Apple unveiled more details about the Apple Watch at its recent Spring Forward event, with one detail in particular catching many people's interest. The gold version of the Apple Watch, called the Apple Watch Edition, is a whopping $10,000.
This expensive wearable is very likely to sell far more than many people think, however, and there are a number of reasons why.
Wearable devices are far more of a fashion statement than other pieces of tech such as a smartphone. Users don't want to wear an ugly device. It's the same reason that luxury watches have done so well in the past - it's a symbol of status, class and fashion.
The new Apple Watch is no different. Part of Apple's appeal has always been about fashion. Apart from the seamless integration of hardware and software, iPhone and Mac owners are able to boast that "they own an Apple product." A gold Apple Watch Edition is the ultimate boost to that Apple-based ego, in the same way that buying a gold-plated iPhone would be if Apple offered it.
It's also important to note that the Apple Watch Edition is not for everyone. In fact, it's not for most people. The other versions of the Apple Watch will be sold in the millions.
Of course, many are a little mystified at Apple's decision to offer the device at such a high price. In fact, Apple-haters have had a field day over the announcement. The simple truth to the matter, however, is that Apple-haters don't have to buy the device. Many, however, do like the new device, and are willing to splurge on it.
Apple will have to overcome a few hurdles with the Apple Watch Edition. There is a small difference in buying a $10,000 Apple Watch compared to buying a Rolex, and that is that not everyone owns a Rolex. It's difficult to walk down the street without seeing an Apple product of some kind. Apple has created a certain level of exclusivity with the new Apple Watch, however it's difficult to tell if it being Gold will be enough to differentiate users of the Edition from users of the other versions of the device.
Another problem for Apple will be the fact that the watch is not likely to hold a resale value in the same way that other classic timepieces might. Other than its weight in gold, the Apple Watch Edition will not sell for anywhere near $10,000 in a year.
