Here's a supply idea

Discussion in 'iPhone' started by Four oF NINE, Sep 21, 2013.

  1. Four oF NINE macrumors 68000

    Four oF NINE

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    #1
    Why not allow people that know they want an iPhone 5S to preorder a month in advance?.. or 2 months in advance?.. That way Apple will better know what to produce, and the customer would have their order locked in.

    Am I missing something or is this solution just too easy?
     
  2. omgitscro macrumors 6502a

    omgitscro

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    #2
    They'll sell two months' worth of iPhones less during that period since people will hold off on purchasing the current product.
     
  3. Four oF NINE thread starter macrumors 68000

    Four oF NINE

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    #3
    Maybe they would, maybe they wouldn't.. It wouldn't ship any earlier, and people that have to have a phone two months earlier would buy what's available then..

    What makes you think they aren't waiting anyway?
     
  4. Mlrollin91 macrumors G4

    Mlrollin91

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    #4
    Because the majority of people don't pay attention to Apple's product cycle and will buy the previous iPhone the day before the new one without realizing it. So if Apple were to introduce a model 2 months in advance, that's 2 months of sales for the previous iPhone from customers who don't pay attention. And because people can only upgrade every 1-2 years, they would then hold out knowing for sure a new model will be out in 2 months.
     
  5. alent1234 macrumors 603

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    #5
    The stores cost money to operate and need customers to make a profit
     
  6. bostonte macrumors regular

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    #6
    Yes, you are missing something.

    Go to Apple's website right now, pick the phone of your choice, and get exactly what you propose -- your order "locked in", Apple knows what to produce, and you get a date in a month.
     
  7. Italianblend macrumors 68000

    Italianblend

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    #7
    That just doesn't sound like good business to me. It makes business sense to announce a product close to its release.

    I do however wish that apple would delay the announcement until a decent stock is gathered.
     
  8. *~Kim~* macrumors 6502

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    #8
    Agreed. People will hold off of buying the current models yes, but the forward thinking consumers do that anyway. iPhones have been around for 6 years now, it doesn't take a genius to work out that there will be a new one every year.

    This would have been a benefit in more ways than solving the supply issues for the 5S. When they announced Space Grey instead of Slate, some went out to buy a Slate as they did not like 5C's. With stores only selling them for another week after the announcement, there would have been a rush for them and I'm sure some will be disappointed, leading unopened ones to go for silly money on eBay. With more time between an announcement and end of previous model sales, there's more time for people to get the old model that they want as a brand new handset.
     
  9. Four oF NINE thread starter macrumors 68000

    Four oF NINE

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    #9
    Sure.. go to the website and pick the phone of your choice and find out that it's back ordered a month.

    You're missing the point. The 5S was released without proper inventory.

    With my system, Apple would be able to better build and have customers get their phones nearer to the release date INSTEAD of waiting a month.

    ----------

    They wouldn't be introducing two months in advance, they would be accepting pre-orders two months in advance. It would be an inconspicuous print notice somewhere on the page, it wouldn't be prominently featured.

    Not everyone needs to see the presentation to know they're going to want the latest iPhone when it's released.
     
  10. noisycats macrumors 6502a

    noisycats

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    #10
    ??

    Order two months pre-release and get your phone in ... 2 months, on release day.

    or

    Order on-line on release day, and get your phone in < 1 month.

    Where precisely is the advantage?
     
  11. Four oF NINE thread starter macrumors 68000

    Four oF NINE

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    #11
    The obvious advantage is getting the phone on release day as opposed to a month (or two) later.

    [shipping times for the 5S in some versions have slipped to November]
     
  12. HenryDJP macrumors 603

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    #12
    LMAO, "With your system". :D
    I think you should take a course in business 101. Your system isn't good business. Just remember, "with your system", you're on a techy forum coming up with theories. With Apple's system they are a multi-billion company with the majority of satisfied customers and they are still rated #1 in customer satisfaction.
     
  13. Four oF NINE thread starter macrumors 68000

    Four oF NINE

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    #13
    So according to you, nobody that isn't part of a multi-billion dollar company can ever have a better idea.

    You obviously can't think outside the box.

    If you have a specific objection as to why my idea couldn't work, share it.
     
  14. 12vElectronics macrumors 68040

    12vElectronics

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    #14
    You can't be serious OP. There are so many flaws in your logic.
     
  15. Four oF NINE thread starter macrumors 68000

    Four oF NINE

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    #15
    Name one
     
  16. HenryDJP macrumors 603

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    #16
    I do in fact have a suggestion, however someone has already covered that here. Look, nobody is saying you have to be part of a multi-billion company to come up with a great idea. Here's the thing (and I'm not alone about this), you're saying Apple has absolutely no clue of how to market and sell their phones properly. That's just not correct. There's also a point of supply and demand.
    Make it too easy for your customer to buy and they won't. Make it too cheap for your customer to buy and they won't. Believe it or not, it's human nature and it applies to you even if you try to deny it. Advertise the upcoming model months ahead of time for preorder and existing product will be ignored forcing overstock.

    There's just no point in your idea here. Please hear people out here without getting defensive. Just say Apple allowed people to pre-order 2 months ahead of the launch day. They get piled up full of orders and fill all of them. They would still have to produce enough phones for the people on launch day. That would require them to pre-determine how many phones to produce. There's no way of doing that. They could still have an increase in customer base upon launch day from people switching from Android to iOS.

    Here's another thing for you. You can say this won't apply to you but for most people it will due to human nature. You pre-order a product 2 months ahead of time, then you start counting the days waiting for release day with high anxiety. Pre-ordering is no different than just waiting on launch day and ordering, then waiting for 2 months for delivery. Either way you're pre-ordering and waiting for delivery. What difference does it make if you order it on launch day, unless it's terribly important to you to be first on the block with a new toy. At that point that ties greatly into maturity and bragging.

    Even with early pre-orders there's a great chance they won't have enough phones for everyone who wants to preorder because they still have to rely on their suppliers such as (Samsung, ouch) for available parts. Apple would still have to have a decent amount of phones on launch day. It would be disastrous if Apple satisfied all the pre-orders and had barely any phones for launch day due to limited parts from their suppliers.

    AND, if they cut off some of the preorders and had phones available for people on launch day they would piss off the customers that were attempting to pre-order. There's no win here, that's why your idea doesn't make for good business. Not trying to put you down here, I've had my own business for nearly 15 years. I know how the system works.
     
  17. Four oF NINE thread starter macrumors 68000

    Four oF NINE

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    #17
    Thank you for the thoughtful reply. I'll try to address your points.

    First of all, I'm not claiming Apple doesn't know what they're doing, quite the contrary, they're obviously doing a lot of things right. I'm not suggesting Apple reinvent the wheel here. In fact, the only change I would suggest would be to give existing iPhone owners the opportunity to preorder a phone that everyone knows is on the way, (Apple's own silence on the subject notwithstanding).

    How does that help Apple? It would inform their manufacturing combinations, that is to say, those people that have pre-ordered specific color-carrier-storage versions would be a known thing. They would not have to guess about any of those orders.

    Again, if anything, my plan reduces the amount of guess work on Apple's part. Your comment about requiring Apple to predetermine how many phones to produce, that's what they're doing now, isn't it? Any how does removing legacy customers from the forecast and guesswork impact new customers at all? Just asking.

    It has nothing to do with bragging rights, or high anxiety. I've been on a consistent cycle with iPhones, I get a new phone every other year. I think being able to pre-order would reduce anxiety, but maybe that's just me. And the difference between a pre-order and getting a phone near launch day versus two months later is economic. If you're on a two year contract, part of your phone bill is paying for your subsidized phone. That is to say that once the two year contract has been satisfied, any additional billing cycles beyond that you're effectively paying above and beyond for a phone that is already paid for, since your bill isn't lowered just because you're out of contract.

    I don't see how having preorders changes any of that.. Presumably they would have an even better idea of how many phones and configurations they would actually need on launch day. They wouldn't have LESS phones simply because some of the orders are known.

    Preorders could be prioritized in terms of when they were placed. Not everyone that orders the same HOUR under the current system has their order filled either, so people are going to be annoyed either way.

    I'm not saying it's a perfect system, but it could be a good loyalty reward for long term iPhone customers
     
  18. noisycats macrumors 6502a

    noisycats

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    #18
    There is no real advantage. The 'release date' is not some biblical or biological occurrence, it is an arbitrary date set by Apple.

    In other words (I'm making up dates here, play along) Apple could offer pre-sale on 1 July for a 1 September Release date. You get your phone on 1 September after a two month 'wait'. Hurray.

    Similarly, they could announce a release date of 1 August. Supply is sketchy. Some folks get them that early. Many don't. Those that don't place an order on the release date and get them 30 days later ... 1 September, only after a one month 'wait'. Hurray.

    Your system relies on the release date being mystical and highly desirable. It isn't, it's just a date. Apple offering pre-sale won't magically increase production, the factories are going full steam as is.

    Your system does nothing to decrease the time between order and device in hand.
     
  19. 12vElectronics macrumors 68040

    12vElectronics

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    #19
    Just one? :lol: Thanks for making it easy on me.

    2 months of lost sales of current iPhone.
     
  20. Four oF NINE thread starter macrumors 68000

    Four oF NINE

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    #20
    So the people that bought the current (old) phone live in caves and didn't know a new one was pending? How would making pre-orders available change that? My hunch is that people that buy an iPhone that late into the product cycle really need to have a phone right then and can't wait, or don't care.

    I don't have the numbers, but I'd be curious to learn how many phones Apple sells in the two months prior to a new release.

    Having said all that, without knowing storage and price points, it probably wouldn't work anyway, but I thought it was an idea worth exploring :eek:
     
  21. cyks macrumors 68020

    cyks

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    #21

    Apple could have preorders up for 3 years before release, it won't make a difference. Apple already knows what to produce, they just can't produce them fast enough.
     
  22. 12vElectronics macrumors 68040

    12vElectronics

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    #22
    Because most consumers would be like "oh, it's only 4 weeks till the new one" I''ll just wait
     
  23. Four oF NINE thread starter macrumors 68000

    Four oF NINE

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  24. cRuNcHiE macrumors 6502a

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    #24
    Last year there was a preorder and we received the phone a week later.

    This year there wasn't a preorder and we won't receive the phone till around 1 1/2 weeks later .

    So err that's a preorder really, right ?
     
  25. Four oF NINE thread starter macrumors 68000

    Four oF NINE

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    #25
    It was the same way two years ago with the 4S.. I preordered and the phone showed up at my house on launch day. They didn't do that this year, and supplies were severely constrained, selling out within half an hour for the white and gold version, and within an hour for the white and silver.

    I don't know why they're having problems on the supply end.
     

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