Apple Reportedly Advised Technicians to Push iPhone Upgrades to Customers With Out-of-Warranty Devices

Discussion in 'MacRumors.com News Discussion' started by MacRumors, Feb 8, 2019.

  1. MacRumors macrumors bot

    MacRumors

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    Last month, Apple lowered its revenue guidance for the first quarter of its 2019 fiscal year by up to $9 billion due to fewer iPhone upgrades than it anticipated, primarily due to economic weakness in the Greater China region.

    [​IMG]

    A few months prior to the announcement, Apple began heavily promoting iPhone XR and iPhone XS trade-ins with a limited time promotion, prominent banner on its website, emails to older iPhone users, store signage, App Store editorials, and other uncharacteristically aggressive tactics aimed at boosting sales.

    Bloomberg's Mark Gurman previously reported that Apple reassigned some of its marketing staff to focus on bolstering sales of its latest iPhone lineup in late October, around the time the iPhone XR launched. The report cited an unnamed source who described the efforts as a "fire drill."

    In a report this week about Deirdre O'Brien succeeding Angela Ahrendts as Apple's retail chief, Gurman elaborated a bit more on Apple's tactics to promote its latest iPhones, claiming that the company advised its technicians to "push iPhone upgrades to consumers with out-of-warranty devices."

    Senior retail staff were also tasked with making sure other employees were suggesting upgrades, according to Gurman:
    We presume this refers to Genius Bar technicians at Apple Stores, but there is also a network of Apple Authorized Service Providers, some of which double as authorized resellers that offer the latest Apple products for sale.

    It's unclear if the tactics had any influence on Ahrendts stepping down from her position. Unlike her short-lived predecessor John Browett, who reportedly pushed Apple retail employees to aggressively upsell products, Ahrendts focused on the experience with free Today at Apple creativity sessions and more.

    Last month, Apple CEO Tim Cook admitted that "customers are holding on to their older iPhones a bit longer than in the past." In a letter to shareholders, Cook said Apple is undertaking and accelerating initiatives to improve its results, such as making it simple to trade in a phone at its stores.

    Apple's reported efforts to push iPhone upgrades creates an interesting juxtaposition. On one hand, the company's environmental chief Lisa Jackson recently said customers using its devices longer "is the best thing for the planet," and on the other hand it is more aggressively encouraging customers to buy a new iPhone.

    Skip to 1:23:51 mark for Lisa Jackson's comments

    Whether the tactics are effective will be harder to gauge going forward, as Apple no longer discloses unit sales in its quarterly earnings report. Apple forecasted revenue between $55 billion and $59 billion in the current quarter, which would be down from $61.1 billion in the year-ago quarter.

    Article Link: Apple Reportedly Advised Technicians to Push iPhone Upgrades to Customers With Out-of-Warranty Devices
     
  2. chabig macrumors 603

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    #2
    Oh no! Apple tries to sell iPhones. I guess this writer has never stepped into a car dealership or ordinary mall retail store.
     
  3. Braderunner macrumors 6502a

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    #3
    I don’t mind if someone makes a suggestion. But, don’t get pushy.
    Not saying they were pushy. Just saying...:cool:
     
  4. montycat macrumors 6502

    montycat

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    #4
    I don’t know what the big deal is. My girlfriends restaurant always pushes soda products on people when they ask just for water
     
  5. funkboy77 macrumors newbie

    funkboy77

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    #5
    Extra, extra: company selling something tries to sell something.
     
  6. btrach144 macrumors 65816

    btrach144

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    #6
    “We love the environment and are taking steps to reduce our impact.”

    Also Apple,

    “Buy a new phone every 12 months. Ignore the e-waste and negative effects of mining raw materials.”
     
  7. montycat, Feb 8, 2019
    Last edited: Feb 8, 2019

    montycat macrumors 6502

    montycat

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    #7
    EDIT: They are REQUIRED to suggest upgrades to the customers food order. This is a directive from corporate management.
     
  8. omihek macrumors 6502

    omihek

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    #8
    At the end of the day, they need to make money. Tons and tons and loads and buckets and mountains of money.
     
  9. Nate Weir macrumors newbie

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    Sep 5, 2014
    #9
    So Apple advised their employees to sell more iPhones?

    Shocking, seeing as that's how they make money.
     
  10. kingofwale macrumors 6502a

    kingofwale

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    #10
    desperate time for desperate measure...

    Customer: "Hi, I want to buy an iphone cable..."

    Apple Genius: "okay... you want a brand new iphone with that??"
     
  11. ricktat macrumors 65816

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    Feb 18, 2013
    #11
    Sir.. Your option is $329 for your 6 Plus out of warranty repair or $749 for the New XR upgrading you 4 years.

    It sounds terrible that they gave customers options.
     
  12. Lalov001 macrumors newbie

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    Mexico
    #12
    Mr. Cook, iPhone isn't selling as well. What should we do?
    a) Lower prices
    b) Betray customers trust in Genius Bar technicians

    This is just disappointing. A big advantage of Apple Stores was that you could trust they were offering you something according to your needs.
     
  13. MagMan1979 macrumors member

    MagMan1979

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    #13
    Isn't this Business 101?

    Gotta love more clickbait articles!
     
  14. synergize macrumors regular

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    Jul 12, 2010
    #14
    Who took the money from your wallet, you or Apple? Case closed!
     
  15. BigBoy2018 macrumors 6502

    BigBoy2018

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    #15
    Seems like the slowdown in phone sales should have been seen from a million miles away. Its a relatively saturated market and the ‘wow’ factor of smart phones isnt there anymore.

    Apple just doesnt have any product close to the earth moving iphone (and maybe never will again), so here we are, apple pushing iphone upgrades in conflict with what their own Lisa Jackson says is good for the planet.
     
  16. otternonsense macrumors 6502a

    otternonsense

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    #16
    Not so much of a conspiracy theory anymore, innit
     
  17. The Don Onez macrumors member

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    Huntsville, AL
    #17
    Yeah, this seems like normal. I get asked if I want to upgrade with several companies. As long as they take a "no" in stride, I'm cool with it.
     
  18. Swift macrumors 68000

    Swift

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    #18
    What do you mean, “push”? If they give you a bill for $300 to repair a phone with cracked glass and a camera that needs replacing, wouldn’t it be fair to say, “Maybe it would be cheaper to get a Xr?” Or tell you about refurbs? Many people would choose that instead of putting a lot of cash into into a three-year-old phone.
     
  19. evilrobot macrumors newbie

    Joined:
    Oct 9, 2018
    #19
    They are not looking to push upgrades, but position the best use of money on the device. Headphone jack busted and battery used up on your iPhone 6? Consider an upgrade. The angle of this article makes it sound like a used car lot and techs are pushing a sale.

    Apple will fix your iDevice - but when your repairs greatly exceed the value of the phone, it may be time to consider. Not everyone can jump into a new +/- $900 device and can be totally fine with a repaired iPhone no matter the age.
     
  20. The Don Onez macrumors member

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    #20
    Try calling into a ISP/Cable provider. Whew!!
     
  21. Maxx Power macrumors 6502a

    Maxx Power

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    #21
    I don't have an unlimited phone budget. Apple increases prices, I increase purchase intervals. That simple.
     
  22. technole macrumors 6502

    technole

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    Sep 22, 2017
    #22
    More writing on the wall that we'll see iOS upgrades end for everything up to 6S. They already gave you a cheap battery and a major performance boost iOS.

    Tim has to get you to buy a new iPhone soon.
     
  23. MagMan1979 macrumors member

    MagMan1979

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    #23
    Or better yet, a cellular carrier!!! OMG
     
  24. mi7chy macrumors 603

    mi7chy

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    Oct 24, 2014
    #24
    Pushed upgrades aren't necessarily bad but Apple customers still have fresh wounds from the recent forced upgrades.
     
  25. thejadedmonkey macrumors 604

    thejadedmonkey

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    Location:
    Pennsylvania
    #25
    Maybe if they made phones people wanted...

    I know I wouldn't mind upgrading, if Apple made something I wanted.
     

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