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Go back to 4Q12 conference call. I think they discussed that issue in the conference all. All sales to carrier and retailer (bb, walmart) are considered sales once the merchandize is shipped.

You think? I just checked the transcript of that call and they made no mention of it. If you think they said that, you find the quote and post a link.
 
Wow, this is counter intuitive, and not what I thought was going on. I saw this going the other way entirely. I thought price driven (and color driven) buyers would push 5C to the top, and the 5S would be well behind.

This validates that people are willing to pay extra for better value. They often complain that Apple charges way too much for extra memory, yet they continue to pay for it because of its value. As long as Apple continues to provide value, they will continue to prosper.

Inovation for innovation sake provides little if any value (e.g., MS Surface). If it doesn't effectively and efficiently fill a customer need, it won't sell.
 
As has been said, how is this any different than if they had not introduced the 5C and just discounted the 5? That's what they did with every other launch

The differences are:

• People would be buying the iPhone 5, a premium phone. They would still be paying a lot, but that's fitting for a phone that had always been designed to be premium. With the 5C, Apple is still asking a premium price for something meant to cheaper than the iPhone 5. They are basically increasing their profit margins with no benefit to the customers, when comparing to just selling the 5 for less than the 5S.

• IMO, it would have been more honest. I'm not sure most of those buying the iPhone 5C understand they are buying last year's model in a cheaper (when compared to metal) shell, as opposed to this year's model in a cheaper sell. Were Apple just selling the iPhone 5S and a cheaper 5, people would be FAR less likely to make this mistake.

Apple is preying on their customets' ignorance.
 
Just wait until the holidays...

The kids will get the 5C's as gifts over the more expensive 5S.

:apple:
My thoughts exactly. Middle schoolers, high-schoolers, and lets not forget the rest of the globe that maybe can't afford the higher priced 5S but still want the latest apple phone.
 
This doesn't surprise me. Almost everyone in the line I was in was there for a 5s. But I did see quite a few people buying both.

This is a turtle and hare comparison with the race just started.

While the iPhone 5S had a quick start, let's see how this high end model does into the holiday season. My take is the iPhone 5C hot sells this Christmas season with all of its colors and inevitable Christmas season sales and promotions in the next few months.

My wife loves her yellow iPhone 5C and the kids are screaming for their own. Every affluent high school will have 5C's cruising the hallways in all different colors, cases, stickers and assorted keitai straps before year's end.
 
That's only in the US. In countries like China, where this phone is targeted, it still costs > $700. Like another poster said, there's only two groups in China: the rich ones who would just buy the 5S, and the middle class which cannot afford the $700 5C. Who would pay that much money for a phone thats essentially the same as last year.

Not the same as last year. The 5c works on China's primary tellicom. The 5 doesn't.
 
Apple isn't sony: the numbers are phones actually sold.

Yes. In the past the numbers of sales and sell through were mostly pretty close as Apple was selling as much as they produced. With the 5c being a new model this may very well change. Just a warning. I certainly do not know this is the case. But the way Apple reports these numbers it is possible
 
The overlooked (or at least under documented) value leader of the new lineup is the iPhone 4S free under contract. Its a precision machined all metal and glass beauty. IMO it has the the best look and feel of any iPhone made to this point.
 
You think? I just checked the transcript of that call and they made no mention of it. If you think they said that, you find the quote and post a link.

heh heh, then you are not looking hard enough. Come on, you are expecting me to spoon fed you about Apple sales policy. If you are an investor for any retail industry for a while, you already know that no one would account sales the way you advocated. Think if you have one sale in Best buy late on 9/30. How would that sales reflect to Apple 3Q sales? That is an unmagageble problem when you have re sellers all over the globe in different time zones with incompatiable pos, inventory systems and sales update and return policies. It is internet after all. If don't believe what I said, move on.. Almost every other quarter Tim Cook an Oppenheimer would talk about Channel Sell in and sell through issues. Wonder why if there is not channel to account for...
 
Budget conscious people just wont buy iPhone. MotoX or nexus is a better value proposition.
 
I'm not trying to do a case study. Just observations from first weekend sales.

I get that, but I don't think launch weekend will indicate much about the overall success of a slightly differentiated product.

I'm not sure what your second comment about price compared to a computer and the teardown have to do with my comment.

Yeah that's my fault. It was poorly written. I mentioned the teardown as it specified the same camera as the 5s and a couple other things. It's not quite a repackaged 5. Apple already addressed the price point of the 5c. Perhaps it was easier to make these or it will allow for specific design tweaks in the future outside of the general 2-3 year hardware cycle as we had with the 4, 4S, and 5 as a trio of hardware options.

As for PCs, people use their phones for many things that used to be the domain of the PC. They may be looking at similar price points. If data wasn't capped or throttled, I'm not sure everyone would even maintain internet service at home.


Well then I guess there are nearly double the die hard fans this year. Yes, time will tell the sales of the S vs C, but consumers are looking for better quality over price when considering Apple.

Yeah.. I'm puzzled by those who think there are millions of die hard fans. The reason I pick out the launch weekend crowd is that they're interested enough to track product release dates, assuming they didn't see an ad or happen to show up at the right time.
 
valid?

Is there evidence that the ratio of different types of phones sold in carrier stores is the same as the ratio sold overall?
 
My thoughts exactly. Middle schoolers, high-schoolers, and lets not forget the rest of the globe that maybe can't afford the higher priced 5S but still want the latest apple phone.

What you are describing doesn't exist. The price of the 5C is too high for it to be available to a different demographic than the 5S, especially in parts of the world without contracts lowering prices.

Plus, those who can't afford the 5S won't get the "latest Apple phone" - that's the 5S and only the 5S. The 5C is last year's model in a cheaper case than it had in 2012. It's far from being Apple's latest phone.
 
So far it seems like consumers disagree with this premise. People are and will continue to but the 5C. Ergo a win-win for business and consumers. Just because some consumers disagree does not make them right - it makes them non-buyers and there will always be more of those for any product in the world.
It's objectively an unsound decision to buy a year-old phone for $100 less on a 2-year contract. There really isn't any way to spin it otherwise.

- Best case, you save about 6% on your TCO.
- But you start a full year behind on hardware. Your phone is slower, will be unsupported by Apple sooner, and undesirable sooner.
- Realistically, you don't save on TCO because you'll get $100 less when you sell it.
- If you keep it past the two year mark, you're just plain losing because your monthly payment includes the subsidy.

If you buy a 5C, it's not for financial reasons. You are probably going to end up having paid more for it than someone with a 5S, so you're paying a premium for colored plastic. Good for you, I guess... :D
 
FWIW, yellow 5c models are the only ones I see "unavailable for pickup" at various NYC stores... Yellow appears to be the most popular color (at least relative to demand)
 
What you are describing doesn't exist. The price of the 5C is too high for it to be available to a different demographic than the 5S, especially in parts of the world without contracts lowering prices.

Plus, those who can't afford the 5S won't get the "latest Apple phone" - that's the 5S and only the 5S. The 5C is last year's model in a cheaper case than it had in 2012. It's far from being Apple's latest phone.

Ok, let me word it better. When a parent is considering getting an iphone for their child, $100 difference is a lot of money. Plus the 5C not only caters price wise but also customization wise with all the fun, vibrant colors. It will be a hit with teenagers and kids.

EDIT: Didn't the 5C just come out at the same time as the 5S? Therefore it is the latest iphone along with the 5S. People not on tech sites aren't going to know or care about the internals.
 
This is really to be expected. Who is going to clamour to get their hands on a phone that has essentially been out for a year?


isn't that every cheep android phone out there that everyone keeps quoting sales figure's for? Except, this phone can be had for $99 (or free) and has incredible build quality and internals.
 
I doubt the margins are the same. The 5S is a premium phone so it will have higher margins. What I think they were able to do here was cut down costs of the 5C, sell it $100 cheaper and have a higher margin versus cutting the 1 yr-old premium model by $100.

Yeah, cut the build costs down by about a hundred bucks... thus keeping the same margin.
 
Likely customers wanted the fingerprint sensor. The 5C IMO is geared towards those who flip flop in mobile stores wanting a cheap plan option and an alternative to Android..
 
Agree

This will even out overtime I can almost guarantee. Launch week people always by top of the line but now when the average persons becomes eligible for updates they will probably go to the 5c for the cheaper price. Personally I held a 5c and found it to be the nicest feeling phone I've ever held for feel and looks

I agree. I thought the 5c was really incredible. I wanted it to have all the 5s specs!
 
"unapologetically Plastic" -

well, ain't that a bictch - I wonder if they will fire Ives now...:D

They are doing a good job... Not sure what your comment is trying to say?

more than 2.5 million iPhone 5c's in launch weekend is great - not sure what angle you're looking at it from.
 
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