can't read sarcasm.
Join Date: Aug 2004
Location: Toronto, Canada
|
In light of the just announced profits (and warchest), wouldn't it be nice if Apple were to cut prices and really go after marketshare?
Now I'm not saying to compete against no name PC machines, but a nice 10% cut across the board would be nice. A $1999 15" PB would be $1799 and an iBook 14" would be $1350 vs the current $1500. Afterall, if they're not going to upgrade the features, drop the price. |
quote |
Member
|
I agree that they charge a premium, however, I got hooked up pretty nicely when I bought my 12" PB. Here's what happened...My university academic store had a deal where if you bought a 12" PB SD and an academically priced AppleCare plan, you would get either $160 towards an ipod, or the total cost of the PB + AppleCare. So I put it towards the AppleCare. Then Apple had a GoSave $100 rebate from May-June. So when all was done, I got a PB, plus AppleCare for -$20. Apple cut prices for me!
|
quote |
Selfish Heathen
Join Date: May 2004
Location: Zone of Pain
|
Quote:
10% cut off the overall price is a HUGE cut in profits. Apple has roughly an overall 30% margin. Cutting prices to 10% would mean reducing margins by a third. There's no way a measly 10% price cut can make up enough by added volume alone. Just because Apple is doing well doesn't mean it can afford to start slashing prices. The quality of this board depends on the quality of the posts. The only way to guarantee thoughtful, informative discussion is to write thoughtful, informative posts. AppleNova is not a real-time chat forum. You have time to compose messages and edit them before and after posting. |
|
quote |
can't read sarcasm.
Join Date: Aug 2004
Location: Toronto, Canada
|
Quote:
But can you simply expect sales to continue as they have? There's no denying the iPod frenzy is dying down and next quarter's financial results will be interesting with the Intel transition fully in effect. Plus the big difference between today and years gone by is that Apple actually has the mindshare of people (thanks to the iPod). A few people I know would like to switch, but are still spooked when the cost of a PB is still 20-30% higher than a more featured PC laptop (granted running XP). |
|
quote |
Selfish Heathen
Join Date: May 2004
Location: Zone of Pain
|
Quote:
Quote:
Quote:
Quote:
The quality of this board depends on the quality of the posts. The only way to guarantee thoughtful, informative discussion is to write thoughtful, informative posts. AppleNova is not a real-time chat forum. You have time to compose messages and edit them before and after posting. |
||||
quote |
Less than Stellar Member
|
Satchmo, it bears restating that iPod sales were STILL up over the previous quarter. They sold more iPods in a typically dead quarter than they did in the Xmas season! There's no stopping the iPod train, it seems. While it *feels* like the iPod is slowing down, it's really not. Hell, my dad got an iPod for Father's Day! He's not your typical tech user by any stretch. There are bunches of other people like that out there. Add to that the people who are ready for a new iPod and you've got a nice long stream of revenue.
If it's not red and showing substantial musculature, you're wearing it wrong. |
quote |
Member
Join Date: Feb 2005
Location: H-Town
|
Apple doesn't have to cut across the entire line. If they just cut the power macs that would be good. as they aren't selling well and the profit margin at that price range is pretty fat anyway.
John Coltrane's 'Giant Steps' |
quote |
Veteran Member
Join Date: Jun 2004
Location: Portlandia
|
Seems to me as though Apple has been doing a good job of cutting prices when possible (or beneficial). We've seen it with the Shuffle, Displays, iMacs, etc.. I think it's a bit ridiculous to expect a price drop just because they're coming off of a good quarter.
"What a computer is to me is it's the most remarkable tool that we've ever come up with, and it's the equivalent of a bicycle for our minds." - Steve Jobs |
quote |
rams it
Join Date: Oct 2004
Location: Seattle
|
"Release a sub-$500 computer and market share will sky rocket! People will devour it!"
"Advertise OS X and people will ditch Windows immediately." "Lower prices and sales will blow through the roof!" It's all the same. |
quote |
Veteran Member
|
Quote:
Personally, I think it's a complete non factor. I'd expect another uptick overall due to large higher ed sales, if the college kids start buying Macs to go along with their iPods (of which it seems 50% of college kids own). |
|
quote |
Veteran Member
Join Date: Dec 2004
|
most consumers just dont know about the transition
|
quote |
Member
Join Date: Jun 2004
|
Prices are not reduced when demand remains strong.
|
quote |
Member
|
I would not be surprised if one of the major factors behind transitioning to Intel chips is to take advantage of Intel's deep high-volume discounts, allowing for the *option* of competing in areas where Apple currently can't productively compete, such as the mid-level PC tower market and the sub-$500 market. The latter seems unlikely, as it's so insanely cut-throat and low-margin... but the former IMO is very likely indeed.
It's very important for Apple to continue its momentum in Mac sales, and build marketshare, however slowly. Competitive pricing (which Apple is currently only able to do for some of its models, in a rather sporadic manner) is a big deal. Last edited by Hobbes : 2005-07-14 at 19:01. |
quote |
Senior Member
Join Date: Apr 2005
Location: Massachusetts
|
At least currently Apple has been giving us more in specifications, but at the same price. They did lower prices on the displays. So one can only hope that another round of price cuts would occur.
|
quote |
can't read sarcasm.
Join Date: Aug 2004
Location: Toronto, Canada
|
Quote:
And yes, I was referring to transition period where people who know about Mac, and are about to buy a Mac, may sit on the fence til the transition is complete. What better way to spur sales but a slight price cut along with a speed bump. Making the switch is much easier if Mac prices are within $100-$200 of their PC counterparts as opposed to the often $400-$500 spread. Of course I may be wrong and sales next quarter may still be up. I just think the opportunity presents itself for greater marketshare. I think there are those who simply prefer Mac prices remain high because of an elitist attitude. Last edited by Satchmo : 2005-07-14 at 21:25. |
|
quote |
Veteran Member
|
Quote:
|
|
quote |
Senior Member
Join Date: Dec 2004
Location: Texas
|
Quote:
J/K - I know you probably didn't mean to do it. Cheers, Wraven |
|
quote |
Posting Rules | Navigation |
|
Thread Tools | |