For me, the big value in iPhone has been the software support, not the hardware itself.
When I was looking for a new phone in early 2013, I was appalled at the number of Android handsets that became abandoned, leaving them without patches for serious security bugs. Even the Android phones that got patches suffered delays due to carriers needing to approve and push the updates.
Ultimately, that pushed me to the Apple camp. $649+tax was a big upfront cost, but I've had the benefit of almost 3 years of consistent and timely software updates. I see that Android phone makers are getting more serious about updates after the stage fright bug scandal, which may erode Apple's advantage here.
The software updates a huge plus for Apple right now. The only Android devices where you can rely on updates are the Nexus devices and sometimes Moto.