iPhone 14 Pro sales driven by long update cycles and carrier deals

Evidenced by the increasing shipping delays and unavailability in the store iPhone 14 Pro Sales are very high compared to the base model iPhone 14. We already know one reason for this, but analysts suggest two other factors play a role.

This year’s iPhone launch is unusual for two reasons. First, only Pro models get the latest processor – although that’s probably not a major attraction for many…

More importantly, perhaps the most exciting development for many is the iPhone 14 Plus, which for the first time offers the largest screen size for those who don’t need the Pro features. However, at just $100 for the smaller Pro, or $200 for the Pro Max, the competition gets tighter.

Besides, for someone upgrading from the iPhone 12 or iPhone 13, the base model iPhone 14 is a relatively modest upgrade.

“By the norm [iPhone 14] Compared to the price points, it is very convincing [iPhone 14 Pro]said Dan Ives, managing editor of equity research at Wedbush Securities.

This is echoes What most reviewers have said.

There’s a very consistent feature of the base model for iPhone 14 reviews: It’s not good enough to justify paying $100 more than the $699 (now) iPhone 13. If you want a new phone this year, spend the extra on the iPhone 14 Pro.

Ive says that with many iPhone owners now only upgrading every three or more years, they can expect to see significant reporting and benefits. cnet.

About 240 million of the 1 billion iPhones have been in the hands of their owners for three and a half years or more, according to Ives research, and those people may upgrade.

When they do, they are unlikely to opt for the baseline iPhone 14. There aren’t a lot of new features on the iPhone 13 released last year or the iPhone 12 in 2020.

There is a third factor. While the Pro models are pricey, the carrier’s “subsidy” (also known as deferred payments) into fashion.

“The discounts and promotions that carriers offer are great,” says Ives. With a $800 to $1,000 discount on new iPhones, carriers are enticing consumers to choose the higher-priced Pro and Pro Max phones.

Consumers don’t feel the price difference between the $800 iPhone 14 and the $1,000 iPhone 14 Pro thanks to [these] promotions.

Bloomberg Reports the same thing.

“The data continues to point to strong iPhone 14 Pro and Pro Max demand, which could have a material positive impact on both mix and margins,” said Amit Darianani, analyst at Evercore ISI, in a report this week. […]

This has left users with less reason to upgrade to the base iPhone 14, but there’s plenty of incentive to pay a little more for the Pro. A series of carrier promotions and exchange offers may also persuade consumers to buy a more glamorous model.

Some believe that Apple has been surprised by the level of demand for more expensive models.

The dominance of the iPhone 14 Pro and Pro Max may have surprised even Apple, as pre-orders for the top-tier phones now list delivery windows for mid-to-late October. While reports suggest that Apple ordered 90 million iPhone 14 series phones for the holiday quarter, which is on par with the number of iPhone 13 series phones it shipped last year for the same period, the uptick in pre-orders for Pro and Pro Max models could mean Apple must increase its orders. for holidays.

The strong iPhone 14 Pro sales were reflected in Some people are seeing their shipping dates go back In the worst case, several weeks. Apple is usually conservative about delivery times, so we’re used to seeing Apple advance dates rather than delay them.

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