Low Iphone 6 + inventory is a marketing ploy by Apple.

[darkfiber]

According to this article...

http://au.ibtimes.com/articles/5667...release-date-supply-shortage.htm#.VBvnXBb7G9U


"In the same report, the Foxconn insider claimed too that only 140,000 units of the iPhone 6 Plus are being assembled every day, suggesting that the upsized device will be hard to find starting September 19 and in the immediate days and weeks ahead.

The same source blamed the limited supplies of 5.5-inch display panel for the imminent iPhone 6 Plus supply shortage."

 

[zipa]

Start manufacturing earlier maybe, or delay launch?

You can't start manufacturing something before it is ready to be manufactured. And why delay? Selling 4 million units over a weekend is better than selling zero units over a weekend and having massive amounts of capital tied up in inventory.

 

[Applefan4]

I won't have my 6+ until the next month. It's absolutely disgusting.

 

[zipa]

I won't have my 6+ until the next month. It's absolutely disgusting.

No it isn't. It won't make any difference to anything what so ever.

 

[Gregintosh]

I agree
The note 4 comes out on October 17th. I find it funny the release the day it drops the day before millions of people are about to be disappointed by Apple when they can't get the phone of their choice tomorrow.
As a current note 3 user looking to switch back to Apple to get the 6+ the Galaxy note 4 starts looking better when the estimated date for getting your 6+ is unknown - November and darn near every sprint store around me doesn't have any stock.

Actually October 17 is just enough time for the iPhone to become more readily available (and scalpers will probably no longer be artificially limiting the supply available to regular consumers).

Wonder if the Note will have a supply problem also if it really that popular though I don't think thats been an issue in the past (as much as Samsung I am sure wishes it were).

 

[Brien]

If Apple had released another 4" phone it still would have sold out.

I don't know about that, 4" is TINY nowadays.

 

[iolinux333]

Its called "Marketing 101". Imagine if Apple had 50 million phones in inventory at launch. It is unlikely they would sell out on launch day. But because Apple choses to launch with such low inventory levels, they will be sold out on launch day. Every news agency tomorrow will say Apple Iphone is hot and sold out. Apple hires PR people specifically for this purpose. If Apple had excessive inventory levels and did not sell out on launch, then they would get less publicity by the news.

Correct. Like you said this is day one of business school. Everyone falls for it every time and has for decades. What else is new?

 

[Zetaprime]

Yes in theory what you say is correct but they literally were and are not able to make more iphone pluses than this. They've maxed out their production rate.

I'm not buying it. every year they seem to complain about production shortfalls. They should long ago have figured out how to produce all the millions of units needed in time for release. The workforce in China is vast and the Chinese have managed to build entire cities 'on spec' with nobody even living in them (this was covered last year in an episode of Vice). Surely they could produce a billion iPhones if they needed to. These shortfalls are created on purpose to add to the hype. And I don't believe for one minute that they are suprised by the demand. Not when the same thing happens year after year. Maybe the first year they could get away with saying it caught them off guard. But certainly not anymore.

 

[Chupa Chupa]

Apple knows darn well that the Iphone 6 is in high demand, particularly because a percentage of Android users will be coming back to IOS8. In return the News will make a big deal about it saying that the Iphone + is so great it sold out. But what the news will not tell you is that Apple has under produced this phone and has ticked off a lot of people. I called up 5 carrier stores and they said that they will have no Iphone 6+ phones for launch tomorrow.

You must have graduated Summa Cum Laude from the Wiley E. Coyote Acme Skool of Bidness Managament. All those unsold held back phones will look great on Apple's P&L sheet. And good thing no one is smart enough to figure out low availability doesn't mean high demand.

 

[iolinux333]

There's a bit of truth in both comments - Apple will definitely game the system to be able to report sellouts and ensure long queues for the news cameras. That's marketing, and they have years of experience at it. After that, they'll want to make sure they can sell as many as possible before the end of the quarter - which is 9/27 - and then the end of the year.

Years of experience is right! Apple is the greatest marketing machine with the most fantastic spiderweb of PR in the history of earth. A lot of the people reading here who are actually end consumers would be pretty stunned and probably angry if they knew just how deeply it went.

 

[Zetaprime]

You must have graduated Summa Cum Laude from the Wiley E. Coyote Acme Skool of Bidness Managament. All those unsold held back phones will look great on Apple's P&L sheet. And good thing no one is smart enough to figure out low availability doesn't mean high demand.

If you're going to use ad-hominem arguments (which would get you thrown off any debate team) like "you must have graduated Summa Cum Laude from the Wiley E. Coyote Acme Skool of Bidness Managament" then you need to come forth with your credentials. If you are not an MBA yourself do not criticize the education of others.

----------

According to this article...

http://au.ibtimes.com/articles/5667...release-date-supply-shortage.htm#.VBvnXBb7G9U


"In the same report, the Foxconn insider claimed too that only 140,000 units of the iPhone 6 Plus are being assembled every day, suggesting that the upsized device will be hard to find starting September 19 and in the immediate days and weeks ahead.

The same source blamed the limited supplies of 5.5-inch display panel for the imminent iPhone 6 Plus supply shortage."

Trouble is they come up with excuses very much like that every single year. Not buying it.

----------

Years of experience is right! Apple is the greatest marketing machine with the most fantastic spiderweb of PR in the history of earth. A lot of the people reading here who are actually end consumers would be pretty stunned and probably angry if they knew just how deeply it went.

You, Mr. iolinux333 hit the nail right on the head. Thank you!

 

[kerrikins]

Trouble is they come up with excuses very much like that every single year. Not buying it.

If you can come up with a valid reason they would do this when a) it'd be easy for someone to give it away if they're producing at under capacity and b) they risk losing customers with every day, heck every HOUR that goes by without customers getting phones, then by all means, I'll believe you.

So far I haven't seen a single reason that makes me think that this is actually likely. Just people annoyed with the wait times assuming that Apple is ****ing them over.

 

[ucfgrad93]

No.

Apple will make as many phones as possible. And sell every single one of them.

It's called "business".

Agreed. The idea of Apple holding back phones is ridiculous.

 

[NewbieCanada]

I don't know about that, 4" is TINY nowadays.

It was tiny a year ago too when the 5s set records.

If they took the styling of the 6 and applied it to a 4 inch phone, making it thinner than the 5s with longer battery life, improved camera and NFC, it would have sold well.

It would probably sell well if it was offered as a third model, for that matter. Apple will still sell millions of 5s and 5cs over the next year.

 

[Chupa Chupa]

If you're going to use ad-hominem arguments (which would get you thrown off any debate team) like "you must have graduated Summa Cum Laude from the Wiley E. Coyote Acme Skool of Bidness Managament" then you need to come forth with your credentials. If you are not an MBA yourself do not criticize the education of others.

Well, OK. I've got a masters and a law degree, and deal with business plans and agreements daily, so my edu and biz credential are perfectly fine. MacRumors isn't a debating club BTW. But it doesn't take a business professional to realize OPs comment is nonsense "black helicopter" stuff and I did state at the end of my comment state WHY OP's theory was so looney. You apparently didn't get to that part I guess because you were so worked up by my snark.

 

[AverageBob]

I'm not buying it. every year they seem to complain about production shortfalls. They should long ago have figured out how to produce all the millions of units needed in time for release. The workforce in China is vast and the Chinese have managed to build entire cities 'on spec' with nobody even living in them (this was covered last year in an episode of Vice). Surely they could produce a billion iPhones if they needed to. These shortfalls are created on purpose to add to the hype. And I don't believe for one minute that they are suprised by the demand. Not when the same thing happens year after year. Maybe the first year they could get away with saying it caught them off guard. But certainly not anymore.

Yeah I mean what you say could totally be true. But I don't know, as a business why would they risk intentionally not selling to customers willing to buy right away? It's very very possible that many of them will just go and buy something else because they don't want to wait until October. Maybe you're right and they've calculated it's better for profits no risk losing some customers but make their product be perceived as exclusive and rare.

 

[Zetaprime]

Well, OK. I've got a masters and a law degree, and deal with business plans and agreements daily, so my edu and biz credential are perfectly fine. MacRumors isn't a debating club BTW. But it doesn't take a business professional to realize OPs comment is nonsense "black helicopter" stuff and I did state at the end of my comment state WHY OP's theory was so looney. You apparently didn't get to that part I guess because you were so worked up by my snark.

well maybe you could leave out the snarkiness next time. I'll also mention the fact that what you claim to have as credentials is not proof of having them. In this internet full of liars it takes a lot more to establish credibility. Since I already added you to my ignore list don't bother replying

 

[bruinsrme]

I don't have a law degree or deal with businesses every day, but it does seem apple picks a particular item/model that seemingly is difficult to find.

 

[Zetaprime]

Yeah I mean what you say could totally be true. But I don't know, as a business why would they risk intentionally not selling to customers willing to buy right away? It's very very possible that many of them will just go and buy something else because they don't want to wait until October. Maybe you're right and they've calculated it's better for profits no risk losing some customers but make their product be perceived as exclusive and rare.

I think as long as they come out with a net gain in the end they don't care. And my own observation after being in the line at the store was that only a very small number of people at the very front of the line (about 50, judging from how much the line moved forward during that time) even went into the store before the employee came out to tell everyone else that the Plus was sold out. The line pretty much got reduced by half after that leaving only those who were there for the 4.7" model. I have no idea how many of the ones who did go into the store got what they wanted since probably only half of those were there for the Plus and of those some may have not seen the Plus configuration they wanted even though there might have been some still in stock.

 

[52485]

Correct. Like you said this is day one of business school. Everyone falls for it every time and has for decades. What else is new?

Agreed.

 

[phpmaven]

Apple knows darn well that the Iphone 6 is in high demand, particularly because a percentage of Android users will be coming back to IOS8. In return the News will make a big deal about it saying that the Iphone + is so great it sold out. But what the news will not tell you is that Apple has under produced this phone and has ticked off a lot of people. I called up 5 carrier stores and they said that they will have no Iphone 6+ phones for launch tomorrow.

We have these kind of theories every launch, and they are complete nonsense.
No company in their right mind is going to deliberately not produce enough of a product that's in high demand and lose out on Billions in sales just to create media buzz.

 

[iolinux333]

We have these kind of theories every launch, and they are complete nonsense.
No company in their right mind is going to deliberately not produce enough of a product that's in high demand and lose out on Billions in sales just to create media buzz.

Um.. they sell more. I guess you missed that first day of b-school. Next time lay off the bong and go to class lolxx!

 

[Arndroid]

I agree with the OP. Apple knows the demand for iPhones at launch. They know the queues outside Apple stores and they know the sales figures. Plus this year they know that if they're to tempt Android owners over then it will be for the 5.5" version. Not having stock in place for both iPhones is a marketing strategy. They could have stocks ready but they choose not to.

Apple doesn't get to magically create iPhones out of thin air. They take time and resources. There is only so high you can raise your production level for pre-release or your will have a ton of unused capacity post release costing lots of money.

The only other option would be to postpone the launch as they create more units. This would clearly be illogical to make everyone wait three months so those who missed out on launch woukd not be sad.

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Um.. they sell more. I guess you missed that first day of b-school. Next time lay off the bong and go to class lolxx!

Pretty sure you have never been to business school.

This would not create more sales. We are able to see actual sales every year. And see they are 50% plus over the last release. So they continue to increase production but they run a fine line versus regular production.

Knowing the facts as we know them, artificially constraining units would not generate more sales. Apple will sell out everything produced for several months.

 

[Zetaprime]

Apple doesn't get to magically create iPhones out of thin air. They take time and resources. There is only so high you can raise your production level for pre-release or your will have a ton of unused capacity post release costing lots of money.

The only other option would be to postpone the launch as they create more units. This would clearly be illogical to make everyone wait three months so those who missed out on launch woukd not be sad.

----------



Pretty sure you have never been to business school.

This would not create more sales. We are able to see actual sales every year. And see they are 50% plus over the last release. So they continue to increase production but they run a fine line versus regular production.

Knowing the facts as we know them, artificially constraining units would not generate more sales. Apple will sell out everything produced for several months.

Where I come from people's feelings and things like fairness and morality in general are a lot more important than business considerations.

 

[Chupa Chupa]

well maybe you could leave out the snarkiness next time. I'll also mention the fact that what you claim to have as credentials is not proof of having them. In this internet full of liars it takes a lot more to establish credibility. Since I already added you to my ignore list don't bother replying

OK.