“Although the iPod and iTunes are emblematic of the transition to digitalization, for a long time investors feared Cupertino had lost its way. Alphabet, Amazon, Facebook and even Netflix all seemed to have better strategies in the new era of the cloud and streaming media,” Markman writes. “Yet it turns out Apple had a plan, too: Its ecosystem.”
“Now it is pressing that advantage in a big way – and it will lead to more iPhone, Watch, Macbook, accessory and subscription sales than ever,” Markman writes. “This is where the new cheaper iPad fits in.”
Read more in the full article here.
MacDailyNews Take: Yup.
iPads are too expensive relative to the perceived competition and Apple has obviously done a piss-poor job of marketing the iPad family (read: clearly explaining to the hoi polloi why they want an iPad over an Amazon or other Android tablet).
Sticker price is the biggest reason why iPad sales struggle to return to growth (the next biggest reason is that iPads’ useful lives last so damn long, they’re not rapidly replaced).
We would have purchased iPads for family members this year if they had been updated as they should have been for the holiday season and if the prices were a bit more palatable. Yes, we know what an iPad offers. Yes, we know they’re worth the money Apple’s asking for today; even being last year’s models. But, Apple should really do the math and consider making certain hardware more affordable in exchange for the backend revenue and increased mindshare and market share that will deliver.
For the same reason – mindshare – Apple should make their own Apple displays, even to the point of taking a loss of each and every one, so that other companies’ logos on frankly ugly products that do not match Apple design sensibilities are not in users’ faces all day long. That’s not a difficult concept to grasp; even an inveterate beancounter might be able to get it.