The cost of producing an iPhone is much greater than the cost of producing another phone, even though they seem very similar. How does Apple manage to charge such high prices? Iphones are rapidly becoming a necessity for everyone. Let’s see in the article below why phones are much more expensive than other phones are the ones that have pokies online AU apps.
Manufacturing Costs
The biggest reason why iPhones are so expensive is that they have the highest manufacturing costs among all smartphones on the market. Each new iPhone is extremely complicated and requires several thousand dollars worth of materials to produce to ensure that every detail is perfect. In contrast, most smartphones today use off-the-shelf parts from companies like Samsung, Motorola, or HTC, which means that their production process is much simpler and cheaper.
Marketing & Advertising Budget
Another major factor behind iPhone’s higher cost is Apple’s incredibly large marketing and ad budget. The company spends over $500 million every year on marketing alone, compared with just $300 million by its closest competitor – Google – according to estimates by Strategy Analytics, a research firm.
Design
One of the main reasons why each new model has a larger price tag than previous ones is due to Apple’s continued investment into designing the best-looking smartphone possible. Even if it means cutting costs elsewhere (like manufacturing), Apple will still choose quality over quantity when implementing these changes. This has made Apple one of the most popular brands worldwide but also resulted in some pretty steep pricing tags. For example, the iPhone 5S retails for at least $649 without a contract.
Brand Value
Finally, Apple’s reputation as ‘a premium brand’ plays a big role in pushing up its prices. As more people start buying iPhones, this makes them more valuable to the general public. However, not all owners of iPhones pay ridiculous prices for their devices. Many simply spend less than $200 per year on their smartphone, while others save money upfront by opting to buy lower-end models.
In conclusion, although there are many factors behind how expensive iPhones are, the simple fact remains that there’s no way around it – they truly are expensive! Iphones are also expensive because they give you quality and clear pictures when playing roulette online games.
