The new iPhone SE is relatively cheap by Apple standards. But it will be a big money producer for Apple. How? ‘Or what?
IPhone SE success models
Apple’s iPhone has long been a major money producer. As the price of the high-end model rose, the benchmark, the average selling price (ASP) across the range increased, satisfying Apple and financial analysts.
And so for the first order, a very popular and inexpensive iPhone seems to disrupt the Apple basket, so to speak.
This is not the case in this case.
1. There are many Apple customers looking for a new iPhone at any time. But now, amid the current economic downturn, the upcoming iPhone Xr, 11 and 12 seems like an overpriced proposition to those who urgently need a modern, high-quality and secure iPhone.
Rather than sitting on an outdated or failing model, many (who still have money) will find the US $ 399 price very attractive. A sale was supposed to take place earlier, there were few prospects for Apple. Gene Munster is waiting Apple will sell 30 million in the coming year.
2. The iPhone SE will greatly help Apple in emerging foreign markets where very cheap Android or domestic smartphones are stealing Apple’s market share. Granted, US $ 399 won’t completely reverse the trend, but it will help Apple compete more effectively. It is a new income.
3. A high-quality iPhone with a decent 4.7-inch Retina HD screen is a great gateway to all of Apple’s services. This can result in additional earnings that would have been lost if the customer had stayed on an older iPhone and remained conservative.
4. Besides, Apple special offer “Buy a new iPhone, iPad, iPod touch, Apple TV or Mac, this includes a year of free Apple TV +” is still in effect. This offers a certain appeal to switch to a new, but cheap iPhone. Ultimately, a certain percentage of SE buyers will rise to $ 4.99 / month.
5. In the United States, Android customers who were absolutely not interested in the more expensive iPhones will reconsider. Many will now see the opportunity to change, which also means new income.
Overall, there is some enthusiasm for a modern iPhone with an A13 Bionic chip, even if it doesn’t have a Face ID. (This is where the biggest savings are.) This new iPhone SE will have many people talking and dreaming about a modern, relatively inexpensive device that has what they need.
It will be a winner and a money maker.
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