80BB+ in the bank, thank you very much). The fact that Apple employees receive a discount on Apple CPUs and current generation iPads is an added incentive shared both by real Apple employees and Apple Retail employees. Vis-a-vis bonuses, in the retail world only Managers get bonuses, everyone else is straight hourly regardless whether full or part time! so the hardware discount can be huge to someone working retail. (Don't even begin to talk about stock options that real Apple employees get!)
Apple is a technology company that excels in design, innovation, and just pure genius! Every "smart" phone is chasing the iPhone, just like Windowze has been chasing the Mac for almost 30 years now. Yes, you can make a phone call with a Nokia flip phone just as you can with an Android, but to compare Android with the iPhone is just silly talk!
Phones have never been part of any discount program (with the exception of the phones that were gifted Apple employees way back in the day, something that hasn't happened since, hence the $80BB+ in the bank, thank you very much). The fact that Apple employees receive a discount on Apple CPUs and current generation iPads is an added incentive shared both by real Apple employees and Apple Retail employees. Vis-a-vis bonuses, in the retail world only Managers get bonuses, everyone else is straight hourly regardless whether full or part time! so the hardware discount can be huge to someone working retail. (Don't even begin to talk about stock options that real Apple employees get!)
You know you are helping prove my point. As I know I was low but it shows hw little extra it cost apple and it matters eve less as pay goes up.