Why the constant growth of prices on the iPhone there is nothing strange

Sergey Vilianov on its website posted an article which talks about the pricing and how Apple justified the lack of fiscal products. A large part of the thoughts of the author seems reasonable and objectively but not with all parts can agree.

“The production of cheap smartphones today is absolutely unprofitable occupation. Could Apple get involved in this fight? In theory, Yes. It is possible to subsidize the sale of cheap iPhone due to the expensive. Market share it would like. But much of hovers Gucci that H&M sells clothes any more?”, — says Sergey. I don’t quite agree with this comparison. In order to understand what I mean, just look what segment of users are becoming iPhone and why.

New model bought mostly by people who are not experiencing financial difficulties. However, model 6s, 7, 8 a long time can be seen in the hands of mid-level employees, students, and Yes, that really there, even among schoolchildren smartphone, Apple ceased to be a rarity. Gucci buy only bluff, which comes in the package, as the fabric is of excellent quality in clothing many other brands. iPhone love not only because it represents the ability of the owner, but also for the fact that after five years of using a smartphone will still work like a clock. And when you are integrated into the smartphone that it cost 400$ and are not inhibited in a year is impossible. Thus, Apple does not hold the path in the budget segment, in order not to spoil the impression from the user-established device.

However, in other respects, I agree with the author. Sergey correctly noted that users who have bought the unit for 10-20 thousand rubles less willing to pay for applications and subscriptions, than the owners of devices for 800-1000 dollars. He mentioned about the income from services and applications, as well as expressed an interesting thought about the fact that payouts to developers, the company produces only 45 days after the reporting period. Apple has during this time huge amounts that can direct to your needs.

In the end Sergey rightly remembers the brands that burned brighter than the stars, but went out like matches in the wind: “magic is volatile. What happened to Nokia, 10 years ago koldauova in full growth? What is sold under the brand name threw hooves Blackberry?”. He means that Apple may suffer the same fate, it is necessary to prevent a serious mistake. Indeed, the company took a huge market share, and eventually almost disappeared. However, Nokia and Blackberry barely moved from their foundations. Nokia all hands held on to Symbian OS, and Blackberry is too late to abandon Qwerty keyboards. Apple, in turn, while very successful, consistent with the laws of the market, and in many aspects even adjusts the vector of its development.

Clifton Nichols

Clifton Nichols

Hi! I’m Clifton and I am a full-stack engineer with a passion for building performant and scalable applications that are beautiful and easy to use.

You may also like...

Leave a Reply

Your email address will not be published. Required fields are marked *