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This - clearly there's still extraordinary demand | 90 comments | Create New Account
Comments belong to whoever posts them. Please notify us of inappropriate comments.
This - clearly there's still extraordinary demand
Authored by: Anonymous on Wednesday, September 26 2012 @ 02:43 AM EDT
5 million phones in a *weekend* (not week) is extreme. That's faster than the
4S, which in turn was faster than any other phone I've seen numbers for.

[ Reply to This | Parent | # ]

Lack of suplies of iOS 5 phones is [just ] part of the story
Authored by: Ian Al on Wednesday, September 26 2012 @ 03:22 AM EDT
I think he has a point: Apple price declines on news of 5 million iPhone 5 sales, supply can't meet demand, say analysts.
Apple has confirmed that it sold five million iPhone 5 smartphones in the first three days after the launch on Friday 21 September, which meant the company is already half way to selling the 10 million iPhone 5 models that Piper Jaffray analyst Gene Munster expects Apple to sell before the end of September, but this hasn’t stopped analysts from complaining that Apple has missed targets, and some investors have pulled out of the stock, causing the value to decline $10...

While the five million, beat Apple’s four million iPhone 4S sales, it still came under the most bullish analyst expectations. Analysts appear to be in agreement on one thing, Apple missed expectations because its supply of iPhone 5 didn’t meet demand.

There were concerns even before the launch that ditching Samsung parts would mean Apple struggles to meet demand for iPhone 5.
Apple are going to have problems with the supply of the new Sharp displays which replace the 4S Samsung displays. However, the commenter's experience was that supply issues had not yet hit his area:
In my area, (NY), several stores had these devices in stock. There were no lines at all! Even on my lunch break today, an attendant told me they still had several pallets of these devices in stock. So what supply crunch are these iPhone folks talking about?
My Curmudgeonly Marketing Company usually proposes the following strategy to companies who find themselves high on stock, but disappointingly low on expected demand.
Put out the message via as many media channels as possible that you are 'victims of your own success and that there are many reports of stores running out of the product. Don't worry, there are plenty more leaving the factories, as we speak'.

Make sure there are stocks in as many outlets as possible so that punters think they are 'just lucky' to be able to buy one when many others cannot because their stores are sold out.
This plays on ancestral memories:'Don't worry about the run on the bank - we have more than enough funds to cover the demand', and 'Don't worry about the harvest failure - there is more than enough bread in the stores'. This always ends in bank collapse and empty store shelves.

The commenter said 'Let's remember too, that Apple's device launched in two more countries this time round, and 'analysts' (read "paid pundits"), were expecting Apple to sell between 8 to 10 million devices'.

Of course, I know that there is no good reason to buy a mobile phone, let alone a smart phone. The only reason these things sell at all is because of the tireless and well paid efforts of marketing companies such as mine.

---
Regards
Ian Al
Software Patents: It's the disclosed functions in the patent, stupid!

[ Reply to This | Parent | # ]

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