For the past few months there have been many rumors about the new mini iPod. The present iPod models are very expensive, and so the rumors were that the new ones would cost $99. That turned out to be wishful thinking. In MacWorld, Steve Jobs “announced”:http://wirelessnewsfactor.com/story.xhtml?story_title=Apple__New_iPod_Mini__MS_Office_Update&story_id=22951&category=hndhld that the new 4GB models would cost $249. If you pay $50 more, you can get a 10GB iPod.
There are many MP3 players which offer the same set of features offered by iPod, but none of them can match the elegance of an iPod. Also Apple is not a company known for low priced devices. They may not be market leaders in terms of hardware, but they have a cult following, which swears by their products.
I would have bought an iPod, for the coolness factor, but it is way too expensive.
Apple and low-price are like mixing oil and water. Nevertheless, this pricing strategy is similar to what movie theatres charge for overpriced popcorn and soda. For a mere 50 cents more you can get the super jumbo size. I think this is the same strategy.
Niraj, for a while I too believed the $99 price rumor. Then I came out of the Matrix.
Few MP3 players actually offer “the same set of features” for less. The iPod uses Firewire to speedily transfer songs. It is also a portable hard drive, and a bootable one at that. Show me another MP3 player which offers these features for at little as $299 for a 15GB version.
That does not even consider the superior wheel selector, the OS, or the 3rd-party hardware (voice dictation, datapod for digital cameras, etc).
The day before the iPod mini was announced another MP3 player company announced their machine based on the same Hitachi hard drive. Their price? Also $249. Which unit delivers more for the money? Apple’s.
Bo, Dell DJ 15 has most of these features for $224. Apple’s design is far superior and elegant. But if they had reduced the price a bit, they would get the Dell DJ customers as well. What I mean is Apple could definitely make profit in volume.
It is really hard to understand apple’s marketing strategies most of the time. When the ipod was introduced, people were convinced it would not work. No one was going to spend $400 on an mp3 player! 2 years down the line, the ipod is the number 1 mp3 player. Why should they reduce the pricing?!
A hard drive based mp3 player for $100 is near impossible today. While $200 would have been a better price for the mini, I think $250 would sell just as well. They can always reduce the price after 6 months once the early adopters rush has subsided.
Meanwhile I gave in and got the discontinued 10GB ipod for $236. Sure it is expensive, but it is also the best! Now to try and control my lust for the ibook/powerbook…
Ankit, So you got a 10 GB iPod for less than the price of the new 4 GB iPod 🙂 I too have been resititing the temptation. I know, I really don’t need it, but then..