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Apple Built Itself on Simplicity. Now it Is Confusing Customers.

September 16, 2020 By Jeremy Jones, CFA

By Studio Monkey @ Shutterstock.com

What are Apple customers’ best options? They can’t tell. That’s the problem facing Tim Cook and the Apple team. Nicole Nguyen reports in The Wall Street Journal:

Apple AAPL -1.20% made three significant product announcements Tuesday—the Apple Watch Series 6, the redesigned iPad Air and the new Apple One service bundles—and managed to create more confusion about the best way for its customers to spend their money.

When it comes to Apple Watch and iPad, the choice is no longer simply “Should I upgrade?” Apple, in trying to prove that its gadgets and services are for everybody, now offers a low-end budget-conscious option, a Goldilocks model and a premium, pricey tier.

But more products at more price points means too many overlapping features. And while the company did try to simplify its expanding services menu into flat-fee bundles, the bundles don’t satisfactorily address the needs of all their users.

One big takeaway from today’s virtual event—not to mention the ever-increasing lineup of iPhones, which we hope to hear more about soon: Apple no longer follows Steve Jobs’s keep-it-simple approach to products.

Read more here.

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Jeremy Jones, CFA
Jeremy Jones, CFA, CFP® is the Director of Research at Young Research & Publishing Inc., and the Chief Investment Officer at Richard C. Young & Co., Ltd. Richard C. Young & Co., Ltd. was ranked #5 in CNBC's 2021 Financial Advisor Top 100. Jeremy is also a contributing editor of youngresearch.com.
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