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iPad Hardware and Accessories Discuss the iPad hardware and accessories

iPad Price.


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Lakeloon

 
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I know this is a long shot since the iPad isn't very old, but do any of you think the iPad may go down in price any by the Christmas shopping season?? $500 is a lot of cheese.
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MYmacROX

 
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Yes if you keep checking Apple's refurb section. One popped up the other day $50 off for a 16GB Wi-Fi only.

16GB iPhone 5, 64GB Wi-Fi only iPad 1st Gen.

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pigoo3

 
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Quote:
Originally Posted by Lakeloon View Post
I know this is a long shot since the iPad isn't very old, but do any of you think the iPad may go down in price any by the Christmas shopping season?? $500 is a lot of cheese.
I'm not sure where you're located. But the US Apple Store has refurbished 16gig WiFi iPads for $449.

http://store.apple.com/us/product/FB...co=MTkwNDUxNDM

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Lakeloon

 
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Oh wow. I didn't even think about refurb. Then again, I didn't think anyone would want to get rid of theirs.
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RiDE

 
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No… Price is not coming down IMO on the new units.
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pigoo3

 
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Quote:
Originally Posted by Lakeloon View Post
Oh wow. I didn't even think about refurb. Then again, I didn't think anyone would want to get rid of theirs.
Refurbs. are not always products that people get "rid of". Sometimes they are products that

- had a problem & were fixed
- a product that was ordered...and then the order was cancelled
- a product that was returned shortly after purchasing (shouldn't have purchased in the first place)
- probably tons of other reasons

- Nick

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pigoo3

 
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Quote:
Originally Posted by RiDE View Post
No… Price is not coming down IMO on the new units.
Yeah...my guess is the price will:

- remain steady as long as demand is high
- won't drop until AFTER Christmas
- will drop (iPad version 1.0) when iPad version 2.0 is released early next year...my guess!

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I think your best bet to get a cheap one will be to grab a used first generation when the new ones are announced. No one really knows what the exact changes are going to be, but if it just a couple cameras, I know I won't be upgrading. But a significant memory upgrade would definitely interest me now that multi-tasking is a reality.

Mostly I would say that it depends on the price of the new one, resale value of the old generation, and the upgrades the new generation has to offer.

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chas_m

 
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As far as I can tell, the price for new iPad will *never* drop (at least not in the foreseeable future), for several reasons:

1. Apple doesn't want sub-$500 customers and has made this abundantly clear many times. The base iPad is barely sub-$500 and is kind of a special case. People who make noise like this ("why can't the iPad be cheaper?") don't "get" the product and don't make good VALUE judgements. That is not Apple's kind of people, simply put.

2. The components of the iPad would have to *seriously* drop in price for Apple to even consider it.

3. They will undoubtedly be putting MORE stuff, not less, into future iPads, so there's no reason for the price to come down.

4. It's looking more and more likely that the next iPad won't be out till mid-next year. Enjoy the wait, suckers!
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Lakeloon

 
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Quote:
Originally Posted by chas_m View Post
As far as I can tell, the price for new iPad will *never* drop (at least not in the foreseeable future), for several reasons:

1. Apple doesn't want sub-$500 customers and has made this abundantly clear many times. The base iPad is barely sub-$500 and is kind of a special case. People who make noise like this ("why can't the iPad be cheaper?") don't "get" the product and don't make good VALUE judgements. That is not Apple's kind of people, simply put.

2. The components of the iPad would have to *seriously* drop in price for Apple to even consider it.

3. They will undoubtedly be putting MORE stuff, not less, into future iPads, so there's no reason for the price to come down.

4. It's looking more and more likely that the next iPad won't be out till mid-next year. Enjoy the wait, suckers!
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RiDE

 
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Quote:
Originally Posted by chas_m View Post
...

2. The components of the iPad would have to *seriously* drop in price for Apple to even consider it.
I agree with everything except the above statement. The calculated cost for the components in the 16gb wifi unit was under $260. **That was way back in APRIL, which is forever ago in technology pricing. Apple is making HUUUGE profit margins on the iPad (as well they should, and more power to them!!!)

Even considering the R&D (which I would think would think would be very minimal given the fact that it's not too different from the iPod Touch and iPhone, they are still making a killing.. again.. as they should!!!


In the end, Apple really doesn't change the pricing much on any of their products, the prices usually stay the same and the hardware quality increases with each speed bump/revision.
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chas_m

 
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Quote:
Originally Posted by RiDE View Post
I agree with everything except the above statement. The calculated cost for the components in the 16gb wifi unit was under $260. **That was way back in APRIL, which is forever ago in technology pricing. Apple is making HUUUGE profit margins on the iPad (as well they should, and more power to them!!!)
I'd disput the "huge" profit margins. Bear in mind that component costs doesn't even BEGIN to tackle things like labour, distribution, advertising, maintenance, replacements, and a hundred other minor things BEFORE you get to "profit." Apple's pure "profit" on an iPad is probably more like $100-$200 per unit, around 20-30% of the purchase price, in line with their average markup on all their lines (around 30%).

But there's another way to prove my point: when was the last time Apple dropped the price on an item within a year of bringing it out, or without seriously revamping it?

I've been following Apple for a very long time, and I can recall exactly ONE instance of this: the original iPhone (and look at the CRAP they caught for doing that!). Not a path they are ever going down again.

What Apple *tends* to do is increase the VALUE over time rather than bump down the price. They add physical features to new versions, and enhance the older hardware through software. That's why Apple customers love Apple so much; very often their hardware investments get BETTER over time instead of WORSE. I'm still using my original iPhone, my 2007 laptop runs better than it ever did, and iPad early adopters are about to get a big xmas present called iOS 4.2.

So my contention stands: an iPad price drop is NA GA HA PEN.

Maybe that 7" "My First iPad" Fisher-Price version the rumour-mongers fixate on will prove to be true, but the one that's out now will be "starting at $499" for the life of the product IMO.
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Quote:
Originally Posted by Lakeloon View Post
Well aren't you just special.
He was just stating some very factual info with you on why he feels the price will not drop in the near future.
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RiDE

 
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Quote:
Originally Posted by chas_m View Post




So my contention stands: an iPad price drop is NA GA HA PEN...
@chas_m apparently you missed the part in my post that said I agree with everything you said except the reason regarding the price of components. No way does Apple lower the iPad price anytime soon. I fault Apple in no way for making large profit margins, as a business owner myself, I applaud any companies ability to make dough
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Quote:
Originally Posted by chas_m View Post
I'd disput the "huge" profit margins. Bear in mind that component costs doesn't even BEGIN to tackle things like labour, distribution, advertising, maintenance, replacements, and a hundred other minor things BEFORE you get to "profit." Apple's pure "profit" on an iPad is probably more like $100-$200 per unit, around 20-30% of the purchase price, in line with their average markup on all their lines (around 30%).
You forgot to mention the money Apple spent on R&D to develop the ipad. And then add in the wages of the people employed to design the ipad as well as steve's $1. And after all that the 30% mentioned above sounds about right. And that's a smart number.

In the food business the rule of thumb you are aiming for is 33% profit, 33% fixed costs and 33% food cost. And that = 100% the amount you sell the menu item for. So in that vain the 30% profit margin for the ipad is very reasonable indeed.
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