JournalStar has an interesting article about pricing strategies and the psychology behind them. It’s always interesting to read about. We often view good buys not in terms of what they are, but relative to something else. If you can control what that “something else” is, you have a lot of control over consumers.
I’ve mentioned several times on this blog that RFID isn’t a good idea for sensitive things like credit card information. Pretty much anything you wouldn’t openly make available to strangers.
The latest piece of evidence is Adam Savage, of Discovery’s Mythbusters discussing how they were effectively outgunned by lawyers for credit card companies (with video goodness) when wanting to do a show about RFID.
My personal experience is that they will swap out your RFID card with a non-RFID upon request. Until this stuff is much more proven, I don’t want it. Some make the argument that you’re not liable for more than $50, but it’s your job to convince credit agencies to update your credit history and dealing with creditors re-evaluating your changed credit history for a really long time. Considering the current credit crunch and the knee-jerk reactions that are so common right now, that’s just a recipe for disaster. Who wants to go through that for the novelty of not needing to physically swipe the card? No thanks.
Lets look at iTunes, and what it offers right now:
- MP3/ACC Player
- Media Organizer
- Media Player (it comes with QuickTime)
- Music Store
- It also comes in at aprox. 19MB’s, free from Apple’s iTunes website.
I’ll call it “a rather robust application”. Sounds fair?
Now here’s my theory:
People like Music. People like simplicity. People like easy to use programs. iTunes is all of these. The one thing that’s a drag is that dreaded curse word amongst average computer users “Installing”. That means downloading, over a slow 56k modem, and putting unkempt software on your computer, especially after all the geeks talk about “Spyware“, and “Viruses“. Some are just to afraid to install.
This ensures, everyone who buys a computer, gets a chance to try iTunes. Perhaps even allow the OEM’s a method to throw in a few free downloads. To let the user try, at no obligation, iTunes. Cheap, legal music, without downloading/installing.
What does Apple get?
Giant Audience, free advertising from the OEM’s, getting QuickTime on systems from the factory.
What do OEM’s Get?
All OEM’s today market computers towards home users, in particular as “media” systems. “Play CD’s, DVD’s”, “Games”, “Graphics”, “Music”. All keywords used to sell computers. What would make sense than to contain a built in method to purchase music? Play it with your brand new upgraded speakers on your fancy Computer Make/Model Here
What Users Get?
Chance to try iTunes without wasting time/effort downloading, a few free songs perhaps, and a good media player pre-installed.
Just FYI, never expect anything you order from IBM to ship in a timely manner. Thursday morning aprox. 8:00 AM, I placed an order. 24 hours of Credit card processing, and it ships right? Well, it’s Monday, and they hope to ship today, or “at the latest” tomorrow. Then 3-5 day shipping.
Thankfully I didn’t waste money speeding up shipping, would still take forever.
My laptop was the same way, took forever just to get through credit card processing. It’s like they have 1 15 year old “cash intake engineer” sitting there doing all the billing.
You would think a computer company could get this done FAST?