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Why are apple products expensive?

Why are Apple Products So Expensive?

iPads, iPhones, and MacBooks have two things in common: they are all Apple products, and they are insanely expensive.

Apple is one of the most recognizable and coveted brands in the world. While their products are generally high quality, their prices often double their competitors.

So, why are they so expensive?

Apple products are primarily expensive because of the Apple ecosystem. Apple has a wide variety of software and services that are unique to Apple devices, locking users in the system. High build quality, marketing, and psychological satisfaction from Apple devices also contribute to the prices.

This article looks at why Apple products are so expensive in 2022. Keep reading to find out if they’re worth the outrageous price tags.

About Apple Product Line

Apple inc. makes computers, smartphones, tablets, wearables, and various related services. Mac is the company’s line of computers, running on its macOS operating system, while iPhone is Apple’s line of smartphones, based on iOS. iPad, the company’s line of tablets, runs on iPadOS.

Apple wearable accessories include Beats products, Apple Watch and AirPods. The company also has a line of home products like Apple TV and HomePod.

Apple products

Are Apple Products Really Expensive?

Compared to their competitors, Apple products are quite expensive. Their phones, tablets, and computers cost much more than competing brands with similar features.

Is Apple a Luxury Brand?

Apple has mastered the art of conspicuous consumption. This is a business term used when consumers buy expensive things that are not essential.

iPhones, iPads, and MacBooks are not essential products but are still more expensive than all their competitors.

This makes Apple products luxury items and Apple a luxury brand.

What Is the Most Expensive, Rarest Apple Product?

While the iPhone 13 Pro Max might sound expensive at $1500, it doesn’t hold a candle to the most expensive Apple product in existence.

The Product (RED) Mac Pro sold for $977,000 in a 2013 auction, making it the most expensive personal computer in history. It also remains the only red Mac Pro in existence.

Why Are Apple Devices So Expensive?

Apple products are definitely more expensive than competitors with similar functionality. Here are a few reasons for their high price tags:

1. The Apple Ecosystem

Apple products are just an appendage to the Apple ecosystem. This virtual ecosystem makes Apple devices work together flawlessly using custom software.

For instance, you can use listen to your favorite songs on Apple music on your Mac at the office, continue listening on your iPhone (and Airpods) on your way home, and finish the playlist on your Apple tv.

Apple devices give you access to Apple applications like iMessage, Facetime, Apple Music, Airdrop, iCloud, and many more.

On the flip side, these applications are exclusive to Apple devices, so you’ll miss out if you switch to a competitor. 

As a result, people who are used to Apple services are often willing to pay the high prices for Apple devices to remain in the ecosystem.

Expensive apple devices

2. High Build Quality

Most Apple competitors use cheap plastics as a casing for their laptops and desktop computers.

Apple, on the other hand, spares no expense and makes extensive use of Aluminium for their computers’ chassis. This makes Macs more durable than other computers while giving them a premium look and feel.

For the iPhone and iPad, Apple has been using high-end glass and metal to give the devices a premium design.

While their competitors might use the same materials on their smartphones, they preserve them for their flagship models, which cost almost as much as iPhones.

Thanks to Apple’s use of premium materials on their devices, customers can trust their durability and build quality. This makes them more desirable, hence more expensive.

3. Psychological Satisfaction

Apple users are a unique group of people in that most of them have more than one Apple device. If a person has an iPhone, they are also likely to have an Apple Watch, Air Pods, a MacBook, or a combination of the three.

There’s a psychological satisfaction sought after by most Apple users that makes them hungry for the latest Apple product even when the one they have is less than a year old.

Apple has learned to capitalize on this behavior and counts on these users to buy their latest products even when they’re not a major improvement from their predecessors.

Since this group doesn’t care about prices, Apple can comfortably charge outrageous prices for their products.

4. Extensive Marketing

Although Apple is a globally recognizable brand, the company still goes out of its way to spend millions on marketing.

Each time there’s a new Apple product or service, Apple advertises on print media, search engines, and social spaces.

Influencer marketing is also essential to keeping new customers flowing into the Apple ecosystem.

5. Apple Stores

While shopping in physical stores has reduced significantly since the onset of the pandemic, Apple stores remain part of the company’s image. 

Apple stores are some of the most iconic stores in the tech industry. These identical stores are not just found in the US or Europe but worldwide.

The company invests heavily to keep these stores running and maintain its brand perception.

A perfect example is the floating Apple store in Singapore, which is one of the most ambitious retail projects in history. With more than 500 of these magnificent stores around the globe, overheads are anything but cheap.

Of course, the maintenance costs for these Apple stores trickle down to the prices of Apple products.

Expensive Apple store

Where Are Apple Products Most Expensive?

Brazil is a developing country ranked 84th globally in Human Development Reports. However, the country ranks a solid 1st in countries with the most expensive Apple products.

For instance, while the 512GB iPhone 12 sold for $1399 in the US, it retailed for $2535 in Brazil.

Although shipping and taxes play a huge role in making Apple products expensive in Brazil, there are various other factors that make electronics generally more expensive in the country than in other places.

Related: Why are iPhones So Expensive?

Are Apple Products Overpriced?

Comparing Apple products to competitors with similar features reveals that they are overpriced. For instance, the iMac Pro starts at $4999 in 2022. In contrast, you can find Windows gaming PC with similar (or better) features for less than $2000.

Are Apple Products Worth It?

It’s difficult to recommend or advise against Apple products. On one hand, they are pretty expensive, and all have cheaper alternatives.

On the other hand, competing devices cannot compare to Apple products because they’re not in the ecosystem. Therefore, if you want to use any Apple service, you’re stuck with Apple products.

Apple FAQs

How Much Is the Original iPhone Worth Now?

Although the first generation iPhone is not available for sale in Apple stores, it has become a popular collectible item in the used market. According to The Guardian, Apple enthusiasts are willing to pay up to $24,000 for the original iPhone on eBay.

Are Old Apple Computers Worth Anything?

In true Apple fashion, old macintosh computers continue to appreciate as new versions are released. For instance, a functioning Apple 1 sold at auction for $905,000 in 2014.

Which Country Is iPhone Cheapest?

Being Apple’s home and also its biggest market, it makes sense that the US has the cheapest iPhone prices. The United States also receives new Apple devices earlier than the rest of the world.

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