Not entirely true, since you'd pay the same amount for your cell service whether or not your phone was subsidized.
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Is $329 an appropriate price?
- Thread starter HiRez
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Not entirely true, since you'd pay the same amount for your cell service whether or not your phone was subsidized.
You make a few assumptions here, wondering if you could back them up:
1) That the market is static - the consumers buying the Nexus etc. are the ones Apple is targeting, rather than some untapped group of buyers
2) That those consumers are sufficiently price-sensitive that they won't see the extra value in the Apple product and will not pay for it
3) That those consumers are selecting on the grounds of screen size, rather than on some other consideration (like people who want an Apple tablet over any other tablet for various reasons such as liking iOS, but don't want to pay $500)
4) That the tablet market is relatively fixed - Apple can't pressure 7" tablet prices upwards because Google and Amazon have somehow fixed it there. But how do you know when a market is fixed and when a seller can alter it? Sounds like special pleading.
It comes down to software and processing power. It's a rare Android tablet that excels in both areas but when it does, it's a great experience. I can spend hours just customizing a home screen.
For those specs, it's pretty good, but it needs a display with more pixels. Consider that an iPhone is around $650. It's really expensive. The iPad (mini) and iPod touch are each a way better deal than the iPhone.
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You pay the tax of a $649 item when you buy it. That's about $64 where I live.
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The phone is valued at around $600.
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But Apple isn't selling in the 7" tablet market.
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You pay the tax of a $649 item when you buy it. That's about $64 where I live.
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The phone is valued at around $600.
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But Apple isn't selling in the 7" tablet market.
perhaps thats half of their problem. Charging more for something that doesn't do anything more in a tablet market. Apple is so late to the 7" party the mini is simply a knee/jerk response to the success of the kindle fire.
That said i think current owners of ipads would rather a mini because the full size version is a tad heavy to be used as a casual reader as was it main goal when it was first introduced.
If this is the lead in price, I feel the Apple tax would be to high to attract the demographic it appears they are going after. The undecided non tablet owner that wants to explore the tablet world maybe even enter the apple ecosystem but doesn't want to invest too much coin...
Every industry has different price points, whether it's cars, food, furniture, or phones. You can say all cars are the same (They all have an engine and four wheels, don't they?) or you can recognize that differences which might not matter to you will matter to other people. Even if you think those differences are stupid, it doesn't mean that Apple has the problem you're implying.
Not me, I payed $320.99 for a 32GB iPhone 5 from Verizon. That's only tax on the $300 subsidized phone price.
In which state did you buy the iPhone? I'm in California.
EDIT: Oh, it's something that only California and a couple of other states do. Man, California has a terrible government.
I partially agree with this. Unless there's some spectacular hi-end feature (e.g. extra storage, or retina display), the number one feature in a barebones tablet is its price.
That being said, Google's better get off their a**es and sort out their phone-tablet apps situation. As of now, the Nexus 7 usage is limited to basic web browsing/email, light reading and some games.
As a secondary "household" tablet, or a kids tablet, the Nexus 7 is a better deal, considering the price. However, for a person who's interested in buying a first or primary tablet but can't quite dish out $500+ on it, IMO, the iPad "Mini" would actually offer more value, even at $329 for base model.
I have a Nexus 7 and it is far from junk. It is a $200 tablet and possibly one of the best tablets on the market. The iPad 3 is obviously better than the Nexus 7 but the iPad 3 is also $500. For $250 the Nexus 7 is a steal. I have used android devices before and they lagged like hell......the Nexus 7 is as smooth as the iPad 3. I am not a fanboy of Android(I have an iPhone 4 and a Macbook) but seriously...the Nexus 7 is an amazing tablet for how much it costs.
Google nexus 7 price + Apple Tax = iPad mini price. Apple think they can charge more because they think they have a premium product. The market will decide, but I think that's how they price themselves in the market.
The one area Google improve is marketing the Nexus 7. I think a significant portion of the market doesn't know about it. It's in some stores, but not others (like Best Buy).
They are ripe for a Galaxy S3 type commercial that challenges people to think about how they would use a tablet and why this is a good option.
(The Kindle Fire tried this approach last year...it's just the product wasn't fully baked.)
We have 6 Apple products in our house, but I'm not blindly married to Apple products. The Nexus 7 can compete, but they need to get their story out...
While it's true that Apple does not compete on price, and they shouldn't, it's also true that a product needs to co-exist moreless "in line" with the rest of the market and its target audience.
Just like Ferraris are moreless priced in line to Lamborghinis, Aston Martins and Masseratis. It doesn't mean that they compete in price, but they cannot be priced, say, double as much as their competitors or else they'd fall "out of sync" with the market.
I think the iPad mini should be priced, at any rate, under $300 to be moreless in line with its specs and the market it targets to.
Just like Ferraris are moreless priced in line to Lamborghinis, Aston Martins and Masseratis. It doesn't mean that they compete in price, but they cannot be priced, say, double as much as their competitors or else they'd fall "out of sync" with the market.
I think the iPad mini should be priced, at any rate, under $300 to be moreless in line with its specs and the market it targets to.
Why exactly shouldn't Apple compete on price? I do believe trying to be "in-line" with the rest of the market is close enough to call competing. Apple should compete.
I believe they could charge even more and people would go nuts and buy millions of these things.
Because they don't need to. The Apple logo will take care of that and this product will rocket to number 1 in it's class on day 1.
Because they don't need to. The Apple logo will take care of that and this product will rocket to number 1 in it's class on day 1.
Of course it will sell, because people will buy anything with an apple logo on it. However, imagine what would happen if they priced it at $250 or even $200. They would destroy every other 7" tablet out there. Considering the upcoming holiday season they could make a cannonball into the 7" market or they can make a splash. Knowing apples history I think you are probably right. I just think they have the opportunity to completely own the market and its not going to happen because of greed.
To me, and I'm sure I'm not alone: I will buy a 250 Mini. I won't, at this time no matter what the feature list includes, buy a 350 Mini. I'm new to the tablet experience and am just not willing to spend that type of money to see if I really will use a tablet. Believe me I've given it a lot of thought in the last few days and rumors of price have appeared.
I think Apple will sell a ton beginning at 350 but they would sell many, many more at 250 start. People who may understand and appreciate the Apple advantages may feel that 350+ isn't too much. The holiday market with people buying for kids or as presents I think will lean strongly to the less expensive market.
I think Apple will sell a ton beginning at 350 but they would sell many, many more at 250 start. People who may understand and appreciate the Apple advantages may feel that 350+ isn't too much. The holiday market with people buying for kids or as presents I think will lean strongly to the less expensive market.
Let me know how it works out when you have a problem with your Nexus 7 and you try to take it to the Asus or Google Store to get it fixed.
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It would also destroy their bottom line.
Apple doesn't need to compete!
Let's face it, most people will look to Apple first for a 7" tablet and it will sell in bucket loads before the holidays. Even if it was $499! In reality, it needs to be between iPod Touch and iPad 10".
Retina is highly likely. It is on every i-device now so why not on a 7" tablet?
We could argue if the Apple iPad 7" is technically better or worse than the competition but in the end... it makes no difference.
We on MR are all fanbois and will buy it anyway... the general public want ease and simplicity and will buy it. Kids will want it... the adverts will make it desirable and sexy... Only those people who like to 'rebel' or like to hack or like something different or can't afford the extortionate Apple-tax will look to other products..
I do expect the Apple bubble to burst, just not for a few years yet!
Apple are not the worlds most valuable company by selling cheap.
Let's face it, most people will look to Apple first for a 7" tablet and it will sell in bucket loads before the holidays. Even if it was $499! In reality, it needs to be between iPod Touch and iPad 10".
Retina is highly likely. It is on every i-device now so why not on a 7" tablet?
We could argue if the Apple iPad 7" is technically better or worse than the competition but in the end... it makes no difference.
We on MR are all fanbois and will buy it anyway... the general public want ease and simplicity and will buy it. Kids will want it... the adverts will make it desirable and sexy... Only those people who like to 'rebel' or like to hack or like something different or can't afford the extortionate Apple-tax will look to other products..
I do expect the Apple bubble to burst, just not for a few years yet!
Apple are not the worlds most valuable company by selling cheap.
Let's face it, most people will look to Apple first for a 7" tablet and it will sell in bucket loads before the holidays. Even if it was $499! In reality, it needs to be between iPod Touch and iPad 10".
Retina is highly likely. It is on every i-device now so why not on a 7" tablet?
We could argue if the Apple iPad 7" is technically better or worse than the competition but in the end... it makes no difference.
We on MR are all fanbois and will buy it anyway... the general public want ease and simplicity and will buy it. Kids will want it... the adverts will make it desirable and sexy... Only those people who like to 'rebel' or like to hack or like something different or can't afford the extortionate Apple-tax will look to other products..
I do expect the Apple bubble to burst, just not for a few years yet!
Apple are not the worlds most valuable company by selling cheap.
Speak for yourself...not all of us mindless Apply fanboys...between iPhones, iPads, iPods and whatnot, my family owns about 10 iDevices; I value what Apple does and has to offer, but only to a point...if Apple won't compete on price in the 7" entry-level tablet market (for my kids mainly), I will have no qualms about looking/buying elsewhere...and once that monopoly is broken, who knows what I might buy next...
Exactly. I bought my wife a 1st gen kindle fire last year and for what a 7" tablet is made for it is excellent. Reading/surfing for $159/$200 on the fire looks a whole lot better than $329. After today for $399 you will be able to buy a 3rd gen full sized iPad and cheaper on Craigslist. I own a lot of apple devices but I'm no lemming.