Kuo: iPhone 11 & Pro having strong launch, Apple will sell 75M iPhones in 2019
Apple analyst Ming Chi Kuo is looking at sell-out times to glean what he can from the first 72 hours of iPhone 11 and iPhone 11 Pro sales, and likes what he sees both in the US and China.
iPhone 11 Pro at Apple's September 10 event
In a research note seen by AppleInsider Kuo believes that the US market is purchasing more of the iPhone 11 Pro versus the iPhone 11. Kuo says that US consumers have the highest loyalty for the high-end of the iPhone lineup, benefit from a proliferation of trade-in programs, and have many zero-interest installment programs to exploit for the best pricing.
Regardless of the iPhone 11 Pro line reportedly doing better than the iPhone 11 in the US, demand is still strong for the lower-end model in the US market, Kuo says.
Kuo believes that demand for the iPhone 11 is stronger in China than in the US, though. In that region, Kuo is seeing the iPhone 11 as an "excellent upgrade choice" for the many iPhone 6 through iPhone 7 users that bought into the ecosystem when Apple launched sales in the country, and the pricing is driving sales of the model.
TF International Securities has increased its forecast of iPhone 11 and iPhone 11 Pro in calendar year 2019 alone to between 70 million and 75 million units. This is an increase from the previous estimation of between 65 million and 70 million units. A big risk factor cited for this estimate is an escalation of the trade war, that will see tariffs placed on the iPhone on December 15.
Kuo believes that Apple's consumer-facing pricing isn't going to change as a result of the tariffs. He believes that Apple will choose to absorb the pricing taking a hit to profits, rather than increase them as a response to the tariffs -- a prediction perhaps borne out by Apple not increasing the price of the Apple Watch year-over-year.
Apple launched the iPhone 11 and iPhone 11 Pro at its September 10 event. The iPhone 11 with a two-lens camera and a LCD display debuted for $699, $50 less than the 2018 iPhone XR. The iPhone 11 Pro line comes in at the same price as the iPhone XS did, with models retailing for as low as $999 for the iPhone Pro, and $1099 for the iPhone 11 Pro Max.
iPhone 11 Pro at Apple's September 10 event
In a research note seen by AppleInsider Kuo believes that the US market is purchasing more of the iPhone 11 Pro versus the iPhone 11. Kuo says that US consumers have the highest loyalty for the high-end of the iPhone lineup, benefit from a proliferation of trade-in programs, and have many zero-interest installment programs to exploit for the best pricing.
Regardless of the iPhone 11 Pro line reportedly doing better than the iPhone 11 in the US, demand is still strong for the lower-end model in the US market, Kuo says.
Kuo believes that demand for the iPhone 11 is stronger in China than in the US, though. In that region, Kuo is seeing the iPhone 11 as an "excellent upgrade choice" for the many iPhone 6 through iPhone 7 users that bought into the ecosystem when Apple launched sales in the country, and the pricing is driving sales of the model.
TF International Securities has increased its forecast of iPhone 11 and iPhone 11 Pro in calendar year 2019 alone to between 70 million and 75 million units. This is an increase from the previous estimation of between 65 million and 70 million units. A big risk factor cited for this estimate is an escalation of the trade war, that will see tariffs placed on the iPhone on December 15.
Kuo believes that Apple's consumer-facing pricing isn't going to change as a result of the tariffs. He believes that Apple will choose to absorb the pricing taking a hit to profits, rather than increase them as a response to the tariffs -- a prediction perhaps borne out by Apple not increasing the price of the Apple Watch year-over-year.
Apple launched the iPhone 11 and iPhone 11 Pro at its September 10 event. The iPhone 11 with a two-lens camera and a LCD display debuted for $699, $50 less than the 2018 iPhone XR. The iPhone 11 Pro line comes in at the same price as the iPhone XS did, with models retailing for as low as $999 for the iPhone Pro, and $1099 for the iPhone 11 Pro Max.
Comments
But, wait ... I thought this year's iPhone was just iterative, not "innovative" enough, and Apple was doomed to failure? What Universe is this????
And I thought that Apple's design choice for the cameras were too fugly??? Seriously, I'm confused! Who is buying these amazing, fast, powerful, capable phones???
I know I'm supposed to hate the new cameras, according to various comments that I read online, but screw the haters and screw the low IQ sheep who are incapable of having their own thoughts. If they weren't hating on the cameras, then they'd be hating on something else. Their shtick has become very predictable, boring and played out by now.
Phones have basically replaced the need for the average person to own a dedicated camera, that's been the case for many years now, and it only makes sense that cameras will continue to improve on phones, including having multiple lenses and more features.
I have no idea what the sales figures are, I guess nobody besides Apple knows at this point, but I can see the new iPhones doing rather well too.
$400 for my X is an amazing trade-in. Better than gazelle and ebay. That makes my X only $600, over two years interest free. Only a fool would argue against that. (Can you even imagine a cheap chinese knockoff reselling for this via a trade-in!? Nope).
Carry on, Apple, carry on.
Based on the installed base and customer loyalty iPhone sales will "settle" at somewhere around 180 million or so a year if people upgrade every 4-5 years. What an absolutely terrible position to be in. /s
They literally publish negative stories seven days a week most of the time - all predicting doom for the company and its products.
It's comically bizarre that they maintain a strong readership despite almost never being right.
But I have been wondering about the genesis of their super slant. It just seems more than only a click bait journalistic thing.... ....did Steve Jobs once say something nasty about the publisher or what....???
Apple could have sold out of 10 million or 50 million. So how did he arrive at that number?
Not just Forbes. Every damn publisher in the world besides a select few.
I've pre-ordered the Silver iPhone 11 Pro Max. The more I see the pics, the more I'm convinced that it's the best looking one of the bunch.
That said it doesn't matter that the camera is ugly but it DOES matter that the photo is beautiful and everything I saw point to it will be in fact very beautiful.
Last year I sat it out and bought nothing. This year look like I'm gonna buy everything but the Mac lol.
https://sixcolors.com/post/2019/09/the-u1-chip-in-the-iphone-11-is-the-beginning-of-an-ultra-wideband-revolution/
As for the "look" of the Camera matrix on the Pro Max, I see function, and that's what I'm buying. I expect that we will grow attached to the "look".
"Chinese consumers have to pay a premium above the U.S. price that’s between 10.5% and 12.5% for the iPhone 11, according to analysis by CNBC. The cheapest model starts at 5,499 yuan ($777). That mark-up is less than last year’s iPhone XR — the equivalent of the new iPhone 11 — which commanded a 28% premium.
Apple was eventually forced to slash its iPhone prices in China for that series.
But the cheaper iPhone 11 pricing has got Chinese consumers interested."
In the same report they say that the same decrease in the China premium has not occurred in the -pro models of iPhone.
We can speculate if this is true -- or even why Apple would charge a country more for a product that that country makes for them -- but more interesting is why they would decrease the premium and what impact it will have on iPhone sales.
https://www.cnbc.com/2019/09/16/apple-iphone-11-most-popular-model-pre-ordered-in-china.html