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brentonbrenton

macrumors member
Oct 4, 2002
63
35
It’s a strategy. They are in a position that they don’t have to meet demand, not going to hurt sales one bit. But by making a small batch upfront, they can monitor sales and manufacture accordingly. Keeps cost down as they are not sitting on extra stock ever. It’s also a way they can add exclusivity to a product that is manufactured by the millions.

I'll add to this. I think Apple partly deliberately constrain the manufacturing. Why? If they had huge supply to begin with, the sales would fly through the roof and then very quickly fall again. This is not what Apple wants to report during the few quarterly reports after the yearly iPhone release. If the release is constrained, they can drag out the huge iPhone numbers across multiple quarters, otherwise for months of every year would look like revenue flatlining, shareholders would be angry. Look at the Airpods, still 6 weeks waiting on the website. Just the 'look' of huge demand and whatnot draws people in and some are probably now ordering them just cos they have to get their hands on this new in demand product. Psychology marketing 101s.
 
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Billrey

macrumors regular
Aug 3, 2010
145
238
Copenhagen
assuming its a 1080p screen or thereabouts (similar ppi as current iphones), whats the big deal? Aren't other phones already using OLED including higher resolution than iphone?

If I put my foil hat on, I might imagine Apple leaks some of this nonsense on purpose to make everything appear more magical when they actually deliver and to bolster day one preorders to help share prices - its just an OLED screen, it isn't fairy dust.

You know, sales of the newest iPhone far outnumber all the Android OLED phones put together. Apple could easily make an OLED phone, but the problem is getting enough OLED supply. That is what has held them back, and I don't see how they can solve this easily.
 

Urban Joe

Suspended
Mar 19, 2012
506
534
The reason is that nobody can produce enough high quality OLED displays.

It's not that Apple is incompetent, it's just that there aren't enough displays available, and nobody can ramp up fast enough with high enough yields. This has been the main issue with OLED for years. I always thought this was going to be a problem for the iPhone, and I believe that is the reason they are launching the iPhone 8/Pro at a higher tier.

Urban Joe: The reason

Makes sense. When all else fails, raise the price to curb demand.
 

bLackjackj

macrumors 6502a
Nov 14, 2016
785
1,568
Yes, it's a very convenient way of charging more, for a phone that wholesale is only slightly more.

Here's an idea,..how about Apple release the phone, when there IS enough yeild in supply of stock & parts.

Quite simply Marketing 101: DON'T over sell (announcement) & under-deliver (shortage of stock),..that's NOT good business sense.
 
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Wide opeN

macrumors 68000
Aug 27, 2010
1,763
1,035
Georgia
I'm so over the hype at this point.

Having had every iPhone sans the 5 and 6S, getting the latest right away doesn't faze me anymore. I'm fairly certain I'm skipping this iteration anyway.

But it's still exciting nonetheless.
 
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Urban Joe

Suspended
Mar 19, 2012
506
534
One option is to stay on the sidelines and take great delight in the misery of everybody who 'just has' to have one but can't get one. I do have a feeling that this will be the fastest sellout in Apple history due to the constraint issues. But let's not spin it as some amazing new milestone since Apple should have enough displays for a decent launch.
 

splogue

macrumors demi-god
Aug 1, 2008
349
220
Cary, NC
It’s a strategy. They are in a position that they don’t have to meet demand, not going to hurt sales one bit. But by making a small batch upfront, they can monitor sales and manufacture accordingly. Keeps cost down as they are not sitting on extra stock ever. It’s also a way they can add exclusivity to a product that is manufactured by the millions.

This is an element of it, to be sure. In the long run, it might actually result in increased sales, as people naturally tend to want things that are hard to get.

The other is that unlike the other players, Apple is going to sell a bazillion of these things, all on their own. Ever notice when they compare the iPhone to Android, they are actually comparing one company against all other companies that use Android for their products? That's a volume of product so high I can't even wrap my head around it.

Sean
 

78Bandit

macrumors 6502a
Jun 13, 2009
688
1,252
It is dependent on Samsung for this part and absolutely insists on the absolute bleeding edge specs for the part.

Other than the under-display fingerprint sensor (which Samsung is not providing) there is nothing bleeding edge about the iPhone 8. The AMOLED display is going to be similar to the one used on the Galaxy S7 and S8 already. Besides, OLED is not new tech. There were rumors of Apple going OLED with the iPhone 5 back in 2012.

Any shortages in display panels are due simply to the fact that nothing as large-scale as the iPhone has used them yet. Producers would be stupid to build capacity for something as massive as the iPhone without a commitment from Apple since that excess capacity would simply go to waste. If Apple would have given Samsung a firm order for 90 million panels two years ago I have no doubt there would be sufficient supply available.
 

Val-kyrie

macrumors 68020
Feb 13, 2005
2,107
1,419
iPhone8:Apple::NESClassic:Nintendo

This launch will be epic. It will be probably supply constrained for easily 6 months.

The bright side is it gives us a good opportunity to buy a ton of units right when pre-orders open, then sell them on Ebay for a profit!

Hey, if all the rumors are true and this is a "super cycle" (lol), high-priced, low-supply iPhone... I would totally try to snag one or two and sell it for ridiculous profit to the impatient.

It’s a strategy. They are in a position that they don’t have to meet demand, not going to hurt sales one bit. But by making a small batch upfront, they can monitor sales and manufacture accordingly. Keeps cost down as they are not sitting on extra stock ever. It’s also a way they can add exclusivity to a product that is manufactured by the millions.

I'll add to this. I think Apple partly deliberately constrain the manufacturing. Why? If they had huge supply to begin with, the sales would fly through the roof and then very quickly fall again. This is not what Apple wants to report during the few quarterly reports after the yearly iPhone release. If the release is constrained, they can drag out the huge iPhone numbers across multiple quarters, otherwise for months of every year would look like revenue flatlining, shareholders would be angry. Look at the Airpods, still 6 weeks waiting on the website. Just the 'look' of huge demand and whatnot draws people in and some are probably now ordering them just cos they have to get their hands on this new in demand product. Psychology marketing 101s.
 

RamGuy

macrumors 65816
Jun 7, 2011
1,349
1,899
Norway
Apple has more money than God and can't make sure the correct amount of OLED's are made? LOL

Because sensible people and companies know that even if you have alot of money you should never start spending them just because you can. Thats how you go from rich to poor real fast.

Apple sells stupid amounts of iPhone. Spending huge amounts of money just to get a few more OLED displays ready dosent make any sense for Apple.
 

doelcm82

macrumors 68040
Feb 11, 2012
3,737
2,757
Florida, USA
There have already been rumors suggesting the OLED iPhone will be in short supply when it launches :- Macrumors Quote

Every year. This article is the same every year.
we hear this every year and the iPhone is released at the normal schedule.
And every year it's in short supply for the first few months.

I expect the iPhone 8 will launch on time and ship on time, but it will be hard for some of us to get our hands on one.

Millions will get it. Many millions will wait six weeks or more after they order one.
 
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dtrj787

macrumors 6502
Oct 23, 2013
315
180
Cincinnati, OH, USA
The individuals who are suggesting buying and selling for a profit is the MAIN reason supplies get short at launch. This is a perfect example for the Nintendo Switch, concert tickets and soon the iPhone 8/Pro/Edition.
 
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Larry The L

Suspended
Jun 9, 2016
263
615
The bright side is it gives us a good opportunity to buy a ton of units right when pre-orders open, then sell them on Ebay for a profit!

So you and your buddies are going to get a whole slew of computers and just start clicking away to grab all those units. What some people wont do to make money.
Maybe you can make enough money from your scheming to retire.
[doublepost=1498575002][/doublepost]
The individuals who are suggesting buying and selling for a profit is the MAIN reason supplies get short at launch. This is a perfect example for the Nintendo Switch, concert tickets and soon the iPhone 8/Pro/Edition.

Yup. There is plenty of slime in the world and many of them are right here on this forum.
[doublepost=1498575210][/doublepost]
Because sensible people and companies know that even if you have alot of money you should never start spending them just because you can. Thats how you go from rich to poor real fast.

Apple sells stupid amounts of iPhone. Spending huge amounts of money just to get a few more OLED displays ready dosent make any sense for Apple.

And sensible people know how absurd these statements are.

"Apple sells stupid amounts of iPhone". Does anyone in the world have a clue as to what this statement means?
 

Larry The L

Suspended
Jun 9, 2016
263
615
One option is to stay on the sidelines and take great delight in the misery of everybody who 'just has' to have one but can't get one. \

This is how you live your life? Taking pleasure in other folk's misery?
[doublepost=1498575391][/doublepost]
Makes sense. When all else fails, raise the price to curb demand.

Then why would you even deal with Apple if you hate the company so much. Oh, I know. So you can post your hatred right here on this forum.
[doublepost=1498575446][/doublepost]
Apple has more money than God and can't make sure the correct amount of OLED's are made? LOL

You should be an analyst for the major financial markets.
 

MacBH928

macrumors G3
May 17, 2008
8,275
3,696
Its no problem if there is a low supply, its not like the world would stop. The problem is once you get your hands on one for $700 and discover that the screen is half green tinted or a frustrating un-even brightness.

I am currently suffering from this on my iphone 7, its so slight that it is not enough to ask for a replacement but just enough to be frustrating.
 

OldSchoolMacGuy

Suspended
Jul 10, 2008
4,197
9,050
Yes, it's a very convenient way of charging more, for a phone that wholesale is only slightly more.

Here's an idea,..how about Apple release the phone, when there IS enough yeild in supply of stock & parts.

Quite simply Marketing 101: DON'T over sell (announcement) & under-deliver (shortage of stock),..that's NOT good business sense.

Apple is the richest company in the world. Marketing 101 doesn't apply and that's not even marketing 101. Most companies would LOVE the problem of having demand that outstrips their supply. For the vast majority of companies, they can't sell even the stock they have.

You obviously have zero experience in marketing or sales. Demand and undersupply are HUGE drivers of sales. What you've claimed is Marketing 101 is in fact garbage which no successful company would embrace.
 

premonition23

macrumors member
Sep 12, 2011
40
21
Every single iPhone release for years has claimed production delays and supply shortages and yet we haven't ever seen it really happen.

It seems some think that production can't be ramped up and additional suppliers cannot be found. Those reporting on these things live in a dream world rather than reality.

Just to be fair, all those years were LCD panels and seeing as how this is the first big screen upgrade for the iPhone, this may cause a slight delay. To what extent, no one knows.
 

omihek

macrumors 6502a
May 3, 2014
632
2,001
Salt Lake City, UT
No, actually I'm fairly certain that there will be 5 million units available at debut. And also HomePod will be in short supply until March of 2018. And the iMac Pro will be delayed until January 26th 2018. And the iPod Touch will be discontinued. Oh look I'm an analyst now!
 
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neutralguy

macrumors 6502a
Jun 5, 2015
773
886
I am glad I habe switched to S8. I have to buy new iPhone for my wife though. So far I am liking S8. This is my first samsung phone after using iPhone all along
 
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