ALL about money for Apple

Welcome to our Community
Wanting to join the rest of our members? Feel free to sign up today.
Sign up

Silverado

New Member
Bronze
Jul 6, 2007
332
0
0
#1
What a day for Apple with their "special" event. On this day they:

1) Show us how they preyed on early, excited adopters by charging them a high price that could barely be sustained for two months.

2) Instead of addressing the legitimate complaints and enhancement requests of these early adopter, produce an update that simply widens the revenue stream flowing into their pockets while adding laughable and neglegable value to the these users' experience.

I've never seen a more blatant display of corporate greed by a (supposedly) respected consumer elertronics company than what was done by Apple today.

It's all and solely about the money for this company and I've learned my lesson. This was the first Apple product I ever bought and it is definitely my last. I will not give another dime to these ego maniacs who think that I'm stupid enough to be pleased by new "features" that are simply new ways of buying from them and for the excitement over these new fantastic "features" to distract me from the fact that they just revealed to me how they preyed on me. No, thank you, Mr. Jobs. I've seen enough.
 

Giies

New Member
Bronze
Jul 31, 2007
55
0
0
#3
totally agree with you, and i'm glad that i didn't buy any ipod or any macbook from them.
 
Z

ZiggyPop

Guest
#5
My wife was going to buy an iPhone at the previously inflated price! Whodda thunk it?
 

4mula1

New Member
Aug 4, 2007
24
0
0
#7
Apple wants to hear from you!



If you’ve recently bought an iPhone, we’d love to hear your favorite story about using it. Call and leave a voicemail with your story at 1-800-764-9941, or write us. We’re all ears.


I think everyone of us should call Apple and "Share our Story"! don't you agree?
 
Last edited by a moderator:

joe

New Member
Gold
May 5, 2007
1,113
0
0
#9
I completely disagree with the OP. While I wish the price cuts hadn't been so dramatic, it was inevitable. Yes, Apple is concerned with making money. Capitalism, profit margins, sales, and stock price. It's the name of the game.
 

Norwest

New Member
Bronze
Jul 23, 2007
133
0
0
#10
Apple cuts the price of the iPhone and decreases their profit margin on it and they are making more money?:rolleyes:
Essentially, YES. More than they would have at the current pace. iPhone sales have slumped considerably since July.

1. People who were on the fence price-wise will now maybe buy one.

2. People who have one and are less than enthused with the software updates will be less likely to sell it (since the value just plummeted) thereby keeping the visibility of it where or near where it is to help #1.

3. See #1. They'll get a cut of those new contracts they wouldn't have gotten by selling it at $399 vs. NOT selling many more at $599.

4. See #1. All of those 8 gb models they produced that would have never sold will (might) now sell and help some "new users" buy more iTunes stuff since they "saved so much money" on the device itself. Another $100 per new $399 user or whatever in songs or video sales they never would have gotten.

Not to mention tying them to the iTunes media formats before they choose another. $$$$$

5. Produce a 16gb model using the same flash from the new iPod Touch (how hard can that be, a couple of screws?) and bring in some more suckers at the $599 price-point they just cleared away. Prepare to line up. Maybe even $499.

6. They need to get as much of the contract % money from AT&T as possible before the unlock solutions get out fully. They need the shelf-stock in peoples hands as soon as possible. In this case the hacking was a bad thing... it threatens their long-term profits from At&T contracts.

Your question seems to assume that they were continuing to sell briskly at $499 and $599 and they will now lose money with the reduction to $399. In fact they will probably make more money (short-term) than they would have made under the current conditions.

I would prefer a smaller short-term profit and better long term customer loyalty and trust.

I think the fall of the stock price after the event shows the problem they have. The market thinks this may not be a successful long-term strategy and/or the products they showed are not that great. Or (like I do with the iPods) priced too high.

Basic marketing/sales, you potentially make more money selling a lot of lower cost things than selling only a few higher cost things and being stuck with tons of unsold stock that cost you money. It's called a sale. :) They've pretty much tapped out the $599 suckers... us. Now they are having an iPhone sale.

I hope NOBODY is buying and I will discourage everyone I know.

My postition is that had they focused on releasing great software for it after the launch and gotten it out to early adopters, it would have held it's value and sustatined sales at the original price points and none of this B.S. would have been necessary. Many more people would have jumped on the bandwagon. A minor discount ($50?) may have still been in order.

I find it hard to believe that exact position wasn't supported by SOMEONE in Apple at some point.

Developer X: "Why don't we just write kick-ass programs and keep it at $599 through next spring?"

Jobs: "No, we need to make this years projected sales targets..."

If only they had written spreadsheets and MMS and chat and file access and many of the other things that kept so many people away. I thought that's what they were doing. I was SO wrong. They're acting exclusively like a hardware company, not a hardware/software company.

There are NO new iPhone applications from Apple. None. Zip. Nada. Say what you will about Microsoft, they wouldn't have missed that point. SOFTWARE APPLICATIONS are KEY to smartphones. SDK supported and encouraged 3rd party development would have done the trick. We'd have all kinds of useful apps... and a REAL smartphone.

Steve Jobs has gotten my last dollar.

This a a move to clear stock and increase short-term profit. If it was still selling briskly at $599 they would not have done it... that would have been stupid.

So to answer your question... YES. MORE MONEY. And the stock market seems to think they made the wrong choices... the stock fell. The market recognizes they are playing catch-up to the profits that got away and have executed a poor long-term stategy with the iPhone.

More money than they would have made otherwise since they apparently have no intention of adding the kind of software features that would make it appear to actually be worth $599 and still sell for, or near that, to those many smart people who held out.

But less money than they probably could have made if they had done it right in the first place. Which doesn't speak well for Apple management and is reflected in the stock market... no matter how many they sell now at $399.

I think if one could see the last 30-60 day sales reports of the iPhone it would be pretty clear what happened here.

Wide profit margins are useless if nobody is buying the product anymore. To make money you must actually sell them.

They screwed us for more short-term "Christmas Season" profit. The thing only cost $250 to make, they could probably burn their current stock and still be ahead. But ... there's still more money to get. But they still did it wrong.

Line up... future suckers. I'm done.
 

joe

New Member
Gold
May 5, 2007
1,113
0
0
#11
To answer your question... YES. More money than they would have made otherwise since they apparently have no intention of adding the kind of software that would make it appear to actually be worth $599 to those smart people who held out.
How does the iPhone's short life-span show that? Especially after today's announcements of new features coming to the iPhone.
 

Swagger

New Member
Gold
Jul 9, 2007
2,076
1
0
Fort Lauderdale, Florida
web.me.com
#12
I Feel Voilated

What a day for Apple with their "special" event. On this day they:

1) Show us how they preyed on early, excited adopters by charging them a high price that could barely be sustained for two months.

2) Instead of addressing the legitimate complaints and enhancement requests of these early adopter, produce an update that simply widens the revenue stream flowing into their pockets while adding laughable and neglegable value to the these users' experience.

I've never seen a more blatant display of corporate greed by a (supposedly) respected consumer elertronics company than what was done by Apple today.

It's all and solely about the money for this company and I've learned my lesson. This was the first Apple product I ever bought and it is definitely my last. I will not give another dime to these ego maniacs who think that I'm stupid enough to be pleased by new "features" that are simply new ways of buying from them and for the excitement over these new fantastic "features" to distract me from the fact that they just revealed to me how they preyed on me. No, thank you, Mr. Jobs. I've seen enough.
I totally agree with the OP. Steve Jobs will never get one dime more of my money. I feel like I have been raped. I am totally disgusted with Apple. We should all call Apple and AT&T tomorrow and complain like crazy. One of those two companies owes everyone a refund! Sure it was my choice to buy the iPhone, but to pay TOP DOLLAR, get into a mandatory 2 year contract with AT&T, and get nothing but a 200.00 reduction in price three months later is a bit hard to stomach. Steve Jobs is nothing but a, two bit con man. Apple you have seen the last of me! Mark :mad:
 

Silverado

New Member
Bronze
Jul 6, 2007
332
0
0
#13
How does the iPhone's short life-span show that? Especially after today's announcements of new features coming to the iPhone.
Features? Are you seriously calling these features? More ways with which to buy from Apple. That's all what these "features" are.
 

seb481

New Member
Silver
Aug 3, 2007
774
1
0
San Diego
#14
Couldnt agree more with the OP. I will never spend another dime in Apple products. I'm not even sure I'll ever be able to eat Apple pie again. The name just makes me wanna puke
 

joe

New Member
Gold
May 5, 2007
1,113
0
0
#15
Features? Are you seriously calling these features? More ways with which to buy from Apple. That's all what these "features" are.
Yep, but you can call them whatever you like. I'm not going to debate semantics. I'll be able to do things on my iPhone that I can't do today. I'm looking forward to it.
 

connie

Evangelist
Gold
Jul 11, 2007
2,839
104
63
So Cal
#16
I totally agree with the OP. Steve Jobs will never get one dime more of my money. I feel like I have been raped. I am totally disgusted with Apple. We should all call Apple and AT&T tomorrow and complain like crazy. One of those two companies owes everyone a refund! Sure it was my choice to buy the iPhone, but to pay TOP DOLLAR, get into a mandatory 2 year contract with AT&T, and get nothing but a 200.00 reduction in price three months later is a bit hard to stomach. Steve Jobs is nothing but a, two bit con man. Apple you have seen the last of me! Mark :mad:

Totally agree! We were royally screwed by Apple after being loyal to them and buying when they released it.
 

Swagger

New Member
Gold
Jul 9, 2007
2,076
1
0
Fort Lauderdale, Florida
web.me.com
#19
Our Thanks From Steve Jobs

Totally agree! We were royally screwed by Apple after being loyal to them and buying when they released it.
Yes, this is a wonderful way to thank all the people who drove Apple's profit margin through the roof in June and July. We should organize an iPhone smashing event, in what a better place than, Cupertino, Ca...M
 

Silverado

New Member
Bronze
Jul 6, 2007
332
0
0
#20
Yep, but you can call them whatever you like. I'm not going to debate semantics. I'll be able to do things on my iPhone that I can't do today. I'm looking forward to it.
Enjoy your further purchases from iTunes and the current song while at Starbucks. :)