Apple offers limited Black Friday price cuts
SAN FRANCISCO (Reuters) - Apple Inc's much-anticipated Black Friday event offered consumers discounts on Mac computers, iPods and accessories at levels similar to years past, despite speculation about deeper price cuts.
Apple, a company renown for its marketing prowess, had stoked consumer excitement by announcing a one-day Black Friday "shopping event," without giving any further details.
The company cut prices by roughly 5 to 10 percent on certain items. A 13-inch MacBook was being offered for $1,200, a discount of $100, while an iPod touch was being sold for $378, a discount of $21. The iPhone, which has been hugely popular since its launch last summer, was not on sale.
However, analysts said at least some Apple stores were matching the bigger price cuts of other resellers if a shopper brings in proof.
At an Apple retail store in downtown San Francisco, more than 150 people lined up ahead of the 8 a.m. opening time. Many people knew in advance about the sale.
Nicolas Mac Ferran, an exchange student from France, arrived at the store at 6:30 a.m., looking for a deal on a laptop. But he left empty-handed and disappointed after seeing the small discount on the MacBook.
"I can do better at the school bookstore," he said.
Apple products are generally more expensive than those of competitors, and the company does not cut prices very often. However, with consumer spending a huge question mark this holiday season, many retailers desperate to lure shoppers are offering steep discounts.
Stephen Baker, a vice president with research group NPD, said consumer electronics stores in general were busy on Black Friday, and he expects the sector to hold up better than others during the holiday season.
Baker said Apple will outperform its rivals, even in tough economic times. The company knows it does not have to slash prices to bring in business, he said.
"They feel like their brand and their product maintain their value better than others do, and they don't have to resort to wholesale price cutting."
UBS analyst Maynard Um said in a research note that Apple's discounts could have some limited impact.
"We believe Black Friday One-Day discounts should help stimulate some demand, though we would think less than last year given the tougher economic environment," Um said.
Shares of Cupertino, Calif.-based Apple fell $2.33, or 2.45 percent, to $92.67 in early afternoon trading.
(Reporting by Gabriel Madway)
