Hi, this is Wayne again with a topic “Why Are Apple Products So Expensive?”.
Thanks for watching tech, quickie click, the subscribe button then enable notifications with the Bell icon. So you won’t miss any future videos at some point or another in your life. You’Ve probably been in the position of being drawn to something shiny and fancy, at least until you saw the price and, if you’re like me, this has probably happened to you at least once, if you’re willing to admit it at an Apple Store. But why do Apple products have this reputation for being so gosh darned expensive? I mean I could understand why the original iPhone and Macintosh were pricey. They were category defining devices, but nowadays plenty of other manufacturers are rolling out do-it-all, smartphones and slick looking computers. So how does Apple still justify charging a premium? Well, let’s go ahead and get the obvious and slightly cynical answer out of the way. First, you are at least partially paying for the brand. Similarly to other companies that tend to charge more for their products. That aren’t necessarily better than their competitors when it comes to performance.
Whar features Apple has successfully positioned itself as a lifestyle brand that can get away with selling their wares at higher prices, simply because people are willing to pay more for the logo. But this doesn’t mean that Apple products are just overpriced junk part of the reason that they have this luxury image in the minds of their fans is that they have consistently focused on the higher end of the market ever since the launch of the original iPhone. They put more consideration into design features and component quality compared to cost, and this has also been true of products like the MacBook. Now the lower end of the market is indeed valuable.
Just ask McDonald’s or Walmart, but Apple hasn’t, wanted to risk cheeping out to make lower end products that could compromise their brand reputation, especially after the failures of devices that they did design to be more affordable like the iPhone 5c and there’s more to manufacturing than just The Bill of Materials or balm cost of the actual device Apple invests, have and the development of new technologies and manufacturing processes. So, despite the headlines regarding poor treatment of contract workers and Asian factories, I devices generally aren’t cheap to produce. Combine this with the fact that Apple is relatively picky about component sourcing, and you end up with a situation where, once they do standardize something supply for these parts can become constrained. Raising prices for the folks in line at the Apple Store at 6:00 a.m. and in some cases, even industry-wide Apple, also has to sink a significant amount of money into software development because it has its own proprietary platform, unlike manufacturers of Android phones, for example, which can Obtain the Android OS for free from Google and then tweak it according to their needs Apple built and maintains iOS Mac, OS and back-end services like iCloud and iMessage themselves, which further drives up their costs, which, of course, someone has to cover. And although the proprietary more closed, nature of the Apple platform has been a lightning rod for criticism, some of it quite legitimate. It’S also a value-add for many customers who choose to buy into the Apple ecosystem as there’s a perception among Apple fans that having software and hardware so tightly integrated with each other allows for better performance and reliability, along with less susceptibility to malware. And while I devices obviously are not crash, proof or completely secure Apple has been able to run a tight enough ship for this perception to endure among its loyal customers.
Finally, of course, you have to consider how much money Apple spends on marketing. Some of their initiatives are obvious, like ads on TV or the hype that they build around their famous or infamous, launch events, courage, but some of their marketing costs are less so take apples stores, for example, they do serve as a place where you can walk in And buy an iPhone or whatever, but they also invest in costly, highly visible locations, iconic designs and an experience in the store that is distinctly apple-like. What about those free workshops and tutorials that they host well, those aren’t free for Apple to host, but they continue to run them because they increase brand loyalty. So, even though Apple has recently dipped its toes into more affordable products such as its sub 350 dollar, iPad and competitors do sell products that might have more powerful components at a lower price.
Apple has used an interesting combination of product strategy and marketing hype to keep people coming back for more now, if only they could do the same with my online dating profile. This video is brought to you by world of warships. The free-to-play strategy action game that some would refer to as the thinking man’s action game with world of warships.
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