Samsung has gone with a unibody design and hence no expandable memory slot is available similar to Apple iPhones.
So again some parity with dual flagship models between Apple & Samsung by charging premium over the display. It is interesting to see how these two rivals’ portfolios and pricing strategy is toe-to-toe now and if Samsung can replicate the performance as successfully as Apple with an almost similar pricing and positioning strategy. Neil is a sought-after frequently-quoted Industry Analyst with a wide spectrum of rich multifunctional experience.
For over more than a decade, he has been offering expert strategic advice that has been highly regarded across different industries especially in telecom. He is also an IEEE Certified Wireless Professional with a Master of Science (Telecommunications & Business) from the University of Maryland, College Park, USA.
Next generation tablets from Apple are expected to follow the same pricing regime as it had set up for its present set of tablets.
Many of Apple’s competitors, and that too successful ones at that, have their products ranging between USD 199 to 399. Take a look at the diagram below courtesy of Ryan Jones (thanks for the point Marc Abraham).
By introducing new lines, retaining older lines at degraded prices and through the use of provider subsidies, Apple delivers an impressive range of ‘step-in’ opportunities for customers to join its ecosystem.
I’m intrigued by this because, from a brand point of view, these arrangements provide a powerful alternative to traditional “up-sell” approaches and to the discounting that brands so often use to make high-end products more available. Apple’s approach enables the brand to retain its all-important brand equity while providing consumers with the means to address any price barrier in the way they feel most comfortable with. Consumers are buying the brand, but they are deciding on the user experience they want by how they buy. People commit to what they enjoy – and the more enjoyment they get, the more likely they are to continue to commit. If you find our thought pieces on brand strategy and brand management insightful and would like a deeper understanding for yourself, your marketing teams or leadership teams we can develop a tailored learning solution for you. Brand Education is a core competency of The Blake Project, the brand consultancy behind Branding Strategy Insider.


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However, Samsung hopes to regain momentum with its Galaxy S6 flagship this year, and, Samsung has done so radical changes to design making it more attractive with a unibody, double glass covered metallic form-factor.
This will allow Samsung to charge a significant premium than ever before and even push its flagship ASP higher than before. However, the difference here is that while Samsung charges a premium for a sexy, innovative double edge-curved display allowing a new set of experience whereas Apple using its brand equity is able to charge a significant premium just for a larger form-factor. This is as per speculation by market watchers who fix the price for the to-be tablets at USD 499.
The tablets would be coming with A6 processors and the difference between the high end and mid range being the screen resolution. Under such a scenario, if Apple has its tablets priced between USD 299 to 349 to 399, others might well have to rethink their survival strategies all over again.
He brings a international approach to news that is not just applicable to the North American market, but also Asia, India, Europe and others. In Ryan’s graph, Apple has used product, price, capacity and configuration to turn 3 lines into 25 different ways to buy.
Apple and its service providers have carefully calibrated the user experience (in terms of things like speed) so that, day to day, consumers either pay for what they get or get what they pay for. With apologies to Hotel California, people can step in any way they like, because Apple’s intention is to then make sure they never leave. As practitioners and educators we deliver interactive brand education workshops and keynote speeches designed to align individuals and organizations on essential concepts in brand management and empower them to release the full potential of their brands. Army and Wyndham Worldwide are some of the organizations that have turned to The Blake Project for help in meeting learning objectives. We focus on sharing thought provoking expertise that promotes an elevated conversation on brand strategy and brand management and fosters community among marketers.
Additionally, Samsung also brought its vertical expertise adding beveled edges (as in Note Edge) but on both sides (for left hand as well as right handed users) to the S6 and launching it as a more premium model Galaxy S6 Edge.


They have also speculated that the present iPad 2 tablets would have a drop in price to USD 399. The high end iPad is likely to have a resolution of 2084 x 1536 while the mid range iPad can be seen sporting a resolution of 1024 x 768 pixel. Keeping prices low has been one method that many tablet makers like Amazon, Kobo, Barnes & Noble and so on had adopted to co-exist with the iPad and if Apple decides to drop down to the price range that tablets such as the Kindle Fire, Kobo Vox or the Nook Tablet operate in, then we might be on the verge of a new shakeout in the tablet segment. Sovy brings his own writing flavor to the website and is interested in Science Fiction, Technology and Writing. Until I saw Ryan’s analysis, I hadn’t realized the sophistication and range of this strategy. BSI is a service of The Blake Project, a leading brand consultancy based in the United States, serving marketers around the world. There is however a factor that may change this whole pricing reality — if the next gen iPad would be coming in two variants as Digitimes have reported and the iPad 2 is still continued, then we might get to see a three tier approach from Apple.
The technical features offer scope to pay more or less for each product without cannibalizing the opportunity to invest in the other members of the family (where more choices are available).
Apple, it seems to me, goes one step further, and uses price options to actually ask for the commitment on two levels. They buy based upon value; what the brand experience delivers to them, both in the form of physical and emotional benefits. First of all, they ask consumers to commit to the product without any obligations and pay upfront for that freedom, or commit over time with obligations and defer the cost of doing so.
Apple, obviously, confers a tremendous amount on both variables, hence they can command the premiums they do. So they’re not just pricing each range so that it is versatile and defendable, they are using their full ecosystem (including all the products not mentioned here such as laptops and desktops) to actively enable one point or multi-point commitment.



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