How much does an iPod nano really cost?
A new study has just revealed the cost of the parts that go into an iPod nano from Apple. Canyou guess what the mark-up is?
A new study has just revealed the cost of the parts that go into an iPod nano from Apple. Can you guess what the mark-up is?
Are you paying too much for your iPod nano?
According to semiconductor researcher iSuppli, Apple’s new 8GB nano costs US$83 in parts and computer components. You pay $219.
A 4GB nano, which costs $169, costs Apple US $59 in parts.
In all fairness, not only is Apple trying to turn a profit — after all, it is a business — but there are other cost considerations, such as packaging, distribution, retail costs, marketing and public relations, technical support, and other expenses.
Do you think Apple’s pricing is fair or not?
Hey, if people are willing to pay, why not. Its not like they just make one high priced model, you have choice.
I can guarantee you, I can't buy the parts and assemble an 8GB iPod Nano for $83… neither can anyone else, unless you're doing the kind of volume that Apple is.
You forgot to factor in labor to assemble, packaging, shipping and logistics, and marketing — I'm sure there are other costs associated with iPods as well.
Parts are only a small piece of the iPod Nano pie.
You are right that there are addition costs such as research and development
I think it's totally fair. Obviously other people think it's fair too or they wouldn't be buying them. Look how much advertising goes into IPods too, that's gotta cost a bundle. Along with everything else mentioned by Golf Pro it's probably going to get pretty expensive. I'll keep saving up for my IPod :)
Another thing not mentioned is research and development those are all dollars spent before the thing even gets to production. So yeah, I think its fair. Think of it as investing in the capital to fund the R & D for tomorrows new hot gadgets!
I think it's absolutely remarkable what we now take for granted!
A few years ago you just couldn't buy anything remotely resembling an ipod nano no matter how much money you had.
Lots of people poured their hearts and souls into the parts the device itself and getting it delivered to the store nearest you.
I think that should be amply rewarded. Don't you?
Yeah, I guess it's fair with the research and developpment and all that expensive stuff it would get more expensive to make But hey, it's already cheaper that the last generation and it's got video support and a 2 inch screen. How sweet is that?
Well, they say a human, boiled down into their individual chemical elements, is worth just a few dollars worth of nitrogen, carbon, oxygen, calcium, etc. So I suppose the iPod is worth a lot more than we are.
Having worked in the retail field for many years until recently, I've always found it amusing with Apple. An ipod priced to sell at $219 would have a cost to the retailer of about $216 and Apple would keep their prices set so retailers couldn't compete against each other for price. Apple is definately making their profit back on the entire ipod line.
Not to forget that the $219 ipod will usually cost you $400 by the time you buy ever accessory under the sun for it.
It's not the public's right to own an ipod, nor is it a necessity. There are much cheaper alternatives anyway. Of course it is totally fair to charge any price you want, it will only hurt you (Apple) in the end; if your margin is too high, it will cut into your volume. If its too low, the increase in volume may not be enough to cover the markdown in margin. It's not as though Apple simply dreams up a price, plenty of careful analysis is put into it.
Apple is amazing, first they create a device that works marginaly better that what is already on the market. Then make it incompatible with everything; create a line of products which can only be used on your devices, oh and write an iron clad user agreement so that the end user really doesn't own any of the product they buy. The best part is we all know they're doing it yet we still rush to the store to get the latest white piece of plastic released!
I do not have an ipod
I have a Sony MP3 player, and it sounds really good but in terms of use really sucks. Trying to get songs onto it is tough… takes so long. Is really hard to get into the part where my usb cable plugs in, battery cover has opened on its own. It feels like it is cheap btu actually has stood up to a lot of punnishment. Still, I'll be glad to get my Ipod touch. :) My boyfriend has one and its soooo much better than my crappy sony mp3 player.
i think its fair cuz you have to pay the shipping and labour and all that but still it sucks
I Love nano ipods . bye
I think mmy ipod is worth every penny!
I just recenlty purchased an ipod nano, and i love it. It seems like everyone on this page is gearing towards the same answer, and i am too. Its definetly worth every penny. They could sell it for 10-20% less they the currenty retail price. However, the experts who create and think up these idea need to get paid well. If you pay them less, then they won't work to their max potential and in the end we get a product that is just not that exciting (plus all other other cost factors involved in the production). So there you have it, its worth the value of what it does, and maybe more – just don't tell apple that!
WHY SO EXPENSIVE!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
Yo Its FriggaG Q WHATS UP WITH ALL THESE NANOS
i need to know how much it cost in canada
so in canada true i even need 2 know how it cost
they also forgot to mention the cost of labour. some one has to make them.
who cares if their trying to turn a profit, that's what business is about.
if you don't like it don't buy it.