Comments on: Question of the Day: Is Jobs Using ‘Scarcity Illusion’ to juice iPhone2 debut? http://gigaom.com/2008/04/03/apple/ The Business of Technology Sun, 23 Nov 2008 10:23:36 +0000 http://wordpress.org/?v=MU hourly 1 By: JP Checa http://gigaom.com/2008/04/03/apple/#comment-875565 JP Checa Thu, 03 Apr 2008 15:11:31 +0000 http://foundread.com/?p=671#comment-875565 1. I think they are using "Scarcity Illusion". Apple knows its customers very well. I'm one of the early adopters, or as someone once told me a "professional line waiter", so I usually try to nab a highly sought-after product on launch day. 2. I don't mind it because I already have an iPhone. If i didn't have one in hand, I would probably be perplexed why stores didn't have any in stock. I'd look to other channels to get one. 3. At my startup? No, because we're a web application. For a different startup, i'd only consider this strategy AFTER we've a) built a recognized brand/product b) built enough buzz and c) released information and/or testimonials about the product. Apple has all of those things and I'd assume that most startups are in a different stage of branding and development. You can only get this kind of buzz if reporters and journalists like/want to talk about your product or company. 1. I think they are using “Scarcity Illusion”. Apple knows its customers very well. I’m one of the early adopters, or as someone once told me a “professional line waiter”, so I usually try to nab a highly sought-after product on launch day.

2. I don’t mind it because I already have an iPhone. If i didn’t have one in hand, I would probably be perplexed why stores didn’t have any in stock. I’d look to other channels to get one.

3. At my startup? No, because we’re a web application. For a different startup, i’d only consider this strategy AFTER we’ve a) built a recognized brand/product b) built enough buzz and c) released information and/or testimonials about the product. Apple has all of those things and I’d assume that most startups are in a different stage of branding and development. You can only get this kind of buzz if reporters and journalists like/want to talk about your product or company.

]]> By: Jeffrey http://gigaom.com/2008/04/03/apple/#comment-875566 Jeffrey Thu, 03 Apr 2008 14:41:35 +0000 http://foundread.com/?p=671#comment-875566 If there were a manufacturing issue with the phone, wouldn't we have known about it by now? Another thing to consider is the propensity of Apple customers to cry like babies whenever they purchase a product that is revised or lowered in price soon thereafter. Removing supply from the retail chain may be a way for Apple to inoculate itself from that. If there were a manufacturing issue with the phone, wouldn’t we have known about it by now?

Another thing to consider is the propensity of Apple customers to cry like babies whenever they purchase a product that is revised or lowered in price soon thereafter. Removing supply from the retail chain may be a way for Apple to inoculate itself from that.

]]> By: Adam Wride http://gigaom.com/2008/04/03/apple/#comment-875567 Adam Wride Thu, 03 Apr 2008 14:12:53 +0000 http://foundread.com/?p=671#comment-875567 btw, can you include the "mail me future posts" feature (like Blogger does)? I love that feature and would keep me updated. Thanks! btw, can you include the “mail me future posts” feature (like Blogger does)? I love that feature and would keep me updated. Thanks!

]]> By: Adam Wride http://gigaom.com/2008/04/03/apple/#comment-875568 Adam Wride Thu, 03 Apr 2008 14:08:52 +0000 http://foundread.com/?p=671#comment-875568 I think Jobs and others are smart to encourage a scarcity of their products in so much as it helps maintain their brand/identity. Too often companies "max out" the identity credit card by flooding the market with the product (Krispy Kreme comes to mind). As I start my own business, I realize I don't have the luxury of holding back product to create the scarcity, but I can position my product in such a way as to not "flood the market" (ie: spam, disingenuous marketing, etc). I think Jobs and others are smart to encourage a scarcity of their products in so much as it helps maintain their brand/identity. Too often companies “max out” the identity credit card by flooding the market with the product (Krispy Kreme comes to mind).

As I start my own business, I realize I don’t have the luxury of holding back product to create the scarcity, but I can position my product in such a way as to not “flood the market” (ie: spam, disingenuous marketing, etc).

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