Wow, the difference between the US and the rest of the world is very stark.
...
If Apple can get out lower cost iPhone models internationally and build up the ecosystem, then perhaps Apple can replicate their success in the US globally.
You are on to something. I would say that the Apple brand largely depends on proof of quality and all the ways Apple acts to strengthen this. Apple Stores are one important thing here. In Europe they have to rely on retail partners. They fail in knowledge and in replicating the level of service provided in US based Apple Stores. Not because they do not want to (they are often enthusiasts) but simply because Apple is very good at this and it's hard to replicate thru partners. Everything from handling sales to accept faulty products and repairs.
This to me is much more important than hitting lower price points. Apple is about best performance and best service. For this to be what it is in US they need more Apple Stores. Not just flag ships but also smaller store to get first contact with end users.
After this comes iTunes store. They need to aggressive make sure all music and all movies and so forth are spread in all iTunes stores. Possibly they also need to lower price. 1 euro is today 1,5 dollar. This makes tracks more expensive. This makes it easy for Spotify but it also lowers experience once any customers tries the Eco system.
Isn't the low-cost issue a moot point? I'm not sure how the international market is, but here in the US they are selling the 3GS for free, the iP4 (not 4S) for $50.00 now. I would think they are doing something similar overseas right?
Not really.. Here's an example in Indonesia http://www.telkomsel.com/iphone For 1 year contract, to get iPhone 4S 16GB you need to pay around 400 USD and pay monthly around 35 USD. I would say 35 USD is 10% of the minimum average monthly salary in big cities in Indonesia.
The -5.4% in smartphones sales is an interesting stat.
A more interesting fact is that Android is down nearly 2 M units this quarter while iOS is up 2 M units. This is the first time there's been a year over year drop in either iPhone or Android sales.
Must be all those people returning Samsung phones after they learned they weren't iPhones. /s
The data are for the Q2 2012 and I doubt that Q3 will show the same trend. iPhone sales are slowing down in the anticipation of the new iPhone, while Samsung had record sales since the introduction of Galaxy S III; neither of the facts captured in the reported data.
Outside the US the Prepaid Pay As You Go market is a lot more prevalent. Apple does not do well in this market because the iPhone unsubsidised is simply too expensive for most PAYG users. I suspect that will change if Apple decides to reposition the iPhone 3GS to address this market with significant price reductions. That has the potential to dramatically increase the iPhone market share outside the US, albeit probably at a lower margin per unit.
So most Android phones sold are cheaper, low end models?
PS remember this?
Quote:
Originally Posted by Shaun, UK
Not to the same extent. iPhone 4S sales have started to slow down 6 months before the anticipated new version. In the past it's only hit sales for a few weeks before the new model. No matter how Apple try to spin it it's clear a lot of people are switching to other brands instead of buying the iPhone 4S. It will be interesting to see whether or not that trend will be reversed with the iPhone 5. Not in the first few months, but 6 months out when the initial post launch sales rush has worn off.
Hm..., If Apple is GAINING market share in the declining US smartphone marketplace [the excuse was the economy according to the survey] then Apple must be seriously LOSING market share overseas. The oversea's share of Apple sales is 26 million minus 7.9 million or about 18 million phones. Do you remember Apple's CEO mantra? Apple's growth is in China. Without China, Apple goes bye...bye..., kaputski. People mostly buy Iphone at cost overseas, and this is also why most Apple buyers over there are affluent people. People who can buy 10 Iphones for their families with cash. This is the place where Apple gets the real cold hard cash, and unfortunately, it is also where Apple hide most of its cash to avoid paying taxes. The current estimate of Apple's cash and investment "hidden" oversea is between US 70 billion to 90 Billion. It's a very tax-responsible company, isn't it? I am sure the Fed is very happy about that.
Almost everywhere else outside of North America, including China [with its 1.5 Billion people], India [with its 1 Billion People], Indonesia [with 250 million people], and so on, Apple market share is quite negligible compare to Android's. Strangely enough, in Indonesia, RIM's Blackberry hold the number 1 position for smartphone's market share. Apple is indeed DOOMED outside the US and Canada, and you don't even have to go far to look at failing Apple growth strategy. You just have a look at the southern neighbor. Mexico's Iphone sales number is so tiny, it is actually a carbon copy of Apple's performance in most places around the world. Apple is mostly a dud outside its home turf. That will spell trouble with Apple's growth strategy coined by Cook.
Quote:
Originally Posted by Tallest Skil
"APPLE. IS. DOOMED."
"But Android is outshippingselling Apple!"
No, seriously, where are all those Android phones going?
Beside Windows, what other OS is counted as "other"? I am reminded just recently of that analyst that was still predicting the inevitable overtaking of iOS by Windows phones. What a joke. Clearly it is a two horse race and will be unless some yet unknown and freakishly innovative OS none of us have ever heard of pops onto the scene because Blackberry and Windows will never again pose any serious threat.
I doubt Q3 will be quite as rosy though. The SIII and other iconic devices that fandroids had been waiting for was released in July. And as others have pointed out globally samsung alone has overtaken Apple in the smartphone share. Strategy Analytics says that Samsung shipped 50.5 million smartphones in the second quarter, while IDC puts the number at 50.2 million. Apple, on the other hand, reported selling 26 million iPhones in the last quarter. I realize the difference between shipped and sold, but still, quite a sizable difference. I think slipping from June all the way to October somehow mucked things up a bit as well. Maybe they can release the next iPhone sooner by a month or two and repeat for a few years until they get back to a June/July release again. The biggest differentiator on phones besides the actual OS that people notice or care about is the screen as well. With the 4S having the same sized screen as the 4, there was far less reason to upgrade.
The sky is definitely NOT falling on Apple, but the competition has really improved and I don't think you can say that Apple is a year ahead anymore like you could when the 3GS came out. I still prefer iOS because it is so reliable and will happily keep my 4S until my upgrade date come in June 2013. But I will then be faced with a choice between an iPhone 5 already 10 months old vs. probably a Galaxy S IV that is either released or right around the corner by then. Apple better make the next iPhone pretty jaw-dropping to attract the Q3 and Q4 buyers like me and I don't think the 4S at least is up to the task. If I were buying today there is no question I would get the SIII over an iPhone 4S.
"We are not sheep," said the crApple fanboy. "The fact that the iPhone is more popular is proof that you should buy one without trying Android," added AF.
To say people get Android phones because they are talked into it or don't know better (or think they are getting an iPhone) is BS.
I HAD a 3GS as my first phone. When my contract ended I jailbroke it to get additional features. Then, when the battery faded I tried a Galaxy 2 as i liked a larger screen for nearly all my smart phone tasks- most involve typing. I also liked the options it provided that iPhone did not. I could have returned my phone for an IPhone 4 or 4s. I did not. I paid about $50 less but it's worth much more to me than that. Really,$ is a nonissue.
great now not only will we celebrate when OSX finds itself at 11% to windows 89% - now we will also rejoice in a 56% to 33% difference as validation to greatness.
the underlined stupidity in both celebration is mind bending.
No, seriously, where are all those Android phones going?
if you really think 27million iphones are enough to supply the world demand for smart phones or that 7.9 million can supply the US market - my faith in our education system has truly hit a low point.
great now not only will we celebrate when OSX finds itself at 11% to windows 89% - now we will also rejoice in a 56% to 33% difference as validation to greatness.
the underlined stupidity in both celebration is mind bending.
Completely different reasons for Windows market share being what it is, and completely different for OS X.
In either case, though, Android = Microsoft Windows = UNIVERSAL LICENSING = easy marketshare. Just whore out your OS and forget the hell about it. Which explains the HUGE disparity in consumer satisfaction between OS X/iOS gear and Windows/Android gear.
If you don't ask yourself what's BEHIND the numbers, what strategy and business model supports the numbers, and where they rate in satisfaction as a result of that, you'll never understand.
"The fact that the iPhone is more popular is proof that you should buy one without trying Android," added AF.
To say people get Android phones because they are talked into it or don't know better (or think they are getting an iPhone) is BS.
I HAD a 3GS as my first phone. When my contract ended I jailbroke it to get additional features. Then, when the battery faded I tried a Galaxy 2 as i liked a larger screen for nearly all my smart phone tasks- most involve typing. I also liked the options it provided that iPhone did not.
I could have returned my phone for an IPhone 4 or 4s. I did not. I paid about $50 less but it's worth much more to me than that. Really,$ is a nonissue.
Your personal anecdotes that reflect YOU and YOU ALONE, are no more substantial than "my favourite colour is red", or "I like cheese."
Ok. So? Now what. Where do you stand on salad? Caesar or Greek?
But on the bright side, on some nights in bed your husband will probably act like he's *really* interested. *thumbs up*
Comments
You are on to something. I would say that the Apple brand largely depends on proof of quality and all the ways Apple acts to strengthen this. Apple Stores are one important thing here. In Europe they have to rely on retail partners. They fail in knowledge and in replicating the level of service provided in US based Apple Stores. Not because they do not want to (they are often enthusiasts) but simply because Apple is very good at this and it's hard to replicate thru partners. Everything from handling sales to accept faulty products and repairs.
This to me is much more important than hitting lower price points. Apple is about best performance and best service. For this to be what it is in US they need more Apple Stores. Not just flag ships but also smaller store to get first contact with end users.
After this comes iTunes store. They need to aggressive make sure all music and all movies and so forth are spread in all iTunes stores. Possibly they also need to lower price. 1 euro is today 1,5 dollar. This makes tracks more expensive. This makes it easy for Spotify but it also lowers experience once any customers tries the Eco system.
Oh yea, of course Appleinsider.com is going to be biased as well as the follower comments. Android is superior.
Quote:
Originally Posted by sflocal
Isn't the low-cost issue a moot point? I'm not sure how the international market is, but here in the US they are selling the 3GS for free, the iP4 (not 4S) for $50.00 now. I would think they are doing something similar overseas right?
Not really.. Here's an example in Indonesia http://www.telkomsel.com/iphone For 1 year contract, to get iPhone 4S 16GB you need to pay around 400 USD and pay monthly around 35 USD. I would say 35 USD is 10% of the minimum average monthly salary in big cities in Indonesia.
Quote:
Originally Posted by dylanh
Oh yea, of course Appleinsider.com is going to be biased as well as the follower comments. Android is superior.
You registered, just to post that comment?
A more interesting fact is that Android is down nearly 2 M units this quarter while iOS is up 2 M units. This is the first time there's been a year over year drop in either iPhone or Android sales.
Must be all those people returning Samsung phones after they learned they weren't iPhones. /s
Quote:
Originally Posted by dylanh
Oh yea, of course Appleinsider.com is going to be biased as well as the follower comments. Android is superior.
Thanks for the laugh. I needed that at the end of an otherwise dour day.
I think you forgot "/s" though.
The data are for the Q2 2012 and I doubt that Q3 will show the same trend. iPhone sales are slowing down in the anticipation of the new iPhone, while Samsung had record sales since the introduction of Galaxy S III; neither of the facts captured in the reported data.
Was APPLE ][ banned?
Quote:
Originally Posted by daylove22
Outside the US you pay full price as carriers do not subsidy phones
I use an iPhone 4 in Australia, it cost nothing, subsidised on my plan, just like they are sold in a lot of other countries.
Australia is not part of the USA, close but not part of, since well before "All the way with LBJ" days..
The Samsung Galaxy S 3 variants (16, 32, 64GB) sell for exactly the same prices as iPhone 4S equivalents.
Unsubsidised phones tend to be cheaper models sold with PAYG SIM's.
You are promoting a myth.
Quote:
Originally Posted by Shaun, UK
Outside the US the Prepaid Pay As You Go market is a lot more prevalent. Apple does not do well in this market because the iPhone unsubsidised is simply too expensive for most PAYG users. I suspect that will change if Apple decides to reposition the iPhone 3GS to address this market with significant price reductions. That has the potential to dramatically increase the iPhone market share outside the US, albeit probably at a lower margin per unit.
So most Android phones sold are cheaper, low end models?
PS remember this?
Quote:
Originally Posted by Shaun, UK
Not to the same extent. iPhone 4S sales have started to slow down 6 months before the anticipated new version. In the past it's only hit sales for a few weeks before the new model. No matter how Apple try to spin it it's clear a lot of people are switching to other brands instead of buying the iPhone 4S. It will be interesting to see whether or not that trend will be reversed with the iPhone 5. Not in the first few months, but 6 months out when the initial post launch sales rush has worn off.
Hm..., If Apple is GAINING market share in the declining US smartphone marketplace [the excuse was the economy according to the survey] then Apple must be seriously LOSING market share overseas. The oversea's share of Apple sales is 26 million minus 7.9 million or about 18 million phones. Do you remember Apple's CEO mantra? Apple's growth is in China. Without China, Apple goes bye...bye..., kaputski. People mostly buy Iphone at cost overseas, and this is also why most Apple buyers over there are affluent people. People who can buy 10 Iphones for their families with cash. This is the place where Apple gets the real cold hard cash, and unfortunately, it is also where Apple hide most of its cash to avoid paying taxes. The current estimate of Apple's cash and investment "hidden" oversea is between US 70 billion to 90 Billion. It's a very tax-responsible company, isn't it? I am sure the Fed is very happy about that.
Almost everywhere else outside of North America, including China [with its 1.5 Billion people], India [with its 1 Billion People], Indonesia [with 250 million people], and so on, Apple market share is quite negligible compare to Android's. Strangely enough, in Indonesia, RIM's Blackberry hold the number 1 position for smartphone's market share. Apple is indeed DOOMED outside the US and Canada, and you don't even have to go far to look at failing Apple growth strategy. You just have a look at the southern neighbor. Mexico's Iphone sales number is so tiny, it is actually a carbon copy of Apple's performance in most places around the world. Apple is mostly a dud outside its home turf. That will spell trouble with Apple's growth strategy coined by Cook.
Quote:
Originally Posted by Tallest Skil
"APPLE. IS. DOOMED."
"But Android is outshippingselling Apple!"
No, seriously, where are all those Android phones going?
Beside Windows, what other OS is counted as "other"? I am reminded just recently of that analyst that was still predicting the inevitable overtaking of iOS by Windows phones. What a joke. Clearly it is a two horse race and will be unless some yet unknown and freakishly innovative OS none of us have ever heard of pops onto the scene because Blackberry and Windows will never again pose any serious threat.
I doubt Q3 will be quite as rosy though. The SIII and other iconic devices that fandroids had been waiting for was released in July. And as others have pointed out globally samsung alone has overtaken Apple in the smartphone share. Strategy Analytics says that Samsung shipped 50.5 million smartphones in the second quarter, while IDC puts the number at 50.2 million. Apple, on the other hand, reported selling 26 million iPhones in the last quarter. I realize the difference between shipped and sold, but still, quite a sizable difference. I think slipping from June all the way to October somehow mucked things up a bit as well. Maybe they can release the next iPhone sooner by a month or two and repeat for a few years until they get back to a June/July release again. The biggest differentiator on phones besides the actual OS that people notice or care about is the screen as well. With the 4S having the same sized screen as the 4, there was far less reason to upgrade.
The sky is definitely NOT falling on Apple, but the competition has really improved and I don't think you can say that Apple is a year ahead anymore like you could when the 3GS came out. I still prefer iOS because it is so reliable and will happily keep my 4S until my upgrade date come in June 2013. But I will then be faced with a choice between an iPhone 5 already 10 months old vs. probably a Galaxy S IV that is either released or right around the corner by then. Apple better make the next iPhone pretty jaw-dropping to attract the Q3 and Q4 buyers like me and I don't think the 4S at least is up to the task. If I were buying today there is no question I would get the SIII over an iPhone 4S.
Quote:
Originally Posted by Just_Me
Was APPLE ][ banned?
No, he's on a "mission". He'll likely be back in a few months according to his posts.
"The fact that the iPhone is more popular is proof that you should buy one without trying Android," added AF.
To say people get Android phones because they are talked into it or don't know better (or think they are getting an iPhone) is BS.
I HAD a 3GS as my first phone. When my contract ended I jailbroke it to get additional features. Then, when the battery faded I tried a Galaxy 2 as i liked a larger screen for nearly all my smart phone tasks- most involve typing. I also liked the options it provided that iPhone did not.
I could have returned my phone for an IPhone 4 or 4s. I did not. I paid about $50 less but it's worth much more to me than that. Really,$ is a nonissue.
great now not only will we celebrate when OSX finds itself at 11% to windows 89% - now we will also rejoice in a 56% to 33% difference as validation to greatness.
the underlined stupidity in both celebration is mind bending.
Quote:
Originally Posted by SolipsismX
I'm more interested in why the YoY adoption of smartphone are down about 6%.
5.4% is shipment rate drop.
Quote:
Originally Posted by Tallest Skil
"APPLE. IS. DOOMED."
"But Android is outshippingselling Apple!"
No, seriously, where are all those Android phones going?
if you really think 27million iphones are enough to supply the world demand for smart phones or that 7.9 million can supply the US market - my faith in our education system has truly hit a low point.
Safe to assume, they going to everyone else.
Quote:
Originally Posted by agramonte
great now not only will we celebrate when OSX finds itself at 11% to windows 89% - now we will also rejoice in a 56% to 33% difference as validation to greatness.
the underlined stupidity in both celebration is mind bending.
Completely different reasons for Windows market share being what it is, and completely different for OS X.
In either case, though, Android = Microsoft Windows = UNIVERSAL LICENSING = easy marketshare. Just whore out your OS and forget the hell about it. Which explains the HUGE disparity in consumer satisfaction between OS X/iOS gear and Windows/Android gear.
If you don't ask yourself what's BEHIND the numbers, what strategy and business model supports the numbers, and where they rate in satisfaction as a result of that, you'll never understand.
Quote:
Originally Posted by LizSandford
"We are not sheep," said the crApple fanboy.
"The fact that the iPhone is more popular is proof that you should buy one without trying Android," added AF.
To say people get Android phones because they are talked into it or don't know better (or think they are getting an iPhone) is BS.
I HAD a 3GS as my first phone. When my contract ended I jailbroke it to get additional features. Then, when the battery faded I tried a Galaxy 2 as i liked a larger screen for nearly all my smart phone tasks- most involve typing. I also liked the options it provided that iPhone did not.
I could have returned my phone for an IPhone 4 or 4s. I did not. I paid about $50 less but it's worth much more to me than that. Really,$ is a nonissue.
Your personal anecdotes that reflect YOU and YOU ALONE, are no more substantial than "my favourite colour is red", or "I like cheese."
Ok. So? Now what. Where do you stand on salad? Caesar or Greek?
But on the bright side, on some nights in bed your husband will probably act like he's *really* interested. *thumbs up*
..and this is with Apple's latest product release being more than 9 months ago, while new Android phones are released every week. Amazing.