Moved to Forum: Original Link
Apple's put up prices on iPhones by around 15% overnight, but outlets haven't reacted yet, meaning if you're going to get an iPhone 6, 6 Plus, or 5S, get one today, from somewhere other than Apple.
More explanation and comparisons here: http://www.techly.com.au/2015/03/10/apples-iphone-prices-in-…
lol blame the exchange rates……
Incorrect.
We are talking about high end phones not grain, oil, other commodities, etc which people require to live.
High value-add products have a more localised market influence on pricing - Aussies can only spend money on unnecessary items in relation to their disposable incomes. As the amount of disposable income available for Australians are quite high firms that supply high value-add products can test the market with higher prices. This is essentially called the Australia Tax and only applies to unecessary items but people will spend on as it wont send them broke.
This has created a gravy train for the likes of Apple, M$, Samsung, film and music industries where there is low level competition for their products but lots of money available to spend on them.
Apple may politicise their choice to raise prices due to exchange rates where essentially it is just eating into rarely inflated profit margins. If local disposable incomes do not increase with their prices they will effectively price out a portion of their current customers. Obviously they have done their homework to forecast if this is sustainable but i imagine it won't be in long run and is too favourable for new competitors from China. We even may see a local trend build away from flagship devices altogether which current competitors have filled that market somewhat already.
Actually, in this case it was exchange rates. The US$ has increased sharply in value in recent times against most currencies, the Euro being the hardest hit but the AUS$ has also suffered. There have been big increases in price overnight for Apple products in Europe, Canada and New Zealand.
Having said that, Apple could've easily absorbed the decreased margins on products already marked up so high.
Hopefully they will suffer a sales backlash.
why didnt apple drop its prices when the aud was high
@wkd: Because they don't care about their customers, the only care about their profits.
All the apple fanbois have a false sense of care from Apple because they are in denial.
@gummibear: Can you explain why when the Aussie dollar is doing awesome they don't drop the prices of iPhones, but when the Aussie dollar is doing crap then they raise the prices? lol.
Companies love raising prices but hate dropping prices because in their eyes its all profits.
I bet if the Aussie dollar suddenly goes back up to 90c against USD, they won't decrease the prices by 15% lol.
If you were a business, you'd think the same "People are willing to buy it for 15% more expensive, therefore there is no point in decreasing the prices! We are making more profits now!"
@lplau:
That's a lot of unnecessary typing. You could have said "no I don't have any links to back up my statements"
@lplau:
People tend to ask questions when they don't have answers, thus trying to redirect the conversation.
Is that what you are doing? As it stands you still haven't provided any links to support your statements
@gummibear: Lack of links proving that they will decrease in price proves my point. But there is plenty of links saying they are raising prices everywhere. haha I guess the proving that they will decrease prices should be your task.
Links:
Apple Price Fixing (If they really cared, they shouldn't have done so): http://www.abc.net.au/news/2013-07-11/judge-says-apple-consp…
Apple price hikes:
Recently Australia: https://au.news.yahoo.com/thewest/business/a/26637114/aussie…
Previously in Russia:
http://www.bloomberg.com/news/articles/2014-11-26/apple-rais…
@lplau:
Have a look at your original statement
1) Because they don't care about their customers,
2) the only care about their profits.
3) All the apple fanbois have a false sense of care from Apple
4) because they are in denial.
Those are the comments you still haven't supported with any links. Of the three links provided you have 1 about ebooks, and the other is about prices in Russia.
Neither backup the above 4 statements you have made.
The third link is about iphone 6 pricing in Australia which is relevant to the OP, but still doesn't back up any of your statements.
@Rookie117:
Hell no.
Not a FanBoi either. I think iTunes is a POS and am very much against the DRM Apple built into a lot of their stuff.
Sheesh, so much conjecture, how about providing some facts? AUDUSD was ~91.5c on announcement and is now ~76.7c, a 16.2% drop. Taking the base iPhone 6 as an example, $869 —> $999 is a 15% price increase, i.e. if anything they're actually taking a hit to their margins. How is that in any way unreasonable? Obviously they would hedge, but no more that a couple of months usually. You'd be a fool if you think any other US-based company isn't going to raise prices for their upcoming products in line with the exchange rate drop.
Have you even considered the effect of exchange rates on costs of producing products, costs of retailing and advertising in fellow 1st world export markets? That must have absorbed some of the reduction in sales due to exchange rates. The facts are there but do we have all day to research?
It doesn't even matter anyway as what has changed in the local market which justifies the price increase. The market drives the price, not the other way around, you do not need an iPhone, you need commodities which will be affected by exchange rates. The western business model would say push the margin out as high as we can, which Apple and co did, but exchange rate risk is a factor they have to bare until the market is satisfied with higher prices. Apple have just asked their customers to help out their poor shareholders, the fan base would hit new lows of they tolerated this.
even starting from $1149 for a phone..
Sweet as - time to profit and sell my new 6 and wait for a S6 Edge lol
buy as many as you can. and sell them in a few days time.
$$$ profit. easy.
"I just bought this watch, but I didn't realise that I needed a phone with it, how much?!"
just need to turn the dial to wind the springs inside.
15% is a slim margin after seller fees and your time.
iiNet still have them at their original cheaper than Apple price.
iPhone 6 - 16gb - $840
iPhone 6 - 64gb - $960
iPhone 6 - 128gb - $1080
iPhone 6+ - 16gb - $960
iPhone 6+ - 64gb - $1080
iPhone 6+ - 128gb - $1200
Contract only or can I buy the phone outright without a contract?
To answer my own question. Can buy outright but need to buy the Sim and 1 month of service. Ends up costing $995 if you cancel after the 1st month for the 64Gb Phone 6.
Yes - you are correct.
iPhone 6 - 64gb - $960
One month plan - $14.95
SIM Card - $20
TOTAL $994.95
or for the cheapest model…
iPhone 6 - 16gb - $960
One month plan - $14.95
SIM Card - $20
TOTAL $874.95
@GaelicAU:
iPhone 6 - 16gb - $960
One month plan - $14.95
SIM Card - $20
TOTAL $874.95
Your total is wrong
@ms:
You are correct there is an error however the total is the correct.. The iPhone 6 16gb is $840.
Hi I just managed to call iinet and asked them if they can wave 15+20$ which they did. So 64GB iPhone 6 gold dispatched today for 960$
buy from jbhifi (15% off rrp), fly overseas claim 10%, comeback, sell at 10% off rrp, profit is 15% (from $1000 means $150)
how do you get 15% off rrp ?
this thread says that? apple store is currently having the price 15% more than jbhifi.
i didnt say 15% off from jbhifi rrp :)
hahaha fair enough.
That would've been ~13.04% off RRP…
Too late
JB Hifi have increased their prices
Unbelievable. Can't believe the cost of phones these days. Spent $747 on my Galaxy S3 and never spending that much on a phone again.
Seriously, wtf. Us aussies just cant catch a break.
No one's putting guns to their heads, they're buying it out of their own free will.
is apple copying the bible?
Funny, I don't recall them dropping their prices when the AUD exceeded parity with the USD. Must be old age.
They did drop their prices when AUD is higher than USD. Remember when the App prices were $0.99 before that it was $1.29 and last year they increase it back to $1.29. And they don't charge ridiculous Australian Tax. Take a look at the current Apple Watch. It is selling for US$349 = AU$458 + 10% GST = $500 which is the same price as their AU store.
When the Apple webstore came back up following the "Special Event" this morning all prices had gone up.
http://www.techly.com.au/2015/03/10/apples-iphone-prices-in-…
It's not just iPhones as stated in the article. Have a look at the site and now everything is more expensive (Eg. A USB charger was $25 yesterday is now $29).
Other retailers don't seem to have jacked up their prices. Buy anything you need now I would say.
Fancy jacking up the price of old phones. The 6 Plus 128GB is now a ridiculous $1449. You could get a very decent notebook for that price!
I picked up an iPhone 5S 64GB from Officeworks last week for $799. Apple's new price for the 16GB is now $829 lol.
Yep USD$69 vs AUD$109. Cough cough.
Blaming exchange again but yet is another Australian tax. Sick of this already.
Either this excuse or something to do with wealthy chinese students doing massive stock up for Chinese new year presents. You bet!
iPhone 6, 6 Plus and the Macbook Airs are all still at the price they were at before Apple increased their prices today. Not sure about other products as I haven't been following the pricing of those (ie Macbook Pro, iMac, mac mini) but should all still be the same.
Also, free shipping on orders more than $100
Just to note: the new price of the iphone 6 16GB is now $999, and the prices for all other products have also increased
How much did they increase the prices by?
Most computers by $100 or more.
MBA and MBPs went up in price because of their upgrade to Broadwell though
iphone 6 16GB went up from 869 to 999. macbook air 11" base model went up from 1099 to 1249. not sure about others
I bet there are still enough braindead people that will support apples greed.
No need to bet, it is common knowledge. Apple fan boy are rich….
Braindead, that's an intelligent comment. The dollar has been falling for months at some point you would expect a price increase. I checked the Macbook Air and taking into account GST and exchange rates it's the same price here as the USA. You get what you pay for. Yes I would like them to be cheaper, but they are a premium product and they are running a business.
*You get what you pay for
Yeah right, that is why the same configuration many other manufacturers offer a lot cheaper. Sure, decent quality but not best. Especially for the, as you say, "premium product" price.
Another Apple Apologist. Keep drinking Tim's Kool Aid…
We should refuse to buy apple product if they increase the price!!!
to be entirely fair, at the original price, buying the macbook air in Australia was actually cheaper than buying the macbook air in the US. But on the other hand, it would've been nice to actually see some companies being nice to aussies for once.
Officeworks still have most of the models of iphone cheaper by a few dollars
outrageous pricing… it was exxy enough as it was and now they have to add a further apple tax. I was considering the 6 plus but think I'll just get the nexus 6…
A much better choice!
They don't. They don't exactly play by the rules either — their business is set up to ensure that Apple only needs to pay the minimal amount of tax using special tax structures — by shifting the profits overseas. Around 40% of their revenue is untaxed by Australia and anywhere else in the world.
Obama however is going to close the loophole, so I think Apple is just getting ready for that. By increasing prices not just in Au but also in other countries as well.
In the end companies will be companies, and they'll do whatever they have to do to ensure they profit and pay dividends to investors.
No, it is all the other manufacturers who's prices did not go up. O r have you seen anyone else increase their prices by 15%? Apple is greedy, simple as that.
Apple is the only one who can realistically raise prices and not see a massive decline in sales, because Apple products are more 'innovative' (in the sense that, the only IOS and OSX devices are made by Apple)
Now imagine if a car company raised it's prices by 10%. Or if Lenovo hiked it's prices up. It'd be suicide because there's loads of other car brands to go for and there are loads of other laptop manufacturers.
If they could, they would raise prices.
What the hell is innovative about IOS? Based on Linux just like Android.
Yes, they used to be but now they are just running behind. The only thing going for them is the loyalty of some customers, some major government/school customers and the image.
Once even Apple fans start looking after money Apple will take a big fall
@dosada: I think the quotation marks are there for a reason. Though that might be me reading between the lines too much. Though, I do agree with scrimshaw. The reason that Apple can raise the price up like this is because they have monopolistic power, they can raise the price without reducing their sales as much as they would if they were other producers.
It's just a company doing what company does, trying to maximise the profit.
I ordered from good guys today around 5:30pm and paid $858 + delivery for my iphone 6 16gb. Wonder if they'll honour it?
Why wouldn't they? Apple isn't going to invoice The Good Guys an extra 15% on stock they've already paid for
I had mine delivered on the same day. Paid only $2 for delivery.
Excellent service.
A clever piece of marketing…..get the word out that prices have increased 15% and watch people run to buy the phone at the price it was yesterday. Nice to see a fake bit of urgency.
Paid $505 for my LGG3 7 Months ago. Can't believe people still buy this apple shit.
lol I hope Samsung show the love with good pricing for new Phones
Apple is not alone in this exchange rate price rise. You'll find most us based tech companies have done it or are doing it soon.
What is interesting is how much % prices change by since last adjustment
This isn't anything other than adjustment for a poor Aussie dollar unfortunately so get in quick!!
Rubbish. Name one US tech company thay has raised prices by 15% or similar effect.
Touché! Happy to admit I'm beat, even though Cisco no longer really sell any consumer equipment…
But I think the underlying point is still valid, seems plenty of other companies can get by with their still ridiculous profit margin.
Cisco
Hp
Riverbed
Not rubbish at all. People are just more sensitive to consumer product changes but even fridges are increasing prices
Noted. Thanks.
HP raised the prices a few weeks ago on most of their Proliant and Enterprise storage lines….
Right. So between 3 different respondants, we've worked out Apple are the only company that have jacked up their prices at the consumer level. Oh and some anecdotal evidence on the ever increasing price of fridges. Thanks.
Even the refurbished products have gone up in price…
YEAH now that is f'ing despicable.
Everyone should be boycotting the Apple Store from now on. Really there has never been a reason to shop there as you can buy Apple products anywhere often at a slight discount.
I really don't understand the people who line up for hours/days to pay FULL RRP on a newly released product. But then some may be making money as well. I have a friend who got offered $200 to line up for the last iPhone that came out.
Increasing prices for a new product that has launched is understandable. Increasing prices for products that are 6-12 months old is incomprehensible. And we're not talking about a small 5% increase either. This is a 15% slap in your face increase on EVERYTHING they sell.
For the Apple apologists that say this is all about currency. I call BS. All costs (including currency fluctuations) are factored in when companies set an RRP for their product. The fact is with the release of every iPhone the price has gone up even if they are similar spec (eg. iPhone 5S prices were 10-15% above iPhone 5 prices).
This has nothing to do with currency. It is about corporate greed. Apple are pre-empting potential tax law changes in the US and other countries which will mean they have to pay the correct amount of tax in the countries they trade in. They have to maintain their fat margins somehow.
Hopefully Apple re-sellers don't follow the Apple Store lead. Retail conditions as terrible at present and the last thing retailers would want would be to drive business overseas or somewhere else.
I want to to use iPhone 6/ 6+ but they are too expensive. over 1k for a mobile is too much. but I have to thanks apple, I just spend a morning on the release day and get $240 for sell 2 iPhone 6.another $350 for 2 iPhone 6+ other online because many people can not get one after long hours waiting. now my contract finished and sign up for a 6+ but still decide use it or sell it. my lg g pro 2 bought from ebay $380 still working good.
I don't see any refurbished products with increased prices. Could you provide links to those products?
Sure! See here. Previous list price was $79. A quick google of "Refurbished Apple TV" will prove this, as their cache is still reflecting a $79 list price.
Apple has increased iphone price after 10/03 event. Catch up the last chance to get a iphone plus
Just picked up iPhone 6 64GB Silver for $997 at Harvey Norman.
So if you want one before they go up – Harvey Norman looks like the place.
congrat of becoming apple fanboy!
congrat of scoring a bargain of the year!
I got it from iinet for 960$ outright. No sim card charge. plus one month free 200$ credit. and I will cancel after that.
just signup for iPhone 6 plus 64 gb optus $35 plan + $37 for the phone , total $72
$72 - $10 bundle with broadband = $62 a month x 21 months = $1302 , apple price is $1299 :)
Shouldn't that be 24 months not 21?
hi, you could upgrade early with no fee in the last 90 days. , i did it with curent plan .
laid by an iphone 6 64 gb for $988.00 yesterday at Big W
still available
one thousand dollars for a phone….