With yesterday’s iPhone release, Apple changed things up by going to a “good-better-best” pricing strategy on its new devices. As it always does, the company showcased a new and improved iPhone model — the 5S — which provides faster processing, a better camera, and James Bond-like fingerprint security technology. Prices for the 5S in the U.S. start at $199 for customers who commit to a 24 month contract, and $649 for those who prefer not to be tied to a two-year financial obligation. Apple also released a lower priced iPhone, the 5C (many view the “C” as a moniker for “cheaper”), which in essence is old technology — similar to the current iPhone 5 — in a plastic backed case available with a variety of new colors. 5C prices in the U.S. start at $99 on contract and $549 off-contract.
Apple’s iPhone Pricing Strategy: Good, Not Great
And the intended outcome could have been accomplished with a better strategy.
September 11, 2013
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Learn how to keep your customers—and their most important needs—front and center.