The most common method of pricing is cost-plus, where you take the cost of your manufacturing and add 10% (or 50% or 200%) to create a selling price. And pricing experts assure us that cost-plus is always wrong.
The cost of components in the new iPhone is $181.55. And Apple appears to barely recoup their costs with phones starting at $200. Of course, to get the $200 price, you have to sign up for a $40/month subscription with AT&T so Apple makes much more in the long-run. Still 60,000 people bought new phones on the first day, so I guess price wasn't their issue. People who hate AT&T will opt for Android but the same scenario applies.
What's your pricing scenario? Do people get value at once or over time? Price your product in alignment with the customers' perception of value.
