Frustration with Apple

Currently the press and the investment community have nothing but praise for Apple. My personal experience may be an indicator that Apple is listening too closely to all the positive buzz instead of thinking about the consumer's experience with the company.

I purchased an IPod for one of my children in April. I think I spent $250. I bought a case to protect it, but the case I purchased didn't cover the screen itself. Well, in late September, apparently my son put the IPod in his backpack along with his school books, binders and associated stuff. The screen on the IPod got damaged.

I went to our local Apple store. First of all, I was told I needed to make an appointment with a specialist. It was approximately 2pm and the next appointment was 6:15pm that evening. Then I asked about the screen. I was told that the standard procedure was for the consumer to turn in the damaged unit and recieve a refurbished one for $99 - $129. I was told the refurbished one wouldn't carry a warranty. The Apple rep who told me this then said I'd be better off trading in the damaged unit for a 10% credit against a brand new IPod. He then went on to describe the features of the new IPod, which recently came out. I siad that I wasn't interested in a new IPod after having spent $250 only 6 months earlier. My comment didn't seem to phase him, but I'm bloody frustrated. Next time I'll buy a case that protects the screen as well as the body, but I feel Apple should produce a product that's less susceptible to damage (there is no visible dent, so I think the impact was small and the rep said it doesn't take much to damage the screen) or strongly suggest purchasing a cover that protects the screen

Can business learn something from colleges about creating demand?

I recently sent my first child in college. The process of selecting colleges to apply to, applying and enrolling has made me focus on the remarkable pricing power colleges have. How many businesses can raise their price and see demand increase? (The NY Times ran a piece in the Spring of 2007 about a college whose annual tuition room and board was approximately $35,000 when the "norm" for private colleges was more in the range of $40,000 - $45,000. The college decided to raise its fees and saw an increase in the number of applicants).

The lesson? For businesses serving consumers the lesson I've determined must be: provide a product or service that makes you think you or your child will be improved in some way (make you think you look better, feel better or are more appealing to a prospective employer)

The benefit can't be percieved as "internal". Those benefits aren't percieved as being as valuable as benefits someone else can see. Adult education schools like those conducted by communities are described as self improvement or for fun. The prices they can charge are significantly less than the prices colleges charge for courses that lead to degrees.