"Going without food and clothing" to buy an iPhone

When the iPhone 15 was released, exactly one year ago, I was in the US. Some friends asked if I could bring some back for them when I returned to Vietnam. I told them it would be a long time before I got back, so by then, the iPhone 15 would probably be widely available in Vietnam, and besides, I didn't have that much cash to buy multiple iPhone 15s. As a student, I only had enough to live on; I couldn't possibly afford the latest iPhone.

Curious about the iPhone launch scene in the US, I passed by an Apple Store in Boston and stopped in to take a look.

The store was busier than usual, but there weren't long queues like in Singapore or Thailand, and I didn't see any "reservation" services for people to buy on their behalf. I think this is partly because owning an iPhone in the US isn't difficult, and partly because the iPhone craze isn't as intense as in many other countries.

Nhịn ăn, nhịn mặc mua iPhone - 1 — iPhone 15 Pro Max (left) and iPhone 16 Pro Max (right) (Photo: The Anh)

In a recent analysis based on per capita income, it was found that with the starting price of 28.99 million VND for the iPhone 16 Pro, the average Vietnamese person would need to save up enough money for 53.1 days' worth of salary to buy the product. This is the starting price, not including versions with much higher prices. At the top of the ranking, for example, Swiss citizens only need 4 days' worth of salary to buy an iPhone 16 Pro.

These figures are for reference only, but they also give readers an idea of how expensive iPhones are in relation to people's incomes.

According to a report by Counterpoint Research, Vietnam led Southeast Asia in the number of iPhone users in 2022. The iPhone usage rate in Vietnam in 2023 was also significantly higher than in many other countries in the region, such as Thailand and Singapore, countries with higher per capita incomes than Vietnam. Looking at these macroeconomic statistics, I see that many of my friends upgrade to the latest iPhone models very quickly upon release. Some of my friends think the price of an iPhone is equivalent to their entire month's salary.

Why do so many Vietnamese people love iPhones? And more specifically, why are so many people willing to spend so much on a product that consumes so much of their personal finances?

I believe that shopping is a personal choice and we need to respect it, as the saying goes, "don't teach the rich how to spend their money." But from a societal perspective, besides high-income earners who splurge on products like iPhones, what reasons would compel those with more modest incomes to also buy iPhones?

As a casual iPhone user, I appreciate the product in many aspects: its user-friendly interface, convenient ecosystem with easily linked products, durability with a long lifespan, and good customer service. These are characteristics that even those without advanced technological expertise can recognize when using an iPhone. However, these reasons alone are not enough for someone to readily replace their iPhone like changing clothes every season.

One of the most obvious reasons consumers buy iPhones is that they're not just buying a regular phone. Apple doesn't just sell a phone; they sell "prestige"—or at least that's what buyers believe they can expect from owning an Apple product.

The higher the price of a product, the higher your social status. That's why, every time Apple releases a new product, we often see unboxing videos , posts about the difficult queues to get an iPhone, and close-ups of the latest iPhone in hand. Even when imported iPhone 16 Pro Max models are being sold for up to 79 million VND, many people still pay the price just to own one or two weeks earlier, before the product is officially sold in Vietnam.

For tech enthusiasts and those with good incomes, owning the latest iPhone is entirely within reach. But when you have to trade a whole month's salary for an iPhone, is it a worthwhile investment? This is a question to consider, even though, emotionally, owning a luxury product is seen as a symbol of social status.

Personally, every time I receive my monthly salary, after calculating my basic expenses, if I set aside a portion for books, online news (international newspapers, with monthly or annual subscriptions), and a small portion for savings… the remaining amount is far from enough to even consider a new iPhone. Of course, I can't "go without food and clothing" and forgo other necessary expenses for a new iPhone, because my old phone is still working perfectly fine.

I know friends who lived off credit cards until they went bankrupt, having to convert their credit card debt into installment payments, struggling month after month because they couldn't manage their spending.

Sometimes we think others will appreciate us for owning the latest iPhone or some other luxury item, but perhaps not many people care that much. I can't remember any of my friends who own the latest iPhone. Status and social class don't necessarily go hand in hand with an iPhone, but many people end up with a debt to pay off.

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