toggle

AAPL Stock: 99.18 ( -1.57 )

Printed from http://www.macnn.com

Analysts express unease with Apple's Black Friday

updated 11:10 am EST, Fri November 28, 2008

Analysts on Black Friday

Apple's Black Friday specials are somewhat disappointing, say analysts with UBS and Kaufman Bros. Apple is offering discounts of up to $101 on Macs, and $21 for iPods. The difficulty, the analysts suggest, is that these sales are largely consistent with last year, representing about 5 to 10 percent off instead of predicted cuts as high as 15 percent. It is thought that sales may thus prove to be somewhat disappointing, given biting economic conditions.

Kaufman's Shaw Wu notes however that accessory discounts are heavier than last year, as much as 40 percent on speakers, and that third-party resellers are acting more aggressively, slashing Mac and iPod prices by about 11 to 13 percent. Both Wu and UBS' Maynard Um observe that Apple is indirectly providing deeper cuts through price matching, so long as a person can bring a competitor's ad into an Apple Store.

Wu concludes that in spite of missing an opportunity, considering the company's $25 billion in net cash, the move does display confidence in an ability to sell without bargains, and should not drastically affect Kaufman predictions. Um hints at concerns about a larger negative impact, in spite of an expected influx of MacBook purchases during the December quarter; UBS' price target is set at $115, versus Kaufman's $120.




by MacNN Staff

POST TOOLS:

TAGS :

toggle

Comments

  1. Guest

    Joined: Dec 1969

    +3

    disappointed

    Im disappointed. I waited to today to place a order. I agree that the discounts are low. I wanted to order a MacBook Pro 15". It isn't even discounted at all.

  1. Guest

    Joined: Dec 1969

    -1

    Me too

    I too am disappointed in the discounts. I felt Apple, like the article says, has enough cash to stimulate sales even better with deeper discounts. I was ready to order two iPods (a nano and a touch) with 15% (or more) savings, but now I'll reconsider the purchases once again.

  1. Guest

    Joined: Dec 1969

    0

    odd

    I guess people expect Apple to just give away their computers, even if only for a day. Just because analysts predict larger discounts, or think it's the best business decision, does not mean Apple should or will do it. How much of a discount were you expecting? What's the price at which you'll buy, as opposed to not buying?

    If Apple would have followed the advice of the analysts, it wouldn't be half as successful as it is.

  1. Guest

    Joined: Dec 1969

    -2

    Always complaints...

    If Apple reduced the prices more, then the analysts would be complaining Apple's cutting into it's profit margins. I think Walmart was offering some cheap Black Friday laptops. Bargain hunters should try there. Does anyone happen to know if Porsche was offering any Black Friday sales? If so, maybe I'll go pick one up. Hardly.

  1. Guest

    Joined: Dec 1969

    +3

    ok...

    I will say this as respectfully as possible. I think Apple does good in some areas and bad in others. I enjoy most of there products so my opinion is probably a little swayed. But I must say, the analysts are disappointed because they were flat wrong. Would I love to see Apple give 50% discounts? Of course. But Apple never has been, and hopefully never will be, about the cheapskates. Bottom line, if your not happy with the prices look somewhere else.

  1. Guest

    Joined: Dec 1969

    0

    same as the rest

    there were two kinds of black friday sales this year, good stuff with a light discount, and c*** stuff with a high discount.

    apple wasn't any different that bestbuy or sears or macy's.

  1. Guest

    Joined: Dec 1969

    +4

    Why Bother with a BS Sale

    h*** Apple stuff is SOOOO good that they should have raised the prices! Yeah that's it and the shoot the people the didn't think that was the greatest thing EVER!

    Apple set this up saying with that lame e-mail saying how this would be the greatest sale ever and then didn't deliver. Just hope the January announcements are better. Thank god for MacMall and Smalldog.

  1. Guest

    Joined: Dec 1969

    +5

    consumers are not stupid

    It's all over by now, but take a look:

    Apple Store (including 8.5% sales tax? vs. Mac Connection (after rebate)

    MacBook
    $1299.83/$1149, ? = $150.83

    AirPort Express 802.11/n
    $95.48/$95.93 (Amazon.com), ? = -45 (advantage: Apple Store: 45)

    iPod touch 2Gen 8GB
    $225.68/$209.99, ? = $15.69

    iPod touch 2Gen 16GB
    $301.63/$269.99, ? = $31.64

    iPod touch 2Gen 32GB
    $410.13/$359.99, ? = $50.14


    2Gen 8GB / 16GB / 32GB
    Mac Connection $209.99/$269.99/$359.99
    Apple Store $208.00/$278.00/$378.00

    iMac
    Apple Store (including 8.5% sales tax) vs. Mac Connection

    20" 2.4GHz
    $1245.80/$1099.99, ? = $145.81

    20" 2.66GHz
    $1516.83/$1349.99, ? = $166.84

    24" 2.8GHz
    $1838.09/$1599.99, ? = $238.10

    24" 3.06GHz
    $2276.33/$1899.99, ? = $367.34

    Then, how about the comparison without figuring sales tax?

    iMacs: 20" 2.4 / 20" 2.66 / 24" 2.8 / 24" 3.06
    $1148 / $1398 / $1698 / $2098
    $1099 / $1349 / $1599 / $1899* (* no rebate offered)

    Mac Connection $209.99/$269.99/$359.99
    Apple Store $208.00/$278.00/$378.00

Login Here

Not a member of the MacNN forums? Register now for free.

toggle

Network Headlines

toggle

Most Popular

MacNN Sponsor

Recent Reviews

Tylt Energi 2K Travel Charger

Backup batteries and device chargers are objects that many users take for granted. They often only one-dimensional in functionality, r ...

ActvContent Sync Smartband

Smartbands of all sorts are hitting the market. Some build on the buzz around fitness trackers, while others offer simpler features fo ...

RocketStor 6324L Thunderbolt 2 eSATA bridge

Like it or not, the shift to Thunderbolt is underway. The connection is extremely flexible, allowing for video and data to co-habitate ...

toggle

Most Commented