Apple: Rethinking the iPhone

“I had been concerned for several quarters that the battery replacement program would lead to a dent in iPhone sales in 2018. It turns out that I was right, with a recent report stating that as many as 11 million batteries were replaced, roughly 10 times the normal amount,” Bill Maurer writes for Seeking Alpha. “That’s several billion in potential iPhone upgrade revenues pushed out of 2018 and into the future.”
“Perhaps the biggest question I have is what will Apple try to feature most in its iPhone lineup this year?” Maurer writes. “Outside of a triple lens camera for the highest priced model expected this year, there doesn’t seem like a lot of major upgrades Apple can offer in 2019 for its iPhone lineup outside of the usual better processor and perhaps incremental camera upgrades.”
“That gets me to the one area where Apple could make its biggest leap this year, and that is price,” Maurer writes. “Consumers are waiting longer to upgrade since smartphones are so good that many can last. With replacement cycles having gone from two to three years basically, perhaps Apple should rethink the iPhone.”
“What if Apple, with the help of its carrier partners, offered a three-year payment plan instead of the current two-year plan? Yes, I understand that there’s the potential for some lost sales from those who upgrade every two years, but if most consumers aren’t upgrading for three years or more, is there really a major difference?” Maurer writes. “With the high price of the iPhone being a stumbling block for consumers, shouldn’t Apple try to rethink how consumers look at things?”
Read more in the full article here.
MacDailyNews Take: An interesting idea, and likely one Apple has already considered. CEO Cook has promised to be aggressive about the things Apple can control and price is one of those things.
Apple and iPhone carriers odd not have to offer a three-year payment plan instead of the current two-year plan, they should offer three-year payment plans in addition to two-year plans. Heck, offer a one-year plan, too. One size doesn’t fit all. Offer as many options as possible so that at least one offer will appeal to everyone!
What do you think about offering iPhones on three-year payment plans?