Apple’s COVID-19 strategy is resilient – CIRP
No one has been left untouched by COVID-19, but Apple’s approach to the disease appears to have given the company the resilience it needs to make it through, as evidenced by iPhone sales patterns.
Apple adapts to the New Normal
The latest CIRP data tells us that the iPhone SE accounted for 22% of U.S. iPhone sales in the September 2020 quarter with the iPhone 11 series grabbing 64%.
The data also shows that Apple’s retail stores (online and physical) increased their share of total sales from 13% to 21%.
What he said:
“In its first full quarter of sales, the $399 iPhone SE accounted for almost one-quarter of iPhone sales,” said Josh Lowitz, CIRP Partner and Co-Founder.
“During a challenging quarter, with COVID-19 altering the retail landscape and delaying launch of new 2020 flagship models, the new SE model succeeded in attracting customers with old phones in need of an upgrade. Last fall’s iPhone 11 family of phones continued to sell well, with iPhone 11 remaining the biggest single model, and one-third of customers opting for the premium-priced iPhone Pro and Pro Max.”
“Apple’s retail operation increased its share of total iPhone sales in the quarter compared to last year,” said Mike Levin, CIRP Partner and Co-Founder. “At 21% of total sales, it was among the best quarters we’ve seen in the past few years, and definitely the best September quarter, when iPhone customers are typically waiting to buy new models.”
“Apple increased its share primarily through online sales, which for the first time exceeded retail store sales. COVID-19 disrupted consumer buying behavior, and Apple shut its physical retail shops for a period of months. Apple took share from both mobile phone carriers and Best Buy. Both maintained online sales at one-quarter to one-third of total sales.”