Everyone knows that Apple does a stellar job of getting its users to upgrade to its latest version of iOS, but how does it do at convincing customers to buy its latest iPhones and iPads, rather than settling for cheaper older models?
Very well, and getting better all the time, according to new market research from the Chicago-based Consumer Intelligence Research Partners.
Looking at consumer data for the calendar quarter which ended June 30, CIRP noted that the flagship iPhone 5s accounted for an impressive 62 percent of total iPhone sales in the quarter, while the iPad Air took 52 percent of all iPad sales in the quarter. Why is this significant?
Consumers update their iPhones at a fairly aggressive pace: when a contract expires, usually within two years, most consumers immediately upgrade to another one. But that’s not the way people upgrade their iPhones… in fact, it’s looking like iPads might be, for most consumers, more like Macs, which are replaced every 2-4 years.
When Apple unveiled the iPad Air back in October, they curiously decided to keep the iPad 2 around for another generation at a $399 price point… the exact same price as an entry-level iPad mini with Retina Display.
In theory, Apple’s idea here seems to have been to price the vintage iPad 2 at a sub-$400 price point so as to have a cheaper 9.7-inch tablet available for educational institutions, budget shoppers and the like. But it looks like no one’s really all that interested, with only one customer in twenty opting to buy an iPad 2 in the latest quarter. Despite this, though, average price of a purchased iPad fell for the second year in a row.
The iPhone 5c isn’t a failure by any means, but even so, it’s not selling as well as most people would have expected, with sales of the iPhone 5s believed to outpace its plastic midrange sibling by as much as three to one. And while it’s true that the iPhone 5c is still selling well enough to make it the second- or third-best-selling smartphone at every carrier, it’s still a middling success compared to the iPhone 5s.
Yet maybe that’s what Apple wants. In fact, maybe Apple realized that by selling the previous year’s phone for $100 less, they were cutting into their own margins by selling what was, in design, a luxury phone at a mid-tier cost. If so, the iPhone 5c is working exactly as designed.
Who sells the most iPhones of them all? It’s not a carrier or a third party: it’s Apple itself. In fact, the Cupertino company sells 25% of all American iPhone sales, combined. Even more staggering, though, is that Apple sells one in ten smartphones, too.
What are the most popular colors of the iPhone 5s and iPhone 5c? According to new data, it’s the space gray iPhone 5s and blue iPhone 5c. But availability may have more to do with that than anything else, at least for the iPhone 5s.
While the iPhone 5s is still difficult to get hold of more than three weeks after its debut — particularly if you want a gold or silver model — you shouldn’t have any problem picking up an iPhone 5c at your local Apple store. That’s because the cheaper device isn’t selling anywhere near as much as its high-end sibling.
According to new research from Consumer Intelligence Research Partners (CIRP), the iPhone 5s is currently outselling the iPhone 5c more than two to one.