The "C" Branch

Jaded commentary on random shit, with an extra helping of cynicism, satire and general contempt for society & Western culture, religion, politics, celebrities, technology, business & more.

iPhone Customers Get A Refund

Posted by Chris DeMarco on Friday, September 7th, 2007 at 6:09 am

I was on Apple’s website last night and stumbled accross a link to a letter from Steve Jobs to iPhone users. Intrigued, I decided to see what it was about.

Apparently, Apple has decided to dramatically drop the price of the new iPhone by $200, after it has only been available for two months. This makes good sense as it employs an outstanding marketing strategy with the holiday season quickly approaching. However, the decision has infuriated many existing iPhone customers who paid $200 more for their phones less than two months ago. Consequently, many of these people sent in complaints to Apple.

Quite shockingly, Apple has actually decided to offer a $100 refund to anyone who purchased an iPhone at the original price. However, in yet another great marketing strategy, Apple is offering it as an Apple store credit only.

I’m not exactly sure how this is supposed to make sense, but I still think it will pay out huge for Apple. If you buy a product, you obviously agree to pay what it says on the price tag, and know, especially with technology, that that price will go down significantly and fairly quickly in the near future. Nonetheless, Apple not only has given all existing iPhone users another reason to buy more stuff from them (who will no doubt spend more than $100), but also has just lined up a zillion new iPhone users with the dramatic price drop. So is this something that is really costing Apple money? I highly doubt it, it will probably pay off better than anybody can imagine.

To read more, you can read Steve’s original letter here.

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