[Opini] Apple Tax, Premium Prices that need to be paid for Apple products

Mentioning the name Apple, which is thought of definitely overprice products for features is more minimal than competitors. Apple product users are certainly familiar with the term ‘Apple Tax’, where users have to pay more to feel what Apple offers. Complicated, many are also willing to pay the premium price. Why?

Apple Tax, what is it and why is there?

Apple Tax itself is not a term created by Apple. But the term circulating in a clear manner if Apple’s products are much more expensive because the products are made by Apple.

Most of the reasons are because Apple products synonymous with premium quality, minimalist design, and speeding performance. Not to mention, buying Apple products such as iPhone or MacBook can provide a sense of prestige for the lower middle class. But is it true that all the products from Apple are always synonymous with the best image? Why do users still want to pay the price unreasonably pegged by Apple even though there are many other alternatives available on the market now?

Apple profit margin

Let’s start by saying that Apple doesn’t really care about the term Apple Tax itself. Because their business strategy is actually not focused on draining the user’s money as much as possible. But what they have done so far is to set an optimal price strategy for their products.

The concern of Apple is to maintain the Gross Margin Dollar. If they set a price that is too high (for iPhone for example) and cause low sales figures may be balanced from sales income.

However, the opposite is the opposite if a product is pegged too low in price, high sales rates may not be able to cover their gross margin. So, Apple should keep the number stable as much as possible.

Unique and exclusive

Speaking of Apple, not infrequently there are also many terms such as “ecosystems”. Because Apple smartly locks the user option to move to another platform. All products are designed to work well with each other. So, users who want to move platforms will feel the loss of all the comfort they have enjoyed.

Apple has dared to set a more premium price because he knows that the psychology of its users who already have many Apple products need to rethink if they want to switch to the park next door.

All OS from their hardware such as MacOS and iOS also exclusively only exists in Apple products. Unlike the Android or Windows available in many brands, Apple ensures that exclusivity is a premium object that can only be found in their products.

Apple’s Brand Image triggers customer loyalty

As we don’t like Apple, it is inevitable if many Apple users still choose products from the company because of a good brand image. Especially if you have been willing to spend hundreds to thousands of dollars to buy the best products, the name of a brand is definitely more or less a consideration.

The same thing actually happened not only to Apple. Call it their rivals Samsung. Samed as an Android king in the western market, Samsung also managed to provide a good brand image because of the most sophisticated hardware innovation and use at that time.

The implication, customers who are loyal will be more willing to spend more money because they know, they will not be disappointed by the original product, easily damaged, or provide bad experiences during use.

The bad side of Apple Tax

As a premium product, the iPhone and accessories are not for those who are in the middle. It is also actually not without a bad side. Premium prices will be a concrete barrier to those who do not have adequate financial.

Not to mention Apple must continue to sell new iPhone every year. If the price is pegged the same or still rises, users may not be smitten to replace their cellphones or macbooks every year. Plus Apple also maintains the resistance of the product as much as possible, their products will rarely be damaged.

Another argument is how to present a product that is truly mature, Apple also rarely provides radical innovation, especially lately. Apple really applies the philosophy of “Apple Way” which they will take a feature that already exists and is redesigned to be different or unique in Apple products.

For example, iPad has just received a calculator application since the iPados 18 Because of the truth, they could have paired the iPhone version of the iPadi calculator, but, for Apple there was no unique thing that could be given to users if they took these steps.

Conclusion

In closing, Apple Tax is not an official term that Apple introduced. But the premium price that user must be paid for Apple products compared to similar products from competitors who are much cheaper.

Although not infrequently now other brands have also imitated similar price schemes and make the term tax increasingly irrelevant. Like Samsung flagship products and several other Chinese brands that have also dared to set prices approaching the iPhone. What do you think? Whether Apple Tax is the right term and is still relevant in time Now?

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