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Why is it 100 bucks to go up in storage

deannnnn said:
A burrito costing $1 to make but Chipotle charging $6 for it is like saying the 16GB iPhone costs Apple $20 to make, but they charge $200 for it... which is true. If I want to add storage to my iPhone, the price skyrockets.
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No, it very much is not true. They sell that 16GB iPhone for $649. You may only pay $200 up front, but your carrier is paying the extra $450 if you aren't. I think you're thinking of it as a 50% price increase from 16GB to 32GB and 100% increase from 16GB to 64GB. It is not. The price increases are 15% and 30%, respectively.

However, if I want to add cheese to my burrito at Chipotle, the price isn't going up.
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At McDonalds an extra slice of American cheese on your McDouble will cost you $.59, a 59% price increase.
 
ThereGoesJB said:
you're right no one would go to that gym, and I think that's a good question.

I think it just comes down to the fact that at the end of the day a smartphone is 100% a luxury item, so the same business tactics dont draw as much criticism. For me this is really the only thing i think apple is that sheisty about, I think all their premiums are fairly justified otherwise. And it prob wont last, files sizes and software are only getting larger, and their competitor (galaxy s4) has up to 96 gb (including removable) for a total of around 300$. Allowing this gap between them and a major competitor couldnt last too long.
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they would go to that gym if it was nice, air conditioned, and full of hot girls. Iphone is the same. Its not just the hardware your buying it for, its the iOS and apps.
 
nhamp07 said:
The difference between 16->32->64 gb is about 15 to 20 bucks in the store.

Why is it still 100 bucks? Just a way to make more money?
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nhamp07 said:
I know, but storage has gotten so cheap and apple still ups the price by 100 bucks when it probably cost them 15 to 20 bucks at most.
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People who start threads like this only demonstrate their clear ignorance of retail sales.

Retail items are priced based on what people are willing to pay for the item, not what it costs to create it.
 
ddublu said:
It's called running a business. That Chipotle burrito you buy probably costs them $1. They sell it for $6. Follow me?
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A Chipotle burrito bowl, after adding guacamole for an extra fee is nearly $10. :(

They never get the placement right either. Meat on one side, guacamole and sour cream on opposite ends...
 
short answer: because they can

long answer: from a business standpoint, they make the most 16gb models. they make less of 32gb and 64gb. less supply = more $$ required to recoup cost.
 
Col Ronson said:
short answer: because they can

long answer: from a business standpoint, they make the most 16gb models. they make less of 32gb and 64gb. less supply = more $$ required to recoup cost.
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short answer is correct
long answer is incorrect
 
cynics said:
Not really. The price on the competition (Samsung, HTC) is 50 dollars for the 16-32 gb bump. At least on contract, never researched them off contract.
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And Apple is perceived as a "premium" product therefore people pay premium prices. Even so, that's only a $50 difference.
 
iBreatheApple said:
It's competitively priced so I wouldn't consider it highway robbery.
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The fact that everyone does it doesn't make it any less highway robbery.

Healthcare in the US is also competitively priced and is ALSO highway robbery. Look at what we pay versus other nations (that have better healthcare and healthier people).
 
boomhower said:
When the iPhone 5 was released it cost Apple an extra $10 to go from 16GB to 32GB. Then another $20 to go to 64GB. All said, you pay $200 more to get 64GB and Apple pays $30 for a profit of $170. With the size of apps these days memory is getting more and more scarce. I have a couple apps that are over 1GB in size. I could stand it a little easier if either the base was 32GB or the upgrades were $50 instead of $100. It's just pure greed IMHO.
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Welcome to America.
 
nhamp07 said:
The difference between 16->32->64 gb is about 15 to 20 bucks in the store.

Why is it still 100 bucks? Just a way to make more money?
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'Shut up and give Apple your money you cheapskate. I love buying memory at $100 for 8, 16, or 32 gigs (always for $100, whether for 8 or 32) because that's as inexpensive as Apple could possibly make it. You're lucky Apple is willing to sell you extra memory at all! I love it when Appple's profit margins are high! I love all that is Apple and all that they do.'

The fanboy blowback at someone inquiring about notoriously overpriced memory is hilarious.
 
Because they can, and people will buy. They have set a standard of 100.00 per increment and consumers have been paying it so they don't have a reason to change that. This is also the reason they do not include an SD slot.
 
upselling

everyone does it. why does it cost almost $10,000 more to buy an RX350 compared to the venza? it's the exact same car
 
greygray said:
Because its Apple and people will contribute to its profit margin. That said, there is no way to increase the storage capacity on your own.
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YET! I heard of a new product coming to market that will make this possible.
 
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