iPad mini not cannibalizing demand for larger iPad
Turns out the iPad mini isn't cannibalizing demand for its larger sibling, the iPad 4 to the degree some analysts expected. While some predicted the 7.9-inch iPad would cut into sales of the 9.7-inch iPad by as much as 50%, that hasn’t been happening. Instead, any cannibalization that is happening is being more than offset by the amount of new customers Apple is gaining. That's according to a new study of 1225 U.S. adults by Cowen and Co. that says 52% of people who were planning on buying an iPad mini in the next 18 months are buying their first tablet. John Paczkowski of All Things D reports reports:
In other words, few consumers are buying an iPad mini as an iPad replacement. And, more importantly, for many buyers, the iPad mini is their first tablet. With the iPad mini, Apple isn’t wooing consumers who might have otherwise purchased a larger iPad, it’s jacking into an untapped market looking for a smaller version of the tablet it first uncrated in April 2010.
Of course, some who might have purchased an iPad 4 will see the iPad mini and buy that instead, but right now, that doesn’t seem to be happening on a large scale. People who want the mini are buying the mini, while people who want a larger iPad are buying that. Apple’s new customers are, for the most part, those who chose to wait for a smaller, less expensive iPad, rather than a smaller, cheaper tablet. Many people aren’t replacing a Kindle Fire with an iPad mini. Only 13%. Most were holding out for a smaller iPad and never bought a Fire in the first place. Microsoft, however, wasn't as lucky. 42% of iPad mini buyers say they were buying it to replace a Windows PC.
Apple has always said they'd rather cannibalize themselves than wait for someone else to do it for them. They've also said the iPad cannibalizes far more than Apple itself. The iPad mini might just be extending that pattern.
Was the iPad mini your first tablet? If not, what did it replace?
Source: All Things D