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Wednesday, September 5, 2007 -- 3:55 p.m. -- my couch
I had to come back online for this ... the Mac community is exploding with rage over Apple's decision to drop the price of the iPhone $200 and discontinue the 4GB model.
I have never seen such rage coming from the Apple community. Never, and I've been using Macs since 1984.
If you think about it, it means folks (like myself) have paid for the privilege to be beta testers.
Electronics prices drop and it's fair to assume that in 6 months or a year you'll pay less for what you paid more for yesterday, but this is unprecedented.
The Apple forums at this link are overflowing with nasty words, open letters to congressmen and Steve Jobs' resignation.
It's bad.
As a loyal Apple person, I can tell you that while I'm not happy, I'm not so shocked that I'm going to start a revolution. Do I think Apple was off base here? You bet. I think they could offer folks like me something for my trouble ... a free case, an AppleCare warranty ... something. $200 is a lot over such a short period of time.
Businesswise, it makes sense because Apple needs to move these things for the holidays. And boy will they. But I've always said that Apple has been notorious in not really thinking of the consumer. They discontinue iPods and laptops like it was old milk and think consumers will have no problems ponying up hundreds if not thousands of dollars. Most of us will because it's part of our lifestyle and we support what Apple's vision is. Not everyone can. This is a blatant example of how not to reward your loyal fans. You'll get new customers and once the current customers take a deep breath all will be right with the world, but it's still unfair.
If Apple wants to get back in good graces now, it would throw us "early adopters" a bone.
What do you think of today's announcement? Let's hear your thoughts. I'll forward whatever I get onto Apple.
Thanks for calling.
**UPDATE** Looks like Apple's been down this path before, though I'm sure without the massive anger. This is from Apple's site from 2006: Aperture 1.0
e-coupon
On April 13, 2006 Apple released Aperture 1.1, the first Universal version of Aperture and a significant update to the revolutionary all-in-one post-production tool for photographers. In addition, Apple lowered the price of Aperture from $499 to $299. Apple is offering a $200 e-coupon good on the online Apple Store to licensed users of Aperture 1.0.
This is clearly what Apple should offer to clear the air. Thoughts?
Thanks for calling.
Comments
Outrages!!! If i would have waited a I could have gotten a much better deal. I would have expected a price after atleast 6 months to year but 2 months? It is just too short of a period of time. I agree they should compensate the 1st generation buyers with something to ease the rage of me and my fellow iPhone peers. Like, 25 free ringtone customization, or better yet a Bluetooth.
SCOTT'S REPLY: Thanks, Robert. I'll send it along to Apple.
Posted by: Robert | Sep 5, 2007 4:23:56 PMTo be honest, the $200 price drop was like a sucker punch in the gut! I don't understand it but I have come to accept it and I still love my iPhone. What is hard to take is all the "told you so" comments being made by my fence sitting friends. Do I want Apple to do something for me for having had to spent the extra $200? Well, yes, that would be nice. I will still buy Apple products in the future but will forever be just a little more leary about "when" I buy their products. I can't help but think of the people who really sacrificed to get a new iPhone. They are the ones who are probably the most upset!
SCOTT'S REPLY: Thanks, Paul. I updated the entry if you didn't see with something Apple did with a similar situation between the 1.0 and 1.1 updates of Aperture. They need to do the same thing here. Even a $100 iTunes gift card. Something to show appreciation.
Posted by: Paul Spitsen | Sep 5, 2007 4:28:14 PMI bought an iPhone just 3 weeks ago -- grrr!
So this is what I get for being a loyal Apple customer since 1983?
Apple should definitely do something to reward the early iPhone adopters.
Posted by: Claire Siskin | Sep 5, 2007 4:44:53 PMThanks for rewarding loyalty Apple. I ordered the iPhone on the day after it was introduced. I received it two weeks later. So six weeks later I am shafted for $200.
SCOTT'S REPLY: Thanks for writing, Shelly.
Posted by: shelly | Sep 5, 2007 4:55:02 PMWill all you Apple people finally see what this Company does? But as most of this readership are Cub fans ... I can see why the would continue to beg for more ... when all they get is another Slap in the face. Your revolution will be as milk toast as Stevie J knows it will be ..... LOL
SCOTT'S REPLY: I don't think this is about Apple people, Kent. It's about being treated loyally as customers, no matter what company you are talking about.
Posted by: kent thomas | Sep 5, 2007 5:01:04 PMPlease, phones drop in price all the time. The razor was $500 when it came out, and now you can get them for free. PS3 and xBox's prices have been cut... Granted two months is a short time period, but the iPhone is amazing, if you thought it was worth $600 when you bought it, then thats what it was worth. At $399 its a bargain. I am glad Apple can drop the price so more people can get one. I waited in line to buy two, and I have no regrets. No need for a witch hunt, enjoy progress and Apple's sucess, we are all benefitting from it.
SCOTT'S REPLY: A well-thought out perspective, xnu.
Posted by: xnu | Sep 5, 2007 5:02:38 PMI agree! The price cut announced today makes me realize that back in early July I *didn't* really think the iPhone was worth $599 like I *thought* I did.
And hey, I spent $1710 on an original Mac + Imagewriter + MacWrite/MacPaint back in February of 1984. Sure I got a steep discount because Carnegie Mellon University was an Apple Consortium school, but still! An 8MHz computer for $1700? O the Humanity!
I just hope the high-tech industry stops this infernal price-lowering, otherwise I'll never ever buy anything electronic again!
Posted by: God of Biscuits | Sep 5, 2007 5:12:46 PMThe price drop is understandable (as pricing is the easiest and quickest route to increased market share), but as you've shown with Aperture, Apple has rewarded their loyal customers in the past and should do so again. I'm just as upset about the news, but maybe that's the price we pay as early adopters in the technology market.
Even if we don't get all $200 in a rebate or freebies of some sort, showing appreciation will not only get Apple some more media exposure, but overall will increase Goodwill, which translates to long-term profitability.
SCOTT'S REPLY: I agree, Jeremy. We'll see if they turn this into a good business opportunity or a PR nightmare.
Posted by: Jeremy | Sep 5, 2007 5:13:37 PMYou saw the price tag... you laid down the money.
What part of the transaction didn't you understand?
I bought a new Toyota Matrix... had I waited until this December to purchase the same year model car I could have cut a full $4k off the price of the identical car.
Big whoop.
Grow up.
SCOTT'S REPLY: Now DWalla, you understand we are talking about 2 months since the purchase, right? I think that's the key here. A year? Sure. 6 months even. But 2 months?
Posted by: DWalla | Sep 5, 2007 5:21:17 PMWHatever people - so Apple's not allowed to lower prices ever? If you bought it within 14 days you can get the difference refunded but if not - no one held a gun to your head to buy an iPhone in the first 2 months. Prices fall - people who bought HDTVs early on are pissed now too.
Granted this price drop was sooner than I may have expected but we all knew they'd drop the prices eventually.
SCOTT'S REPLY: Absolutely Marcos. But it's just so soon. And since so many people waited in line, it seems harsh.
Posted by: Marcos | Sep 5, 2007 5:21:23 PMI just bought mine a little over two weeks ago. I have been a loyal Apple customer for nearly 20 years. If they do not reach out to their customers on this one, I will certainly allow for a healthy waiting period after introduction prior to my next purchase.
SCOTT'S REPLY: Keep checking back here, Andre. I'll let you know what if anything comes of all of this outrage.
Posted by: Andre | Sep 5, 2007 5:36:12 PMGet over yourselves, people. You might not like it, but this is totally fairplay. I've seen computer prices drop way more in a similar timespan from release, and Apple is very, very far from the only transgressor (in fact, they plummet their prices less than the industry as a whole, which has a tendency to panic). Your congressman ain't gonna hold your hand on this one. And also, if you think that this is as angry as Apple users have ever been, then you haven't been paying attention. This is nowhere even close to the angriest Apple users have ever been. It does not even come close to comparing with the day they discontinued the Apple II line, for example, and guess what changed as the result of that brou-ha-ha? Nothing, that's what. So I suggest you shut up and take your bleeding edge cuts like men, or maybe start one of those pointless frivolous class-action suits that are so popular these days -- might as well whine to somebody who has the power to smack you down for it.
SCOTT'S REPLY: Apple II. Oh yeah.
Posted by: DBL | Sep 5, 2007 5:39:18 PMThanks Apple! I couldn't afford to buy it right off the launch...but now I can. How can you complain about Apple lowering it's margins to get more iPhones into the hands of its customers? That is thinking about consumer. The majority of people do not own iPhones. Do we here anger from them? No...just from the minority that must have the latest gadget to distinguish them from the rest of us. Well...that costs $200! It was your call. Prices always drop, or something newer and better comes out that costs the same...select any product that Apple has made or will make. It's a long established pattern.
SCOTT'S REPLY: You aren't wrong at all Tim, and I'm glad you can get one now. But it's just so soon. None of this would be happening if it were 6 months out.
Posted by: Tim | Sep 5, 2007 5:40:00 PMGrow up... Apple is taking a bold move. They are adopting aggressive pricing to capture market share. For years people have bitched about Apples products being to expensive. Now they will bitch about them being too cheap!!
Get a life folks. Quit moaning and remember the dictum of business Caveat Emptor.
SCOTT'S REPLY: Mike Brady said it ... Caveat Emptor ... It means let the buyer beware.
Posted by: Dave | Sep 5, 2007 5:41:45 PMAccording to Apple's website, you can request a refund if you bought the iPhone within 14 days of a price reduction. Which is sort of fair. As Shelley wrote, she waited two weeks from ordering, so I am not sure how the policy would apply there (mind you, that was from day one of the offering).
Apple is going to offer something... but personally, I've always seen Apple as business that should put a premium on products to people who want to line up for them. They never do. But being an alphageek has to come with a price. Though alphageeks always do yell the loudest in cyberspace.
SCOTT'S REPLY: Alphageeks. I like that term.
Posted by: Jim | Sep 5, 2007 5:42:06 PMHow To Get $200 Back If You Just Got An iPhone
Did you just buy an 8GB iPhone and paid full price? And are you feeling upset over the $200 dollar price drop that Apple (AAPL) just announced? Well there is a way you can help yourself and get $200 back. Apple’s store return policy states:
"Should Apple reduce its price on any Apple-branded product within fourteen (14) calendar days of the date of purchase, you may request a refund of the difference between the price paid and the current selling price. An original purchase receipt is required, and you must request your refund within fourteen (14) calendar days of the price reduction."
Just to clarify, if you bought the phone from Apple store, then you can get the refund from Apple. Otherwise visit the AT&T Store to request a refund.
Posted by: Dru | Sep 5, 2007 5:44:20 PMOn June 29th when I was standing in line to buy an iPhone and you told me that in 2 months the iPhone would drop by $200...I would have still bought an iPhone. On June 29th if there had been a shortage of iPhones and I would have had to pay $200 extra to get an iPhone...I would have. $200 for 2 months with the iPhone, yeah, it's been worth it.
But I'll still take an eCoupon if they offer it ;-)
SCOTT'S REPLY: eCoupon signed by Steve Jobs. I like that.
Posted by: Chance | Sep 5, 2007 5:47:03 PMThis is the world of consumer electronics... I'm seriously embarrassed for all of you that are completely freaking out.
How about this?... I bought the DVD series Band of Brothers a while back for $150.... and I kid you not.... less than a month later it was selling for $60 at a discount DVD shop near my home.
I wasn't screaming bloody murder like you guys.
Pathetic. Really.
SCOTT'S REPLY: Band of Brothers for $150? Really?
Posted by: DWalla | Sep 5, 2007 6:15:40 PMOne last thing.... market pressure MADE them drop the price to $399.... wasn't that what everyone was screaming when it first came out? That the iPhone was too bloody expensive? They let the phone ride the market and they obviously saw that the price tag was too high. Early adopters of ANY technology can expect to eat it in the wallet.... sometimes faster than others.
SCOTT'S REPLY: True. The pressure was on ... especially with the holiday shopping season approaching fast. Christmas trees up at Macy's in Chicago!
Posted by: DWalla | Sep 5, 2007 6:17:54 PMOK... I swear this is my last post.
So let me follow your train of thought.... because you guys were early adopters and purchased the iPhone at $600 means that the phone can only drop in price by small increments? Say.... $50 every 12 months for the next 4 years in order to appease you guys? Maybe you should form some iPhone committee that rubber-stamps whether or not Apple should cut or raise prices... and when.
Seriously... I haven't seen this much blubbering since my high school prom date broke the heel on her shoe.
SCOTT'S REPLY: But when did she break the heel in comparison to when she bought the shoes? If she bought the shoes 20 minutes before the prom, then there you go. If it was 6 months, then such is life.
Posted by: DWalla | Sep 5, 2007 6:21:20 PMI don't think a comparison to Apeture is fair since, IIRC, Apeture was buggy as all heck, worse than any product you can think of in recent history.
A fairer comparison would be to the Macintosh IIvx/Centris 650 episode where, three months after introducing the IIvx, Apple introduced a machine twice as fast for $300 less, and the purchasers of the IIvx got nothing -- except use of a decent machine for three months, something that they day before the Centris was introduced, the users thought was well worth the price they paid.
You have to realize this is technology products in a capitalist society. Prices are going to rise and fall without warning or much of any protection. At least Apple does the 14-day price protection. Think BP would give me back $0.20/gallon on the gas I bought yesterday, or SuperValu $0.75 on the gallon of milk?
SCOTT'S REPLY: Kyle has a point, although I think BP should refund the gas money.
Posted by: Kyle Griffin | Sep 5, 2007 6:28:07 PMApple has been doing this for DECADES! The first time it happened to me was back in 1989 and I had the same feelings of anger, betrayal and being cheated and all that. Now I just accept that price reductions can happen anytime and I only buy computers or electronic devices when they're at a price point I'm comfortable with, whether that means the day they're introduced or two years later. As a previous post mentioned, if you paid $599 at the time and worse yet waited on line overnight, then $599 was what it was worth to YOU at the time.
Posted by: Gene | Sep 5, 2007 6:36:44 PMI bought an iPhone when they were released and I still can't even use it yet (live is Australia) Am I upset that Apple dropped the price? No, we all knew the price would drop eventually...
Whenever the price drops, you'll always have people who paid the higher price 2 - 3 days beforehand... This is the cost of early adoption!
Although... If they had released an iPhone v2 today... (a 2month product cycle would be a bit harsh) But I'd still understand!
Posted by: Tristan | Sep 5, 2007 6:59:10 PMWhat are these people moaning about. They've got plenty of money to buy the latest, fanciest gadgets. So they spent an extra $200 to show off to everyone in eye distance. $200 should easily be worth the extra attention they were getting. They had to be the first on the block to own an iPhone. At some point in time, the price of the iPhone had to drop. That situation can happen at any time with any product. I paid thousands of dollars on Apple computers 10-15 years ago and now they're worth nothing. Tough.
They lasted a long time and I guess I got my use out of them. I'd recently bought a Sony HD TV and within six months it lost about $500 in value.
That's the way the industry works. No manufacturer is going to give you your money back every time there is a price drop. These whiners should move on with their lives. It's just a measly $200. They probably spent that much at the nudie bar last night.
Apple has been doing this for DECADES! The first time it happened to me was back in 1989 and I had the same feelings of anger, betrayal and being cheated and all that. Now I just accept that price reductions can happen anytime and I only buy computers or electronic devices when they're at a price point I'm comfortable with, whether that means the day they're introduced or two years later. As a previous post mentioned, if you paid $599 at the time and worse yet waited on line overnight, then $599 was what it was worth to YOU at the time.
Posted by: Gene | Sep 5, 2007 7:28:40 PMWhat outrage are you referring too? Post the links. I've been checking the non mac and mac sites and have read nothing of what you're talking about.
Post links to popular websites and not obscure little ones. You apparently are the only person thats seeing or feeling this outrage.
You paid 200 to be one of the first. No one forced you to become an early adopter. You wanted to walk around and strut...rub it in anyones face when given the chance...right? Yea so STFU.
SCOTT'S REPLY: Rene, you'll find the link to Apple's discussion board in my original post. That's a big site and well representative of what the people are saying.
Posted by: Rene | Sep 5, 2007 7:40:42 PMhey, at least you guys can buy the iPhone. It ain't due down here in little ol New Zealand until the end of next year.
in all i can see both sides of the argument here.... but i have to give kudos to scott... although he can consider himself being ripped by apple, i like the way he has responded maturely to all of the posts on here.... not your typically fanboy approach on many of the other sites.
cheers all.... enjoy ya iphones i say.
SCOTT'S REPLY: Well, thanks Steve. I try to be representative of both sides. And hang in there. You'll get your turn soon.
Posted by: steve | Sep 5, 2007 7:41:03 PMI am not a current iPhone owner, however, I agree that Apple should offer the more recent iPhone purchasers some type of prorated discount (the more recent your purchase, the bigger your discount) in the form of a coupon or something. And ultimately, I think Apple will, once it sees how upset and concerned many of its iPhone owners are. So please be patient, iPhone owners - Apple will respond.
My second opinion regarding this matter is that if all current iPhone users would only step aside and stop thinking of just yourself for a moment and consider the bigger picture of Apple aggressively pursuing its one chance and opportunity to gain a lot of cell-phone market share while both opportunity and market inertia is on its side, ask yourself this question . . . if you were about to soon launch your much-heralded iPhone in Europe, Germany, France, and in many other countries overseas, yet you knew many people worldwide had already been complaining about the iPhone's high price tag, and because of this you also knew this was slowing down sales . . . then, if you were EVER going to lower the iPhone's price tag in order to entice more customers and to grab more sales, would it be best to lower the iPhone's price tag now, ahead of your coming overseas launch, and to introduce your phones overseas also at $399 . . . OR . . . go ahead and release the iPhone overseas at $599 -- and then later have to deal with a bunch of angry and upset customers not just in the US -- BUT ALSO overseas too! -- once you ever DID lower the price. Answer: it's far far better to just do your price cut now and get it over with - and especially with the upcoming Christmas selling season. Even if Apple has to pay out $100 to $200 coupons to a few-hundred-thousand upset iPhone owners in the US to keep them happy -- so what, that's still a small price to pay and Apple will easily make up that lost revenue from the massive increase in Christmas sales that will occur because of the price drop. In conclusion: anyway you look at it, if you were ever going to do a price drop, then the best time to do it was now.
Too many people and analysts like to refer to old an outdated business model which suggests that Apple should have waited about a year or more before initiating such a huge price drop on such a popular product - in order to keep customers happy. But the problem with that strategy is, how much money would Apple have lost overall during that year and in the interim through lost sales caused by the price tag being too high? Answer: far more than it could otherwise have gained by taking your medicine and lowering the price now - especially if you're on the brink of seeding your brand new product worldwide! And that's not even factoring in the point that during the interim and while your high-priced product is waiting for a year to go by, you'd be offering plenty opportunity for your many competitors to catch up and to launch similar devices already priced much cheaper, enabling them to easily gain much market share and a competitive foothold in the market. No, anyway you look at it, and regardless of what most people think . . . if Apple was ever going to do such a cut as this, then its best time to do it was now. And it did.
SCOTT'S REPLY: Very informative comment, secret squirrel.
Posted by: Secret Squirrel | Sep 5, 2007 7:46:36 PM$200 plus tax is what you pay for your iGottaiPhone vanity and impulsiveness, you gotta-have-it-right-away idiots.
Try looking in the mirror for your blame. Projecting your self-'Doh!' onto Apple will only delude you into buying yet another brand-new version 1.0 Apple product again someday, only to start the cycle of 'outrage at Apple' again. Sheesh.
SCOTT'S REPLY: I'm impulsive, and I like vanity. I'll even take the blame for waiting in line if you'd like ... but I'm not a loser. And neither is anyone else here ... they just want a fair shake.
Posted by: Lefty | Sep 5, 2007 7:58:14 PMI was "outraged" at the original price. Now I am not "outraged." ;-)
Buy low, sell high. Too bad if you took the plunge early on. Learn a lesson.
SCOTT'S REPLY: And JJIrons, tell us what that lesson is. To wait? That's the lesson?
Posted by: JJIrons | Sep 5, 2007 8:14:58 PMI bought 2 of the phones at $599. each. We love them and have had several months of use that others have naught. I am fine with the price break. Quit yer crying.
SCOTT'S REPLY: You got a tissue, Brad?
Posted by: Brad | Sep 5, 2007 8:16:27 PMAmericans are whiny people with victim attitudes.
A company can cut prices at anytime. Get over it...
People on this board she be more upset with what medical or dental work costs in the U.S. ...rather than a price cut to the iPod.
What a bunch of babies.
SCOTT'S REPLY: Personally, I'm outraged at the cost of going to the dentist. FWIW.
Posted by: AppleFan | Sep 5, 2007 8:16:28 PMIts your own dumbness for having to be the first to buy the new product!! Plus its a 1.0 product......who buys 1.0 products, expecially from Apple!! And the prices to begin with, were outragous........Maybe some of you learned your lesson.....but I doubt it!
-DB
SCOTT'S REPLY: I asked a previous poster. What is the lesson here? To not buy on the first day??
Posted by: | Sep 5, 2007 8:20:14 PMBleeding edge crybabies. So the price drop came sooner than you thought. You state ok if price drop comes after 6 months but not after 2 months. So you are saying it was ok for you to pay $200/180days = $1.11 per day for being the cool kid on the block but not 200/60 = $3.33 per day. But the guy buying a new model car in August instead of year end sale model for $4000 less is paying round $30 per day for the coolness.
Also WebObjects cost $50.000, then one day in 2000 it was dropped down to $699 or down by 98.4% !! And in 2005 it was included for free in Xcode.
SCOTT'S REPLY: Björn, that's logical and fair.
This is ridiculous. Is my iPhone "less" because of the lower price? No. Can somebody get a better iPhone than mine at any price? No.
It's still the same iPhone you bought.
Getting it into the hands or that many more people means there will just be that many more apps for it, and web sites that work with it, and IT deprtments that have to support it, etc. This is a GOOD thing, people. Quit cryin'.
Is a price drop this soon a bit unprecedented? Maybe (I don't claim to follow all price drops for all consumer electronics). But even if it is, this IS an unprecedented device, and Apple wants to rock the Christmas season.
Chances are the original plan was to drop the 4GB to $399, but no one's buying them so they discontinued it and put the 8GB there. Bottom line us they likely wanted the entry at 399 for Xmas.
SCOTT'S REPLY: No doubt. It's good for the company and for stockholders.
Posted by: Tom | Sep 5, 2007 8:28:12 PMI don't have an iPhone because of the lock with AT&T-NSA. I do recall however, that most new, in demand products carried a premium price at their launch: those with that "I want that" cache about them. The iPhone was one of those products. It's only been out for a few months but did really well as a PDA, especially in July sales. Marketing decisions don't, and can't, please everyone. Apple could offer some this-or-that to those early adopters, but other than that....
Posted by: Ricardo | Sep 5, 2007 8:33:18 PMCan't anybody see that they are just trying to get rid of them so that in Jan they can sell the new updated phone? Second gen...that is for me:)
Posted by: Larry | Sep 5, 2007 8:45:11 PMI agree with those saying they are puzzled by the vitriol and outrage.
"Only two months!!"" So are you saying that two months and a week would have been "enough?" What about three months? What is magical and "fair" (your word) about those numbers? Someone somewhere is always buying just before any price cut.
You still have wonderful value for your money that you spent on an iPhone, it still has terrific functionality, you were a beta tester, you bought a full product.
You were the one who decided to buy on the first day. Do you want someone at the door to the Apple Store with a detailed questionnaire: Question #1: Are you really, really sure you want to purchase this device? Question #1: And you won't be upset if market conditions/technological advances/marketing change such that we can profitably reduce prices at any time? ...etc., etc.
Sorry. You can be disappointed you didn't get one kind of "deal." You can also be very happy with the deal you got which was really an excellent one.
SCOTT'S REPLY: As I stated earlier ... 6 months and this goes a whole different way.
I can understand some disappointment with the $200 drop. But the initial price was set based on unknown market expectations of what the iPhone was worth. Now, in September, 1) Apple knows how much it is making on each purchase, 2) Apple knows how much it's getting back from AT&T which might help to subsidize the iPhone price, 3) Apple is starting to get competition from other phone makers, 4) Apple has a better sense of the market size and trends, and 5) the holiday season is coming. Also, the iPhone market would dry up if the iPod touch cost $100s less...but an iPod would never make it at the same cost point as $599.
A different way to think about it the issue: if Apple now feels that $399 is an appropriate price, how would everyone feel if they continued to charge $599 for it till January?
SCOTT'S REPLY: True, Ken. It's impossible to please everyone. So there was probably no magical remedy to bring smiles to everyone's faces.
Posted by: Ken | Sep 5, 2007 9:11:53 PMI knew when it first came out that it was priced too high to sell. But so it goes with early adopters. It's the price you pay for the cool factor of the latest and greatest. I'm reminded of the words of George Bernard Shaw, in Man and Superman: This is the true joy in life. That being used for a purpose conceived by yourself as a mighty one. That being a force of nature rather than a feverish, selfish little clod of ailments and grievances complaining that life will not devote itself to making me happy.
I say count your blessings that you were able to afford it in the first place, think of all the cool stuff you did with it, how worth it you thought it was, and then welcome the newcomers to your party like a friendly host instead of the person they have to call the cops to remove because they got beer on their shoe. I feel your pain. It's not that painful.
Posted by: Rickster | Sep 5, 2007 9:18:15 PMI see this as an outrageous act on Apple's part. I've always been able to depend on them for great products and good customer service. Because if this, millions have remained dedicated fans of Apple. Take the iPhone launch for example. Hundreds of thousands of dedicated consumers stood in line and fought to get their hands on the iPhone. Those loyal customers which make up a majority of their consumer market got nothing but a slap in the face from this price-drop. And the worst thing is that Apple hasn't done a single thing to thank these loyal customers. I am one of them and even a $200.00 coupon to the online Apple Store, or something of that sort would have been nice. The lack of response for these customers and the plain, utter disregard is disappointing. This has angered exisiting iPhone customers and a majority of the Mac community to an unprecedented amount never before seen. Because of this, I can guarantee that Apple will never see a product launch as successful as the iPhone ever again because of their choice (and mistake) to ignore their most important and vital component to their success, their loyal consumers.
SCOTT'S REPLY: Actually, David, I think as mad as folks are now ... they will forget by the time the next iPhone is announced.
Posted by: David K | Sep 5, 2007 9:30:39 PMSo, when I go to Macy's and buy a dress shirt for $60, and just a couple days later that same shirt goes on sale for half the price, should I get credit or refund? Everyone wants to get the best deal. At the time you bought your iPhone for $599, that was the best deal. Today, the deal is $399. Being a loyal fan (as I am) does not mean Apple owes me money back when they change the price of a product. The 30 machines I purchased just a few months ago are now a good $200 less per machine. Am I entitled to a credit or refund because I buy lot of machines? Am I entitled to a credit or refund because Apple lowered the price after the time I needed the machines? Being an early adopter does not entitle you to special pricing or privileges. Instead of satisfying my desire to have an iPhone when it first came out, I chose to wait until the price dropped. You chose to buy it early. Sometimes we have to live with choices we make that in hindsight seem wrong. If the price had not dropped today, would you still have chosen to buy yesterday? I bet you would.
Posted by: Me | Sep 5, 2007 9:50:17 PMThe iPhone was "worth" far more than the $599 I paid for it. My answer to anyone who asked was "It is the best phone ever." It still is. And I am happy that now I can buy my wife one, though I am bummed about my AAPL stock price.
SCOTT'S REPLY: Chris, you raise a good point. I don't think any of us are regretting the purchase at all. I think it's just that the people who spent the time testing it for the most part end up payig for the privilege.
Posted by: Chris | Sep 5, 2007 9:50:27 PMI have been a loyal Apple consumer - NO APPLE, NO MORE. I reconciled going in the door to buy the iPhone that I would lose $175 to break my contract with a very good cell phone carrier because the iPhone could only be carried by a marginally good carrier. I knew that - no one put a gun to my head. Then AFTER purchasing I read about all the hassles if you need to get your battery replaced. AFTER purchasing you learn you need a new car adapter, a different charger -- that nothing you have that works with your iPod works with the iPhone.
When purchasing I asked if I could use all the features of the iPhone except the Phone (Which is what I was truly interested in in the first place) - no - not possible I was told - won't be possible. So I bought, laid my money down, waited to get my service activated by a marginal company who took its time - once I was finally up and running I did fall in love with this new gadget. I felt I was finally hitting my stride with it as the updates cleared up some annoying bugs - then WHAM today hit.
$200 cheaper and an iPod that does exactly what I was looking for.
To those of you who say we are whinning -- when you bought your HDTV were you limited to only one provider for your service and a crappy one at that? Did you have to wait a week before your service could be activated? Did you discover that after buying it an integral part - say the plug - could only be repaired by one company and you needed to take your HDTV to that company and be without its service while they changed it? Did you discover after the purchase that you needed to outfit your home with a different kind of plug? and that the headphones you bought with your previous TV won't work? And then 60 days after purchasing that new HDTV no 60 days after it had been introduced - - they dropped the price of that TV by 1/3?
Yes it is technology, and yes prices drop, but they do NOT drop a third of the original price in 60 days. No company other than Apple screws its customers like this...ESPECIALLY on top of all the other problems the iPhone was having.
If Apple wants to improve the iPhone sales they need to improve their image and reputation --not screw its most loyal customers for it was their loyalists who waited in line for what they thought was going to be a reward for being loyal - instead - as someone so aptly put - we paid to be beta testers.I still love my iphone but I am extremely disappointed that Apple used and abused my loyalty and I now walk around with a big CHUMP on my forehead.The disappointment in their lack of integrity hurts far more than the near $600 I am out. I am angry because they used me and highlighted my stupidity in front of a cast of thousands - this is the place the whinning comes from.
I could go on about the retired couple who bought each other one with their savings, and the dad who bought three for each member of his family... there are going to be many of these stories for days to come. I personally think it was a PR disaster for Apple to do this so soon to launch. I cannot think of anything they could do to make most people feel any better about the circumstances or renew people's trust in them.
SCOTT'S REPLY: Passionate, Kathy ... as all my callers are. I love it.
Posted by: Kathy | Sep 5, 2007 9:50:46 PMScott,
You claim you're not a "loser", yet you insist that you have been "victimized" -- you can't have it both ways. Many of your fellow "victims" could hardly wait the three months from the iPhone's announcement to it's ultimate release. For sure, there would have been an ugly scene had Apple said at the end of June that you would have to wait another two months, even with the promise of a $200 price reduction.
The price reduction, regardless of its timing did not make you a victim -- YOU have made yourself a victim. You can rationalize all you want, but Apple didn't make your buying decision.
If Apple would have had to raise the price by $100 dollars two months after your purchase, would you have felt the least bit obligated to send them the additioanl C-note?
SCOTT'S REPLY: I appreciate your input, brotherStefan.
Posted by: brotherStefan | Sep 5, 2007 10:03:56 PMIt is interesting that the majority of people who are stating that those who are complaining are whiners, are not iPhone purchasers. It is easy to cry spoiled when it did not happen to you. I'm not going around bragging that I have something you don't. I saved specifically to get my iphone. I was excited to have something new and cutting edge. I am disappointed that a company I trusted used my excitement and my savings to test market a new device. This is why the rest of the industry uses focus groups. Scott, the lesson I learned is to never buy Apple -- especially not the first version. New technology is not to be trusted.
I know people who bought iPods 15 days ago and they are just as angry. A lot of kids, children buy iPods with babysitting money and with money they got by mowing lawns. It is the end of the summer and they proudly purchase their iPod only to find if they had waited two weeks they would have had a way better product. They too feel sucker punched - there must be a better way. I support Apple's innovative developments, I applaud it and am grateful, but it burns us all when we are the ones being burned. It is human nature -- not the reaction of a spoiled child.
Posted by: Kburd | Sep 5, 2007 10:18:00 PMI'm Mad! To all those who are calling me a baby for being upset. Please consider buying an iPhone today then send $200 to one of us 'whiners'. At that point you will have received the same "deal" we did. Then post your message of how magnanamous you are. (i.e put your money where your mouth is)
SCOTT'S REPLY: :-)
Posted by: Craig | Sep 5, 2007 10:29:24 PMThe upset people are the ones that saved some money by purchasing the 4Gig version only to discover that now people will have the 8Gig and wil have paid less. That is what is really getting to many.
By the way...it is still version 1.0 so anybody buying now do not think you are so darn smart.
SCOTT'S REPLY: Actually, the 4GB iPhones are on clearance for $299. There's no difference between the 4 and the 8 other than the memory storage. So it's the same 1.0 that, by the way, is worth whatever you paid for it.
Posted by: Kevin Lamb | Sep 5, 2007 10:30:22 PMOk, so if it will make you feel better, when you go to by your next iPhone, simply donate an extra $200. There, see? It's still the same price as what you paid the first time around.
Posted by: britishcar | Sep 5, 2007 10:54:12 PMWhat a bunch of whiners...
"if I'd known, I would have waited!"
What kind of company announces upcoming price cuts?
"$200.00 is a lot of money to cut!"
You thought it was worth $600.00 when you bought it...why don't you think so now that the product is cheaper?
Sorry you all feel screwed. Those of us with more patience than money come out on the better end every time.
SCOTT'S REPLY: In theory, but nope, not every time. You haven't got to enjoy the iPhone since June 29th.
Posted by: Galaxy5 | Sep 5, 2007 11:40:48 PMThe comments to this entry are closed.






