Kantar calls iPhone X pricing 'vindicated' as Apple sees marketshare grow across Europe, C...

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in iPhone
As hand wringing over the $999-and-up pricing of the iPhone X continues, analysts at Kantar Worldpanel see the premium-priced handset as a wise move for Apple, after tracking marketshare gains for iOS in a number of key markets across the globe.




iOS marketshare surged 10.1 percent year over year in China in the three months ending in December, according to the latest data from Kantar. Gains were also seen in Germany (2.5 percent), Australia (1.2 percent), Japan (0.5 percent), and Spain (0.5 percent).

In response, Kantar Worldpanel CompTech Global Director Dominic Sunnebo said that Apple's decision to stagger the releases of the iPhone 8 series and iPhone X proved to be a "sound" strategy.

"With Apple's existing release structure, expectations would always be that the flagship model would be the top selling device in key developed markets, but with the premium price of iPhone X, real life affordability has come into play," Sunnebo said. "Given that in December iPhone X made it into the top three best-selling devices across all key regions, particularly in urban China where it was the top selling model, the pricing strategy seems to have been vindicated."




Specifically, Kantar found that the iPhone X was among the top three best selling devices in the month of December across Europe, in urban China, Japan, Australia, and the U.S.

The research firm also found that iOS loyalty reached a nw high in America, where 96 percent of iPhone owners who changed devices bought another model from Apple.

iOS did, however, post marketshare losses in some key countries. Apple's share was down by 2.4 percent in Great Britain, 0.7 percent in Italy, 0.5 percent in the U.S., and 0.4 percent in France.




Still, Kantar highlighted a strong performance by iOS across most markets, particularly China where Android's share fell 10.1 percent.

Android losses were mitigated in many other markets by the continued exit of Windows Phone. Microsoft's discontinued mobile platform now holds a share of less than 1 percent in all markets except Italy.

Apple will provide more insight on the performance of the iPhone X and the rest of the 2017 iPhone lineup in its quarterly earnings conference call, set to take place this Thursday, Feb. 1 after markets close.
watto_cobra

Comments

  • Reply 1 of 14
    NY1822NY1822 Posts: 591member
    The pendulum always swings....Feb 1 can't come soon enough
    edited January 2018 watto_cobra
  • Reply 2 of 14
    Rayz2016Rayz2016 Posts: 4,556member
    Time for the pump. 
    watto_cobra
  • Reply 3 of 14
    Mike WuertheleMike Wuerthele Posts: 4,339administrator
    Rayz2016 said:
    Time for the pump. 
    Would you prefer the other headline about this that we're seeing, about a loss in the EU marketshare?
    watto_cobra
  • Reply 4 of 14
    thrangthrang Posts: 761member

    Actually, yes, you should also post that...nice to do a post-mortem on all these claims to see who was "righ"t or "wrong"... or more accurately, whose darts better and randomly hit the right targets

    In fact, perhaps Appleinsider could maintain an ongoing historical series/socrecard that collects all the claims by analysts over time, and how those claims compare against next quarter actuals. Tack on average share pricing (5-day perhaps) before and after analyst "events," and after each earnings report, and you'd have an interesting ongoing series.

    1) Rumor

    2) Implied Impact

    3) Reported Performance

    4) Actual Impact




    watto_cobra
  • Reply 5 of 14
    In my News feed, CNBC claims price hurt performance, Kantar claims price vindicated.  If there is anything about the whole fake news hysteria (we’ve always had fake news - see Kierkegaard’s words on the matter), it’s that the internet and social media expose how insubstantial most news actually is, how much of it is not an objective description of facts (more often then not unavailable, incomplete or lacking context), but rather editorialized opinion pieces wrapped up as objective reporting. 

    It’s all baloney.  Apple is and will continue to do very well, as anybody who has been Long Apple since iPhone or the split can attest to. 
    watto_cobra
  • Reply 6 of 14
    tmaytmay Posts: 3,553member
    Rayz2016 said:
    Time for the pump. 
    Would you prefer the other headline about this that we're seeing, about a loss in the EU marketshare?
    If you are gong to tease that, at least post the link for those of us that want to decipher such things.
  • Reply 7 of 14
    foggyhillfoggyhill Posts: 4,767member
    In my News feed, CNBC claims price hurt performance, Kantar claims price vindicated.  If there is anything about the whole fake news hysteria (we’ve always had fake news - see Kierkegaard’s words on the matter), it’s that the internet and social media expose how insubstantial most news actually is, how much of it is not an objective description of facts (more often then not unavailable, incomplete or lacking context), but rather editorialized opinion pieces wrapped up as objective reporting. 

    It’s all baloney.  Apple is and will continue to do very well, as anybody who has been Long Apple since iPhone or the split can attest to. 
    Well an analyst is not journalist, even a bad one , and there is a vested interest to distort.  Actual journalist used to make this clear and this kind of thing used to be curcumscribed to morning shows, specialized shows. Now, everything leaks everywhere and is made worse by an army of trolls and bots with their own agenda.

    getting various sources and finding the reporting sources with the least vested interest to distort and that have a good mosh rep is how it is done. 

    So, getting us news from the bbc is a good thing, getting uk news news from the bbc is not as good but still ok 
  • Reply 8 of 14
    thrang said:

    Actually, yes, you should also post that...nice to do a post-mortem on all these claims to see who was "righ"t or "wrong"... or more accurately, whose darts better and randomly hit the right targets

    In fact, perhaps Appleinsider could maintain an ongoing historical series/socrecard that collects all the claims by analysts over time, and how those claims compare against next quarter actuals. Tack on average share pricing (5-day perhaps) before and after analyst "events," and after each earnings report, and you'd have an interesting ongoing series.

    1) Rumor

    2) Implied Impact

    3) Reported Performance

    4) Actual Impact




    This is a decent analyst scorecard that he’s been doing for a while:
    https://www.ped30.com/2017/11/03/best-worst-apple-analysts-q4-2017/

    tmay
  • Reply 9 of 14
    canukstormcanukstorm Posts: 1,831member
    tmay said:
    Rayz2016 said:
    Time for the pump. 
    Would you prefer the other headline about this that we're seeing, about a loss in the EU marketshare?
    If you are gong to tease that, at least post the link for those of us that want to decipher such things.
    Going by this chart, by far the major driver of growth was China

    https://www.macrumors.com/2018/01/30/iphone-x-top-three-best-selling/
  • Reply 10 of 14
    avon b7avon b7 Posts: 3,457member
    iPhone X probably had little impact on overall marketshare. At least as a one stop explanation for any potential change. It's more likely that the lower priced phones, as part of a larger spread, helped bring in more sales. As it is, the three month period in question was likely to be strong for various reasons (Christmas, supercycle, more models to choose from) and less likely to reflect the overall trend which in the case of the iPhone X specifically, can only be seriously evaluated when the time comes for Apple's yearly refresh.

    Being a new phone in a possibly new category, and given its pricing, it wouldn't be outlandish to imagine sales dropping off a fair bit. In part due to the post Christmas drop and also for other reasons such as the market for potential buyers willing to spend over 1,000 dollars (and far more in Europe) on a phone, is far smaller than for other potential price bands. Any potential cut in orders should be seen in context. It's common sense for Apple to aim slightly higher for component orders - knowing that there is capacity to fulfill them across its supply line due to contract obligations - and adjust down if necessary, than to be conservative with orders/contracts, only to find that component demand cannot be met quickly in case of unexpectedly strong sales in the following quarters.






  • Reply 11 of 14
    croprcropr Posts: 914member
    avon b7 said:
    iPhone X probably had little impact on overall marketshare. At least as a one stop explanation for any potential change. It's more likely that the lower priced phones, as part of a larger spread, helped bring in more sales. As it is, the three month period in question was likely to be strong for various reasons (Christmas, supercycle, more models to choose from) and less likely to reflect the overall trend which in the case of the iPhone X specifically, can only be seriously evaluated when the time comes for Apple's yearly refresh.

    Being a new phone in a possibly new category, and given its pricing, it wouldn't be outlandish to imagine sales dropping off a fair bit. In part due to the post Christmas drop and also for other reasons such as the market for potential buyers willing to spend over 1,000 dollars (and far more in Europe) on a phone, is far smaller than for other potential price bands. Any potential cut in orders should be seen in context. It's common sense for Apple to aim slightly higher for component orders - knowing that there is capacity to fulfill them across its supply line due to contract obligations - and adjust down if necessary, than to be conservative with orders/contracts, only to find that component demand cannot be met quickly in case of unexpectedly strong sales in the following quarters.


    The comparison of Kantar is between last 3 months in 2016 and the last 3 months in 2017.  If I recall well Christmas in 2016 was also in December.  But nevertheless the increased offer of Apple with more phones at various price points may have contributed to the grow in a lot of countries.

    Still the absolute market share in 4 of the 5 major European countries is between 12% and 25%.  It is no coincidence that more than 3 years after the launch Apple Pay is still not available in the majority of European countries.  Apple has a very difficult job to convince banks to accept Apple Pay if the absolute market share of the iPhone is too low.
  • Reply 12 of 14
    tmaytmay Posts: 3,553member
    avon b7 said:
    iPhone X probably had little impact on overall marketshare. At least as a one stop explanation for any potential change. It's more likely that the lower priced phones, as part of a larger spread, helped bring in more sales. As it is, the three month period in question was likely to be strong for various reasons (Christmas, supercycle, more models to choose from) and less likely to reflect the overall trend which in the case of the iPhone X specifically, can only be seriously evaluated when the time comes for Apple's yearly refresh.

    Being a new phone in a possibly new category, and given its pricing, it wouldn't be outlandish to imagine sales dropping off a fair bit. In part due to the post Christmas drop and also for other reasons such as the market for potential buyers willing to spend over 1,000 dollars (and far more in Europe) on a phone, is far smaller than for other potential price bands. Any potential cut in orders should be seen in context. It's common sense for Apple to aim slightly higher for component orders - knowing that there is capacity to fulfill them across its supply line due to contract obligations - and adjust down if necessary, than to be conservative with orders/contracts, only to find that component demand cannot be met quickly in case of unexpectedly strong sales in the following quarters.






    Why not wait for the financials on the 1st? Then you can see what the ASP is at the total unit sales for the quarter. If ASP has increased from last year including inflation, then it stands to reason that the iPhone X is having the desired impact.

    True, lower priced models increase marketshare, but without maintaining the ASP, it's a losing proposition.

    As others have noted, there isn't an expectation that Apple would order 40 M iPhone X  for the next quarter, as 50-55M is likely the high end for total unit sales.
  • Reply 13 of 14
    tmaytmay Posts: 3,553member

    tmay said:
    Rayz2016 said:
    Time for the pump. 
    Would you prefer the other headline about this that we're seeing, about a loss in the EU marketshare?
    If you are gong to tease that, at least post the link for those of us that want to decipher such things.
    Going by this chart, by far the major driver of growth was China

    https://www.macrumors.com/2018/01/30/iphone-x-top-three-best-selling/
    Yes, I've seen that.

    Mike was noting a headline about EU marketshare overall being down, likely sales, but wouldn't post the link. Apple's sales marketshare seems to peak during the 1st quarter, something around 25-27 % and then drops to something like 17% prior to the new releases. Overall OS marketshare is just under 30% and doesn't seem to vary all that much, and if anything, is trending slightly up. Samsung seems to maintain a 33-35% sales marketshare, with Huawei trending up; to date around 10%. I would note that sales marketshare doesn't imply a level of ASP that Apple enjoys. Android has something on the order of 68% OS marketshare.

    While the economy of the EU is back to GDP growth for each member state in the last few years, there are still uncertainties with regard to U.S. trade policy, and Brexit. 
  • Reply 14 of 14
    Rayz2016Rayz2016 Posts: 4,556member
    Rayz2016 said:
    Time for the pump. 
    Would you prefer the other headline about this that we're seeing, about a loss in the EU marketshare?
    Well, I’d actually prefer some investigative journalism, which seems to have all but vanished these days. 
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