According to AppleInsider, the popularity of the iPod Nano’s design has prompted Apple’s marketing team to consider releasing a 1GB version of the device.
“Some members of the team reportedly argued that a 1GB iPod Nano would occupy the same value space as a redesigned iPod shuffle, which Apple is expected to introduce at the Macworld Expo in San Francisco during the second week of January.”
Analysts have determined that a 1GB Nano would have to be priced at around $149 in order for it to be successful.
“I think the pricing may be tough at $149, but Apple has proven that customers are willing to pay for style over storage capacity,” said one Wall Street analyst who asked not to be identified.
In my opinion, people would be willing to pay $149 for a 1GB Nano – but is overlapping products a good strategy? In this case, I think that it just might work. A redesigned 1GB shuffle may be priced in the $90-100 range which means that consumers would have a choice: An inexpensive utilitarian mp3 player vs. a pricer, stylish player with a screen. In other words, the products are different enought to justify their presence in the market.
Posted by Sean
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