AirPods and Apple Watch headphones are too cheap according to an analyst who believes that Apple sells the products cheaper to attract customers. He compares the current period with that of previous years, when Apple sold products very expensive just to generate the impression that they are premium, calling this strategy a "taxation" imposed by Apple, the "Apple Tax".
It was practically a "tax" on snobbery that many paid, but the analyst claims that now Apple sells its products at prices closer to reality in order to generate large sales and attract customers. He claims that if AirPods and Apple Watch had been launched a few years ago, they would have been much more expensive than they are now, just because they are manufactured by Apple.
In the case of AirPods, the analyst says that the price of 160 dollars charged by Apple is almost 100 dollars cheaper than other competing products with similar functions. Only those from Bragi have a lower price, but even Samsung sells wireless headphones for smartphones at a higher price than the one charged by Apple for AirPods. Here are the prices of similar products taken into account:
- Canoe: $300
- Dash Bra: $299
- Erato Apollo 7: $289
- Skybuds: $279
- Price: $249
- Motorola VerveOnes+: $249
- Samsung Gear IconX: $199
- Bragi Headphone: $14
The analyst believes that if AirPods had been launched before 2010, they would have cost at least 250 dollars, or maybe even 300 dollars, not 160 like now. Having now such a low price for AirPods, the Apple company attracts more customers than its competitors and forces them to radically lower their prices in order to be able to sell their products.
In the case of the Apple Watch, the analyst makes similar comparisons in the Apple Watch Series 1, which is sold for $270 in the US, half of what Garmin asks for similar wearables. Even Samsung Gear S3 is more expensive than Apple Watch Series 1, but it has the same price as Series 2, only Fossil having a price close to Apple. Here are the prices of similar products taken into account.
- [Garmin] Fenix 5: $599
- Garmin Forerunner 630: $399
- Michael Kors Access: $350
- Samsung Gear S3: $349
- Fossil Q Founder: $275
Looking at things from this perspective, Apple's prices seem good, but wearables generally have far too high prices compared to what they offer. The same can be said about wireless headphones, which are sold at very high prices only because they allow the elimination of cables.
So, what do you think about this theory?
