iPhone 5S iPhone 5C
Apple proves they still know what it takes to generate a sales record
iPhone 5S iPhone 5C sales record over 9 million new iPhones were sold during first weekend
The iPhone 5 released last year broke sales records by selling 5 million phones on the first weekend breaking the previous iPhone 4S sales record of 4 million phones.
Apple did not break down the sales figures released on Monday but they did seem surprised by the volume of iPhone 5S sales.
The lions share of the uptake has been in the United States followed by Japan (iPhone 5S) and Europe. Early estimates are saying the iPhone 5S sold 7.5 million and the iPhone 5C 1.5 million.
As the sales model has changed (2 models at once and a change of the model / pricing strategy mix) the 1st weekend sales figures are not really comparable. Nor do the first weekend’s sales indicate long term demand. Some notes: The iPhone 5 was released to 9 markets at the launch (not including China), the iPhone 5S – iPhone 5C was release to 11 markets (including China).
Another way to look at the iPhone 5S – iPhone 5C sales record: the iPhone 5 sold 5 million units without China, when China was launched 2 million iPhone 5’s were sold the first weekend. If the launch figures are looked at this way the iPhone 5 sold 7 million units in the first weekend launch. The iPhone 5S appears to have sold between 7 and 7.5 million units with China in the initial launch market.
Initial analysis indicates most of the iPhones this weekend were in the US market and the China market contributed very little to the overall sales volume.
Business Insider’s Gene Munster also brings up the point of “channel fill” stating that significant numbers of the 9 million units sold are phone’s sold to partners for stock and not actual consumer sales. Munster states that as many as 3.5 million iPhones were sold to partners and do not represent new iPhone sales as measured by customer activations.
Marketing hype? Yes, and Apple has not lost the marketing group or know how when it comes to hype. Apple is stating 9 million unit sold and then letting the Google pundits and blogs follow up by comparing Apples to Oranges and then state it’s a record.
As always statistics are in the eye of the beholder.
I doubt Guinness would accept the calculation it’s a new record.
Based on Munster’s surface analysis 4 million iPhone 5S and 1.5 million iPhone 5C’s were sold and activated by customers – the rest is “channel fill” – stock. The coming weeks will begin to color in the unit sales story.
A simple measure of this analysis is: iPhone 5C – currently in stock at the Apple Store, iPhone 5S nope. To see Munster’s explanation of this go to: Munster’s video on Bloomberg.
Conclusion – iPhone 5 against the iPhone 5S – about the same, maybe even less, with a worry that China sales are very low compared to the iPhone 5 launch in China.
- Galaxy S4 – 10 million units in 30 days
- HTC One – 5 million units 30 days
- Nokia Lumina (the whole range) 3 months 7.4 million units and since 2011 18 million units total,
- BlackBerry – 3.7 million units in the last 90 days
In another interesting comparison by the Yankee Group “only 9% of Apple owners plan to switch brands in their next purchase while 24% of Android owners plan to switch”. In the same data published 18% of Android users plan to buy an iPhone when they make their next SmartPhone purchase. Interestingly Samsung owers are even worse with 56% stating that they would not buy another Samsung. Short term? Apple’s certainly not dead. While the company may have lost some edge in design and innovation they do still know how to retain customer loyalty, profit margins, and marketing image.
Still Apple is having a good day (today) and enjoying poking the tech space nay sayers in the eye …
iOS 7 has now been updated on over 200 million devices – a busy weekend for Apple servers indeed. As a note – iOS7 runs on the iPhone 4, iPhone 4S, the iPhone 5’s, and on the iPad models iPad 2 and up. See our next post on Apple’s grand strategy or making the best of what’s left … iOS 7 and fingerprints a look at why ….