Apple Watch U.S. Sales Estimated at 2.8 Million, Sports Band May Have Base Cost of Just $2

[forex_rog]

Apple "tax"? New speak much? You're really making a verbal stretch there in your attempt to switch out the neutral word "price" with the negative "tax" and cast Apple as some big bad villain. A tax has to be paid, like it or not, want it or not, agree with it or not. A price need only be paid if we think it's worth it.

And I think the price I paid for my watch was worth it. There are plenty of other smartwatches out there and other tech by other companies. You don't have to pay any price you don't feel is worth paying. So go buy their products and frequent their website and praise them over Apple for not ripping you off. But don't try to tell me that I don't know whether something is worth my money. I work hard for that money, and I'll send it on what I want and what I like. And I make no apologies for that.

Apple Tax??
I've heard of the "Australia Tax", which inflates everything whether Apple hardware, iTunes, and just about everything else from other companies we buy here, it's the price we pay for having a predominantly braindead and retarded population..... lol

 

[Meandmunch]

That $1.99 drink at McDonalds only cost 5 cents worth of soda.

This cracks me up when people get into a huff over what really is an issue of scale. You get raped at Mcdonalds for a soda or over a simple bottle of water from a gas station which is just flipping water but because it's only two dollars who cares. Scale it up to $50 suddenly it's a crime.

 

[Meandmunch]

The average estimate was 22.47M watches sold in calendar year 2015.

This is a serious shortfall. I remember even reading a number like 50-55 million in the first year. No way is that going to happen. Shave $100 of the watch price and you will see significant movement. I have no doubt wearables are the future but this is a train that will require some time to get up to speed.

 

[kis]

This is a serious shortfall. I remember even reading a number like 50-55 million in the first year. No way is that going to happen. Shave $100 of the watch price and you will see significant movement. I have no doubt wearables are the future but this is a train that will require some time to get up to speed.

Indeed - that one hurts. Sales aren't much higher than for Android Wear watches. Considering the fact that most of the Apple Watches were pre-orders and lots of them ended up on eBay (because people bought two and sold the other ones to countries where it isn't available yet), Apple can't be happy with that.

I guess they must have ignored some factors:

- People who already shed 1000$ for an iPhone 6 Plus probably won't shed another grand for a watch that truly isn't a necessity
- the watch isn't great. It's not crap, but it isn't great - and it certainly isn't better than most Android Wear devices. So Apple simply hasn't managed to do what they usually do: enter a product category and make it their own. The watch doesn't look particularly good for the fact that it's in a category where individualism and aesthetic quality dominates. It's usable, but the usability concept isn't really great, either. Plus it's slow, battery life is short, strap options are expensive and frankly, it doesn't do anything better than the phone you already own. Actually, it does pretty much everything worse than the phone. It doesn't even display the time significantly better than the average smartphone as it often stays dark when you look at it.

Let's hope v2 will be better.

 

[Mildredop]

My relationship with Apple has been seriously shaken by the Apple Watch affair. Although I have bought one

I find this quite unbelievable!

 

[Mildredop]

If they only cost $2 to make, why don't some of you start making them tomorrow and sell them for a few bucks cheaper than Apple does? Think of all the money you'll make.

And the thread is won. Great point.

 

[Dmunjal]

And the thread is won. Great point.

It's already being done.

There are plenty of bands on eBay for $5+.

http://pages.ebay.com/link/?nav=item.view&id=311374868282&alt=web

They may not be as good as Apple's but Apple's are definitely not 10 times as good either.

 

[thirteen1031]

This is the Apple tax. Marketing 101. I pay it. You pay it. Happily I might add. But don't say it's because of superior materials or manufacturing processes.

I'm not saying a thing about superior material or manufacturing...I don't have the facts on those and I have not read those that are out there to pass such a judgement. Nor have I seen any such here in this thread to support any claims.

But I still take exception to naming any of this an "Apple tax." Time and again, posters here rant about Apple as if it's some evil, tyranically dark lord stealing our money to keep itself in power. It's just a frigging company making money like so many others. And if it's hugely profitable, we have to take responsiblity for that, for what we're willing or not willing to give it for its products. If we use words like "tax" we're feeding into the idea that we are not responsible for what we're willing to buy or pay for such products. Or accepting of the results for doing that.

 

[chucker23n1]

Indeed - that one hurts. Sales aren't much higher than for Android Wear watches.

"Over 720,000 Android Wear devices shipped in 2014"

Surely 2.8 million within a few months by a single brand is, in fact, "much higher" than 720,000 in an entire year for several brands.

 

[thirteen1031]

"Over 720,000 Android Wear devices shipped in 2014"

Surely 2.8 million within a few months by a single brand is, in fact, "much higher" than 720,000 in an entire year for several brands.

Yep. And in less than a few months. It's only been two months, really. And I'd also love to learn how many $10K watches Android has sold I really don't think Apple can be hurting that badly (or can't pat itself on the back for a modest success) given that it sold 126,000 of those gold watches in China alone.

I don't think Apple will continue to sell that many gold watches in the next months, but if they sold that same amount every two months (*if!*), by this time next year, they''ll lhave matched Android wear sales for 2014 in gold watches alone. Not too shabby, if that happens.

But even if it does happen, I'm sure all we'll read here is post after post of how Apple watch sales haven't lived up to predictions and that Apple and Tim Cook have to be crying over this wash out...

 

[Mildredop]

So it seems Apple haven't sold that many watches. The smartwatch is a terrible idea and one I'm sure we'll look back on and scoff at. Apple really haven't brought anything extra to the table and I personally look forward to the Apple Watch either failing or improving significantly.

As for the price of the watch straps - I'm not sure I see a problem. There's competition out there, so if people are paying the figures Apple are asking, the manufacturing costs are a non-issue.

 

[chucker23n1]

iPhone sales, first quarter: 0.27M
iPod: 0.125M
iPad: 3.27M

So, compared to the iPad, the watch could do better. Other than that, there's really not much that can be said yet. It'll be a few years until it either takes off or doesn't.

 

[kdarling]

The latest data from Slice Intelligence, a digital commerce research firm that tracks email receipts, estimates Apple Watch sales at 2.79 million in the United States nearly two months after the wrist-worn device launched, according to Reuters.

Interesting. Some of us had predicted iPad-like numbers back in April (e.g. this post with a predicted 3 million), because it also started out selling slowly.

In the same post I also predicted a push to get watches out of the factories and into people's hands before July, because Cook is going to want as many big numbers as possible before the quarter ends.

"Over 720,000 Android Wear devices shipped in 2014"

Surely 2.8 million within a few months by a single brand is, in fact, "much higher" than 720,000 in an entire year for several brands.

To be clear, it was not an entire year, as the first couple of Android Wear devices didn't become available until mid-2014, and there was no big public press about them.

Many buyers also held back for the round display Moto 360 and LG Watch R, which only became available in September. And even then, the Moto was in short supply for a long time, which held back its sales.

 

[thirteen1031]

Many buyers also held back for the round display Moto 360 and LG Watch R, which only became available in September. And even then, the Moto was in short supply for a long time, which held back its sales.

I imagine many will do the same with the Apple Watch--i.e. hold off for now. And that might include holding off because they can't get certain models right out the door but have to wait for them. I suspect, also, that we're not going to hear much about the Apple Watch for the Summer. But come Fall, it's going to be back in a big way as Apple tries to get it on Christmas lists.

Not that I think any of this will boost sales to the point where it meets the most extravagant sales predictions bartered about before the watch's launch...but I think it will do fine. Especially if we look beyond the U.S. I could be wrong, but it seems that in this instance, the U.S. is going to be the slow adopter compared to other countries.

 

[lazard]

"Over 720,000 Android Wear devices shipped in 2014"

Surely 2.8 million within a few months by a single brand is, in fact, "much higher" than 720,000 in an entire year for several brands.

Don't know where you pulled that 720,000 figure from.

 

[chucker23n1]

Don't know where you pulled that 720,000 figure from.

From here.

Doesn't have to be contradictory, as most (all?) of those aren't Android Wear.

 

[mr666]

Geeze, what a lot of whining about cost. I once made the mistake of revealing the cost of a pair of hi-fi (look up in stone tablet dictionary) loudspeakers to a customer. He was appalled that the shop expected to rape him for 100 bucks profit on a $400 pair of speakers. To him, ten bucks profit was too much. All of you who hate paying, DON'T PAY! It's just that simple. Buy another brand of smart watch or buy a Timex for $40. If sales of the Apple Watch tank, they will reduce the price. If all of you buy it, they won't change the price. Flintstones vitamins cost less than one cent to make. If you want them for one cent, build yourself a factory.

 

[FriendlyMackle]

The Sport band will show normal wear after just a few days of use, and as such cannot be refurbished. That may also be true for most of the other bands. That may be a factor in the retail price.
With that being said, if the Sport band were priced at $29 and made available in a wide range of colors, Apple would sell tens of millions.

Sorry, but I've been wearing mine for over a month now daily, and I see no signs of wear. Fluoroelastomer.

 

[iBighouse]

From here.



Doesn't have to be contradictory, as most (all?) of those aren't Android Wear.

Hey, according to their definition in the fine print, the Apple Watch wouldn't qualify to make their list as a "smartwatch". They are counting only devices that can 'connect to the internet' and the apple watch can only connect to the iPhone, not to the internet. Right?

 

[FriendlyMackle]

Big difference when you're using expensive Swiss labor vs pennies on the dollar Chinese labor...

There's no way that a $1,500,000 (Sky Moon Tourbillon Patek Philippe) watch costs more than $50,000 to make, and that would still be only 3% of the selling price...

 

[ShadovvMoon]

Hey, according to their definition in the fine print, the Apple Watch wouldn't qualify to make their list as a "smartwatch". They are counting only devices that can 'connect to the internet' and the apple watch can only connect to the iPhone, not to the internet. Right?

Apple Watch can use Wifi to connect to the internet without an iPhone.