New iPhone Press Event

[ps99472]

5c needs a lower price point...otherwise it's a no brainer to pick the 5s for $100 more

 

[Irvinecommuter]

Checked out Apple's website tonight--looks like 9/13 pre-order is only for the 5c model. Get ready to stand in line if you want to be first with a 5s--it will go on sale at the store and online on 9/20. No pre-order for 5s.

It's very interesting how Apple sells their iPhone.

The last 2 years they did pre-orders but as a result, the lines (and hype) weren't as large. So now, because it is a refresh, they don't allow pre-orders but for their new "low-cost" model, they do so they can gauge interest.

Personally, I hate having to line up for a phone... or not being able to walk into a store and be able to buy it right there because they sold out... but that's what you get with Apple.

Wall Street is not impressed...Apple stock is down about 10% since the announcement. 

I do not understand how Apple keeps trying to do the same thing and think that the reaction is different.  Maybe the ship is too big to turn but Apple is turning into Blackberry 2.0.

 

[irvinehomeowner]

What boggles my mind is why they are concerned about emerging markets and China.

Apple should stick to selling premium products and let Android and whoever deal with the cheaper segment. Do what they've been doing and let the previous years' models become the "cheap" one but innovate on their flagship design.

Part of me thinks that there is some agreement with China to make cheaper versions to allow them to have production facilities there but are they really that much cheaper?

 

[Irvinecommuter]

What boggles my mind is why they are concerned about emerging markets and China.

Apple should stick to selling premium products and let Android and whoever deal with the cheaper segment. Do what they've been doing and let the previous years' models become the "cheap" one but innovate on their flagship design.

Part of me thinks that there is some agreement with China to make cheaper versions to allow them to have production facilities there but are they really that much cheaper?

It's not cheaper...therefore the frowning by Wall Street.  5c is going to be $549 retail (which is how most Asians have to buy their phone).

You cannot just focus on a "high end" market because it's such a limited market.  Also, Apple doesn't have the cache like Louis Vuitton or Hermes.

 

[irvinehomeowner]

You cannot just focus on a "high end" market because it's such a limited market.

I don't necessarily agree. There are also much larger margins in the high-end market.

Also, Apple doesn't have the cache like Louis Vuitton or Hermes.

Doesn't it? What other phone does as well used/resale? What other phone has people lining up? What other phone is out of stock for weeks when it first releases?

Apple needs to continue to work on its cache by innovating quicker. I bet you if they made a 4.5-5" screen iPhone right now and charged $350-400 on contract, they would get it and they wouldn't be able to keep up with the demand.

 

[Irvinecommuter]

You cannot just focus on a "high end" market because it's such a limited market.

I don't necessarily agree. There are also much larger margins in the high-end market.

Also, Apple doesn't have the cache like Louis Vuitton or Hermes.

Doesn't it? What other phone does as well used/resale? What other phone has people lining up? What other phone is out of stock for weeks when it first releases?

Apple needs to continue to work on its cache by innovating quicker. I bet you if they made a 4.5-5" screen iPhone right now and charged $350-400 on contract, they would get it and they wouldn't be able to keep up with the demand.

There is a margin but it's a limited market still.  Apple's market share is around 15% right now.

The reason why Apple resale does well is because it doesn't drop the price retail wise.  The out of stock thing is the result of lack of production, not necessary demand.

Also, Android phone demand is defused across several manufacturers. 

LV and Hermes are on a whole different level...people buy them in large part because they represent wealth, status, and celebrity.  People don't see iphones the same way.

 

[qwerty]

You cannot just focus on a "high end" market because it's such a limited market.

I don't necessarily agree. There are also much larger margins in the high-end market.

Also, Apple doesn't have the cache like Louis Vuitton or Hermes.

Doesn't it? What other phone does as well used/resale? What other phone has people lining up? What other phone is out of stock for weeks when it first releases?

Apple needs to continue to work on its cache by innovating quicker. I bet you if they made a 4.5-5" screen iPhone right now and charged $350-400 on contract, they would get it and they wouldn't be able to keep up with the demand.

There is a margin but it's a limited market still.  Apple's market share is around 15% right now.

The reason why Apple resale does well is because it doesn't drop the price retail wise.  The out of stock thing is the result of lack of production, not necessary demand.

Also, Android phone demand is defused across several manufacturers. 

LV and Hermes are on a whole different level...people buy them in large part because they represent wealth, status, and celebrity.  People don't see iphones the same way.

LV and Hermes also have a small market share; Apple doesnt lower retail prices, just like LV never puts their product on sale, IHS mentioned once they throw inventory away vs reducing the price to move it.  Its hard to compare mass produced products vs luxury products, but apple is the LV of phones or the bmw of phones.

 

[Irvinecommuter]

You cannot just focus on a "high end" market because it's such a limited market.

I don't necessarily agree. There are also much larger margins in the high-end market.

Also, Apple doesn't have the cache like Louis Vuitton or Hermes.

Doesn't it? What other phone does as well used/resale? What other phone has people lining up? What other phone is out of stock for weeks when it first releases?

Apple needs to continue to work on its cache by innovating quicker. I bet you if they made a 4.5-5" screen iPhone right now and charged $350-400 on contract, they would get it and they wouldn't be able to keep up with the demand.

There is a margin but it's a limited market still.  Apple's market share is around 15% right now.

The reason why Apple resale does well is because it doesn't drop the price retail wise.  The out of stock thing is the result of lack of production, not necessary demand.

Also, Android phone demand is defused across several manufacturers. 

LV and Hermes are on a whole different level...people buy them in large part because they represent wealth, status, and celebrity.  People don't see iphones the same way.

LV and Hermes also have a small market share; Apple doesnt lower retail prices, just like LV never puts their product on sale, IHS mentioned once they throw inventory away vs reducing the price to move it.  Its hard to compare mass produced products vs luxury products, but apple is the LV of phones or the bmw of phones.

Absolutely not...no one gets Apple for the status value.  People don't show off their iPhone...it's just another high end phone, like the S4 or the HTC One. 

 

[bones]

.

 

[Irvinecommuter]

I just want to clarify:  Hermes and LV are in two totally different stratospheres.  Hermes > LV by A LOT.

Yes...definitely.  Hermes is like a Bentley where LV is BMW

 

[qwerty]

You cannot just focus on a "high end" market because it's such a limited market.

I don't necessarily agree. There are also much larger margins in the high-end market.

Also, Apple doesn't have the cache like Louis Vuitton or Hermes.

Doesn't it? What other phone does as well used/resale? What other phone has people lining up? What other phone is out of stock for weeks when it first releases?

Apple needs to continue to work on its cache by innovating quicker. I bet you if they made a 4.5-5" screen iPhone right now and charged $350-400 on contract, they would get it and they wouldn't be able to keep up with the demand.

There is a margin but it's a limited market still.  Apple's market share is around 15% right now.

The reason why Apple resale does well is because it doesn't drop the price retail wise.  The out of stock thing is the result of lack of production, not necessary demand.

Also, Android phone demand is defused across several manufacturers. 

LV and Hermes are on a whole different level...people buy them in large part because they represent wealth, status, and celebrity.  People don't see iphones the same way.

LV and Hermes also have a small market share; Apple doesnt lower retail prices, just like LV never puts their product on sale, IHS mentioned once they throw inventory away vs reducing the price to move it.  Its hard to compare mass produced products vs luxury products, but apple is the LV of phones or the bmw of phones.

Absolutely not...no one gets Apple for the status value.  People don't show off their iPhone...it's just another high end phone, like the S4 or the HTC One. 

a bunch of people get apple because to them there is status value. to you apple may not have status value but to many people it does. just like to the hermes owner an LV is not a status symbol, but the LV owner sure thinks that LV bag as a status symbol.

 

[bones]

.

 

[qwerty]

a bunch of people get apple because to them there is status value. to you apple may not have status value but to many people it does. just like to the hermes owner an LV is not a status symbol, but the LV owner sure thinks that LV bag as a status symbol.

not necessarily.  just look around irvine.  many people use a LV tote as a diaper bag.  it's like the "minimum" to them.  whereas an hermes bag is the true status symbol.  Likewise, to many, an apple iphone is the minimum/basic necessity.

yeah but your are looking at it through a very narrow spectrum. yes, if you live in newport beach, a bmw isnt shit. but if you live in ohio, a bmw is a status symbol.

 

[qwerty]

there are a lot of people out there who can not afford an iphone to them it is a luxury item, a status symbol.

 

[bones]

/

 

[qwerty]

there are a lot of people out there who can not afford an iphone to them it is a luxury item, a status symbol.

maybe you boys should use a different material object in your analogies.  the point I'm trying to make here is:  LV may or may not be a status symbol but Hermes is a status symbol to EVERYONE (even if you are a billionaire).  An iphone (in this analogy) would be more like a LV.  Some people think it's the sh!t.  Some people think it's whatever.  But no one looks at their iphone and think "woohoo, I've made it"!

now this i agree with. but IC is way off when he says apple doesnt have status value.

 

[irvinehomeowner]

You cannot just focus on a "high end" market because it's such a limited market.

I don't necessarily agree. There are also much larger margins in the high-end market.

Also, Apple doesn't have the cache like Louis Vuitton or Hermes.

Doesn't it? What other phone does as well used/resale? What other phone has people lining up? What other phone is out of stock for weeks when it first releases?

Apple needs to continue to work on its cache by innovating quicker. I bet you if they made a 4.5-5" screen iPhone right now and charged $350-400 on contract, they would get it and they wouldn't be able to keep up with the demand.

There is a margin but it's a limited market still.  Apple's market share is around 15% right now.

But that seems to be fine with them with their Macbook Pro and Air line. You don't see Apple concerned about a budget MBA. 15% of the market with higher margins than the other 85% can be a good thing.

The out of stock thing is the result of lack of production, not necessary demand.

I'm not sure how you can say this. Apple produces as much as it can, the demand is high for their products. Higher than any other single phone model.

LV and Hermes are on a whole different level...people buy them in large part because they represent wealth, status, and celebrity.  People don't see iphones the same way.

I agree mostly.

There is still that level of status, esp with Apple fans, concerning the iPhone. Now that it has become saturated, not as much... and maybe a reason why they are looking at that other 85%, which I don't think they need to worry about as much.

Luxury cars don't really care about the other 85% either.

 

[irvinehomeowner]

Dude, use the apple store app on your phone.  That's the way to go.  Just stay up until midnight on friday and its yours in a few clicks.

Preorder is only for the 5C. I online ordered for the 4S and the 5 and it was painless... and I can do it for the 5S but it will take a few days for me to get it.

 

[Irvinecommuter]

You cannot just focus on a "high end" market because it's such a limited market.

I don't necessarily agree. There are also much larger margins in the high-end market.

Also, Apple doesn't have the cache like Louis Vuitton or Hermes.

Doesn't it? What other phone does as well used/resale? What other phone has people lining up? What other phone is out of stock for weeks when it first releases?

Apple needs to continue to work on its cache by innovating quicker. I bet you if they made a 4.5-5" screen iPhone right now and charged $350-400 on contract, they would get it and they wouldn't be able to keep up with the demand.

There is a margin but it's a limited market still.  Apple's market share is around 15% right now.

But that seems to be fine with them with their Macbook Pro and Air line. You don't see Apple concerned about a budget MBA. 15% of the market with higher margins than the other 85% can be a good thing.

The out of stock thing is the result of lack of production, not necessary demand.

I'm not sure how you can say this. Apple produces as much as it can, the demand is high for their products. Higher than any other single phone model.

LV and Hermes are on a whole different level...people buy them in large part because they represent wealth, status, and celebrity.  People don't see iphones the same way.

I agree mostly.

There is still that level of status, esp with Apple fans, concerning the iPhone. Now that it has become saturated, not as much... and maybe a reason why they are looking at that other 85%, which I don't think they need to worry about as much.

Luxury cars don't really care about the other 85% either.

Apple used to have cache...now it's just another phone...there is nothing unique about them.  Yes, people who own iphones think they're great (i.e. the Cult of Macs) but objectively, it's just another high-end phone. 

You may think that LV purses are overpriced but objectively, people recognize LV as a status symbol.  That is 100X more for Hermes.  No one objectively would say that owning an iphone represents wealth.  It's way too common.

 

[qwerty]

No one objectively would say that owning an iphone represents wealth.  It's way too common.

you can say the exact same thing about LV, they are everywhere. they may be priced as a luxury good but it is within many peoples reach. LV does not represent wealth either, its way to common