iPhone SE Estimated to Grab 16% of U.S. iPhone Market in Launch Quarter

[MacRumors]

Apple's newest 4-inch iPhone SE has taken a 16 percent share of the overall United States iPhone market in its launch quarter, according to new survey data shared by Consumer Intelligence Research Partners and UBS analyst Steven Milunovich. The data shows that the iPhone SE has been successful in "flushing out" older phones, with 26 percent of iPhone buyers in the quarter moving up from an iPhone 4s, up from 16 percent in the previous quarter.

The strong entry of the iPhone SE naturally came at the expense of Apple's other phones in model share, with the iPhone SE helping to prop up overall iPhone sales as the other models begin showing their age by serving as an enticing upgrade option for more frugal customers and those unwilling to upgrade to a larger screen.

The percentage of plus models sold fell by 6 points in the June quarter following a 9 point increase in March. The success of the iPhone SE could demonstrate pent-up demand for a smaller screen and price sensitivity in the installed base.

In the same vein, CIRP's data points to a slight shift towards the preference of lower storage capacities across every model in the iPhone family, as more frugal-minded consumers enter the market at the end of the current iPhone cycle. Although the research firm has seen a slow uptick in higher storage options over the last three quarters (62 percent of iPhone buyers opted for higher capacities in the March quarter, increasing 11 percent year-over-year), compared to the year-ago quarter average storage per smartphone dropped a total of 10 percent. The iPhone SE with only 16 GB and 64 GB options undoubtedly contributed to this decrease.

Close speculation has surrounded not only the current iPhone sales numbers, but the prediction of how well the iPhone 7 will do come September as Apple tries to regain momentum following the first year-over-year decline in revenue since 2003 and first ever year-over-year decline in iPhone sales. Concerns over potential "lack of innovation" is at the root of some doom-and-gloom sales predictions, although, as CIRP corroborated today, Apple has continued to ramp up production of the iPhone SE in the wake of "very strong" demand.

Article Link: iPhone SE Estimated to Grab 16% of U.S. iPhone Market in Launch Quarter

 

[riptidewahoo]

i can't believe that many people buy 16GB phones.

 

[TheYayAreaLiving 🎗️]

Awful and sad numbers

 

[dannyyankou]

Awful and sad numbers

It's impressive actually. One out of every six iPhones sold was an SE.

 

[jkovalik]

I upgraded from my 16gig 5S to a 64gig SE.... I just honestly don't like big phones, so when they announced it, I knew I was going to jump on it.

 

[MacDawg]

Yep, the SE is a huge disappointment and failure and Steve would never have... wait... um, looks like it is doing pretty well

And yes, the 16GB is still very popular and viable, in spite of all of the crying here on the Forums

 

[centauratlas]

"first year-over-year decline in iPhone sales since 2003"

Given the iPhone was released in 2007, that is an odd stat.

 

[asleep]

iPhone SE is the bee's knees!

Here's hoping Apple updates it regularly while maintaining the 4" screen.

 

[Benjamin Frost]

Yet more proof that Apple not selling a 4" iPhone for two years was a giant mistake.

 

[npmacuser5]

I upgraded from my 16gig 5S to a 64gig SE.... I just honestly don't like big phones, so when they announced it, I knew I was going to jump on it.

Same here!

 

[naeS1Sean]

Maybe they should pay more attention to what people want?

 

[Lost Hills]

Anyone know what game that is on the screen?

 

[TMRJIJ]

i can't believe that many people buy 16GB phones.

Well, yeah. It's cheap. iPhone attracts the youth and senior citizens. Both of these groups don't have much money.

EDIT: Apparently this is not the case.

 

[Crosscreek]

I love my SE. Has all that I need.

 

[Stella]

Not surprised, its cheap, often "free" on Contract / or very little upfront cost on a tab.

People do actually like a smaller phone, still.

 

[dogslobber]

i can't believe that many people buy 16GB phones.

Why does anybody need more than 16gb? I'm genuinely curious to understand the usage model. I still have 5.8gb available on my 16gb iphone 5.

 

[44267547]

I appreciate and love my iPhone SE. However, they need a serious homerun hitter with this iPhone 7 due in September.

 

[MacDawg]

Well, yeah. It's cheap. iPhone attractive the youth and senior citizens. Both of these groups don't have much money.

LOL
There are a lot of other reasons why the 16GB might be an attractive choice
It isn't just because youth and seniors don't have much money

 

[Stella]

i can't believe that many people buy 16GB phones.

Businesses will often. They will lock down the phone anyway, to stop you installing unapproved apps. Employees won't need 32MB.

 

[Glassed Silver]

Yep, the SE is a huge disappointment and failure and Steve would never have... wait... um, looks like it is doing pretty well

And yes, the 16GB is still very popular and viable, in spite of all of the crying here on the Forums

Steve was advocating FOR 4", so...?

And wow, killer argument.
I'm sure some people are happy with 8GB.
Doesn't change the fact the iPhone is a PREMIUM smart phone, so it should be held to higher standards than that, especially as you can't upgrade storage for apps, iTunes content, etc otherwise.

Glassed Silver:mac

 

[riptidewahoo]

Businesses will often. They will lock down the phone anyway, to stop you installing unapproved apps. Employees won't need 32MB.

good point, thanks.

 

[ArtOfWarfare]

Got my in-laws set up with two 64 GB iPhone SE's a week ago. They were upgrading from 10 year old Nokia bricks, because AT&T sent them a letter saying that those phones would no longer be able to connect to the network as of the end of the summer.

My biggest regret is not getting them iPhones with bigger screens. Their hands aren't steady... they tremble a lot and really struggle with entering passwords on the small screens. I'm hopeful that TouchID will reduce how much they need to enter passwords, but the initial setup process was very difficult for them.

I wonder... is there some super cheap keyboard that I can buy for them for just entering their passwords when that's necessary? Used is fine... I figure they can share it.

 

[Mac Fly (film)]

I traded up from an iPhone 6. I found the 6 too large and too heavy. I like the SE.

 

[pudcraft]

Not surprised by the 16GB. It's the only option for people (pre SE) that needed something more affordable. Real shame they've kept to 16GB this long.

 

[DocMultimedia]

If Apple would release an updated 4in with latest camera and processor I'd buy it in a second. Instead I'll wait for the 4.7in iPhone 8.