Apple’s ‘iPod mini’ pricing vs. other alternative players

“The hefty price tag for the multihued player has left many scratching their heads and wondering what insane devotion to high margins could produce such a price point for a device that Apple is hoping grabs them another 20% of the market. People have been quick to point out that another US$50 will buy you an additional 11GB of storage with the 15GB iPod model. They are right. Compared with the current iPod offering, the iPod Mini is a disappointment in terms of price. However, those who make such comparisons are missing the point of the business card sized player. It is not meant to be an alternative to the iPod, but to the high-end flash-based and other small hard drive-based players. Let’s look at some numbers,” Eric Bangeman writes for Mac.ars.

Bangeman provides a nice chart that basically shows, “US$249 for 4GB is a lot of money when you can get 15GB for US$50 more. US$249 for 4 GB is a fantastic deal when the same coin gets you a mere 512MB of flash-based music storage. The latter is the comparison Apple wants buyers to make when considering the iPod Mini. Time will tell if its a compelling one.”

Full article here.

32 Comments

  1. I’m still waiting for the integral microphone and voice recording capability. Sorry to be a broken record on this… but if Apple wants to double its sales… yes, double its sales… all it has to do is throw in a microphone and the iPod becomes a real tool, not just a toy.

    Businesses will scoop them up – instead of the Olympus and Sony digital recorders.

    Are you listening, Steve?

  2. Glick7,

    I think the reason Apple is NOT going to introduce the features you want is because [B]GarageBand[/B] (and essentially on a Mac) – that’s what they really want you to use (for good reasons if you think about it – how often do you record “live” source and how long are you planning record at x1? wouldn’t it be more efficient and professional to do it right on your own PB and exported into iTunes + sync with iPod?)

    Why do other branded mp3 players have this feature? because they don’t have GarageBand (after all, Apple want you to buy their computer as GB comes with it for free)…

    Apple is doing a smart move (and staying consistent with the digital hub concept)

  3. The only problem is that the obvious comparison to make when looking at this player online at the Apple Store is with the other iPod models. It will probably sell well in displays showcasing high-end flash players, but in a display that includes the iPod and other hard drive-based MP3 players, I don’t know that it will do quite so well.

    -Joel

  4. The iPod mini is about choice. You can spend $50,000 for a high powered, low mileage sports car with limited seating and trunk capacity. Or for the same amout, get a full featured sedan with better mileage, plenty of room, more trunk capacity, etc. It’s a mater of what suits you, not what “analysts” proclaim. ONe other thing…. there are at least 2 other mini 4 GB players coming out from Rio and RCA, I believe. Guess what? They’re also priced at $249.

  5. Also, that’s what PDA’s are for, a lot of them, have voice recording features. as others have said before, double is very far fetched. The iPod is a consumer device, not geared towards businesses.

  6. “…instead of the Olympus and Sony digital recorders.”

    Yeah, cause those sure are selling like hotcakes. HA! (You’re joking, right? I mean, that post was satire, eh? Surely you aren’t serious!)

  7. Glick7,

    I believe that you recently mentioned in one of your recent posts that you’d like built in voice recording on the iPod…

    However, that feature will not “double” the sales of iPods. Sorry.

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  9. Last time I checked, the Silver version of the Mini was sales ranked #129 out of over 80,000 unique products at amazon.com. The 15gb iPOD was ranked in the mid 8,000 range there. The Mini is also listed as the top selling product on the Apple Store web site.

    This is not about storage capacity! It is ALL ABOUT PORTABILITY. The nay-sayers seem unable to get their thick skulls around the concept, but no matter. They are definitely in the minority here and their opinions don’t amount to a hill of beans.

    They predicted doom for the Mini and we can already see how pathetically WRONG they were. The Mini is already a home run for Apple and the thing hasn’t even shipped yet!

    I ordered two. One for me and one for my Girlfriend. We both already own 40gb iPODs by the way.

    One more time…. ITS NOT ABOUT GIGABYTES!

  10. last time i checked you can do voice recording with the ipod. it was a third party add-on by Belikin. for another 60 bucks you will have a voice recording. last time i checked though business or people wasn’t jumping on the voice recording feature add-on that Belkin was offering.

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