Fri, 10/23/2009 - 15:50 — Wendy
Step Aside Apple Fans,
Apple Needs to Sell Tablets to the PC Crowd |
Apple just announced a record quarter and they didn't do that by just selling Apple products to loyal Mac fans. If Apple wants to add to its bottom line with a rumored Apple tablet, it will have to capture buyers from the PC side. Unfortunately, as a recent Retrevo Gadgetology study found, they’re going to have to be very aggressive on pricing if they want to win over PC owners.
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| As this chart shows, making the iPhone more than just another Mac product and attracting non-Mac buyers, Apple has been able to turn in record sales numbers. It needs to do the same thing with the iTablet.
The study also found Apple had better hurry up if they want to capture any of the netbook market because many consumers, both Mac and PC owners, have already bought a netbook and many more plan on buying one soon. Retrevo’s Gadgetology study, a survey of online users conducted by an independent panel, provided these interesting insights into the rumored Apple tablet.
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| How Much Will Consumers Pay? |
| With a rumored price of $800, Apple is going to have an easier time getting Mac owners to pay for a tablet than non-Mac owners. In the study, 68% of Mac owners said they would pay more than $600 for a tablet. PC owners don’t seem to have the same pain threshold as Mac owners with only 36% of PC owners saying they’d be willing to pay more than $600.
How Much Would You Pay for the Rumored Apple Tablet? |
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| Apple Netbook, Now or Never |
| It’s possible that iTunes will add the iBook store and Apple will enter the e-Book market putting the tablet up against Amazon’s Kindle. It’s also possible they’ll position it more as a mobile media player and computer and treat it more as a netbook to compete with all the other netbook vendors currently grabbing laptop market share. If they go the netbook route they will have some catching up to do. The Gadgetology study indicated that 37% of Mac owners already own or plan to buy a netbook this year. Even worse for Apple is the fact that Apple has already lost the early adopters like the 59% of the iPhone owners who responded to the survey saying they already own or plan to buy a netbook this year.
Do you plan to buy your first netbook this year? |
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| Conclusion |
Based on Retrevo’s Gadgetology study, if Apple wants to grab a larger market and get in on the netbook craze it will need to attract PC owners to generate significant sales. To convert PC owners to Apple owners, Apple must consider a (close to) $600 price point for the tablet and they must not delay bringing it to market, as laptops like the Lenovo G450 meet this price point.
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| About the Report |
| The Retrevo Gadgetology Report is an ongoing study of people and electronics from the consumer electronics shopping site Retrevo.com. The data for this report came from a study of online individuals conducted by an independent panel. The sample size was 753 distributed across gender, age, income and location in the United States. Most responses have a confidence interval of 4% at a 95% confidence level.
Retrevo is the ultimate electronics marketplace that helps people make decisions about what, when, and where to buy electronics like LCD and Plasma HDTVs, Digital Cameras, GPS, Laptops, Monitors, Wireless Routers, and even Air Conditioners, Vacuum Cleaners, and Refrigerators.
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Trackback URL for this post:
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It won't be a netbook
Not that the point hasn't already been made many times, but anyone who even casually watches Apple wouldn't expect they to go for a "presence" in the netbook category, especially given that the category is not making anyone rich, unique or a must-have (not to mention, category definer).
Netbooks today are simply cheap, impotent, miniscule and hard to use mini PCs (not to generalize, granted some entries play better than others). But simply by the positioning the PC manufacturers have carved themselves into, they've basically painted themselves into the non-profit category. So, if you have a 2% profit margin today, guess where you'll be next month (called a loss, or a write-off). But everyone has to compete with their me-too, otherwise they might miss the boat.
Probably a boat Apple intends to miss. They may encompass much of the netbook category functionality wise (and maybe even but doubtful) price wise, but they will be looking for a game changer that has a much more universal appeal and application to varying market needs. In the netbook area, this could be the killer netbook, with a wireless tablet for net/web aps, basic aps for classrooms and business, an e-reader for books and certainly a media player, if not center. From there, you take aspects of the Mac, iPhone, Kindle, your TV, Apple TV, that netbook collecting dust, and combine them into something pleasurable to use and is worth $600. For me, who would like a netbook type thing (well maybe the iPhone already does that), a Kindle, a media controller and a Macbook I can leave in the living room, this is an ideal category breaker, which I'd gladly pay $600 for. Especially when you add the Apple quality, TCO benefits, and long-copied but never matched design acumen.
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<yawn> repeating the usual boring thinking
yeah yeah, whatever. aside from the ridiculous obsession everyone has with a product that has no basis in fact, you're still thinking like a Borg/Windows person, that the iMacTablet NetbookThingy won't reinvent the category like every major Apple product category has before it, leading consumers to jump in with more $$ than they otherwise would have if they remain limited to thinking like a Borg.
Apple netbook
Apple have a netbook now. It is called the Air. Just pc users don't want to pay NZ$3000+ for a slow limited companion device.
If the air could be sold for under NZ$1200 then it would be the best netbook in the market.
Apple also have a tablet, it is called the iPhone/iPod touch. It is again that everyone wants a bigger one. That would be an air with a touchscreen.
You think apple will do that for less than US$1000? Hahahahahahahahaha
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$600
The technical gap between what you can produce for $600 and $800 is huge - even allowing for Apple's 10-15% price premium on comparable spec machines. We should also note Michael Dell's comment on the satisfaction level with netbooks. The fact that people want something at a certain price point doesn't mean it can be delivered at that price without compromise.
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Um, no chance for an Apple netbook
Simply because, they are cheap, low-margin devices. The PC industry has shot themselves in the foot over the past 18 months pushing netbooks. The only company gaining in marketshare AND making money is...Apple. They are NOT targeting cheap-oriented people. They are targeting value-oriented people, and those people aren't looking at buying cheap, throwaway, limited usability devices.
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Apple doesn't target PC users
Apple doesn't target 'the PC crowd', they target users who want products that work. Their share is growing for two key reasons: 1) 'the PC crowd' is growing increasingly frustrated by the lack of interoperability of Windows devices and 2) a critical mass of people has been introduced to the Apple ecosystem by iPod and iPhone and is beginning to extend their experience into Mac and OSX.
Apple will sell tablets to people who want their Apple ecosystem to include an ultra-portable computer. There are plenty of them out there.
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Missing the Point Completely
Apple isn't making a device to compete with netbooks. This will be a completely different beast altogether. This "slate" type device is going to be linked very closely with Apple's media offerings. It is going to be the device to read your books, your magazines, newspapers, listen to your music, or watch your movies and tv shows. I envision an Amazon Kindle on steroids, a device to handle ALL of your media, regardless of type. Certainly not a netbook, perhaps quite revolutionary. People WILL want one, I suspect, regardless of cost.
As always, apple won't make
As always, apple won't make a device that people want unless they can make a packet on it or tie you into more of their services.
It took three major os revisions on iPhone to even include copy and paste. My mac mini still doesn't have a powered mic port.
Plastic MacBook won't have FireWire otherwise the is no Major reason to go to a 13" pro.
iMacs won't put quad core into the 21.5" other wise there is no reaon to by the 27".
Apple are doing just fine selling low volume, high value pcs. As long as they don't become irellivant they will do fine just the way they are.
I run nearly the same software on windows and Linux as I do OS X so a cheap Linux netbook is fine for me. But it would be nice to have the same os on everything.
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