Why are the apple products so expensive?

over £1k for the new iPhone XS and XS Max which is absolutely ridiculous when there isn't much different to the previous model, the next model will be £2k probably. Laptops, ipads etc aren't cheap either. Why are apple products so expensive?

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Reply 1

artful_lounger

Universities Forum Helper

Conspicuous consumption yields profit.

Reply 2

username4173304

It's a designer brand and people who have it usually use it as a status symbol - and as such expect the best quality and performance from it.

Also since Apple is a multinational company they have different parts made in different places and so need to ship them to each other for the phone to be assembled (In China I believe).

But its mainly due to the image attached to the name. Brand products are always way more expensive than those of lesser known/own brands.

Reply 3

doctorchrystal

They put a lot of excessive features in the phone that make it worth that amount of money technically speaking. Like the ECG heart monitor in the apple watch, when you could just go to the GP for free lol. They have people walking around with glass and all kinds of premium materials in their pockets but they are interested in selling to the mass market. Apple also has a hidden agenda, they are a for profit business and I'm interested to find out what they want to do with us all this profit.

Reply 4

emmataco

basically everyone who wants an iphone has one, so in order to continue increasing profits, they have decided to increase the price and target the high end market

Reply 5

Zarek

They invest in detail and have managed to establish pretty substantial brand equity.

Reply 6

_gcx

Study Forum Helper

People have no idea what they're buying and what it's actually worth. So, they can charge whatever they want. They can't do that with the products aimed at professionals, ie. the iMac Pros, because they are aware of these things.

Original post by Alex0179

and as such expect the best quality and performance from it.

Build quality of Apple products isn't great. :tongue:

(bendgate, countless design flaws with Macbooks, taking away features and calling it innovation) Most people won't put their phone under any sort of load either so would be just as well of with a phone a quarter of the price.

Reply 7

Gent2324

Careers Forum Helper

Original post by _gcx

People have no idea what they're buying and what it's actually worth. So, they can charge whatever they want. .

thats not true, if it wasnt worth much to them they wouldnt buy it. youre being quite judgemental assuming that having a certain brand on a phone is worthless, you might think it isn't worth anything, but others do..

Reply 8

random_matt

Erm, they have a gross profit margin of 60%-70%. They know sheep will pay anything.

Reply 9

_gcx

Study Forum Helper

Original post by Gent2324

Not saying that at all. What I mean is that people wouldn't know whether they're getting a good deal on a particular product. So perfect opportunity to mark up.

(what random_matt said)

Reply 10

Gent2324

Careers Forum Helper

Original post by _gcx

Not saying that at all. What I mean is that people wouldn't know whether they're getting a good deal on a particular product. So perfect opportunity to mark up.

(what random_matt said)

yes they do, why would you buy something if you thought it was a bad deal?

Reply 11

RoyalSheepy

I don't think it's the branding entirely...

Apple has their own OS, unlike others which use mainly Android or Windows.

And their build quality IMO is exceptional, apart from "bendgate" as @_gcx said which Apple has fixed.

Spoiler

Reply 12

Janso

Cos Gerry Adams told them to so they can fund the Irish Republican Army.

Reply 13

quasa

Entertainment Forum Helper

Original post by s817

essentially 1 reason and 1 reason alone: apple is considered a halo brand ie people are crazy enough to spend however apple dictates, just because they are apple. Sad thing is, consumers arent thinking with theyrebrains, theyre thinking with wallets. and a rather annoying knock-on effect is that this is causing other manufacturers to charge a higher premiumon their products to bee seen in the same light as apple.

(edited 5 years ago)

Reply 14

Doones

Original post by random_matt

Erm, they have a gross profit margin of 60%-70%. They know sheep will pay anything.

It's not hugely different to Samsung's.

https://www.slashgear.com/iphone-x-profit-margin-higher-than-8-galaxy-s8-huawei-mate-10-07507243/

But Apple also has iTunes and Apps revenue.

Posted from TSR Mobile

(edited 5 years ago)

Reply 15

username3890778

Ngl the MacBook is hella good quality and stuff so I’m not surprised why it’s expensive. Defo buying it tho even tho I can’t afford it now lmao

Reply 16

_gcx

Study Forum Helper

Original post by Gent2324

yes they do, why would you buy something if you thought it was a bad deal?

wouldn't know :P Most people would look at spec sheets and benchmarks blankly. (again - this doesn't really matter since they won't be putting their hardware under any load with snapchat and the such like) Not attacking people at all - but people rely on brand names and what outlets say is the next best phone. Many wouldn't even care and just buy a certain brand out of habit. This means they can charge whatever the consumer is willing to pay - and considering that a lot of owners of Apple products have quite a lot of money to throw around, this is quite a lot! :smile:

Reply 17

random_matt

Original post by Doonesbury

True indeed.

Reply 18

spotify95

Original post by random_matt

True indeed.

But at least Samsungs have useful features still, like a headphone socket, a fingerprint sensor and expandable storage.

The iPhone XS and XS Max (and even the XR which will be released later this year) are overpriced for what they offer. The Galaxy Note 9, on the other hand, gives better features as well as being 1TB ready (on the 512GB model) so can rightly justify it's price tag.

Though in my opinion any iPhone newer than the 6S (and certainly the X/XS) are worse and less usable than even my old Samsung Galaxy S4...