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How Apple Priced the iPhone and Kept the Premium
In this episode of Pricing Power, Lucas and Luna dig into the pricing strategy behind the iPhone — how Apple has held a premium price for nearly two decades while competitors undercut on specs. They walk through the original $499 launch price, the psychology of the base model as a loss leader for storage upgrades, and how the App Store ecosystem locks in customers beyond the hardware. They also look at the recent shift toward services revenue and what it means for the future of iPhone pricing. Along the way, they touch on the role of brand perception, the decoy effect in the storage tiers…
The skinny
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