A couple of days ago when asked if he was concerned the iPad Mini was too expensive for cost conscious consumers who were attracted to the Kindle Fire and Google Nexus 7, Apple's marketing chief Phil Schiller said this...
The iPad is far and away the most successful product in its category. The most affordable product we've made so far was $399 and people were choosing that over those devices, and now you can get a device that's even more affordable at $329 in this great new form, and I think a lot of customers are going to be very excited about that.What he should have said was this...
No.It's not that Apple hasn't taken on the competition before – the Mac vs. PC spots come to mind – it's just that Apple has never made price a part of that comparison. It's always been about product superiority.
A weak reference to a "great new form" doesn't cut it.
People pay more for Apple products because they're easy to use, incredibly integrated, and bullet-proof. Yes the form plays a part of it, but without those substantive benefits the brand has no meaning.
Schiller needs to work on his schtick if he's going to keep Apple on top.
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