Apple Stores now account for 11% of U.S cellphone sales, 25% of iPhone sales

Posted:
in iPhone edited January 2014
According to a recent survey conducted by Consumer Intelligence Research Partners, the Apple Store now holds an 11 percent share of the U.S. retail phone market and also accounts for roughly one quarter of all iPhone sales.

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While cellular providers' brick-and-mortar and online shops generate the lion's share of cellphone sales in America, Apple and Best Buy are proving to be strong players in the segment, reports AllThingsD.

Earlier this year, Apple kicked off an initiative aiming to have customers buy their iPhone from the Apple Store rather than resellers or partner carriers. At the time, CEO Tim Cook said he was shooting for a 50 percent share of sales.

The plan may be working, as a CIRP report from July showed Apple's share of iPhone sales at less than 15 percent, a decline from about 20 percent when the iPhone 5 launched in 2012. The research firm's most recent numbers illustrate a strong rebound, with Apple now accounting for 25 percent of iPhone sales and 11 percent of all retail phone sales in the U.S.

Apple's 11 percent comes solely from iPhone sales comprised of the iPhone 4S, iPhone 5c and flagship iPhone 5s. The number is slightly below Best Buy's 13 percent, though the big box retailer carries a wide variety of devices covering the spectrum of operating systems, including Android, Windows Phone and the iPhone.

In addition to its vast selection of OEMs, Best Buy also works with the "big three" carriers --Verizon, AT&T and Sprint -- and offers a few products from T-Mobile. Apple enjoys a significant presence at Best Buy with its store-within-a-store concept, though rival smartphone maker Samsung has followed suit with its "Samsung Experience" shops.

Apple is still the top iPhone purveyor in the country, selling about one quarter of all iPhones in the U.S. Original launch partner AT&T takes second place with 21 percent and the nation's largest network Verizon comes in third with 18 percent.

Interestingly, Best Buy accounts for 13 percent of iPhone sales, suggesting the handset is performing well in side-by-side customer comparisons. Apple, of course, does not have devices running Android or other mobile operating systems on display at its retail outlets.

Finally, Sprint, Amazon and other iPhone resellers generate around five percent of sales.
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Comments

  • Reply 1 of 32

    "This can’t possibly be true. Look at Android’s numbers. They prove it wrong.”

  • Reply 2 of 32
    MacProMacPro Posts: 19,727member
    I've a suggestion ... Grandparents Buying for their Grandchildren Assist: (If this already exists please tell me).

    As a grandparents we want to buy our grandchildren a iPhone 5c each for Christmas. I'd love to go via the Apple Store but obviously this all needs to be coordinated with their parent's family calling plans. I'd like a one stop shopping solution from Apple that somehow achieves this for us at the best possible prices.
  • Reply 3 of 32
    512ke512ke Posts: 782member

    11% of U.S. cellphone sales are coming from the Apple Store?  

     

    Wow. 

     

    http://i.bnet.com/blogs/us-smartphone-sale-market-share-counterpoint-graph.jpg

  • Reply 4 of 32
    As long as Apple continues to lose overall market share in huge numbers, none of this really matters. Most of the world is buying Android smartphones and Apple is being practically shut out. Whether Apple makes profits or not it really doesn't matter. Apple's intrinsic value to Wall Street will continue to decline and Apple shareholders will be left crying tears of blood. Apple has no answer for this and its rather frustrating. Google is just a far smarter company than Apple and knows how to spray the oil so Apple can't get any traction while Apple is too stubborn to retaliate. 2013 has become the year of the Apple value nightmare. Google and Eric Schmidt are laughing all the way to the bank over the way they tripped up Apple.
  • Reply 5 of 32

    idiot^^^

  • Reply 6 of 32
    Quote:

    Originally Posted by Constable Odo View Post



    As long as Apple continues to lose overall market share in huge numbers, none of this really matters. Most of the world is buying Android smartphones and Apple is being practically shut out. Whether Apple makes profits or not it really doesn't matter. Apple's intrinsic value to Wall Street will continue to decline and Apple shareholders will be left crying tears of blood. Apple has no answer for this and its rather frustrating. Google is just a far smarter company than Apple and knows how to spray the oil so Apple can't get any traction while Apple is too stubborn to retaliate. 2013 has become the year of the Apple value nightmare. Google and Eric Schmidt are laughing all the way to the bank over the way they tripped up Apple.

    The way market share is counted, it means practically nothing. As mentioned 300,000 times before, a $20 android handset is skewing that market share in Androids favour, a phone that may not even have access to the Google Play store or be smart in any way. If you want to listen to market share, go ahead, you will have a nice surprise when Android is discontinued for some other new contender.

     

    "Whether Apple makes profits or not it really doesn't matter"... Righttttt. Because a business selling phones at a loss, and bumping that Android market share up (HTC, LG, Motorola, etc) is what counts.

     

    Apple has an ecosystem and services that the competition doesn't offer, their retention in regards to switchers has been shown to be dramatically less than for Android, we will see how it plays out in the coming years.

     

    "2013 has become the year of the Apple value nightmare"

    Apple's value is basically what it was this time last year, and everyone can collectively agree Wall Street are full of fuckups and this value means nothing in relation to performance.

    https://www.google.co.uk/finance?q=NASDAQ:AAPL

  • Reply 7 of 32
    Android is about to be shut down, or at least cost a lot, as Android is slowing be challenged and loosing features or having to pay license fees ...... And RockStar has only begun .... Microsoft was first to strike and as we know, Apple has a few deals with select few.....

    SamDungie, PoS, is creating Tizen and who knows what they are ripping off and Giggle is working with Crome .... Android will be thing of the past and then where will all those customers be? Fragmented OS, pos nothing ......

    Apple has the complete package and is improving on it daily .....
  • Reply 8 of 32
    I've a suggestion ... Grandparents Buying for their Grandchildren Assist: (If this already exists please tell me).

    As a grandparents we want to buy our grandchildren a iPhone 5c each for Christmas. I'd love to go via the Apple Store but obviously this all needs to be coordinated with their parent's family calling plans. I'd like a one stop shopping solution from Apple that somehow achieves this for us at the best possible prices.
    Because of contracts, weather you are at apple to the carrier this will be an issue. One solution would be to have the parents add you as an authorized user and then remove you later. The better bet it to buy the equivelent of the cost of the subsidized price as a gift card. This way the grand kids can get the color they want and even upgrade to the iPhone 5s or 32gb 5c if they desire. Hope this helps.
  • Reply 9 of 32
    tcaseytcasey Posts: 199member
    As long as Apple continues to lose overall market share in huge numbers, none of this really matters. Most of the world is buying Android smartphones and Apple is being practically shut out. Whether Apple makes profits or not it really doesn't matter. Apple's intrinsic value to Wall Street will continue to decline and Apple shareholders will be left crying tears of blood. Apple has no answer for this and its rather frustrating. Google is just a far smarter company than Apple and knows how to spray the oil so Apple can't get any traction while Apple is too stubborn to retaliate. 2013 has become the year of the Apple value nightmare. Google and Eric Schmidt are laughing all the way to the bank over the way they tripped up Apple.
    it really does matter and also matters if the figures given out are not made up of worthless stats by paid companies to make there clients feel good...Apple is making most of the profit and if thats not important then your not understanding business to much.
  • Reply 10 of 32
    sflocalsflocal Posts: 6,093member
    Quote:

    Originally Posted by Constable Odo View Post



    As long as Apple continues to lose overall market share in huge numbers, none of this really matters. Most of the world is buying Android smartphones and Apple is being practically shut out. Whether Apple makes profits or not it really doesn't matter. Apple's intrinsic value to Wall Street will continue to decline and Apple shareholders will be left crying tears of blood. Apple has no answer for this and its rather frustrating. Google is just a far smarter company than Apple and knows how to spray the oil so Apple can't get any traction while Apple is too stubborn to retaliate. 2013 has become the year of the Apple value nightmare. Google and Eric Schmidt are laughing all the way to the bank over the way they tripped up Apple.



    Let me know when you decide to re-enter "Reality" because right now, you're really out there.



    "Whether Apple makes profits or not it really doesn't matter."   Pffftt... That's funny.  That one will come back to bite you.



    Sure, Android is selling everything at a loss... but hell, they're making it up in volume!!  *rolls eyes*

  • Reply 11 of 32
    normmnormm Posts: 653member
    Quote:

    Originally Posted by Constable Odo View Post



    As long as Apple continues to lose overall market share in huge numbers, none of this really matters.

     

    Apple's share of cell phones in the US is going up exponentially: 25.1% of all cell phones in use in the US in September, up from 17.5% a year earlier and 10.2% a year before that.  You can invent some other market that it's not growing as fast as in the US, or worry about low end world markets that it doesn't participate in, but Apple isn't losing anything.

  • Reply 12 of 32
    jungmarkjungmark Posts: 6,926member
    Proper headline: 75% of iPhone buyers shun Apple Stores for third party stores. Apple is doomed.
    /s
  • Reply 13 of 32
    froodfrood Posts: 771member
    Quote:

    Originally Posted by Tallest Skil View Post

     

    "This can’t possibly be true. Look at Android’s numbers. They prove it wrong.”


     

    No, it sounds about right.  Pretty impressive that Apple stores can sell 11% of smartphones sold in the US.  If that 11% is 25% of all Apple phones sold, that would give Apple 44% of the US market-which sounds about right- with Android getting most of the rest.

     

    The rest of the world isn't even a close call.

  • Reply 14 of 32
    froodfrood Posts: 771member
    Quote:

    Originally Posted by MazeCookie View Post

     

     

     

    "2013 has become the year of the Apple value nightmare"

    Apple's value is basically what it was this time last year, and everyone can collectively agree Wall Street are full of fuckups and this value means nothing in relation to performance.

    https://www.google.co.uk/finance?q=NASDAQ:AAPL


     

    Please don't "collectively agree" to anything for me. =P

     

    Google's profits continue to increase year over year, so its share price is continuing to rise.  Since it makes less profit than Apple its total market cap is still less than Apples.

     

    Apple continues to make the most profits and thus has the highest market cap.  Its profits, however, are falling.  Apple made less profit in fiscal 2013 (despite selling more devices) than they did in 2012.   Despite their lowering profits their stock price held relatively steady.

     

    Where does valuation not follow performance?

  • Reply 15 of 32
    jungmarkjungmark Posts: 6,926member
    sog35 wrote: »
    Mods: can you please ban this guy or delete his posts. His comments have absolutely nothing todo with the topic. Look at all his posts. It's the same thing every time: apple is doomed, apple is losing market share, apple stock sucks, Google is boss. Nothing wrong with saying these things if they are on topic. But he constantly brings up these same FUD on multiple threads. Please put an end to this Mods.
    Just block him. That cleans up a lot of threads.
  • Reply 16 of 32
    jungmark wrote: »
    Just block him. That cleans up a lot of threads.

    33% of the posts are replies to his post, so that won't work (unless you alter the javascript from stone and run that)
  • Reply 17 of 32
    Quote:

    Originally Posted by Frood View Post

     

     

    Please don't "collectively agree" to anything for me. =P

     

    Google's profits continue to increase year over year, so its share price is continuing to rise.  Since it makes less profit than Apple its total market cap is still less than Apples.

     

    Apple continues to make the most profits and thus has the highest market cap.  Its profits, however, are falling.  Apple made less profit in fiscal 2013 (despite selling more devices) than they did in 2012.   Despite their lowering profits their stock price held relatively steady.

     

    Where does valuation not follow performance?


    If you can justify a tweet from an analyst, or a rumour that ends up moving Apple's share price down by a mere $15 dollars or so (which would wipe more than $13b dollars from Apple's market cap), which I've seen too many times to count on one hand now, and then said tweet or rumour turns out to be totally false, then you are not collectively agreeing. I, as well as many, cannot justify these scams.

     

    If you think profit is the only thing that effects share price, and that profit is the only attribute to performance, I feel for you bro.

  • Reply 18 of 32
    To the Grandparent above...

    I feel your pain and I am seconding the suggestion to buy a gift card and had to your son or daughter. It'll be very easy for them to handle the details and very hard for you to do that.

    (Nothing will work, of course, if the telecom requires a photo id in person to add a number (and payment) to a a plan. I believe this is the case for all telecoms.)
  • Reply 19 of 32

    Considering the Apple Store sells the newest of hardware, as opposed to a cell carrier that might have stock laying around, these percentages say a lot about what people want and are willing to pay for a smart phone.

     

    In other words, yes, there is still a large percentage that want the latest and greatest (as evidenced by the 5s.)

     

    Apple is making money, so much they don't know what to do with that you have Ichan asking for bigger dividends and share buybacks.  Oh, almost forgot, Apple iz the dooooomed!

  • Reply 20 of 32
    froodfrood Posts: 771member
    Quote:

    Originally Posted by MazeCookie View Post

     

    If you can justify a tweet from an analyst, or a rumour that ends up moving Apple's share price down by a mere $15 dollars or so (which would wipe more than $13b dollars from Apple's market cap), which I've seen too many times to count on one hand now, and then said tweet or rumour turns out to be totally false, then you are not collectively agreeing. I, as well as many, cannot justify these scams.

     

    If you think profit is the only thing that effects share price, and that profit is the only attribute to performance, I feel for you bro.


     

    A rumor on any stock can drive share price dramatically if it is believed.

     

    Share price is basically determined by the net present value of all future expected earnings.  Since a rumor that is credible, if it proves real, can dramatically affect future expected earnings- it *should* affect stock price.  If done deliberately and misleadingly to influence share price it is illegal and the perpetrators risk going to jail (our justice system could use some work there).

     

    In the long term, the blips will settle out and the only thing that will drive share price is actual performance.  In your original post you seem to be arguing that the people on Wall Street are a bunch of idiots because Apple's share price is flat instead of soaring.  Many here seem to be adding to it by saying it is also due to 'rumors,' unfavorable press, and Wall Street's general hatred of Apple.  I'm just curious why few look at the actual financials.  Why do you believe that a company that is making less money than they were last year should be worth more money?  If you believe they should be worth more because future expected earnings are going to grow (ie sell more devices at higher margins) then that is a logical answer.  If you believe that even if their profits continue to fall they should be worth more 'because they are Apple!'....

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