Originally Posted by solipsism
Well yeah, but that is comparing marketshare over the previous marketshare for that companies product category. It indicates that the product is outpacing the industries growth.
And what will be your counter when some other company outpaces the growth of Apple with respect to the industries growth?
Using the last year-over-year quarter growth, Android outpaced the growth of Apple iPhone (the phone component worldwide): 807% vs. 117%, respectively.
When Apple tried to counter the trend in the US market, it raised the situation worldwide. Sure, Apple was ahead by several millions or so, 5.4M Androids vs 8.5M iPhones. But, RIM could make the same argument in terms of marketshare (10.5M). In terms of growth rate, Apple may overtake RIM, but Android, at the pace indicated may trounce the iPhone.
If you want to wager***, I would predict that by next year, the Android would surpass Apple iPhone (the phone component) in terms of marketshare. And base from their stage in the sigmoidal growth curve, I would predict Android still would maintain higher growth rate than Apple but at a slower pace of growth rate.
However they define smartphone, Nokia remains the uncontested leader followed a distant second by RIM in terms of marketshare.
So where is Apple "product ... outpacing the industries growth"?
I did not include the profitability factor because it has always been the focus of Apple once it decided to cater to a more discriminating crowd. And, if profitability is the focus, the strategy about all these ephemeral and neverending "races" would require different propaganda strategies. A good example of that propaganda to win consumers is the Mac vs PC ads -- in a PC market where Mac computers has lost the marketshare race several decades ago.
Does this strategy mean that Apple is aversed to low profit margin or to reach the lower end market? Not exactly.
- It sold cheaper models of the iPods to ensure its dominance in the digital music market.
- Apple did reduce the prices of its Mac products.
- And did the same for the iPhone.
- The back to school sale with free iPod (or $199) is another significant reduction in price to protect Apple's share in education.
- Apple similarly priced the iPad, much lower than analysts estimates to increase reception of what was then a product that was not known to be a definite winner.
Tim Cook, I believe was very forceful that they will do what it takes to price their product more competitively.
Apple is winning against the competition because of its diverse and well-integrated ecosystem and continue to culture that diversity with innovation. It would be fascinating to see process progress as the Apple "walled garden" compete with an almost opposite type of strategy, the more open "Android ecosystem.
The one who loses will not post in any Mac or mobile computing site for a year.