Hi Alan,

I usually find my experiences at Apple Stores are very good, but the few times 
I called the main Apple custpomer service line it is often the opposite. I have 
had good experiences there, but just as you I often found the people they have 
answering their phones are not very knowledgeable at all.
By the way, I read that Apple’s cost to manufacture their phones is about 35% 
of what they are sold for at retail and that apparently Apple keeps their 
margins about the same. This would mean that a set of $30 /Earpods would cost 
about $10 to make, but I somehow have a feeling it is much less than that 
because the actual value of the components can’t be more than $4 or $5 and in 
the same article which was a few years old and was talking about the iPhone 5S 
I think said that while the components of the phone cost about $200 the actual 
manufacturing cost was only $8. If I consider a factory which produces headsets 
where probably millions of the things are pumped out constantly they just have 
to be cheap. The same formular applied to the Airpods would indicate the cost 
of a set of Airpods is about $55 for Apple with a bit over $100 in profit (of 
course shipping costs must be deducted from that at least for the portion of 
Airpods which are ordered online and where Apple offers free shipping. Let’s 
face it, there is a reason why Apple is the richest company in the world, I 
wish I could get away having a 65% profit margin.
I also agree that Apple Care Plus is less attractive nowadays since it has 
become so much more expensive. It used to be $79, I think now on the iPhone X 
it is $199 and adding Apple Care Plus is just simply expensive nowadays.

Regards,
Sieghard

From: [email protected] <[email protected]> On Behalf Of Alan 
Lemly
Sent: Saturday, May 5, 2018 9:57 AM
To: VIPhone Email List <[email protected]>
Subject: AppleCare Plus Still Worth It? What's Your Experience?

Hi List,

I've always been a major proponent of purchasing AppleCare Plus when buying a 
new iPhone. My reasoning is that these devices are not inexpensive and since 
they are constantly being carried around, the opportunity for accidents or 
physical wear and tear is fairly substantial. I'm starting to have second 
thoughts after my last two experiences filing a warranty claim under AppleCare 
Plus.

I've posted on this list about an issue I'm having with my wired Apple earpods 
and thanks to comments on this list was able to confirm that the microphone on 
those earpods was starting to fail. I initiated over the phone an AppleCare 
claim to get a replacement pair of earpods earlier this morning. This was the 
second such claim for replacement earpods because the pair I'm having replaced 
now were a replacement in January, 2018. My understanding is that you qualify 
for two such earpod replacements under AppleCare Plus. I can't tell you how 
frustrating it was to get this claim filed. The initial person I spoke with had 
difficulty distinguishing my wired earpods from the very expensive Airpods and 
had to be corrected when she set up the claim incorrectly. She asked me to turn 
off Find my iPhone which I'm pretty sure is unnecessary when doing a warranty 
claim on a $30 retail item. She ended up putting me on hold for about 10 
minutes at which point I terminated the call and started over. The next guy I 
spoke with was a bit better but ended up transferring me to a Senior Advisor 
for some reason. When the Senior Advisor came on, she started talking about my 
Airpods claim. By this point, I was getting pretty frustrated and again 
explained that this was a DIY claim for a pair of $30 wired Earpods under my 
AppleCare, not for wireless Airpods. She then came back and said the claim 
required a $30 shipping charge. I told her she was incorrect and that the item 
cost $30 at retail with no shipping if I purchased it new from Apple Online. 
She again came back an said she couldn't waive the $30 shipping charge. I must 
admit that I was losing my patience by this point but went on in a somewhat 
louder voice that the way these DIY claims had always worked in the past was 
that Appple would take my credit card info, send the replacement item, provide 
me with a return shipping label that I could use with their turnaround 
envelope, and then credit me back the hold on my credit card when I returned 
the defective item. I strongly emphasized that I wondered if paying $130 for 
AppleCare Plus was worth it if I had to pull teeth to file a couple of warranty 
claims for a $30 item that probably cost Apple no more than $18. Finally, she 
said she did something different and the claim was now showing correctly that a 
hold would be placed on my credit card and cancelled when I returned the 
defective item and that no shipping charge would apply. She was not able to 
answer me when I asked her what she had done differently. It almost sounded as 
if she had refreshed her screen or some such thing.

After spending at least 45 minutes on the phone getting this claim filed, I 
thought I'd write here to find out what others have experienced with AppleCare 
claims. I've had great success in the past but the last two I've filed for 
defective wired earpods replacement have not gone well. I don't know if this is 
a trend with the support reps who are fielding these calls but I thought I 
should ask the group. I try very hard to communicate clearly to avoid confusion 
and I'm pretty sure the problem is with the listening on the other end as 
opposed to what I'm saying on my end. Are others having good experiences when 
talking with AppleCare folks on the phone? Is there a better way to initiate 
one of these claims perhaps by using the Apple Support app or online with a 
computer and a web browser?

Thanks for reading my rant and for any comments you can supply.

Alan Lemly
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