As iPhone 4S sets records, Apple's legacy models show strong sales too

Posted:
in iPhone edited January 2014
With the soon-to-be-launched iPhone 4S gaining the most attention, Apple's previous-generation iPhone 4 and iPhone 3GS handsets are quietly racking up big sales after recent price drops.



When Apple announced the iPhone 4S last week, the company also revealed it would sell a new 8GB version of the iPhone 4 for $99, while the iPhone 3GS, first released in 2009, would be free with a two-year contract. In addition, both AT&T and Verizon lowered the prices of their 16GB and 32GB iPhone 4 models to $150 and $200, respectively.



Analyst T. Michael Walkley with Canaccord Genuity recently conducted a series of checks with U.S. carriers to gauge iPhone sales leading up to this Friday's launch of the iPhone 4S. He found that customers continue to embrace the iPhone 4 and two-year-old iPhone 3GS, even as a new model is set to debut.



His checks also indicated that preorders have been strong for the iPhone 4S, a fact verified by Apple on Monday, when it revealed that 1 million preorders were taken in the first 24 hours of availability. That handily topped the previous single-day preorder record of 600,000 set by the iPhone 4 when it launched in 2010.



The findings by Walkley are consistent with his past findings that previous-generation Apple iOS devices often outsell newer Android products. For example, in May he reported that the iPhone 3GS was outselling newer phones like the HTC Inspire and Motorola Atrix at AT&T stores.







The continued success of the iPhone 3GS, which is only available on AT&T in the U.S., was also tracked by the NPD Group in August, which found that the device was the second most popular smartphone in the U.S. Rather than discontinue the iPhone 3GS this year, Apple opted to keep the legacy device around and offer it for free with a carrier subsidy.



And even as rumors continued to build in the lead-up to Apple's iPhone 4S event, the iPhone 4 remained the top-selling smartphone in the U.S., despite being more than a year old. Apple's iPhone 4 held the top spot at both AT&T and Verizon, outselling the Samsung Infuse 4G, Samsung Charge 4G, and HTC Thunderbolt 4G.
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Comments

  • blastdoorblastdoor Posts: 1,187member
    This persistent disconnect between the reality of consumers' embrace of Apple products and the fantasy of certain tech pundits who consistently diss Apple's new products is really extraordinary. At what point are these guys going to finally look themselves in the mirror and ask "how have I become so out of touch with reality and what must I do to understand real-world consumers?"



    My guess is that for many of them, that point will never come. They will just become increasingly bitter, focusing their efforts to appeal to a shrinking audience of disgruntled IT workers and aging PC DIYers who are also totally out of touch with reality. Losers.
  • jonamacjonamac Posts: 384member
    Quote:
    Originally Posted by Blastdoor View Post


    This persistent disconnect between the reality of consumers' embrace of Apple products and the fantasy of certain tech pundits who consistently diss Apple's new products is really extraordinary. At what point are these guys going to finally look themselves in the mirror and ask "how have I become so out of touch with reality and what must I do to understand real-world consumers?"



    My guess is that for many of them, that point will never come. They will just become increasingly bitter, focusing their efforts to appeal to a shrinking audience of disgruntled IT workers and aging PC DIYers who are also totally out of touch with reality. Losers.



    Absolutely spot on!



    I do think the news that went under the radar at the keynote last week was that you can now get an iPhone 3GS and an iPhone 4 at incredibly reasonable prices. I know an awful lot of young people who want macs and want iPhones but can't afford them because they're too young. They won't always be. When they enter work, it's macs they'll buy. I think Apple have tremendous growth to come from young people lusting after their products after school in Apple stores entering work and having newfound disposable income. Where I live, the security guards have to let school kids in on a one-in-one-out basis! They spend ages on Photo Booth lol. Just check the Photo Booth pictures on a mac in a store and you'll see what I mean!



    Having an iPhone 3GS that is free on contract makes it affordable to people to whom it was not affordable a month ago.



    It's not all about the shiny new model sometimes, tech world.
  • knightofthewordknightoftheword Posts: 26member
    Both of my daughters are getting an iPhone 4 for Christmas. Both are using original iPhones. It's the perfect balance of a great phone with all the features they want as well as at the right price.



    What amazes me now is how I keep hearing about how Apple needs to have more models and yet they don't get that Apple have introduced precisely that with their "legacy" phones being more than capable of being exactly those models.



    Apple gave them more models by the back door but were too dumb to realise it.
  • tazinlwfltazinlwfl Posts: 117member
    My mom isn't big on the latest and greatest devices. She wants an iPhone, but doesn't really have the money to drop $200+ on a phone. Now that the 3GS is free, she's strongly considering grabbing one. The 3GS isn't a bad device - it takes DECENT video and pretty good photos. It's better than her current WinMo phone (Samsung Propel)
  • s4mb4s4mb4 Posts: 267member
    the fact the 3GS is free will be a HUGE factor for most people.

    the average consumer will understand that the new iPhones are "better" but will not care.



    most people would rather have the "free" device than drop $100 or $200 for something that is only better to the power user.....
  • shenshen Posts: 434member
    Quote:
    Originally Posted by Blastdoor View Post


    This persistent disconnect between the reality of consumers' embrace of Apple products and the fantasy of certain tech pundits who consistently diss Apple's new products is really extraordinary. At what point are these guys going to finally look themselves in the mirror and ask "how have I become so out of touch with reality and what must I do to understand real-world consumers?"



    My guess is that for many of them, that point will never come. They will just become increasingly bitter, focusing their efforts to appeal to a shrinking audience of disgruntled IT workers and aging PC DIYers who are also totally out of touch with reality. Losers.



    I would say this is dead on, but you forgot to mention that they become AI trolls and hang out in the forums telling everyone "this is it, this is Apples misstep, it is all down hill from here! This time for sure...."
  • piotpiot Posts: 1,344member
    Quote:
    Originally Posted by blastdoor View Post


    this persistent disconnect between the reality of consumers' embrace of apple products and the fantasy of certain tech pundits who consistently diss apple's new products is really extraordinary. At what point are these guys going to finally look themselves in the mirror and ask "how have i become so out of touch with reality and what must i do to understand real-world consumers?"



    my guess is that for many of them, that point will never come. They will just become increasingly bitter, focusing their efforts to appeal to a shrinking audience of disgruntled it workers and aging pc diyers who are also totally out of touch with reality. Losers.



    + 101
  • idol78idol78 Posts: 2member
    Hello just want to ask if its more practical now to get the lower capacity iPhones like the new 8 gig model because we now have the iCloud where we can store and retrieve our apps, docs, photos, itunes etc.? Thank you.
  • shawnbshawnb Posts: 155member
    ExtremeTech has a good post (here) about the iPhone 4S being a "safe bet" that Apple can sell tons of until it has the technological edge to release a "truly exceptional" iPhone 5.



    I won't try to re-hash the article here, but it's probably the most rational analysis of the 4S vs over-expectations that I've seen.
  • originalmacratoriginalmacrat Posts: 297member
    Quote:
    Originally Posted by tazinlwfl View Post


    My mom isn't big on the latest and greatest devices. She wants an iPhone, but doesn't really have the money to drop $200+ on a phone.



    She can drop $1,000 per year on a Verizon/AT&T contract but can't afford the $200+ deposit on the phone?
  • jragostajragosta Posts: 10,473member
    Quote:
    Originally Posted by AppleInsider View Post


    His checks also indicated that preorders have been strong for the iPhone 4S, a fact verified by Apple on Monday, when it revealed that 1 million preorders were taken in the first 24 hours of availability. That handily topped the previous single-day preorder record of 600,000 set by the iPhone 4 when it launched in 2010..



    Where are all the Apple-hating trolls who said that this was such a 'meh' upgrade and that no one would go for it?
  • christophbchristophb Posts: 1,366member
    Quote:
    Originally Posted by tazinlwfl View Post


    My mom isn't big on the latest and greatest devices. She wants an iPhone, but doesn't really have the money to drop $200+ on a phone. Now that the 3GS is free, she's strongly considering grabbing one. The 3GS isn't a bad device - it takes DECENT video and pretty good photos. It's better than her current WinMo phone (Samsung Propel)



    Would be helpful knowing what iPhone features appeal to your Mom and which you think she'll grasp and how fast. Does she run iTunes? Is she Mac or MS? Does she AppleTV? Has she ever used a touch-only display?



    I bought my parents iPhone 1Gs way back when and didn't upgrade them until the 3GS because they were still integrating what iOS had into how they lived. They are on iPhone 4 now and in catch up mode again. Understanding slow start on the tech and not wasting money on features and speed that won't be used will help. Also, the more complex the device, the more features you try to teach and they try to use/migrate, the harder your life will be supporting Mom. All of us here are probably Tier 1, Tier 2, Tier 3 support for our families.
  • adonissmuadonissmu Posts: 1,723member
    Quote:
    Originally Posted by OriginalMacRat View Post


    She can drop $1,000 per year on a Verizon/AT&T contract but can't afford the $200+ deposit on the phone?



    You are assuming that she has the top of the line phone plan and that she doesn't already have minutes built up.
  • christophbchristophb Posts: 1,366member
    Quote:
    Originally Posted by OriginalMacRat View Post


    She can drop $1,000 per year on a Verizon/AT&T contract but can't afford the $200+ deposit on the phone?



    Life with a fixed income. A concept those of us on a salary tend to forget.
  • cameronjcameronj Posts: 2,357member
    Quote:
    Originally Posted by idol78 View Post


    Hello just want to ask if its more practical now to get the lower capacity iPhones like the new 8 gig model because we now have the iCloud where we can store and retrieve our apps, docs, photos, itunes etc.? Thank you.



    It's more practical if you spend most of your time in wifi zones, definitely.
  • linkgx1linkgx1 Posts: 742member
    This is slightly off topic, but the iPhone 4S strong sales gives me confidence in the Wii U....
  • tallest skiltallest skil Posts: 39,987member
    Quote:
    Originally Posted by linkgx1 View Post


    This is slightly off topic, but the iPhone 4S strong sales gives me confidence in the Wii U....



    And the 3GS remaining the second-best-selling phone on the planet nearly two and a half years after its launch (and with a 600MHz processor, no less, up against the Crapdragon 1.5GHz ones) didn't give you that confidence already?



    OH. Oh, know what would make the WiiU sell even better? It's already backwards-compatible with Wii games… but what if they let it play back old Wii titles in 1080p, just like the new ones? MILLIONS of sales, even if not a single person buys a WiiU-specific game.



    I'd buy one, that's for sure. I don't plan to now, as I'm not that big on games anymore, but I have a Wii and would love to make it just a backup and enjoy my current titles in 1080p on a WiiU.
  • conradjoeconradjoe Posts: 1,887member
    Quote:
    Originally Posted by jragosta View Post


    Where are all the Apple-hating trolls who said that this was such a 'meh' upgrade and that no one would go for it?



    Everybody used to say that nobody would buy it. But now everybody is buying it, and nobody is saying it.
  • idol78idol78 Posts: 2member
    I see... Thanks man
  • linkgx1linkgx1 Posts: 742member
    Quote:
    Originally Posted by ConradJoe View Post


    Everybody used to say that nobody would buy it. But now everybody is buying it, and nobody is saying it.



    And if anybody has anything to say, I'll give them a slappin' (in the painful, but not sexual way).
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