“The more discerning the buying public becomes, the more the quality and/or price for value equation comes to the fore,” Sean Udall writes for Minyanville. “Note that Apple’s (AAPL) smartphone market share is actually rising in developed markets.”
“Long-time readers know that I have previously held that Apple would increase market share for two-three quarters after the release of a new phone and then tail off as Android re-emerges. However, in the U.S. (and UK & France) that ‘tail-off’ isn’t occurring,” Udall writes. “Simply put, as the facts change, so does my thesis.”
Udall writes, “Given how well this very old iPhone 5 is selling versus the best of the rest, I think the iPhone’s share gains are actually more sustainable than that… Frankly, there is also one thing that many don’t articulate well at all and it’s a single word — REGRET. And what do I mean by this? It’s simple. I’m sensing a growing number of the converted Google Android masses that ‘like but don’t love’ their big-screened phones.”
Read more in the full article here.
[Thanks to MacDailyNews Readers “Fred Mertz” and “Rainy Day” for the heads up.]
Related articles:
Apple’s iOS smartphone market share growing faster than Android in US, UK and France – July 29, 2013
How Apple’s iPhone beats Android in U.S. market share by 2015 – May 8, 2013
comScore: Apple outgrew both Samsung and Google’s Android in U.S. smartphone market share – May 3, 2013
The Church of Market Share revisited – April 26, 2013
iOS dominates Android: 75 cents of every dollar spent on mobile advertising is spent on Apple iOS devices – April 19, 2013
Android owners aren’t real smartphone owners – March 12, 2013
iPhone users watch twice as much online video as those with Android phones – March 12, 2013
Where are the Android users? – March 11, 2013
With 78% share, Apple’s iOS tightening its grip on the enterprise and taking share from Android – March 8, 2013
Apple rules the skies with 84% in-flight share vs. Android’s 16% – March 7, 2013
Apple iPad continues domination with over 80% usage share in U.S. and Canada – March 7, 2013
comScore: Google’s Android, Samsung continue to lose U.S. share to Apple’s iOS, iPhone – March 6, 2013
Apple iOS dominates mobile video viewing with 60% share vs. Android’s 32% – February 13, 2013
Android’s Web share down 13% since November; Apple’s iOS now over 60% – February 1, 2013
Android’s unit share growth has not hurt Apple’s profit share – February 26, 2013
Apple iOS dominates mobile video viewing with 60% share vs. Android’s 32% – February 13, 2013
Android’s Web share down 13% since November; Apple’s iOS now over 60% – February 1, 2013
IDC: Apple dominates worldwide tablet market with 43.6% unit share – January 31, 2013
The Android engagement paradox – November 26, 2012
People buy more Android phone units and do less with them vs. Apple’s revolutionary iPhone – November 14, 2012
Study: iPhone users vastly outspent Android users on apps, respond much better to ads – August 20, 2012
“Given how well this very old iPhone 5 is selling versus the best of the rest….”
——————–
10 months is very old?
That was my first thought when I saw the sentence, but in some way it is ironic for the other phone makers, that release a new phone every 3 months.
Interestingly enough, I have heard a lot of times at the local news that Apple wants to take our money away releasing a new phone too fast. Of course, the same does not apply to other companies releasing every 3 months. I think this is because nobody cares of them…
10 months is very old if they compare to Samsung who is monthly releasing a phone.
YES!
I will admit to you guys that I have tried to live with a Galaxy Note as my personal phone I’ve been under the no-contract T-Mobile and can try different things. And I have a work iPhone 5 as a “backup” At first the large screen seemed neat, and I figured I’d try it out for a while. But battery life is terrible beyond the merely bad of most Androids. It might last 3-4 hours with moderate use. The only thing I really like the big screen for navigation for the car, otherwise, to me the big screen is overrated.
I think that’s what most people find, even those who look at a large screen but never buy it — the damn thing’s just too big for everyday use as a phone.
I’m looking at installing an iPad mini in my car to have navigation, music, etc. all on a big screen right in my dash. Auto navi systems are such garbage, regardless of manufacturer. And I can’t stand the idea of burning CDs and hauling a CD case around in the car. Just seems silly. But this is what a large screen is for.
The iPhone 5 is the perfect size for a phone screen — large enough to have plenty of room on it, but still small enough to keep in a pocket and use one-handed. Plus, smaller screens = longer battery life.
Looks thieves! There’s an iPad mini in my car! Smash my windscreen in! Please, I beg you!
Windscreen? WTF is the left nut doing in the UK when the rest of the Balzac is in Washington State?
The 9 year old built-in “garbage” GPS in my Camry gets me where I want to go consistently (with its for sure primitive graphics but without fuss) – and I’ve never bothered to update its DVD.
And what was that some company used to say… …oh yeah, “it just works”….
Yep. Now with smaller tablets and as inexpensive as they are, there really is no need to haul around a jumbo phone as your primary device.
And u idiots will be the first in line when Apple releases a larger screen iPhone. I’m icaling ur fanboy asses.
Exactly right. We’ll be in line for those larger screen phones. And we’ll change our minds about the virtues of smaller-screen phones. We may be flighty hypocrites, but we’ll still prefer Apple in any case. Try another slot machine.
My iPad is cellular GPS and I hang it on my dash for navigation. My iPhone gives turn by turn which is plenty big for that.
Quality. This is the one thing that no other ripoff company out there can match. APPLE QUALITY. This is THE most important aspect of what the company has been known for. It is my thought that after Steve got really ill, there were factions at Apple that thought they could take it easy. It is my thought that Tim Cook has identified this, has started weeding out these individuals, and we can all rest assured that not only Apple will be the best, it will become better than it ever was. It takes time, and I for one, am very, very patient with Apple.
The Q word. Yes, that’s the Steve Jobs mindset, the credo, the obsession with stamping out crap. He’s still out there, if only in the mind’s eye, standing his ground—silhouetted on the horizon against a stormy sky, contemptuous of the competition with their shortcuts to profits, their skulduggery and hypocrisy, but mostly their insulting underestimation of customers who want and deserve Quality in their lives and are tricked into buying junk instead.
It’s funny you talk about quality, but Wall Street doesn’t believe that quality products are worth a premium. I somehow thought that Wall Street figures quality products cost more to build and that hurts profit margins. Also, a quality product might last longer so product turnover would be as quick as with a shoddily-built product. I’ve honestly never thought quality ever came to play on how Wall Street values companies. Why a company wouldn’t be rewarded for selling better-than-average products to consumers is something I really don’t understand. The stock market really doesn’t have consumers’ interest at heart.
Increasingly it sounds as though you are experiencing an existential crisis. The Platonic idealist meeting the cynical pragmatist. Messy. I recommend programmed libations, single malt being preferred. It works for me.
Agreed. It seems like WS likes monopolies, or near monopolies. Google has a lock on search. MS has a lock on Windows (though that is losing value). On the other hand, a quality manufacturer is like a high wire act always on the edge of falling as it is beset by low price rivals.
Udall keeps whining for a bigger phone: “Speaking for myself and many others of my ilk, we would ALL be using a bigger iPhone if it existed.?”
Does he think Apple is going to lower the pixel density of the screen just to make a bigger phone? Not going to happen. 😎
They already did exactly that with the 5
Apple has a secret weapon, and it is called price-point. If they decide to use it, which the well may not, it could come in the form of a lower-cost lower-end iPhone, or … lower prices on the top end. There mountains upon mountains of people who would like an iPhone, understand it is awesome, but don’t buy one because there is a significantly cheaper option (these are not bad people so please don’t unload the hate). If all of a sudden the iPhone dropped into a new league of accessibility, it could be a terminal shock wave to the also-rans, like Samsung.
“There” should be “There are”
Two very important words: residual value
Buy a $1000 windows based computer know (even it it’s design resembles Apple’s), then in four years time, it’s residual value is about $100.
Buy a $1,500 Apple computer, it’s 4 year residual value will be >$600. I.e. same cash amount of depreciation.
Same is true of mobiles. Goto any phone recycling companies website, and you find iPhones have the highest rate for getting cash back. So upfront you spend more to get quality, but get that investment back when you sell on the device.
Quality always results in high residuals. Something that is not as reliable, have poor levels of software updates or those that depend on fashion will always have low residual value.
fat phone gives good carpal tunnel. if you use a fat phone, please pay a health insurance surplus so I don’t have to pay for your stupid wrist guards, wraps, physical therapy, etc. for months, until you step in front of a bus while looking at your fat phone and my wasted $600/month insurance donation to you is all for naught.