“The most obvious, but not necessarily most insightful, measure of winning is market share — who is selling the most smartphones. On that measure, Google’s Android, led by Samsung-made phones, has long been in the lead,” Aaron Pressman reports for Yahoo Finance. “Apple shipped only 15% of all smartphones worldwide last year, according to Strategy Analytics. ”
“But by several other important measures, Apple has been crushing the competition. A look at fourth quarter smartphone profits by Canaccord Genuity analyst Mike Walkley, for example, calculated that Apple had captured 93% of the total, a dominant share if ever there was one,” Pressman reports. “Apple also looks healthy and powerful when considering user activities. iPhone owners not only spend more time browsing the web and using apps, they also spend more money. They spent some $15 billion last year on paid apps and in-app purchases. Google’s Android, with many more users, had only about half the app revenue of iOS.”
Pressman reports, “And iPhone owners are more loyal to Apple, with 76% of customers planning to buy another iPhone in the future compared with just 58% of Samsung phone owners planning to stay loyal to their current brand, according to a survey last year by WDS.”
Read more in the full article here.
MacDailyNews Take: It’s not amassing market share that matters per se, it’s the demographics of the market share you’ve amassed that matters most.
Related articles:
What we mean by ‘Hee Haw demographic’ – November 13, 2013
Even more proof that Android is for poor people – November 15, 2014
Why Silicon Valley doesn’t care about Android – November 10, 2014
Apple iPhone continues utter domination with 86% share of handset industry profits – November 4, 2014
iPhone users earn significantly more than those who settle for Android phones – October 8, 2014
Yet more proof that Android is for poor people – June 27, 2014
More proof that Android is for poor people – May 13, 2014
Apple’s iOS dominates in richer countries, Android in poorer regions – March 25, 2014
Why Apple’s iPhone keeps raking in the majority of mobile phone profits – March 19, 2014
Apple dominates with 60% share of mobile phone profits – March 18, 2014
Android has the most unit share, but Apple dominates profit share, making more money than all Android smartphone makers combined – November 15, 2013
Android users poorer, shorter, unhealthier, less educated, far less charitable than Apple iPhone users – November 13, 2013
IDC data shows two thirds of Android’s 81% smartphone share are cheap junk phones – November 13, 2013
Android phones 3 times more likely than Apple iPhones to have been bought at discount store – August 22, 2013
CIRP: Apple iPhone users are younger, richer, and better educated than those who settle for Samsung knockoff phones – August 19, 2013
Twitter heat map shows iPhone use by the affluent, Android by the poor – June 20, 2013
iPhone users smarter, richer than Android phone users – August 16, 2011
Yankee Group: Apple iPhone owners shop more, buy more, remain more loyal vs. other device users – July 20, 2010
Study: Apple iPhone users richer, younger, more productive than other so-called ‘smartphone’ users – June 12, 2009
This is not news to anyone that follows MDN; or that closely follows news about Apple. Even followers of Android and ShameSkunk must already know this. 😀
“A tale as old as time,
To anal-cysts it’s a crime,
Beauty profit share & the market share Beast.”
That should have read “market share pauper Beast.” 😉
Personally, I’d rather run a shop called millionpoundland with 1 customer than poundland with a million customers.
There’s only one problem with that outlook. When that 1 customer goes away or dies, that’s it for you. That’s how Wall Street sees Apple. WS seems to feel that it’s better to have those million customers. Meaning, more customers are always seen as better.
The simplest measurements are market share and profit.
The more advanced measurements are future market share and profit.
I advise MDN to revise the Take.
This is what’s silly: The reason that the pundits continue to worship at the Church of Market Share is that the holy doctrine of that church states that once market share dominance is established, profits will surely follow. In other words, Android’s dominance in market share must have meant that they would eventually own the lion’s share of the profits, and Apple would fade away.
Apple has proved them wrong over and over and over. Android continues to lead in market share, but nobody’s making money from it. Apple’s iOS is number 2 (worldwide at least), and they are gobbling up so many profits that they could crush any other company like a bug.
So when do they give it up? When do they just admit that market share doesn’t mean diddly, at least not in the smartphone market? We jokingly call it the Church of Market Share, but they hang onto that idea like it truly is a religion.
——RM
Amazon has also proved this doctrine wrong…
Follow the money.
Oh come on, no one has a sense of humor.
Sorry about that MDN folks, you know I love you for 99% of the great stuff you do.