Hopefully Apple will give us more information on the Canadian iPad2 launch soon. Not sure how it is in the other countries, but we don't have a price yet, or any other information. I was at an Apple reseller today and they didn't know how many units they were getting, what the prices would be, or even when on the 25th they can sell them (opening, 5pm...?). I'm expecting a $20-30 increase over the US prices (even though the Canadian $ is higher than US $ right now), but I'd still like to know all the details.
They should continue with the international launch as planned, but don't give the foreigners too many iPads. Make them wait in long lines, just like everybody else has to do here in the US.
Artificial supply shortage to drive demand - lineups and mass impulse buying expedited.
How do you drive a market to covet your product - tell them it's in limited supply.
This tactic is routine in a lot of business. People want what they can't have.
This is nonsense. Some companies need to do this to build hype (HP with its 5000 Windows 7 tablets), but when you have a sellout of over half a million devices (more than the rest of the industry has probably sold combined, over 2 years), then its really really unlikely to be artificial demand.
In fact, if you look at Apple's guidances with regards to the original iPad, they clearly stated that revenues would be constrained because of supply not meeting demand. If you look at all analyst reports from last year, they clearly agreed that Apple lost money waiting to be given out to them because the iPhone 4 and iPad supply could not match demand.
I find it hilarious that the same people who said that the iPad would not sell, and would flop, think Apple deliberately did not anticipate that it would be the biggest selling new type of product in history.
It would be polite of Apple to release it internationally according to the schedule they announced.
I've already arranged for the day off work on the 25th and want to claim a refund on the sales tax, which I can only do if it launches before a trip that has already been booked and paid for.
An international launch helps Americans get their products quicker too because it removes the market for professional scalpers.
1) This is a rumor. Chill out.
2) You seriously think Apple doesn't know/care about scalpers?
Well, if (a big "if") Apple is building up stock for the international launches (and does not delay them), this could indirectly support Gruber's sources indicating an iPad 3 in late 2011. If they plan for a relatively short lifecycle, then the rollout must be fast by all means. Otherwise they will end up with some countries still selling the iPad "1" (e.g. those that did just receive it in February 2011), when iPad 3 launches in the US.
And if not (and international launches will be delayed), than there is reason to believe that the amount of online orders in the US must have been above and beyond all expectations. Going from 2-3 days to 4-5 weeks delivery times in half a week, without stocking a respectable amount of the produced devices could otherwise only be explained by production problems so severe, that they would certainly have been leaked by now.
Apple should sell as much as it can as fast as they can. I really wish they would've shipped at least 3-4 million Ipads to stores for the opening weekend launch. People will line up for Ipads
give me an effing break. Here we go with perception used to screw with the stock.
Look, ipad 2 is a hit. I held it in my hand today at the Apple store right across the street from my house. It is awesome. But those who want it will get it. Wait!!!!!
Hell, why is it a bummer if you can't get it right right now?
Not a problem. Potential buyers might be disappointed, even pissed, but they will NOT go out and buy a Xoom or Galaxy Tab out of spite and desperation. It just won't happen.
They should continue with the international launch as planned, but don't give the foreigners too many iPads. Make them wait in long lines, just like everybody else has to do here in the US.
Apple ][ well... those in America are foreigners as far as the iPad 2 is concerned. Since it's put together in Asia somewhere.
People in Australia certainly stood in long lines for the iPhone 4, it will be the same again.
If the International launch WAS delayed, more people would be lining up in the US for your iPads!
Also, Mr White should use some logic. Last year Apple was surprised by the demand for iPad. They are not going to make the same mistake twice and have egg on their face by delaying another international launch.
According to my tracking number with FedEx (an engraved white iPad)
Mar 15, 2011 2:40 PM Left FedEx origin facility SHENZHEN CN
Mar 14, 2011 11:32 PM Picked up SHENZHEN CN Package received after FedEx cutoff
Mar 14, 2011 10:11 AM Shipment information sent to FedEx
so it took the factory all weekend until 10 am in the morning to build? , engrave, prep, and package it, it missed the cutoff time at Fedex facility in Shenzhen on Monday (dammit) so left the next day Tuesday at 2:40pm
According to Fedex it should be delivered to me in San Ramon, Ca on Friday.
It is interesting that the cutoff time is 3 o'clock in afternoon in SHENZHEN China at the Fedex depot. It gets flown to LANTAU ISLAND HK then Anchorage, clears customs and then on towards the lower States, Oakland->Pleasanton. It took 3 days once in FedEx hands to get all the way for other parts of my order
all time are PST
Quote:
Originally Posted by Dunks
This is what I assumed to be the case when the US shipping dates for the online orders slipped within hours.
Apple Australia are advertising that they will have them available for "preorder" online which I guess will give a few days notice next week if that's the case.
Having to wait is one thing, having people line up for hours to be disappointed is another. No doubt, the iPad is a hit and it will sell millions. I just worry about the Apple brand. My belief (and I know many don't agree) is that in small doses these shortages drive excitement, but if they are too frequent I worry about engendering resentment. People (at least in America) want to root for the underdog but all too often they like to see the big guy brought low.
Apple isn't the little guy anymore!
I concur with your thinking. They have terribly mismanaged expectations (even at the store level, where they can't tell people there's no use waiting....)...
Ok, I get that Apple end everyone likes / expects there to be long lines at the retails stores on launch day, but I really wish they had gone with the "pre-order" option (with in store pick up) like they did last year with the iPhone 4.
This would identify which stores need the most stock (in which countries as well) and reduce the amount of disappointment all round.
Granted they did lose their website for a short while when they did this, but it would probably be the best experience for everyone.
- - -
Also why aren't they allowing a "reserve" option in store. Then calling the next person on the list when there iPad is in the store and ready to be collected. Even if it only stays reserved for 1 day, and goes open to anybody the next.
I think it's more annoying that the guys in Cupertino aren't saying ANYTHING about the stock issues and leaving it to the guys are the stores.
as folks from other countries buy up stock when they travel to the USA, or have relatives doing the same for them. More profitable for Apple to sell at the higher uplifts abroad i'd guess.
No news on UK availability, but suspect we'll be made to queue at the retail stores to get an early unit. In the meantime, the price of the current model has dropped £100-£120 on the Apple Online store here, so I guess there's still stock to get rid of (and some new users happy to buy the old model at that price point).
The next game is to guess which store to queue at on the day... for maximum chance of walking away with the desired model. 16GB 3G Black for me...
Am I the only one who believes this product shortage reflects badly on Tim Cook, the Apple COO?
How many consecutive Apple product launches have involved shortages? That's revenue not collected. Why do they consistently under-produce?
There are two misconceptions I've seen posted here. One is this one, the other is that it was intentional to drive artificial demand. Both are false.
Apple was producing the iPad at maximum capacity from day one. It stopped producing the original iPad as soon as the holidays were over and they could start producing the iPad 2. Production takes time and supply of many of the components is constrained.
You reach a point where producing more ends up driving up the cost per unit. That's why Apple couldn't just keep upping up the capacity when they say demand increasing for the iPad. They did up capacity, but only as much as they could without driving up the cost per unit in a very significant way.
As for the other misconception...
No, you don't want do restrict supply. What you want to do is create the illusion of there being more demand and perhaps not enough supply, while still selling to every customer that wants one. This is the exact opposite of what Apple did. Apple could've restricted sales to only the Apple stores, instead they had it spread out to 10,000 retail locations.
Really the only option Apple had here was to drive the cost up and cut into their margins and/or greatly reduce demand due to retail price, wait to release the product later, or release the product now and blow away their competition.
you worry too much! perhaps you should get away from your mother and get out a bit?
Originally Posted by Bageljoey
Having to wait is one thing, having people line up for hours to be disappointed is another. No doubt, the iPad is a hit and it will sell millions. I just worry about the Apple brand. My belief (and I know many don't agree) is that in small doses these shortages drive excitement, but if they are too frequent I worry about engendering resentment. People (at least in America) want to root for the underdog but all too often they like to see the big guy brought low.
as folks from other countries buy up stock when they travel to the USA, or have relatives doing the same for them. More profitable for Apple to sell at the higher uplifts abroad i'd guess.
I thought there was a maximum of 2 per person (based on the credit / debit card used) but it seems that this was overlooked as I've read reports of people buying six!
Quote:
Originally Posted by Ian.Waring
No news on UK availability, but suspect we'll be made to queue at the retail stores to get an early unit. In the meantime, the price of the current model has dropped £100-£120 on the Apple Online store here, so I guess there's still stock to get rid of (and some new users happy to buy the old model at that price point).
I would expect the same prices as iPad 1. This is how Steve announced the iPad 2 so I can't see them changing it around the world.
Not a problem. Potential buyers might be disappointed, even pissed, but they will NOT go out and buy a Xoom or Galaxy Tab out of spite and desperation. It just won't happen.
On this account, I agree. There is no credible competition in the full service consumer tablet arena (much to the consternation of the fandroids!). None! This is surprising, shocking and, one can only assume, bound to change at some point.
My theory is that Apple had some production snags in the ramp-up but kept the launch on schedule because they had to assume real competition was coming. If they had known that Honeycomb would seem half baked and that the Xoom would be over-priced and uninspired, maybe they could have allowed themselves to build out a few million to deal with launch insanity...
Keep in mind that analysts are trained to ask questions, generally based on data.
But what they can't do is predict the future with a high level of accuracy because there are many variables which are themselves hard to predict with accuracy. The same is true for Apple ... they can make good guesses at how popular a new model will be, and even if they are very accurate, it still requires manufacturers ability to deliver.
But I have to tell you ... some if not many analysts questions are meaningless in the big picture, and this is one those cases.
you worry too much! perhaps you should get away from your mother and get out a bit?
Way to go personal, pops! I'm curious, what did I say to spark such a response?
In no way am I a troll. Nor am I freaking out. Following Apple is one of my hobbies and I do have a moderate stake in their stock performance, so I join the discussions on these boards to celebrate when things go well and to express concern when I think it is warranted. I don't come here to put people down (or be put down) on such a flimsy pretext...
Comments
By the way, have you tried the Apple ][ emulation software for Mac?
I actually have not, I'll have to check it out sometime. It's been decades since I wrote anything in BASIC, but it sounds like fun.
They should continue with the international launch as planned, but don't give the foreigners too many iPads. Make them wait in long lines, just like everybody else has to do here in the US.
'Foreigners'? Did you notice it is 2011?
Artificial supply shortage to drive demand - lineups and mass impulse buying expedited.
How do you drive a market to covet your product - tell them it's in limited supply.
This tactic is routine in a lot of business. People want what they can't have.
This is nonsense. Some companies need to do this to build hype (HP with its 5000 Windows 7 tablets), but when you have a sellout of over half a million devices (more than the rest of the industry has probably sold combined, over 2 years), then its really really unlikely to be artificial demand.
In fact, if you look at Apple's guidances with regards to the original iPad, they clearly stated that revenues would be constrained because of supply not meeting demand. If you look at all analyst reports from last year, they clearly agreed that Apple lost money waiting to be given out to them because the iPhone 4 and iPad supply could not match demand.
I find it hilarious that the same people who said that the iPad would not sell, and would flop, think Apple deliberately did not anticipate that it would be the biggest selling new type of product in history.
It would be polite of Apple to release it internationally according to the schedule they announced.
I've already arranged for the day off work on the 25th and want to claim a refund on the sales tax, which I can only do if it launches before a trip that has already been booked and paid for.
An international launch helps Americans get their products quicker too because it removes the market for professional scalpers.
1) This is a rumor. Chill out.
2) You seriously think Apple doesn't know/care about scalpers?
And if not (and international launches will be delayed), than there is reason to believe that the amount of online orders in the US must have been above and beyond all expectations. Going from 2-3 days to 4-5 weeks delivery times in half a week, without stocking a respectable amount of the produced devices could otherwise only be explained by production problems so severe, that they would certainly have been leaked by now.
Both scenarios are interesting...
give me an effing break. Here we go with perception used to screw with the stock.
Look, ipad 2 is a hit. I held it in my hand today at the Apple store right across the street from my house. It is awesome. But those who want it will get it. Wait!!!!!
Hell, why is it a bummer if you can't get it right right now?
Not a problem. Potential buyers might be disappointed, even pissed, but they will NOT go out and buy a Xoom or Galaxy Tab out of spite and desperation. It just won't happen.
They should continue with the international launch as planned, but don't give the foreigners too many iPads. Make them wait in long lines, just like everybody else has to do here in the US.
Apple ][ well... those in America are foreigners as far as the iPad 2 is concerned. Since it's put together in Asia somewhere.
People in Australia certainly stood in long lines for the iPhone 4, it will be the same again.
If the International launch WAS delayed, more people would be lining up in the US for your iPads!
Also, Mr White should use some logic. Last year Apple was surprised by the demand for iPad. They are not going to make the same mistake twice and have egg on their face by delaying another international launch.
According to my tracking number with FedEx (an engraved white iPad)
Mar 15, 2011 2:40 PM Left FedEx origin facility SHENZHEN CN
Mar 14, 2011 11:32 PM Picked up SHENZHEN CN Package received after FedEx cutoff
Mar 14, 2011 10:11 AM Shipment information sent to FedEx
so it took the factory all weekend until 10 am in the morning to build? , engrave, prep, and package it, it missed the cutoff time at Fedex facility in Shenzhen on Monday (dammit) so left the next day Tuesday at 2:40pm
According to Fedex it should be delivered to me in San Ramon, Ca on Friday.
It is interesting that the cutoff time is 3 o'clock in afternoon in SHENZHEN China at the Fedex depot. It gets flown to LANTAU ISLAND HK then Anchorage, clears customs and then on towards the lower States, Oakland->Pleasanton. It took 3 days once in FedEx hands to get all the way for other parts of my order
all time are PST
This is what I assumed to be the case when the US shipping dates for the online orders slipped within hours.
Apple Australia are advertising that they will have them available for "preorder" online which I guess will give a few days notice next week if that's the case.
Having to wait is one thing, having people line up for hours to be disappointed is another. No doubt, the iPad is a hit and it will sell millions. I just worry about the Apple brand. My belief (and I know many don't agree) is that in small doses these shortages drive excitement, but if they are too frequent I worry about engendering resentment. People (at least in America) want to root for the underdog but all too often they like to see the big guy brought low.
Apple isn't the little guy anymore!
I concur with your thinking. They have terribly mismanaged expectations (even at the store level, where they can't tell people there's no use waiting....)...
This would identify which stores need the most stock (in which countries as well) and reduce the amount of disappointment all round.
Granted they did lose their website for a short while when they did this, but it would probably be the best experience for everyone.
- - -
Also why aren't they allowing a "reserve" option in store. Then calling the next person on the list when there iPad is in the store and ready to be collected. Even if it only stays reserved for 1 day, and goes open to anybody the next.
I think it's more annoying that the guys in Cupertino aren't saying ANYTHING about the stock issues and leaving it to the guys are the stores.
No news on UK availability, but suspect we'll be made to queue at the retail stores to get an early unit. In the meantime, the price of the current model has dropped £100-£120 on the Apple Online store here, so I guess there's still stock to get rid of (and some new users happy to buy the old model at that price point).
The next game is to guess which store to queue at on the day... for maximum chance of walking away with the desired model. 16GB 3G Black for me...
Am I the only one who believes this product shortage reflects badly on Tim Cook, the Apple COO?
How many consecutive Apple product launches have involved shortages? That's revenue not collected. Why do they consistently under-produce?
There are two misconceptions I've seen posted here. One is this one, the other is that it was intentional to drive artificial demand. Both are false.
Apple was producing the iPad at maximum capacity from day one. It stopped producing the original iPad as soon as the holidays were over and they could start producing the iPad 2. Production takes time and supply of many of the components is constrained.
You reach a point where producing more ends up driving up the cost per unit. That's why Apple couldn't just keep upping up the capacity when they say demand increasing for the iPad. They did up capacity, but only as much as they could without driving up the cost per unit in a very significant way.
As for the other misconception...
No, you don't want do restrict supply. What you want to do is create the illusion of there being more demand and perhaps not enough supply, while still selling to every customer that wants one. This is the exact opposite of what Apple did. Apple could've restricted sales to only the Apple stores, instead they had it spread out to 10,000 retail locations.
Really the only option Apple had here was to drive the cost up and cut into their margins and/or greatly reduce demand due to retail price, wait to release the product later, or release the product now and blow away their competition.
Apple made the right move.
Originally Posted by Bageljoey
Having to wait is one thing, having people line up for hours to be disappointed is another. No doubt, the iPad is a hit and it will sell millions. I just worry about the Apple brand. My belief (and I know many don't agree) is that in small doses these shortages drive excitement, but if they are too frequent I worry about engendering resentment. People (at least in America) want to root for the underdog but all too often they like to see the big guy brought low.
Apple isn't the little guy anymore!
as folks from other countries buy up stock when they travel to the USA, or have relatives doing the same for them. More profitable for Apple to sell at the higher uplifts abroad i'd guess.
I thought there was a maximum of 2 per person (based on the credit / debit card used) but it seems that this was overlooked as I've read reports of people buying six!
No news on UK availability, but suspect we'll be made to queue at the retail stores to get an early unit. In the meantime, the price of the current model has dropped £100-£120 on the Apple Online store here, so I guess there's still stock to get rid of (and some new users happy to buy the old model at that price point).
I would expect the same prices as iPad 1. This is how Steve announced the iPad 2 so I can't see them changing it around the world.
Not a problem. Potential buyers might be disappointed, even pissed, but they will NOT go out and buy a Xoom or Galaxy Tab out of spite and desperation. It just won't happen.
On this account, I agree. There is no credible competition in the full service consumer tablet arena (much to the consternation of the fandroids!). None! This is surprising, shocking and, one can only assume, bound to change at some point.
My theory is that Apple had some production snags in the ramp-up but kept the launch on schedule because they had to assume real competition was coming. If they had known that Honeycomb would seem half baked and that the Xoom would be over-priced and uninspired, maybe they could have allowed themselves to build out a few million to deal with launch insanity...
But what they can't do is predict the future with a high level of accuracy because there are many variables which are themselves hard to predict with accuracy. The same is true for Apple ... they can make good guesses at how popular a new model will be, and even if they are very accurate, it still requires manufacturers ability to deliver.
But I have to tell you ... some if not many analysts questions are meaningless in the big picture, and this is one those cases.
you worry too much! perhaps you should get away from your mother and get out a bit?
Way to go personal, pops!
In no way am I a troll. Nor am I freaking out. Following Apple is one of my hobbies and I do have a moderate stake in their stock performance, so I join the discussions on these boards to celebrate when things go well and to express concern when I think it is warranted. I don't come here to put people down (or be put down) on such a flimsy pretext...