What you need to know
- The iPhone SE served as a "bright spot" in smartphone sales last quarter.
- 30% of customers came from an iPhone 6S or earlier.
- Over 26% of customers switched from Android.
Despite a quarter of declining sales, the iPhone SE served as a "bright spot" in the smartphone market.
According to a new report from Counterpoint Research (via 9to5Mac), Apple's low-cost iPhone assisted in stabilizing the company's overall sales for the quarter. Jeff Fieldhack, North America Research Director, says that, while the iPhone SE launched without the usual keynote and ad blitz, it has outperformed expectations.
"Apple volumes grew through the quarter and were especially helped by iPhone SE volumes. It was not a typical Apple launch with large fanfare and a launch event at the Steve Jobs theatre, which normally also includes a blitz of TV ads. However, the device has been successful and selling above expectations in both postpaid and prepaid channels. Since the iPhone SE launched, carrier stores and national retail have been re-opening. Some channels saw large promos to draw shoppers back to stores. This was especially true within Walmart, Metro by T-Mobile, and Boost."
According to the report, the company does not expect the success of the iPhone SE to impact the sales of the iPhone 12. Over half of iPhone SE owners came from either an Android phone or an iPhone more than four years old.
"Our checks show that iPhone SE sales are unlikely to be cannibalizing fall 5G iPhone sales. iPhone SE buyers are more pragmatic about price, less concerned with 5G, and the smaller display is not considered a hindrance. Over 30% of iPhone SE buyers came from using an iPhone 6S or older handset—handsets four years old or older. Over 26% of iPhone SE users moved over from an Android device, which is higher than normal Android to iOS switching."
Apple is expected to announce its iPhone 12 lineup in September for a release following in either the same month or October, depending on if the company can overcome production issues caused by the pandemic.