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Don't hate the playa, hate the game

Reaction to the introduction of the iPad mini yesterday was decidedly mixed. On the one hand, many Apple faithful praised the launch of the new tablet, which is half the weight of the third and fourth generation iPads, and can be palmed with one hand. On the other hand, many complained that it was simply a shrunken down iPad 2 with the same lackluster screen resolution. It also didn't help that many people felt that the 16GB iPad mini was overpriced at $329.
 
For example, Amazon's 7" Kindle Fire HD is priced at "only" $199, while a 32GB Google Nexus 7 will cost you $249. Even Barnes and Noble is hanging around in the budget realm with the 7" Nook HD, which is priced at $229. All of the aforementioned tablets have a higher screen resolution than the iPad mini.
 
With all the criticism of the iPad mini's pricing and specs, Apple' Phil Schiller has come to the rescue to defend Apple's newest tablet entry.

 
"The iPad is far and away the most successful product in its category. The most affordable product we've made so far was $399 and people were choosing that over those devices," said Schiller in an interview with Reuters.
 
"And now you can get a device that's even more affordable at $329 in this great new form, and I think a lot of customers are going to be very excited about that.”
 
Schiller believes that the $130 price premium over some competing tablets is worth it, and that the iPad mini will sell on its merits alone, not needing to compete on price. Apple points to the fact that the iPad mini is lighter, thinner, and has better built quality than the plastic-clad competition. And of course, Apple also points to 275,000 tablet-specific apps for the iPad platform versus a plethora of "stretched phone apps" for Android devices.
 
So, will customers buy into Apple's strategy?

Source: Reuters



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Apple users spend more anyways they are used to it
By bebimbap on 10/24/2012 2:15:42 PM , Rating: 2
http://news.cnet.com/8301-1023_3-57460254-93/mac-u...

apple users are willing to spend $20-30 more per night in hotels for the same room than pc users




By Shadowself on 10/24/2012 2:58:41 PM , Rating: 2
An old article. Also your interpretation of what is said in that article (and Orbitz' internal tracking) is wrong.

Besides it does not say (nor does Orbitz say) that Mac users are willing to pay more for the *same* room. They are willing to pay more thus they are willing to pay the extra for different hotels or different class rooms or higher level services associated with the same room in the same hotel. Nowhere does it say Mac users are paying more for the same room and the same services.


RE: Apple users spend more anyways they are used to it
By RufusM on 10/24/2012 3:12:22 PM , Rating: 2
Orbiz found that, over time, iPhone and iPad users spend $20-$30 more on a hotel room. They don't have to compare the same rooms. The point of Orbitz was making is they tend to just spend more money, not about the value they receive from the money spent.

The insinuation is that Apple users spend more money in general and, therefore, are willing to spend more money on a tablet; in this case the iPad mini.


RE: Apple users spend more anyways they are used to it
By EnzoFX on 10/24/2012 4:43:28 PM , Rating: 2
Except you and it are making the implication that to them, it's worth it. Stop the presses, there's an premium for Apple products, yet people still buy them? All while thinking it's worth it. That's a great testament to the product.


By Solandri on 10/24/2012 5:22:24 PM , Rating: 2
It's either a great testament to the product, or it a poor testament of Apple buyers. That they're willing to pay $20-$30 more for the same hotel room means it's more likely the latter.

That's not necessarily as bad as that sounds. It could just be that Apple buyers are on average wealthier, so aren't as discriminating about price. The people who buy first class airline tickets aren't stupid with their money. It's just that they're so wealthy that the additional cost of the first class ticket is pocket change to them.

That aligns pretty closely with my recommendation for Macbooks. If the person is basically computer illiterate and pulls a decent salary, I ask them to take a look at a Mac to see if they like it. A lot of artist types with decent jobs fall into this category. If they're low-income, I usually suggest going the PC route as better value for their money. And if they're technically competent or like to control exactly what goes on with their computer, I usually discourage the Macs due to their lack of user control and upgradability.


By EnzoFX on 10/24/2012 7:15:29 PM , Rating: 2
I didn't read it, but I thought these two just said that it was indeed not the same room. Whatever. It still comes down to the ecosystem, and the user experience. For better or worse, people are drawn to iOS. You can't discount this just on specs as some people here do.

And there's something to be said for value too. It isn't so clear cut for someone seeking value, as opposed to the cheapest possible solution. All the mac's I've used have lasted many years longer, than the pc's I've gone through. People use them longer, I think it's a combination of build quality and user experience. So I often recommend a mac if it's not too much more, knowing it'll last them 2+ years longer.


By tim851 on 10/25/2012 8:06:04 AM , Rating: 2
It's not the same room.

The original Wall Street Journal article explains that on average, Mac users rent more expensive rooms. Seeing as Macs are priced as premium products, you'd expect their customers to be higher income on average.

I'm pretty sure Merc owners on average pay more for a hotel room than Toyota owners.


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