Apple cant sell the iPad at a reduced price? Or the beginning of readjusting the price policy

 Apple cant sell the iPad at a reduced price? Or the beginning of readjusting the price policy

Apple China announced to reduce the price of its iPad. According to the official adjusted price, the price of the 32GB and 128GB versions of 2019 iPads is 2499 yuan and 2999 yuan respectively. The original price of the two versions is 2699 yuan and 3499 yuan, with a decrease of 200 yuan and 500 yuan respectively.

This price adjustment is extremely rare in apple. Beijing Business Daily reporter learned that only when new products are to be launched every year, Apples official channel will reduce the price of the new products of the previous year, and the price reduction is usually in the e-commerce platform channel, and now its more than three months since the launch of 2019 iPad.

In March last year, iPhone prices of Apples major e-commerce channels dropped sharply. At that time, the staff of Apple experience store in Joy City, Chaoyang, told Beijing Business Daily that the prices of physical stores had not changed and the prices of official websites had not been lowered.

Kang Zhao, a communications expert, said that Apples official channel lowered the price of 2019 iPads, which means that Apple has noticed that the prices of various channels are different. After the price reduction, the prices of various channels are more consistent, and the e-commerce channels will have no obvious advantages.

Beijing business daily interviewed apple in China about whether it would maintain the same price in all channels in the future, but as of the press release, the other side did not give a response.

This is Apples first price adjustment in 2020, and there are generally three reasons why companies take the initiative to reduce prices. Ma Jihua, a telecom analyst, pointed out that the first is to develop new products, the second is that the products are not easy to sell, and the third is that the pressure from competitors is great. I think there may be three reasons, but in the Chinese market, the second and third may be the main reason.

Indeed, in the Chinese market, the iPad has been surpassed. According to data released by IDC, a well-known market research organization, Huaweis tablet computer share in China reached 37.4% in the third quarter of 2019, surpassing Apples 33.8%. The formers shipment volume was 2.12 million, while the latters sales volume in China was 1.92 million.

Apples official price cut may also be to stimulate sales during the Spring Festival. Ma added. According to Kangzhao, the price of 2019 iPads is lower because they cant be sold. The storage version of 2019 iPads with low configuration is 32GB, which is not as good as smart phones. There are not many TV plays to download. The A10 processor is too old, and the camera with 8 million pixels is far worse than the camera of mobile phones..

In Kang Zhaos view, the price reduction of 2019 iPads can not fundamentally change the fate of this product. The overall demand for this product is decreasing, and the product differences and user perceptions between different manufacturers are not obvious. In addition, Huawei occupies a large share of the industry market on tablet computers, which leads to Apples only strength in the public market, and the market growth is not a weak problem, Its about shrinking.

However, for apple, price reduction has become the norm, even on the cost-effective route. At the beginning of last year, apple sharply lowered the iPhone prices of, and; in March last year, the iPhone prices of, and dropped sharply again, with a maximum drop of 1700 yuan and a wider range of price reductions. The price reduction measures are indeed effective in the short term. Half a month after the price reduction at the beginning of last year, tmall data shows that iPhone sales increased by 76%; Suning data shows that from January 11 last year to January 30, Suning e-commerces iPhone sales increased by 83%.

In addition to the price cuts, Apples flagship machine last year was also surprisingly priced, with the iPhone 11 basic model 1000 yuan cheaper than the previous years.

Hong Shibin, an industry observer, believes that although Apples price cut this year has led to a sharp rise in sales, as a high-end mobile phone brand, frequent and substantial price cuts will hurt the brand value, and many consumers will start to wait and see. It is estimated that new phones will not be bought until the price is reduced, which will affect Apples premium ability.

Some people hold different views: the establishment of a brand is not a matter of one day and one night. So even if the iPhone is implemented in a large area, it will be difficult to affect its high-end brand positioning in a period of time.

Its worth noting that Apples mobile phone has been far ahead of other brands in terms of the profit share of the mobile phone industry. According to the global smartphone total profit data released by counter point research in the third quarter of 2019, the smartphone total profit in the third quarter is about 12 billion US dollars, of which Apple occupies 66%. Samsung accounts for 17% of the remaining 34%, while Huawei, oppo, vivo and other domestic mobile phone manufacturers share the remaining 17%.

Ma Jihua predicted that in the future, all Apple products will enter the active price reduction cycle, after all, it is no longer high.

Source: responsible editor of Beijing Business Daily: Sun Yue Gou nbjs9661