X pricing and the upgrade treadmill

Discussion in 'iPhone' started by funnyboy88, Oct 3, 2017.

  1. funnyboy88 macrumors regular

    Joined:
    Jun 18, 2009
    #1
    Let's face it, most of us here are on the upgrade treadmill where every 1-2 years, we are inclined to purchase a new iPhone.

    I've been emotionally trained since 2007 that every 2 years I'm going to spend $600-$800 on a new iPhone.

    I know a lot of you are making the jump to the $1000 X because it is the first time since 2014 that Apple has unveiled a new form factor for the iPhone, and you are willing to pay that premium to have the newest technology today because it is exciting and different. But what about next year?

    I don't think this $1000 iPhone is a one time deal. Apple is going to enjoy the increase in profits from having a higher ASP. The iPhone X might come down in price next year, but there will be a XS to replace it at the $1000 price point.

    Are you going to keep yourself on the same upgrade cycle of every 1-2 years if it is going to be $1000 every time?

    I think that's my biggest issue with the X pricing. I can totally afford it, but do I really want to put myself in a position where from here on out I need to always buy the $1K iPhone?
     
  2. ABC5S Suspended

    ABC5S

    Joined:
    Sep 10, 2013
    Location:
    Florida
    #2
    Next year, Apple may come out with the larger screen iPhone Xs and boy will that be something to see as far as cost. I like the larger screen but I don’t like the larger price tag. But I will wait with bated breath. I will then consider a two or three-year upgrade path instead of the yearly one. We have to consider that our current iPhones will do the job just as well, but some of us just like to buy iPhones yearly. Apple may cause some to rethink that plan.
     
  3. ray737 macrumors 6502

    Joined:
    Sep 11, 2014
    #3
    I will keep upgrading yearly. If a person can afford it why not. Everyone seems to be so obsessed about the new $1000 pricing GMAB.
     
  4. Superrjamz54 macrumors 6502

    Superrjamz54

    Joined:
    Dec 4, 2015
    #4
    The price will likely come down. They have supply issues with screens right now. Only 1 manufacturer of them otherwise they would have fully switched to AMOled. Should only be 2 new models the current X and a X plus next year with the 8getting carried over. Prices will come back down. Pretty much an entry fee this year for what’s essentially next years iphone.
     
  5. deany macrumors 68030

    deany

    Joined:
    Sep 16, 2012
    Location:
    North Wales
    #5
    Thats why its so important to protect your iPhone, more so now than ever - screen and back. Keep the box, try not to use accessories.

    Resale value will help ofset the $1000+ price tag next year.

    Also worth checking household insurance to make sure accidental damage is in place.
     
  6. bufffilm, Oct 3, 2017
    Last edited: Oct 3, 2017

    bufffilm Suspended

    bufffilm

    Joined:
    May 3, 2011
    #6
    I've never understood the 'necessity' to buy a new phone every two years.

    I know when phones were subsidized, it made it more affordable, but still. When does it end?

    Me...I'd rather spend money on other things than my phone. Even though the smartphone is immensely useful, at the end of the day...it still just a phone.

    Vacations, good meals, hobbies, your home and furnishings, etc...I'd rather put my money there.
     
  7. gretafour macrumors regular

    Joined:
    Aug 26, 2006
    Location:
    Rochester, NY
    #7
    If cost reduction is a factor, which for OP it may not be, keep your phone an extra year or two and then get last year's model. I'm planning to keep my 6 Plus until the 2018 release and then see what options I've got. Certainly getting my money's worth.
     
  8. Hal~9000 macrumors 68020

    Hal~9000

    Joined:
    Sep 13, 2014
    #8
    If you're used to spending up to 400/year on a phone ($800/2), why not simply hold onto the $1000 iPhone X an extra year to keep your yearly spending amount within your comfort range?
     
  9. bmdub macrumors regular

    bmdub

    Joined:
    Sep 17, 2012
    Location:
    Knoxville, TN
    #9
    I don't really understand the hubbub about the $1000 price tag. My 7 Plus 256 was $969. Is that extra $31 that newsworthy? Is it because the "base" model is $1000 instead of the high end version? Still don't get it.
     
  10. QueenTyrone macrumors 6502a

    QueenTyrone

    Joined:
    Sep 21, 2016
    #10
    I buy 2 phones every year lol. Just cause I can.
     
  11. Absrnd, Oct 3, 2017
    Last edited: Oct 3, 2017

    Absrnd macrumors 6502a

    Absrnd

    Joined:
    Apr 15, 2010
    Location:
    Flatland
    #11
    I'm keeping to a 3 year cycle, and use my yearly bonus, for the next iPhone and iPad Pro upgrade.
     
  12. MjWoNeR macrumors 6502

    MjWoNeR

    Joined:
    Feb 16, 2010
    Location:
    Sweden
    #12
    I'm thinking of keeping my X at least 3 years with the obligatory battery change after 2 years, which I do myself.
     
  13. MacDevil7334 macrumors 65816

    MacDevil7334

    Joined:
    Oct 15, 2011
    Location:
    Austin TX
    #13
    If you look at the history of the Mac line, what’s happening with the iPhone is actually pretty familiar. Whenever Apple introduces a first generation model of a new design, even if it the name of the computer is part of an existing product line, the new machine has come at a premium and is generally overpriced for what it is. The MacBook Air, Retina MacBook Pro, iMac 5k, and Retina MacBook were all introduced with significant price premiums over legacy models and each was generally regarded as underpowered computers. In each case, Apple left legacy models in the lineup so that people who could not or would not pay the premium for the next generation design could still access the product line. And, within a year or two, the technology in the new design became mainstream and the prices dropped in subsequent models (which were generally better and more refined than the initial release).

    If you look at this year’s iPhone line, that’s exactly what Apple has done here. IPhone X is clearly the future of iPhones. Apple said as much. But, they’ve also left a whole host of legacy models in the lineup for people who can’t or won’t be early adopters. Assuming the pattern holds (and I believe it will because I think a large segment of Apple’s customers are not willing to pay $1000 for a phone), technologies like Face ID and OLED will be found in most iPhone models without the price premium in a year or two.
     
  14. potentmf macrumors regular

    potentmf

    Joined:
    Oct 6, 2016
    #14

    Just throwing my two cents out there... I think that's exactly what it is. I think if a poll was done (outside of this site) it would show that more people purchase the lowest memory of each version. That's why there's so many complaints about storage when updates are released.

    Personally, I thought they should have went with 128 instead of 64 but they get money from people purchasing icloud storage, so there's that.
     
  15. rui no onna macrumors 603

    rui no onna

    Joined:
    Oct 25, 2013
    #15
    Moved away from that cycle once carriers started getting rid of subsidies. Before, I was paying $240/mo ($5,760/2 years) for 4 lines regardless if we get new phones or not so I always upgraded as soon as possible (to the device with the highest subsidies hence iPhone). I didn't want to give carriers more money than necessary.

    With the Mobile Share Value plans, that dropped to $160/mo ($3,840/2 years) so we're keeping our phones longer. Smartphones are already mature technology at this point so instead of a full device replacement every 2 years, we might just do as-needed battery replacement.
     
  16. protoxx macrumors 6502a

    protoxx

    Joined:
    Oct 10, 2013
    #16
    Original iphone was $1000 at start. $400 subsidy, $600 price tag. (Lowered to $400) after much outcry.

    How much are you willing to spend on a single cell phone/year. Not only monthly costs, but purchase price and all the accessories and do dads. Cases, cables, mounts, insurance, applecare........

    How long are you going to keep a phone. $1000 new iphone, traded next sept/august will likely have a value of $400-$600. Pretty expensive rental to me.

    It's really costly to keep your self cool, gnarly, tubular, gnarly, sick.............
     
  17. ABC5S Suspended

    ABC5S

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    Sep 10, 2013
    Location:
    Florida
    #17
    Probably, but you have to take account the taxes and apple care plus as well, and now you’re talking over $1200 plus for the larger storage that people like to have. Not just $969 anymore, and where it might and no one knows
     
  18. Scott6666 macrumors 65816

    Scott6666

    Joined:
    Feb 2, 2008
    #18
    Samsung S8+. 64GB $650 from BB. 128 GB card $45. Same OLED edge to edge screen that X will have (Samsung makes the screens after all). All the mainstream apps that the iPhone has and they all work virtually the same. Use google calendar and contacts and photos instead of paying for iCloud.

    Not sure that I'm seeing why I should be paying $1150 for the X vs $700 for the Samsung. I can afford Apple but I'm starting to get tired of being screwed.
     
  19. Newtons Apple macrumors Core

    Newtons Apple

    Joined:
    Mar 12, 2014
    Location:
    Jacksonville, Florida
    #19
    Agreed the $1k barrier seems crazy to some. I have paid over $1k for both my 7+ and 8+.

    It is surely to go up.
     
  20. drzen macrumors regular

    drzen

    Joined:
    Aug 8, 2017
    #20
    Precisely. Which is why I bought a "legacy" iPhone 8 this year, which I will hold on to for 2 years, by which time the trickle down will be complete. At that time the X will be looked upon as hopelessly clunky and designed with compromises.

    I expect also that they will be able to merge all the various depth sensing components (there are three) into one single tiny unit just like they did with the camera flash.
     
  21. protoxx, Oct 3, 2017
    Last edited: Oct 3, 2017

    protoxx macrumors 6502a

    protoxx

    Joined:
    Oct 10, 2013
    #21
    Good reasons to upgrade. Technology change.
    1g to 2g to 3g to 4g, waiting on 5g to appear.

    Waiting for someone to make a great big screen smartphone that would seamlessly fold into a small pocketable size. (Startac/Razor).
     
  22. ACST Suspended

    Joined:
    Sep 5, 2016
    #22
    What people don't seem to realize is that if a phones stay the same price after a year (so iPhone 8 costing as much as iPhone 7 at time of release) that the iPhone 8 is then actually cheaper because of simple inflation. So paying more for phones now than 5 years ago is just normal economics.
     
  23. Scott6666 macrumors 65816

    Scott6666

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    Feb 2, 2008
    #23
    Other than the fact there has been virtually no inflation for the past decade.
     
  24. Adelphos33 macrumors 6502a

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    Mar 13, 2012
    #24
    Going to $1000 or higher may be a bigger issue if you are also buying $1,200 iPads every two years. I’m currently on a $799 iPhone and a a $1,200 iPad. Going to $999 or higher on the iPhone gets you into a lot for iOS devices.

    Also remember MacBooks cost $1,299 or so and last four or five years. iPhone at $799 or so is really the right price for me.
     
  25. ACST Suspended

    Joined:
    Sep 5, 2016
    #25
    Almost 20% from 2007 to now in the US, but sure 'virtually no inflation for the past decade' o_O
     

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