If last year's iPhone x showed Apple's ambition for high-end price, this year's latest Apple release will be a real one. Many consumers have only one feeling about Apple's new products, which is' expensive '. So how much is the most expensive iPhone? Check out the world's most expensive Apple phones.
Now consumers have to seriously consider whether to buy a nearly 13000 yuan Apple mobile phone or a Louis Vuitton (hereinafter referred to as LV) handbag at the same price.
At present, for the first time, the new iPhone has broken through the 10000 RMB mark. The new top version of the iPhone XS max, which supports dual cards and dual standby, costs as much as 12799 yuan, setting the highest price record since the launch of the iPhone. This price is more than double the price of the top version of the iPhone in 2010, which costs 4 5999 yuan.
Even the latest iPhone XR, as a low-cost product, costs as much as 6499 yuan, which is higher than most Android models in the current market. This also makes the industry speculate that Apple will completely abandon the low-end price product line.
It's worth noting that Apple watch, which has long been endowed with luxury ambitions, seems to have turned around. The biggest highlight of the new Apple watch series 4 is the first ECG function, which can detect the user's heart rate and automatically alarm for help in case of crisis. This function has been verified by FDA. Earlier, apple watch was thought to attract young elite consumers because of its cooperation with Hermes. The performance improvement of this new product may also indicate that Apple watch will focus more on health and sports functions, and it also means that it will switch to the middle-aged and elderly market.
A background that can not be ignored is that Swiss watches began to pick up in March last year, and the export volume turned from decline to rise. Since the beginning of this year, the export sales of Swiss watches have reached double-digit growth for several months. Influenced by the trend of smart watches, some luxury watch brands have also launched smart watches, such as tiger Royal, which cooperates with Intel to launch smart watches. LV also launched its first smart watch tambour horizon last year.
As early as last year's press conference, Apple CEO Tim Cook said that since the launch of the second generation of products, apple watch sales have increased by 50% year on year, surpassing Rolex to become the world's largest watch in sales. According to estimates released earlier by market analysis companies canalys and IDC, Apple has become one of the world's largest watch manufacturers. In the second quarter of this year, apple watch continued to dominate the global smart watch market with a market share of 41%, according to a report released by counterpoint research, a research firm.
At present, there is still a certain distance between Apple watch and luxury brand watch at the price of 3000-4000 yuan, but the product has had a huge impact on the traditional luxury industry, and some analysts believe that Apple watch has a great impact on the traditional luxury industry At present, watch is in a hurry to become a luxury watch. However, once it grabs more market share of smart watches through product popularization and controls the pricing power of the industry, it may only be a matter of time before it becomes a luxury watch.
That's how the iPhone grew.
Although Apple has never admitted that the iPhone is becoming a luxury, no one can deny that now Apple has entered a new price field. When consumers really begin to face the dilemma of choosing Apple mobile phone or LV handbag, fierce competition will be inevitable.
'given that the prices of some new iPhones are not very different from luxury goods, Apple's competitors are not only Samsung, but also luxury brand LV,' HSBC analyst erwan rambourg wrote in the report.
Under the favorable policy environment, mainstream luxury brands such as Gucci, LV and Prada have increased their investment in the Chinese market in recent years, and disclosed that 30% of the income in the Chinese market comes from young consumers. According to the latest McKinsey report, the annual consumption of Chinese luxury consumers is more than 500 billion yuan, among which the younger generation such as the post-90s have become the most willing to spend money on luxury goods. In fact, these are also the groups apple and LV must compete for. Last year, sales of LVMH, the parent company of LV, rose 17% in the Asian market.
In fact, apple does have some of the characteristics of luxury brands. High grade and delicacy have always been its product positioning, and the pricing strategy also insists on higher than the average market price. The high quality of products and brand premium provide the precondition for Apple's luxury products. From the perspective of consumers, consumers who are interested in brand value and high-quality products are also potential consumers of luxury brands.
According to Shira ovide, a technology columnist for Pember, millions of people are willing to pay a high price for a smartphone, and the product has become a price sensitive commodity in most parts of the world, mainly due to the quality of Apple's products and its brand strength.
In addition, the new iPhone and luxury handbags are also creating desire and fantasy. Apple creates illusion for the ordinary class through its brand value and high price, which makes many people willing to save money or even buy iPhones in installments, and the cost even exceeds many people's monthly income. This is the same logic as the white-collar class saving money to buy luxury handbags, and "showing off" is still a major feature of domestic luxury consumption.
To some extent, the consumption experience of Apple stores is not necessarily inferior to that of luxury brands. After Angela ahrendts, former Burberry CEO, joined apple, her new retail experience for Apple stores includes making store space an activity place, making the consumption experience provided by apple more efficient, dynamic and interactive. Compared with the pressure brought by traditional luxury sales to some consumers, Apple stores provide a more fair experience, which may be more in line with the pursuit of young consumers.
When an unusual rival emerges, there is no reason why luxury brands should not be wary. With the increasing diversification of global consumer demand, analysts continue to emphasize that the future competitors of luxury brands are not only peers, but also high-end digital products, travel experience products and other consumption modes. The future retail industry is not only the competition between products, but also the competition between products and experience.
Fashion headline reported earlier that brands are facing a group of more and more rational consumers, especially in the current period when the growth rate of luxury goods is slowing down again. UBS recently issued a warning that although China is now recognized as the most potential luxury consumer market, it is expected that the pace of luxury consumption in China will slow down significantly in the second half of this year, and the growth rate will drop from 13% in the first half of this year to 7% to 8%.
In the 2017 big data report on consumption upgrading released by China UnionPay and Jingdong finance, the consumption of the post-90s grew the fastest, reaching twice the growth rate of the Post-70s, and the average annual consumption increased by 2.7 times in the past three years. However, the consumption trend behind the amazing consumption power also attracts people's attention. First, consumers' willingness to consume high price products is reduced, and second, consumers' consideration of consumption behavior is more important They pay more attention to cost performance, especially young consumers who are more keen on consumption but have lower economic strength than other age groups. They have to consider what products are more worth buying within a certain budget, which will make the competition between luxury brands more cruel.
Take the equivalent of iPhone and LV handbag as an example, the process of consumers making consumption decisions from the two is very complicated. From the perspective of value preservation ability, although iPhone is a high value preservation product in mobile phones, digital products are consumables with short service life. If compared with luxury goods, LV handbags have a higher value preservation, and the latter can even get appreciation, becoming a means of investment.
In terms of the attractiveness of the product, the new iPhone lacks innovative performance that makes consumers refreshing in hardware, and fails to stimulate the purchase intention shown by consumers in the past. IPhone XS and XR also lack obvious appearance changes besides color matching. However, the appeal of luxury handbags is high, relatively stable, and the choice of styles is far more than digital products.
But the advantage of the iPhone is that it can provide more experience than physical products. With the help of IOS system, Apple has established a virtual ecosystem. Besides being a software provider, Apple seems to be moving towards a software content provider. As early as two years ago, Tim Cook said that Apple intended to create more original content or acquire content producers. Such signals seem to be telling users and the market that Apple will try more on content.
Whether it's original TV programs, digital news, or streaming music that Apple envisions, the goal of producing content is to capture more consumers' attention and generate greater user stickiness. Some analysts pointed out that the iPhone screen has become larger and larger in recent years, with the intention that a larger screen can carry more content. Although today's luxury brands are also committed to maintaining communication and interaction with consumers through the production of online content, the iPhone has an indisputable advantage in the service experience because of its much higher utilization rate than luxury handbags.
However, it is worth noting that as the speed of Apple's product innovation begins to slow down, it has brought uncertainty to the brand value. Although the average price of iPhone is more than $700 due to high price products, which has promoted Apple's excellent financial data in the past three quarters and made it the first U.S. company with a market value of more than one trillion in the U.S. stock market last month, if the company loses its innovation gene, people can't help wondering how long the boost effect of high price products can last.
Even so, LV still needs to be alert to the drastic changes in the market. From the launch of the American version of vogue by Apple watch, the video display of 18k rose gold version, Liu Wen's appearance on the cover of China's vogue with apple watch, and the launch of the most expensive iPhone XS Max in history, you can see that Apple has never given up its ambition to enter luxury goods.
So far, Apple's market value is $1093.5 billion, six times that of LVMH, the world's largest luxury group, which has a market value of 147 billion euros.