Over the past few days, some news about the iPhone SE has begun to emerge, and it comes from Apple's official unexpected move to resell the iPhone SE, which is based in the United States. Of course, Apple put it on the clearance page, offering a new, unpackaged iPhone SE, with 32GB selling for $249 and 128GB selling for $299, down $100 and $150 respectively from the original price.
As more affordable prices further stimulate sales, within three days of the launch of the inventory page, the various colours of the 32GB and 128GB models of the iPhone SE have been sold out. Many people believe that Apple's current inventory will inevitably mean that it will no longer sell the iPhone SE model in the future, or even cut off the iPhone SE product line. However, some analysts believe that inventory may mean updating, and the new generation of the iPhone SE 2 has a certain chance of arriving.
Has Apple started an investigation into the purchase intentions of the iPhone SE 2?
Analyses from foreign social networks suggest that apparently, the rapid sale of the reissued stock of the iPhone SE should have been spurred by more affordable prices, but since no one knows the total stock of Apple in this wave of inventory, other possibilities cannot be ruled out. For example, Apple may test whether cheaper iPhones can stimulate sales, or, more accurately, conduct an open sales survey ahead of time for the next generation of new models of the iPhone SE 2 to get valuable data in advance.
It's hard to say whether the analysis of social networks is reliable, but now that the global smartphone market is declining as a whole and the sales of the iPhone are slowing down again, it's really necessary for Apple to take full account of the market. Especially when the Chinese and Indian markets are facing difficulties, it's necessary to consider whether a California-designed, affordable iPhone is needed. Reboost sales.
About two years ago, many analysts began to worry that Apple's high-priced iPhone might have the opposite effect. At that time, many analysts believed that for consumers in the high-end market, leaving aside those who were not interested in the iPhone and were only willing to support Android, most consumers who could afford the iPhone would continue to buy it, especially considering the extraordinary loyalty of the Apple brand.
But many Chinese mobile phone manufacturers, including Huawei and Millet, have begun to learn and grow rapidly. So while Apple's dominance in the high-end market can still maintain a huge lead, it can't be expected that this lead will last forever. After all, as competitors continue to improve their competitiveness, competition in the smartphone market will become more and more fair, and Apple should also learn to compete in a fairer competition environment.
Cook's recent open letter downgrading revenue expectations showed that sales of the iPhone began to decline after the period of high pricing and sales of the iPhone X. Although Cook attributes the main reason to the slowdown in China's economic growth, it can't simply take into account the macro-factors in China. For example, Apple's ecosystem is far less important in China when domestic brands dominate the majority of the market share.
Pricing strategy may be the key to the sales of the iPhone
Since the iPhone SE was taken off the shelf, Apple has not introduced a product that can replace the model. Nowadays, buying a relatively inexpensive iPhone from Apple can only be found in old models, such as the official website offering $3899 for the start of the iPhone 7, or the more expensive $5099 for the iPhone 8. If you want to buy a new iPhone close to the flagship, you can only choose the $6499 start-up iPhone XR.
Of course, Apple is trying to convince people to buy more iPhone XRs, claiming that the iPhone XR only started at $4,399. However, this is only possible if the old iPhone is used to upgrade the purchase plan. If you buy a brand new iPhone XR, the cheapest price will be 4899 yuan, even if you use coupons to buy it through non-official channels. But the price is only temporary. It is not cheap to buy this kind of device in many cases, including the old model of 3899 yuan, which is cheaper now.
By contrast, the iPhone SE, previously considered a small flagship, cost-effective, or the cheapest, iPhone on the market, started with an initial sale price of only 3,288 yuan. Moreover, in the following years, the model has gone through different stages of price reduction. At the cheapest time, the price of the 16GB version of the iPhone SE has been reduced to 2199 yuan, while the 64GB version has been reduced to 3399 yuan. Although only 32 GB version has been retained in the end, the price of regular channels has been reduced to 2500 yuan or even lower.
In fact, without comparing the price of old and new iPhones or the price of the iPhone SE, it is not difficult to find that the discount is as low as 20% from the third month after the launch of the new generation of iPhone models. The failure of pricing strategy is an important reason for the poor sales of the new models this year. China is the largest smartphone market in the world. To a large extent, domestic consumers do not think that domestic brand image is different from Apple's. They also admit that domestic flagship aircraft has enough competitiveness compared with the iPhone in all aspects, and some aspects are even more suitable for themselves or better than the iPhone.
That means Apple needs to learn how to compete more fairly in the current environment if it wants to restore sales growth in the world's most populous market. In this regard, the biggest strategy is to focus on the pricing of the iPhone. At this time, Apple needs a product like the iPhone SE, which can reach around 3000 yuan in both official and related channels.
Will the iPhone SE 2 come?
Over the past two years, Apple's new iPhone has been following the path of higher prices and higher absolute profit margins. Once the cheaper version of the iPhone SE 2 is launched, it will certainly be bad for Apple. To some extent, it will erode the sales of Apple's own high-priced iPhone and affect the high-end image of the iPhone, but it may be good news for consumers and very valuable.
There are many reasons for this. First of all, there are still too many consumers waiting for the iPhone SE 2. Even though they have been disappointed many times in the past two years, many consumers are expecting instantly. Moreover, as Apple's owner Cook himself pointed out, he hoped that Apple would go to the top of the list of software and services, and then make more stable revenue through services.
However, if Apple's services are to take off and become a regular revenue stream, or if Cook says it will double its revenue in fiscal 2016 by 2022 ($370 * 200 million), it will ultimately depend on its closed Apple ecosystem. After all, only a few services are open to Android or Windows 10 ecosystems, not all (such as iClo). UD storage or iMessage), so the simplest aspect is to increase the user base of the iPhone, while the simplest way to increase the active user base is to lower the price of the iPhone.
So, do you think Apple should revive the iPhone SE series?