Look around. Apple is on sale. It may not be crystal clear but with my prognostication glasses I can see that Apple has worked itself into a dual pricing strategy to combat the growing techno-recession.
Yes, Apple remains a premium brand and is not likely to lose the commanding position on that perch, but reality bites and pragmatism rules, even when you sell smartphones at $1,449; cash or by the month.
High And Lower
The way I see it should be obvious to all. Apple has positioned itself as the premium brand that can compete on price where it needs to. Let me run down the basic product line with a few examples, starting with the most obvious.
iPad – It depends on how you count, but I see Apple’s iPad line with five models (four if you count both large and smaller iPad Pro models as one). The iPad Pro ranges from $799 up $1,899 (not including Smart Folio Keyboard or the new Pencil). Compare that to the vanilla iPad which starts at $329 and goes as high as $559. In between are the new iPad mini ($399 to $679) and new iPad Air ($449 to $779). See? That is a wide spread of prices from high down to lower.
iPhone – Apple’s flagship product no longer has an inexpensive iPhone SE model, but iPhone 7 starts at $449 and ranges to iPhone XS Max at $1,449, with iPhone 7 Plus, iPhone 8, iPhone 8 Plus, iPhone XR, and iPhone XS in between. That’s a $1,000 spread, high down to lower.
Watch – Series Three starts at $279 and depending upon case and band can double in price, but Series Four with GPS, LTE, and the right band and case can jump from $399 to an awe-inspiring $1,449.
Yes, that’s a high price down to a lower price, but gives Apple an obvious dual pricing strategy of entry-level to premium.
Mac – Our favorite notebook and desktop personal computer has a spread, too, and if recent discounts on the entry-level MacBook mean anything, Apple might have a sub-$1,000 Mac notebook on the way. Mac mini is SSD only, features the latest Intel Inside and starts at $799, sans keyboard, mouse, display. At the other end of the scale is iMac Pro which is screamer at $4,999 and options that can send it to $15,699.
Uh huh. $15,699. All Macs run the same macOS Mojave so if that isn’t a dual pricing strategy I don’t know what is.
The Mac notebook line has a wide spread, too, but seems cluttered at the bottom; MacBook intros at $1,299, MacBook Air intros at $1,199, and MacBook Pro starts at $1,299. Yeah, it gets confusing to figure out which one to consider but the high end MacBook Pro tricks out at $6,649.
Dual pricing from high to lower; not necessarily from low to high.