Newsletter

Exploring Apple’s ‘Mid Cycle’ Strategy: How New iPhone Colors Impact Sales

“Prachachat Turakij” invites you to explore the “Mid Cycle” strategy or launch a new iPhone color a few months before the new product launch. How does it affect Apple’s sales?

On April 26, 2024, a report by the International Data Corporation (IDC), a marketing consultant in the technology industry, stated that the smartphone shipments of the giant “Apple” (Apple) in the first quarter of 2024 amounted to 50.1 million unit. down 9.6% from the same period last year as sales in China, one of Apple’s key markets, fell significantly.

This is in line with data from a report from market research firm Counterpoint which states that in the first quarter of 2024, Apple smartphone shipments in China fell by 19.1% compared to the same period last year, contrasting overall market growth increased by 1.5%, and shipments of local brands such as Huawei increased by 69.7% and Xiaomi (Xiaomi) increased by 8.6%, etc.

However, the decline in sales of iPhone (iPhone), Apple’s flagship smartphone, in the first quarter of 2024 may not be solely due to declining sales in China. But it stems from Apple’s decision not to launch a new “iPhone 15” color this year.

Normally, the launch cycle of new iPhone models occurs between September and October each year, which means that there will be continuous updates to the iPhone group’s product line every year. There are several groups of consumers waiting to experience the use of the new smartphones of this great world-class technology.

This caused iPhone sales during the first launch period to increase more than in other periods thanks to the support of the first mover group or those who want to use the device in the first group and those who are patient and waiting to switch devices According to the needs. the cycle This can be seen from iPhone sales in the first quarter of fiscal 2024 (ending December 30, 2023), which increased 6% compared to the same period last year. It benefited from the launch of the iPhone 15, which started selling on September 22, 2023.

However, this is something that many brands face when launching new smartphones. is to maintain sales momentum continuously and encourage consumers to spend to upgrade to a new smartphone. Each brand will choose different strategies. And over the years, Apple has chosen to use the “Mid Cycle” strategy, which is adding new colors to the original iPhone model about 6 months after its launch.

In March 2017, the iPhone 7 (PRODUCT)RED Special Edition was launched as a charitable initiative by Apple in collaboration with (RED), a non-profit organization founded in 2006 to bring a portion of the revenue goes to the Global Fund, which is intended to provide advice. and provide care to tens of millions of people living with HIV and AIDS. The (PRODUCT)RED iPhone 8 was also launched in April 2018.

Then, in late April 2021, Apple launched the purple iPhone 12 and iPhone 12 mini. Subsequently, in March 2022, the green iPhone 13 and the Alpine green iPhone 13 were launched. The yellow iPhone 14 and iPhone 14 Plus will also be launched in April 2023.

iPhone 8 red (PRODUCT)RED and iPhone 14 yellow

Article Apple’s yellow iPhone is more than just a new color. It’s a stroke of genius The article on the magazine’s website states that the launch of the yellow iPhone 14 means more than just a “yellow iPhone” because it is a strategy to stimulate sales. in Apple’s original product portfolio pending the expected launch of new products.

At the same time, the launch of new iPhone colors increases options for consumers who haven’t yet committed to purchasing a new smartphone. Or there is a replacement cycle that doesn’t match the product launch cycle. This is considered a “loss” by a group of consumers who do not have frequent change cycles. Or do you have to wait to only use the latest smartphone? This is different from the group of consumers who think there will be a new product launch in the next few months. and decided to save money to buy during that time instead

Furthermore, the launch of the new iPhone colors in the middle of the cycle (Mid Cycle) is also a marketing campaign that helps create buzz and buzz for the brand. It also creates expectations about what Apple’s flagship color will be each year.

However, this year there is no sign that Apple will launch new color smartphones in the iPhone 15 series like last year. What many people think is because Apple has a lot of things to focus on this year. Since the release of Apple Vision Pro, the first mixed reality glasses, in February, and the development of the new iPad Air and iPad Pro models which will be launched on May 7, 2024 after a break from the line update New update in the group iPad up to 18 months.

#release #iPhone #colors #affect #Apples #sales