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Strong iPhone 5c sales gave Apple highest growth in mid-range iPhone market

post #1 of 48
Thread Starter 
With record iPhone sales in Apple's June quarter, the largest growth actually came from the company's mid-range handset lineup, which is represented this year by the colorful iPhone 5c.

iPhone 5c


Apple Chief Executive Tim Cook revealed on Tuesday that year-over-year growth rates comparing the iPhone 5c to last year's performance of the iPhone 4S show the greatest growth. That means that the share gains seen by the iPhone 5c outpaced those of the 2014 iPhone 5s vs. 2013 iPhone 5, and also bested the 2014 low-end iPhone 4s vs. 2013 iPhone 4.

Cook characterized himself as extremely happy with the performance of the iPhone 5c, which starts at $99 with a new two-year service contract. It comes in a plastic back available in a range of colors, but lacks the A7 processor and Touch ID fingerprint sensor found on the flagship iPhone 5s.

Though Cook didn't offer specifics as to how sales of each available iPhone model broke down over the June quarter, the comments seem to suggest that the iPhone 5c's share of total handset sales for Apple have been improving since the mid-range smartphone launched last year. For example, early this year Cook said that iPhone 5c sales up to that point represented a lower share of overall sales than the company had expected.

There's also evidence that the iPhone 5c may be playing an important role in attracting Android users to switch platforms. And while critics have been quick to attempt to position the iPhone 5c as a "failure," data suggests that the device has been outselling flagship Android devices, as well as every BlackBerry and Windows Phone device.

Apple on Tuesday reported total iPhone shipments of 35.2 million in the just-concluded June quarter, representing 12.7 percent year over year growth and setting a new quarterly record, but still coming in on the low end of Wall Street expectations. Exact sales of the iPhone 5c are unknown, as Apple declines to break down statistics on individual models for competitive reasons.
post #2 of 48

I thought all the media, the analysts and all the haters said the 5c was a flop. It's easy to see what they were doing to spin the story regarding the 5c. The 5c replaced the 4s, so it should have been compared to how the 4s was doing, but no, that would be too logical and there is no story there.  So instead, they decided to compare it to the 5S to try to spin it as a negative.  I expect to see the same headlines regarding iphone supply cut. You can see them already setting the stage for it with yesterday/today's headlines.  "Apple ordered 70-80 million iphone 6", by January, the headlines will be "iPhone 6 not selling well, Apple cut their iphone 6 orders, Apple is doomed."


Edited by toukale - 7/22/14 at 4:01pm
post #3 of 48
I'll gladly volunteer to do the obligatory "But..but..but... the iHating anti-5c trolls said it was supposed to be a complete flop!"
post #4 of 48
Does this feed into the other reports of some saturation at the high-end?
melior diabolus quem scies
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melior diabolus quem scies
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post #5 of 48
On the other hand I don't see that many people use the polka dot iPhone case
post #6 of 48
Quote:
Originally Posted by Gatorguy View Post

Does this feed into the other reports of some saturation at the high-end?

If there is any saturation on the "high-end", it will probably be from consumers deciding the 5c was at that right price-point to get an Apple phone, as opposed to buying that Samsung crap.

post #7 of 48

I got my GF the blue one.

 

Her toes are currently the same color!

 

Chics! :)

 

Best.

post #8 of 48
Quote:
Originally Posted by christopher126 View Post
 

I got my GF the blue one.

 

Her toes are currently the same color!

 

Chics! :)

 

Best.


Is your GF a smurf? :-)

post #9 of 48
Quote:
Originally Posted by addicted44 View Post
 


Is your GF a smurf? :-)

Funny! :) She just likes "everything" to match! :)

 

I appreciate her attention to detail. ;)

 

Best.

post #10 of 48
Quote:
Originally Posted by Gatorguy View Post

Does this feed into the other reports of some saturation at the high-end?
Wouldn't high end = early adopters? So 5C is more of a long tail product. Plus I think there were price reductions/promotions in certain markets.
post #11 of 48
Honestly, if they come out with a 6C I would get it. I love the color, and the feel of the 5C in the hand is just amazing. It curves to fit just right.
Too many Apple products to list...Long on AAPL, so take what I say with a bucket of salt.
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Too many Apple products to list...Long on AAPL, so take what I say with a bucket of salt.
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post #12 of 48
Quote:
Originally Posted by Gatorguy View Post

Does this feed into the other reports of some saturation at the high-end?

 

Some people never fail to find a tarnished lining in every silver cloud.  =)

post #13 of 48
"Strong iPhone 5c sales gave Apple highest growth in mid-range iPhone market"

Who would have thought otherwise? oh wait, the financial geniuses of Wall Street. what?
post #14 of 48
Sorry, I point this out only because it has been pointed out to me a million times by my professors/mentors: "data suggest", rather than "data suggests" - data is plural, datum is singular.
post #15 of 48
Toenails blue, surely?
post #16 of 48
Hope my new iPhone 6 5.5 inch 128g comes with a plastic body like the 5c so I can go caseless
post #17 of 48
Quote:
Originally Posted by toukale View Post

I thought all the media, the analysts and all the haters said the 5c was a flop. It's easy to see what they were doing to spin the story regarding the 5c. The 5c replaced the 4s, so it should have been compared to how the 4s was doing, but no, that would be too logical and there is no story there.  So instead, they decided to compare it to the 5S to try to spin it as a negative.  I expect to see the same headlines regarding iphone supply cut. You can see them already setting the stage for it with yesterday/today's headlines.  "Apple ordered 70-80 million iphone 6", by January, the headlines will be "iPhone 6 not selling well, Apple cut their iphone 6 orders, Apple is doomed."
Remember when the original iPhone debuted in 2007, how the media panned it as a failure, and how Steve Ballmer famously ridiculed the device?

Look at them now 1cool.gif
post #18 of 48
Quote:
Originally Posted by Gatorguy View Post

Does this feed into the other reports of some saturation at the high-end?

Hahaha ... good way to try to twist .... Glass half empty there in Googleville?
From Apple ][ - to new Mac Pro I've used them all.
Long on AAPL so biased
Google Motto "You're not the customer. You're the product."
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From Apple ][ - to new Mac Pro I've used them all.
Long on AAPL so biased
Google Motto "You're not the customer. You're the product."
Reply
post #19 of 48
An upgraded 5SC would be a really nice entry level phone
post #20 of 48
Truth > analysts.
post #21 of 48
What I don't understand is; What is the difference between Wall Street being disappointed... And being wrong in THEIR projections??
post #22 of 48

Wasn't the iPhone 5C renamed the iPhone Failure a while back?

post #23 of 48
This is to be expected. This is the phone that corporations are handing out to employees that are not important enough to choose their own phone.

It's not a mystery.
post #24 of 48
Quote:
Originally Posted by Geekmee View Post

What I don't understand is; What is the difference between Wall Street being disappointed... And being wrong in THEIR projections??

If you're a beginner in stocks, you need to do a little research. Most of this, along with stock prices are projected well in advance. It's a subject that should/shouldn't include rumor sites. You would have to remember that there are more Analysts than the ones quoted on this site. They get paid for projections. Some are better than others and get paid accordingly. This site usually uses all of the worst material because they only need clicks. They're not interested in stocks, just rumors. It does make for some colorful comments though. The best analysts don't actually get viewing time. It's usually just the worst that do. They're trying to prove themselves. The best analysts actually "sell" themselves to investors, not push rumor sites to publish their crap projections.

Thought provoking question. Live Cattle are on the market and are sold six months ahead of time. If someone told you there was a 'mad cow' issue, would you sell? It's all about buying and selling. Some people really don't understand the whole buy low sell high concept. People who just "buy" and cross their fingers are interesting to say the least.
post #25 of 48
Quote:
Originally Posted by addicted44 View Post
 


Is your GF a smurf? :-)

 

That would be a Smurfette. And I think it isn't 'a' Smurfette, it will be 'the' Smurfette, as I think there is only one!

post #26 of 48

The iPhone 5C was over priced at first and did not sell as well as Apple expected. The price, at least with carriers in the UK, is now far more palatable and the sales have increased accordingly.

 

The 5C is a lovely device, long may it's sales increase.

iPad, Macbook Pro, iPhone, heck I even have iLife! :-)
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iPad, Macbook Pro, iPhone, heck I even have iLife! :-)
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post #27 of 48

and I thought 5c was a dud?

post #28 of 48
Quote: Reydn
Sorry, I point this out only because it has been pointed out to me a million times by my professors/mentors: "data suggest", rather than "data suggests" - data is plural, datum is singular.

 

True, however I don't know there is a singular form for data, datum is not it! "Data" is both singular ("this data suggest") and plural but in this case it sure is plural.

post #29 of 48
Tim answered a question from one of the audience members who said that their surveys in the US continued to suggest the 5C wasn't selling as well as some expected, relatively. It's still an iPhone so it's still a compelling purchase over competing phones. Click listen to the audio webcast and skip to 42:00:

http://investor.apple.com

Tim's answer was comparing relative sales of the 5S to 5 and 5C to 4S. We don't know what the 4S sales were last year at this time, the 5 might have been selling very well and so the 5S hasn't grown as much by comparison. Take an extreme example not based on real numbers and say the 4S sold 1 million units and the 5C sold 2 million, that's 100% growth. If the 5 sold 5 million units and the 5S sold 6 million, that's 20% growth, which is far lower growth than the 5C but the 5S in that case would still be outselling the 5C 3:1.

The reports about 5C sales could be mostly US-based and some 5C growth is coming from other countries but unless Apple releases unit breakdowns, nobody can tell how well it's selling.

What should be obvious to anyone is that in the following image, the phone on the left is not better than the phone on the right:



The iPhone 5 would have sold better than the iPhone 5C at the same price point.

The anticipation for the iPhone 6 is going to impact sales of the 5S just now too and they mentioned this in the audio. That should affect 5C sales too but there's rarely any leaks about the lower models. If the expectation is that they'll use the same design for the next lower-end model, it'll just be the iPhone 6 parts in the 5C body, which isn't that big of a change unless they include touch id.
post #30 of 48
Quote:
Originally Posted by Geekmee View Post

What I don't understand is; What is the difference between Wall Street being disappointed... And being wrong in THEIR projections??

Silly rabbit, WS is never wrong. Ha
Quote:
Originally Posted by Silver Shadow View Post

This is to be expected. This is the phone that corporations are handing out to employees that are not important enough to choose their own phone.

It's not a mystery.

Prove it.
Quote:
Originally Posted by saarek View Post

The iPhone 5C was over priced at first and did not sell as well as Apple expected. The price, at least with carriers in the UK, is now far more palatable and the sales have increased accordingly.

The 5C is a lovely device, long may it's sales increase.

Wrong as well as Cook in q1 did say the 5C did better than the 4S did at the same point in the year before.
post #31 of 48
"but but but I've never seen a 5c in the wild" 1wink.gif

"Apple should pull the plug on the iPhone."

John C. Dvorak, 2007
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"Apple should pull the plug on the iPhone."

John C. Dvorak, 2007
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post #32 of 48
Quote:
Originally Posted by robbish View Post

Toenails blue, surely?

Funny! We'll make a detective of you yet, Watson! :)

 

Best.

post #33 of 48
Quote:
Originally Posted by reydn View Post

Sorry, I point this out only because it has been pointed out to me a million times by my professors/mentors: "data suggest", rather than "data suggests" - data is plural, datum is singular.

Thanks Reydn. Usually when I read these posts I don't learn a damn thing. Not the case today! :)

 

Best.

post #34 of 48

Extremely limited cases available for phone:  phone no sell

 

Cases finally readily available:  phone sells

post #35 of 48
Quote:
Originally Posted by Gatorguy View Post

Does this feed into the other reports of some saturation at the high-end?

 

If you mean the reports that don't exist, then yes.

"If the young are not initiated into the village, they will burn it down just to feel its warmth."
- African proverb
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"If the young are not initiated into the village, they will burn it down just to feel its warmth."
- African proverb
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post #36 of 48
Quote:
Originally Posted by addicted44 View Post
 
Quote:
Originally Posted by christopher126 View Post
 

I got my GF the blue one.

 

Her toes are currently the same color!

 

Chics! :)

 

Best.


Is your GF a smurf? :-)

 

I thought smurfs had white feet.

"If the young are not initiated into the village, they will burn it down just to feel its warmth."
- African proverb
Reply
"If the young are not initiated into the village, they will burn it down just to feel its warmth."
- African proverb
Reply
post #37 of 48
Quote:
Originally Posted by christopher126 View Post
 

I got my GF the blue one.

 

Her toes are currently the same color!

 

Chics! :)

 

Hope they don't drop off; sounds as though they may be a bit cold.


Edited by Benjamin Frost - 7/25/14 at 3:04pm
"If the young are not initiated into the village, they will burn it down just to feel its warmth."
- African proverb
Reply
"If the young are not initiated into the village, they will burn it down just to feel its warmth."
- African proverb
Reply
post #38 of 48
Quote:
Originally Posted by christopher126 View Post
 
Quote:
Originally Posted by reydn View Post

Sorry, I point this out only because it has been pointed out to me a million times by my professors/mentors: "data suggest", rather than "data suggests" - data is plural, datum is singular.

Thanks Reydn. Usually when I read these posts I don't learn a damn thing. Not the case today! :)

 

He's wrong. "Data suggests" is correct, "data suggest" is incorrect.

"If the young are not initiated into the village, they will burn it down just to feel its warmth."
- African proverb
Reply
"If the young are not initiated into the village, they will burn it down just to feel its warmth."
- African proverb
Reply
post #39 of 48
Quote:
Originally Posted by Benjamin Frost View Post
 

 

He's wrong. "Data suggests" is correct, "data suggest" is incorrect.

Thanks, Ben. It did sound a little awkward saying it the other way.

 

Best.


Edited by christopher126 - 7/25/14 at 4:08pm
post #40 of 48
Suggests sounds right, but suggest is grammatically correct. Better to avoid altogether and rewrite the sentence IMO.

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