Along with the release of the Apple Watch Series 4, Apple released/launched 3 new iPhones: Xs, Xs Max, and the XR. These phones are equipped with the latest technology and actually have some major internal upgrades and screen upgrades. Also the new cameras are among the best of the best that even Nikon and Canon make (until the professional level cameras with the attachments). So why do I bring up the new iPhones? Well I believe Apple made some marketing conscious decisions when planning to release the new product line.
In recent years, Apple has made a name for releasing two phones: one a regular size and another a plus size. However, this year they released three. I believe their option to go with three new iPhones was to penetrate more markets. The new technology that Apple has developed and obviously wants to use is very expensive (especially the new screen technology and their newly developed CPU, GPU, and SOC). This new technology is even improved from the X last year so of course is expensive. Last year when the X was released many people did not buy it due to it’s high price point. Apple has realized this issue and addressed it by releasing a third product. While the Xs will have a similar price point to the X, Xs max will be a little higher (just as the s to the plus), but the third option is the XR which is at a much more reasonable price point, starting at $749. This is Apple’s way to adapting to what the market is demanding without diminishing it’s actually product. There will be the Xs and the Xs Max for those who want the best of the best and/or the screen size. And the XR will be the lower end phone to reach those who want to keep iPhone, but that also needs to update. This low price point is to also target a new market who are looking to transfer to Apple, but not at the cost.
Apple saw a problem, and saw a market they needed to cater and did so very well with the new price points of the products.