Apple Black Friday Sale Starts Down Under. Sales Are Slow

by Jason Wilk on November 27, 2008

  • Apple’s global Black Friday sale has gotten off to a weak start in New Zealand and Australia.
  • Why is it weak? Well for starters the discount is only available for the iMac and MacBook computers. Secondly, the discount only knocks off $100 for higher powered Macbook Pro or iMac models and only $50 for lower powered machines. Even less for the suite of iPod’s and accessories. I’m sure I could find my old college ID somewhere and get the same discount as that.
  • This is bad news for Apple if this discount spreads to the US Black Friday Sales, where analysts were expecting Apple to knock off 15% for most Mac products.
  • With such dismal discounts, Apple is taking a big risk that they will be able to keep sales high through this holiday season. I’m Bearish on Apple for this winter.

[Post to Twitter] 

  • TenoriZero
    ..define "Bearish on Apple for this winter."
    Black Friday has never been a profit generator, especially for retail. Most retail establishments AIM to get as close to break even as possible. If you want to translate this into how the company will do for the holiday quarter, Black Friday is NOT something one would use as a primary piece of evidence to determine the company's fate for the quarter. At most, it sets the mood for the holiday shopping as a preliminary dip into the products and shopping for customers.
    The thing about that is, Apple products and stores have never really fit into that category. Take a look at the "deals" for Black Friday and you'll find yourself looking at a bunch of low-end, maybe some mid-range products taking the discounts. Apple's products certainly don't fit those categories, which brings a more significant question to the table: What purpose does Black Friday serve to Apple, a group whose company philosophy revolves solely around quality, somewhat luxurious products while generating a lot of profit off their sales?
    If they do offer a slight discount, it'll be better than what they offer year round, including at their resellers since there is a strict price floor for Apple products whether they're sold at an Apple store or Big Box retailer or even an online merchant. The minute they offer huge discounts, they'll be trading in a LOT of their profits for volume, which has never really made sense for Apple.
    Also, take a look at Apple's previous holiday quarters and what they've done each year. Yeah, that's what I thought.
  • TenoriZero
    Yeah, I know this is an old article, but it was linked to this year's Apple Black Friday gossip. Little bit worried if that ad comes out to be real. But if it is, you'll definitely be seeing me camping out at the store, lol.
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