I think that was more of the contract price. You still had a higher bill even after 2 years, where as for leasing when your phone is paid off your bill decreases. I rather have the leasing than the contracts.
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iPhone Sales Growing Following Price Cuts in China
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I think that was more of the contract price. You still had a higher bill even after 2 years, where as for leasing when your phone is paid off your bill decreases. I rather have the leasing than the contracts.
Yet, Apple in dropping the price in some markets nonetheless. IOW, even Apple agrees it's overpriced.
And no they were not pricing it for the tech. Most of the tech is available in lots and lots of other phones for much, much cheaper. The tech that isn't other phones is stuff like Face ID, yet it's in the XR, and the XR is also much, much cheaper.
The pricing of the XS Max was based mainly upon how much they felt they could wring out of their customers. I suspect this is partially a result of Angela Ahrendts influence. She cut her teeth as a CEO of a luxury brand before coming to Apple. As you know, pricing of Burberry's products is not about the material used for their manufacturing. It's about managing their image at retail and how much they can wring out of their customers.
It’s the resellers that dropped the price. That doesn’t equate to “Apple agreeing it’s overpriced”.
Yes, that is what apple is doing, pricing their phones based on the tech inside, which influences the selling price.
The pricing of the max is based on the tech inside. The remainder of the post starting with ahrendts is a straw-man.
I guess you didn't fully read the various articles, including this news article you're commenting upon.
First off, Tim Cook has already publicly acknowledged that pricing in some markets is too high.
Second, this very article you're commenting upon specifically states that Apple cut its prices to distributors, and then immediately afterwards the vendors cut prices to consumers. Since you missed it:
That works out to a wholesale price cut of 750 Yuan, or 111 US dollars. That's a pretty significant price cut by Apple.This news article said:
Furthermore:
This news article also said:
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Your response doesn't track, especially since what you quoted was aligned with what I said (in different words).
What are the some markets that Tim Cook publicly acknowledged that prices are too high? China? One market?
But great that price cuts starting from resellers are contributing to increased sales in China.
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I went from a iPhone 6 to the iPhone X which was a huge leap forward. When can I expect another huge leap forward? Maybe another 4-5 years. I'm thinking most people who work for apple don't realize there is more to life for most of us than a new iPhone purchase every year.
If they only reduced prices on all the iPads/iPhones by $50 in all markets, the number of sales would skyrocket, and they would make it back in the total volume, instead of revenue per unit sold.
What Apple and the people who think the iphone prices should be as high as they are don’t understand is this: if you are going to sell a phone for $1100 it should be WORTH that $1100 and these phones are not.
XS max for example: You get 64gb if storage when the usual standard for the price range is 128gb, an odd resolution that isn’t actually quite 2k when other phones for the price range are full 2k, no fast charger included which is the standard as well for almost all phones. It’s pretty heavy as well which isnt normal in an age where electronics are getting lighter and smaller. A good amount of consumers are not this ignorant and besides not wanting to pay so much that’s why sales were down, the price was not the worth the value of these phones.
XS max for example: You get 64gb if storage when the usual standard for the price range is 128gb, an odd resolution that isn’t actually quite 2k when other phones for the price range are full 2k, no fast charger included which is the standard as well for almost all phones. It’s pretty heavy as well which isnt normal in an age where electronics are getting lighter and smaller. A good amount of consumers are not this ignorant and besides not wanting to pay so much that’s why sales were down, the price was not the worth the value of these phones.
How long do you think that will last? The subsidies that fueled iPhone’s growth here 5-10 years ago are gone and a ton of people have replaced their batteries. People in the US are wary of the high prices, keeping their iPhones until support gets dropped and even beyond. Apple is slowly coming to peace with its small market share in places like Europe.
Is it better for the company to make $100 selling 100 phones for $100 or make $100 selling one phone for $1,000?
Apple isn’t dependent on market share as it doesn’t compete in the mid to low price market.
What is wrong with you? And self entitled millennials? Nice jab at a generation that got totally ****ed over by the previous generations!
Do you live in China? Otherwise your point is meaningless. Apple said the drop in sales was in China (with good as expected or even record sales in western countries) and is dropping sales in China only. Your non rocket science insight is price are too high period, and it’s not supported by available data nor this China only discount.
China is responsible for the revenue miss, and as you say Apple had record sales in other countries. So no, in general prices are not “too high”, despite what some posters keep claiming.
But on the earnings call, Cook did say they were looking at making some price adjustments in certain countries that were especially hard hit by foreign currency exchange rates. For instance, he mentioned Turkey, where pricing increased 33% iirc just due to the strong dollar. They talked about making adjustments that would try to return pricing to last year’s levels (denominated in the local currency) by “eating” the price increases caused by the strong dollar. They didn’t specify which countries they were looking at re-pricing though.
These are prudent moves that take into account the macroeconomic conditions in various countries. Apple is responding to the difficult reality of a global economy being battered by trade tensions, tariffs, political issues, Brexit etc. I assume they’re also anticipating the next worldwide recession (that will hit sooner or later), which may be as bad or worse than the one that began in 2008.
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Year,
They should not update the XR this year, and there yoy have it: drop the XR to $649 in a few months.
But that is not what you mean, I guess? You want the iPhone XI for $649 starting price? Dream on....
Next year:
iPhone XR: 649
iPhone X1R: 749
iPhones XS: 849
iPhone X1: 999
iPhone XS MAX: 949
Iphone X1 MAX: 1099
And the iPhone 8: 449 and 8 plus: 549
But i hope apple will drop the XS, rebrand the XR to SE.
My favorite line-up:
-IPhone classic line with touchID, LCD(rebranded IPhone 8, few tweaks?? Soc update? ) for 449, plus model for 549.
-iPhone SE 5 inch with new aspect ratio,LCD, facID , single camera, lcd, for $549
-IPhone SE(+ or max?), 6,1 inch XR model with updated soc and dual cam for $699
-IPhone X1: 5,8 inch, etc for $899, dual cam
-IPhone X1 MAX: 6,5 inch, triple cam for $1049
3 lines: classic (will not be updated and will disappear in 2 years), SE (updated every 2 years), X(updated every year)
And in a few years, only 2 line-ups, the SE and the X. For consumers this would be more easy to understand and clearer.
But this is my wish, and i don’ t think it will happen, the last rumors are pointing in a different direction.
What will really be happening(just an opinion don’ t shoot me
2019:
iPhone X1R
Iphone X1
iPhone X1 max
And iPhone 7 to current XS will also still be sold. So a line-up of 10! iPhones
2020 will be the tipping point:
All3 new models will be Oled.
And that will make way for a smaller Oled iPhone, but it won’ t be a cheap one.
5.2-5.5 inch iphone X2 for 749
6.1 inch iphone X2 (plus?) for 899
6.5-6.7 inch iphone X2(max?) for 1049
And apple will still be selling the XR for 549 and X1R for 649.
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Or...hear me out...Apple could develop a more affordable, but high quality device so more people buy into the ecosystem and then upgrade the phone when they can afford a 1000 device.
You’re right though. Must be those damn Millenials!!!
The absolute maximum price for an iPhone should be £1000.
I can already see Tim “Don’t be poor” Cook and the apple white knights saying that it has nothing to do with the price cut and instead, saying something stupid like they got their taxes returns and hence had money to buy more iphones.
Lol
[doublepost=1549209372][/doublepost]
Yes, this again.
Phones full prices were around 500 to 600, not 1500 just because Tim said so.
Lol
[doublepost=1549209372][/doublepost]
This again?
Those were misleading prices. You might have only had to surrender $200 at the time of purchase... but I guarantee that you were paying for the rest of it in your monthly cell phone bill. The carriers were not giving you a gift.
The old subsidized prices were $200, $100, and Free.
Why don't you say "I miss when phones were free" ?
Do you hear how silly that sounds?
Yes, this again.
Phones full prices were around 500 to 600, not 1500 just because Tim said so.
Oh look everyone, another self proclaimed sage who thinks self-titlement is exclusive to millennials. Let’s see what other myopic thing he has to say next.
[doublepost=1549211780][/doublepost]
I know right?! Those damn millennials ruined the economy in 2008!
I’m not poor, and I’m not a Millenial either. I’m just tired of Apple’s shift of late to try to create a higher priced tier by dumbing down pre-existing good devices.
eg. The 8 Plus has a super high pixel density screen and 2X lens. The XR effectively replaces it in the pricing tiers but is missing both those features, because they made those features exclusive to the much, much higher priced OLED models.
Furthermore, the iPad 2017 removed features that were present in the iPad Air 2 because they made those features exclusive to the iPad Pro line.
The fact that many of the so-called high end features already were present in lower priced Apple products and then subsequently removed indicates Apple is not pricing just due to tech cost but for marketing reasons, because they thought they could get away with it. Fortunately, at least in some markets, consumers hit their breaking point and stopped buying.
eg. The 8 Plus has a super high pixel density screen and 2X lens. The XR effectively replaces it in the pricing tiers but is missing both those features, because they made those features exclusive to the much, much higher priced OLED models.
Furthermore, the iPad 2017 removed features that were present in the iPad Air 2 because they made those features exclusive to the iPad Pro line.
The fact that many of the so-called high end features already were present in lower priced Apple products and then subsequently removed indicates Apple is not pricing just due to tech cost but for marketing reasons, because they thought they could get away with it. Fortunately, at least in some markets, consumers hit their breaking point and stopped buying.
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It's not worth it to you. And iPhone Xs Max sales in fact have been very good, better than the smaller Xs.
The 450ppi resolution on these OLED iPhones are more than enough to make them indistinguishable for your eyes. Anymore, the added benefit would only be written on paper that no one would be able to notice the differences. Apple chooses therefore to put more effort into the display's color saturation, contrast, and the overall look and feel of the images that the display outputs.
Apple has positioned themselves as a high-end brand - and it has worked. This has been the case from the very beginning.