Many people say Apple products are overpriced and that people should not buy them, or alternatively, Apple should lower its prices. Personally, I disagree. The fashion industry is far more brutal than the tech industry. A prime example is provided by the iconic brand Tom Ford.
Recently, Tom Ford introduced flip-flops with an astonishing price tag of $990 (£790). The reader may be incredulous, so I have attached the product details. Nothing about this product seems high-tech or expensive to manufacture. If you do not have them, nothing will change in your life. They are simply a pair of high-quality flip-flops with a Tom Ford logo. This, supposedly, justifies the price tag.
My conclusion is that tech brands are not, in fact, helping people to ‘show off’ or flaunt their status to others. If a consumer owns a $50,000 Mac Pro desktop computer, for instance, no-one will ever know, provided he or she does not carry it with them everywhere. On the other hand, for decades, fashion products have been designed to foster self-esteem and nurture vanity, and they succeed very well in doing so. A pair of Tom Ford flip-flops can highlight your financial success more than a Mac Pro or an Apple Watch. Moreover, high-end fashion products are not seen as frequently as their tech counterparts. Thus, the scarcity effect applies and makes these Tom Ford flip-flops more noteworthy than a tech product.
In sum, the next time you say that Apple makes ‘expensive products’, think twice. Apple and other tech firms have spent years refining their technology, and they spend billions (for example) on research and development. Moreover, their manufacturing process is complex and expensive. Making a computer is not like making a pair of heels or flip-flops. Therefore, technology firms must charge high prices to cover their costs and invest in future products.
Photos // Tom Ford