“This Tuesday in Chicago, Apple unveiled its new, most inexpensive iPad model geared primarily towards K-12 students,” D.M. Martins writes for Seeking Alpha. “Contrary to the more pessimistic projections, including my own that predicted Apple’s tablet sales fizzling out over time as the iPods have, the iPad is in the early stages of an unexpected comeback… Apple’s device has separated itself from the crowd and now controls nearly 30% of the market (vs. only 22% in calendar 3Q16).”
“Apple’s fortune began to change in calendar 2Q17,” Martins writes. “Not coincidentally, that [March 24, 2017] was exactly when the company introduced its low-end, $329 iPad that allowed Apple for the first time to compete in the mid-tier space and fight for pocket share of budget-conscious consumers.”
MacDailyNews Take: That $329 iPad was a really great idea!
iPads are too expensive relative to the perceived competition and Apple has obviously done a piss-poor job of marketing the iPad family (read: clearly explaining to the hoi polloi why they want an iPad over an Amazon or other Android tablet).
Sticker price is the biggest reason why iPad sales struggle to return to growth (the next biggest reason is that iPads’ useful lives last so damn long, they’re not rapidly replaced).
We would have purchased iPads for family members this year if they had been updated as they should have been for the holiday season and if the prices were a bit more palatable. Yes, we know what an iPad offers. Yes, we know they’re worth the money Apple’s asking for today; even being last year’s models. But, Apple should really do the math and consider making certain hardware more affordable in exchange for the backend revenue and increased mindshare and market share that will deliver.
For the same reason – mindshare – Apple should make their own Apple displays, even to the point of taking a loss of each and every one, so that other companies’ logos on frankly ugly products that do not match Apple design sensibilities are not in users’ faces all day long. That’s not a difficult concept to grasp; even an inveterate beancounter might be able to get it. — MacDailyNews, January 6, 2017
“I would characterize the spike in iPad sales early in 2017 as an expansion in Apple’s total addressable market. Instead of the high-end tablet that only the more affluent users could afford, the Cupertino company finally had something compelling to offer to a larger chunk of the tech gadget consumer base,” Martins writes. “I doubt that Apple’s launch of its new iPad will do much to increase revenues or earnings substantially in the foreseeable future. But at the same time, I believe that the new product can only be a positive catalyst…”
Read more in the full article here.
MacDailyNews Take: Outside of schools, we know a lot of kids who’d love to have a new iPad at home, especially one that now works with Apple Pencil!
SEE ALSO:
New iPad’s enemy isn’t just Chromebooks, it’s the U.S. public education system – March 28, 2018
Logitech’s Rugged Combo 2 keyboard and case for Apple’s iPad has its own smart connector – March 28, 2018
Apple’s new 9.7-inch iPad offers 2GB of RAM, 2.2 GHz A10 processor – March 28, 2018
How Apple lost its place in the classroom – March 28, 2018
Apple bids for education market with new software, new iPad – March 27, 2018
Apple takes aim at Google Chromebook with $299 iPad with Apple Pencil support for schools – March 27, 2018
Did Apple do enough to grab back education market share? – March 27, 2018
Apple unveils new 9.7-inch iPad with Apple Pencil support starting at $329 – March 27, 2018
Apple unveils ‘Everyone Can Create’ curriculum – March 27, 2018
Apple’s iWork update brings drawing, book creation and more to Pages, Numbers and Keynote – March 27, 2018
MacDailyNews presents live coverage of Apple’s March 27th ‘Field Trip’ event – March 27, 2018
Google’s Chromebooks are still spying on grade school students – April 21, 2017
The bump in processor and Pencil support at that price is a great move by Apple, however it would have been nice if Apple gave this entry level Ipad 4GB ram instead of the 2GB
I agree. With pencil support, folks will see this as an alternative to the pro, and likely try to use apps like Procreate, etc. They will be fine, but the sparse memory will probably get in the way of a good user experience…especially when multitasking
Be nice if they had a way to store them safely some how.
Considering that this “New, Cheaper” iPad costs $70 more than the ones we bought at last Thanksgiving’s Black Friday sale .. Apple is still ‘messed up in the head’ regarding what they think they believe inexpensive means.
Especially for EDU customers.
And okay, its got a pencil stylus .. nice for those who want it, but its $100 price point is way high: it is effectively competing with an entire Wacom tablet purchase.
Granted, I’m comparing it to a bottom-of-the-line Wacom, but you’re not going to buy a $300 one for a kid that’s not yet even graduated High School, just as you’re not going to buy them an iPad Pro. All of this once again indicates that Apple’s prices are messed up: the digital pencil as a peripheral is ~4x more than it should cost…particularly since the software development was already paid for under the ‘Pro’ line.
Bottom line – – this is a very weak ‘piss in the wind’ that’s still misses the mark to honestly compete with Google Chrome to reverse how Apple is losing the EDU market. Particularly under the current Administration, public education budgets aren’t going to grow to be able to afford this over the less capital expense intensive alternative from Google. It would take tremendously strong IT software support to have a fighting chance, and no one is talking about that – – only the new shiny hardware.
Let’s see MDN and/or this author take on this part of the lifecycle: the EDU market’s IT management tools.
It will be interesting to read real-world reviews of the product. My guess is for the vast majority of users 2GB of RAM will be fine.
This is a hard one. While I love the iPad and use a 12.9 daily I don’t see how any school system could adopt iPads or Macs. Chromebooks are just way cheaper and they all come with a KEYBOARD and ports so you can plug a cheap mouse into them. You can get a Chromebook with mouse for less than $210. You’d pay almost $400 for an iPad with keyboard case. Pay $90 for an Apple Pencil or the Crayon? Come on that thing is lost within hours of arriving at the school. Finally I think all of us LONG TIME Apple users know that Apple “commits” to NOTHING. Life with Apple is like the Game of Thrones. What you love could die at ANY time.
Apple has demonstrated it will ignore the hardware or software you love and depend on and provide NO updates or provide any roadmap AND they will not allow a 3d party into the walled garden to fill in the gaps they leave. I’m looking at you iBook Author, mac mini, ipad mini, Aperture, Final Cut, Airport Base Station, iWork, iWeb, iTunes…
Who would want to gamble on whether Apple will invest in these new school focused apps for the “long term”. Like iBook Author before it these “school apps” are a fad. I suspect there “may” be one more update in the works and then nothing for years as Apple gets distracted on the next “new hotness”. Love Apple but they are like a beautiful blonde in a black dress – sexy as hell but easily distracted and prone to leave you with little to no notice. Give her your money, don’t make long term plans and Just be grateful for the kindnesses she chooses to show you.
Unfortunately most of this rings true. For too long, we’ve moved closer and closer to a disposable society. It is more convenient to buy cheaper, throw away then buy again, and maybe again. K-Cups, are a great example of the throw away mentality. This dump will be the end of us, consuming other valuable natural resources, that are too far gone.