Originally Posted by Mr. H
AAlmost no upsell? Nonsense. There's the faster processor, 1 GiB of additional RAM and 40 GB of HDD.
Yes, and if the the entry level had the burner, it would be a hard upsell to explain 3 things that the customer can't immediately identify with what the machine can do. DVD burning is a clear and easily-understandable feature that SEEMS to be worth some money. If told only about the extra memory, most customers would not cough up the $200.
You have to weigh the number of people who will be up-sold to the $1299 model against the number who are just thinking "fuck it, I'm buying a PC".
I think Apple has those figures - you and I do not. If the figures showed lots of customers walking out, you would see a strategy change. Just as we saw with the 4GB and 8GB iPhones, many (and for iPhone, most) customers when faced with an upsell that is priced "just barely within" what they are willing to pay, will pay it. For those who just can't bring themselves to make the jump, at that point they are far enough into buying one that they will buy the entry-level.
Go on Lundy, I know you want to say something "bad" about Apple; all these attempts to defend the indefensible must be tiring. Go on. It won't hurt. A combo drive in a $1099 laptop is ridiculous and you know it.
Exactly. It isn't worth it. That is why it will upsell.
I'm not defending anything - I am trying to explain how what you guys as customers think would be "nice" (for you) for Apple to do versus what an actual sales decision consists of.
As far as sales and marketing go, they do not care how much people complain - in fact, if people don't complain, the price is probably too low. The only thing that matters is whether they buy. And Apple has had no problem with the MacBooks selling - they are at 17% notebook market share.
You raise your average selling price by having a low-end model that isn't worth the money compared to the next higher model, and you price the next higher model just barely higher enough so that the customer is likely to go for it.
iPhones are a perfect example - once you are already paying $499 for 4GB, and they offer you twice the memory for only $100 more, it is very tempting, and most people went for it.