Apple's main key to success is based on setting high prices to build a luxury brand, but how do you explain its success despite having high prices? Apple's differential characteristic is to offer unique and premium products that in turn are emotive and generate feelings such as the need to have Apple’s exclusivity.
- Continuous innovation: Apple is a leader in innovation and manages to set trends with each product it launches on the market, this has been proven time and time again, revolutionising the technological world. We can highlight the following examples:
- Siri: With this tool, the technology giant managed to be the first to offer its users a new way to interact with their smartphones, nothing more and nothing less than a virtual assistant.
- Touch ID: Apple introduced the first smartphone on the market capable of being unlocked by fingerprint recognition.
- AirPods: Once again the firm managed to surprise us with these wireless headphones, helping us to reduce the number of phone unlocking we use every day.
- Adaptation to customer needs: Apples products have always been linked to customer satisfaction, an example of this is that they were the first to eliminate the keyboard on their smartphones and thus make their customers the first to acquire such an innovative and exclusive product.
- Commitment to design: This is one of the distinguishing characteristics of their brand, for Apple it is a very important point, the design of their products stands out for both simplicity, minimalist style, which is also highly functional. Attaining both these traits really is difficult to achieve.
- Quality before quantity: The company has always focused on offering its customers the highest perceived quality, which is why they have relatively few products on the market, but all of them have been thoroughly polished to give the best results.
- Excellent customer service and the Apple Stores: Without a doubt, the customer service offered by Apple is one of its strengths, it is highly appreciated by their customers for the quality care provided. It is also worth noting the Apple Stores, which are a meeting point between the brand and the user.
What is the pricing strategy they employ?
If we talk about the pricing strategy that Apple applies, we can refer to a defined skimming strategy. At the time of launch, they set their prices very high, this is possible due to their exclusivity, innovation and the emotions their devices transmit, so that they are purchased by those early adopters who really want the product. The price later decreases, coinciding, generally, with the launch of a newer version, thus allowing other users, also followers of the brand, to buy the previous version of their smartphones at a more competitive price.