Apple has always tried to keep the price down on its various products to be able to appeal to the right customers. With its new invention, Apple has moved away from its ‘affordable price’ tradition. The new Apple Watch will be available in a limited special edition made of 18-carat gold, sapphire, crystal, and will retail for a whopping $10,000.
“Apple is the only technology brand that has the potential to move from tech brand to luxury brand. This is unprecedented. I think this is Apple flexing its muscles, moving into a space that it potentially has all to itself. The question is; “how big is that market? Is Apple eating into the market or making it bigger? I think they will make it grow,” said Jan Dawson, a tech analyst at Jackdaw Research.
Thomaï Serdari, Luxury Brand Strategist and Lecturer at Sotheby’s Institute of Art in New York, said, “Apple produces good design, and I hate to say it but good design is priceless. From what I have seen, the gold watch has a very elegant profile. The very slight curve shows that the design has been very well studied to fit on your wrist. I am curious to see how it actually feels. I wouldn’t be surprised if customers have the option of keeping the strap and the casing but updating the software, which would create loyalty and longevity.”
A luxury goods analyst for Sotheby’s said that the design looks promising as a high-end product. During the launch, Tim Cook explained in detail how customers will use the buttons on the side of the device to operate the apps on the screen like an iPhone. Customers can also choose a lower range watch or the ‘entry-level’ model, the Sport, starting at $349.