The Poor Sales of iPhone 8: Apple Needs The iPhone X To Be A Thumping Success In Order To Keep Up With Rivals

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Initial sales numbers of iPhone 8 are in, and it is nothing but disappointment for Apple Inc. (NASDAQ:AAPL). According to a new report, the sales of iPhone 8 and iPhone 8 Plus are falling well short of the lofty standard set their predecessors in the US. In fact, the iPhone 8 and 8 Plus only managed a combined 16% of the total iPhone sales in the US during the third quarter 2017. In contrast, the iPhone 7/7 Plus managed to corner 43% of iPhone sales in the US in the same quarter last year. Though, iPhone 8 series were available for sales for only 8 days in the third quarter as compared to 14 days for iPhone 7 series, the sales of iPhone 8 series are still disappointing considering iPhone 6S/6S Plus accounted for 46% of the total sales of iPhone in merely 5 days by the end of third quarter in 2015.

Even if we look as far back as the iPhone 6/6 Plus, initial sales far outstrip what the iPhone 8 has managed so far. So what is happening here?

One major reason behind this shortfall is the strong performance of the iPhone 7 and 7 Plus in the market. A while back we reported on the strong sales of the iPhone 7 just before the iPhone 8 was launched, and how it would affect Apple. Having just purchased a new device, these new iPhone users were never likely to upgrade to the iPhone 8. Since then sales of the iPhone 7 sales have not slowed down.

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Due to a fall in pricing, and the lack of innovation in the iPhone 8, many customers are still opting for the iPhone 7. The last CIRP data also proves the claim as iPhone 7 and iPhone 7 Plus, together, accounted 58% of the total sales of iPhone during the third quarter of 2017 known for the launch of iPhone 8 series phone. To put things in perspective, iPhone 6S and iPhone 6S Plus accounted only 35% of the total sales of iPhone in the third quarter of 2016, known for the launch of iPhone 7 series devices.

the In fact, some analysts claim that the iPhone 7 is even outselling the iPhone 8 in the US!

Of course, the primary reason for the failure of iPhone 8 thus far is the iPhone X. Many people are eagerly waiting for what Apple has described as the “future of the smartphone“. With the host of new features and a completely redesigned exterior, it makes sense that many consumers would hold out for the true Apple flagship of this generation. There is no way to quantify this as of now, but it is very plausible that the tide may shift in Apple’s favour once again post November 3, when the iPhone X begins to ship.

Nevertheless, as it stands, the iPhone 8 looks to be a disappointment, even in a traditionally iPhone dominated market.

It must be noted that the data used here is based on a relatively small sample size of 500 people. These findings, however, are backed up by several other reports as well. The iPhone 8 is struggling, not just in the US, but worldwide. We recently reported on poor sales of the iPhone 8 in India. Canada’s largest mobile network, Rogers Communication has described iPhone 8 sales as ‘anaemic’. There have also been reports of drastic cuts in iPhone 8 production due to sluggish sales.

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Apple must now depend on the iPhone X to dig them out of this hole. However, with intense competition from the Galaxy Note 8 and the Google Pixel 2/Pixel 2 XL, that is sure to be a tough task.

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