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AirmanPika

macrumors 6502
Original poster
Jun 19, 2007
307
2
Vandenberg AFB, CA
memorylol.jpg
 
All OEMs charge more for RAM than you can get from a 3rd party source - Dell, for example, charges $400 for a 2GB to 4GB upgrade!

Their margins are in upgrades - additionally, upgrades are covered by AppleCare if they are performed by Apple.
 
*beep* *boop* *boop*
911 Operator - Hello 911 what is the emergency?
Me - Yes, I'm located at apple.com right now and I'm being robbed.
911 Operator - OK stay calm. Are they armed?
Me - They must be, they're demanding $700 for an extra 2GB of RAM!
 
All OEMs charge more for RAM than you can get from a 3rd party source - Dell, for example, charges $400 for a 2GB to 4GB upgrade!

Their margins are in upgrades - additionally, upgrades are covered by AppleCare if they are performed by Apple.

I just don't understand, wouldn't they make more money if they made the prices at least moderately reasonable? For example, while MOST upgrades are bad, the HD upgrades are JUST bad enough that when I was pricing a current MBP I considered it. Since Apple wanted 200$ for 120gb -> 250gb, and it'd cost me 130$ish for a 250gb HD, plus installation... I would have gotten the upgrade from them (decided to wait it out until whenever they upgrade the MBP however).

The ram is just INSANE, does ANYONE but the upgrade? Consumers that don't know better, wouldn't often thikn to upgrade RAM (and at 700$, those that think, will probably steer clear). If apple even charged like... 150$ or 200$ for the upgrade, you'd think a LOT more people would get it just for the connivence (even if it was still a rip off)
 
Just think there are people out there who are actually buying it from APPLE?
Maybe those people are wealthy, or lazy? funny none the less
 
lol :D

You are right, I am sure many people that order online and want the upgrade just buy it and don't care about the extra $700 lol
 
The one out of ten that purchase at the higher profit margins, will beat the twenty that would purchase at very slim margins. The thing is for convenient one stop shopping a lot of people buy very expensive accessories. It's one of the upsides that you can count on in business.

I am sure they done pricing elasticity studies on this, and this is right where they want to be.
 
hehe I went ahead and got 4GB OCZ PC2-6400 RAM for $85 after seeing that. I figure even though my current MBP can only do 667MHz future ones may support 800MHz.
 
I have to admit that when I bought my Macbook SR, I upgraded through Apple to 2 GB of RAM. I wanted 2 GB, but if I upgraded myself I would have had two 512 mb sticks wasted that I would have had to take out in order to put in two 1 GB sticks. I got the bonus of having them install it. It would be a nice courtesy if they just charged the prevailing industry prices. Oh well.
 
The one out of ten that purchase at the higher profit margins, will beat the twenty that would purchase at very slim margins. The thing is for convenient one stop shopping a lot of people buy very expensive accessories. It's one of the upsides that you can count on in business.

I am sure they done pricing elasticity studies on this, and this is right where they want to be.

I'd be VERY surprised if that was the case if they sold 20x more if there prices were closer to 200$ for 2gb. Even if they were make 10$ a pop for 200$ (which they'd make much more than that) that's $2000 of profit as opposed to like... $510 profit selling the one 710. Of course they pay WAY less than that to begin with.

They very well might have done the studies and it might show that people would still go to 3rd party ram, but I still question it. A lot more people would buy things on connivence if the prices were even something CLOSE to being ALMOST reasonable. As it is now, it is quite literally, a joke.
 
I just don't understand, wouldn't they make more money if they made the prices at least moderately reasonable? For example, while MOST upgrades are bad, the HD upgrades are JUST bad enough that when I was pricing a current MBP I considered it. Since Apple wanted 200$ for 120gb -> 250gb, and it'd cost me 130$ish for a 250gb HD, plus installation... I would have gotten the upgrade from them (decided to wait it out until whenever they upgrade the MBP however).

The ram is just INSANE, does ANYONE but the upgrade? Consumers that don't know better, wouldn't often thikn to upgrade RAM (and at 700$, those that think, will probably steer clear). If apple even charged like... 150$ or 200$ for the upgrade, you'd think a LOT more people would get it just for the connivence (even if it was still a rip off)

I thought the same thing, it just seems like a crazy pricing strategy, but what do I know? Maybe there are enough suckers to make it work.
 
I'd be VERY surprised if that was the case if they sold 20x more if there prices were closer to 200$ for 2gb. Even if they were make 10$ a pop for 200$ (which they'd make much more than that) that's $2000 of profit as opposed to like... $510 profit selling the one 710. Of course they pay WAY less than that to begin with.

They very well might have done the studies and it might show that people would still go to 3rd party ram, but I still question it. A lot more people would buy things on connivence if the prices were even something CLOSE to being ALMOST reasonable. As it is now, it is quite literally, a joke.

Understand that its wild and sometimes they do make mistakes, but I have been in this industry my entire career and I can tell you beyond a shadow of a doubt they have some fairly sophisiticated pricing logic at work on the Apple store. They may play around and flip this lever that way, and that one that way but its based on science, and the net result is they make more money.

As whacky as it seems. Amazon for instance uses extremely sophisticated pricing programs and its a huge difference in profit for them in a year.
 
*beep* *boop* *boop*
911 Operator - Hello 911 what is the emergency?
Me - Yes, I'm located at apple.com right now and I'm being robbed.
911 Operator - OK stay calm. Are they armed?
Me - They must be, they're demanding $700 for an extra 2GB of RAM!

LOL, don't tell me you actually broke out your phone and checked the 9-1-1tones... now that's attention to detail :p
 
im using 1.14 outta 2, but if i ever start pushing it for 80$ ill upgrade..not for 700 though hahah
 
the mba parody was comedy :))

Regarding the RAM, I'd imagine most people don't know its a 3-minutes DIY to exchange RAM. Many probably also think it VOIDS warranty.

Knowledge is Power
 
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