New iPhone 6 Sales Living Up to High Expectations

New iPhone 6 Sales High Expectations

Reports about the initial sales of Apple’s new iPhone 6 are apparently living up to high expectations. The company said on Monday that it had sold over 10 million models of the iPhone 6 and iPhone 6 Plus in just the first three days the phones were offered in stores. This is larger than the 9 million new iPhones Apple ended up selling in 2013 when the iPhone 5C and iPhone 5S came out their first weekend.

The iPhone 6 have bigger screens, 4.7 diagonal inches for the 6 and 5.5 for the 6 Plus. These sizes are a significant jump from the 4 inch screens of prior iPhones. Sales of the new iPhones ended up being on the higher end of financial analysts’ prospects, which had fluctuated from 6.5 million to the low teens in millions of sales.

The robust sales reflect the increased demand for smartphones that have larger screens. IDC, which is a research company, stated that around 20 percent of all smartphones shipped in China in 2013, the major smartphone marketplace of the world, were five inches or bigger. It also foreseen that producers this year would send out more phablets. These are smartphones that have screens which measure at least 5.5 diagonal inches.

Some researchers believe that the bigger iPhone 6 Plus was the most popular with customers through the weekend.  One research analysis explained that the iPhone 6 Plus had an extremely strong demand. It had sold out basically everywhere but the iPhone 6 did not do as well. It did not sell out completely. However, the reason for that could be because Apple had a much higher supply of iPhone 6’s out on the market or it could have been due to the fact that there was less request for it in comparison to the iPhone 6 Plus. That information is not known yet.

Apple’s financiers carefully watch the initial weekend sales for iPhones because they are an image of what the buyer wants. The iPhone continues to be Apple’s biggest cash cow, resulting in nearly 70 percent of the company’s profit. Therefore, primary sales can aid in prediction of quarterly or even yearly results.

When Apple introduced the iPhone 6 and 6 Plus this past weekend, it was the second time Apple had released two new iPhones together. In 2013, the company presented the iPhone 5C along with the iPhone 5S. The iPhone 5C was a flamboyant plastic model which came at a less expensive price than the iPhone 5S.

Research experts are saying that it seems Apple’s plan with the iPhone 5C is to continue selling an older, plastic iPhone over a lengthier period of time. That will allow the many different production costs and also component parts to fall in price. This allows Apple to drop the price of the plastic iPhone and also be able to raise the share of market growth in areas that might be less prosperous. The reports show positive initial sales of Apple’s new iPhone. Those sales aid in helping everyone who wants one, afford an iPhone, even if it is not an iPhone 6.

By Kimberly Ruble

Sources:

The N.Y. Times

ZD Net

San Francisco Gate

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