December usually means a holiday push for retail sales — but that may not hold true for Apple Inc. (NASDAQ: AAPL) and sales of its latest iPhones.
This year, Apple has produced perhaps its most diverse line of iPhones in terms of size, capability and price. The iPhone XR is priced around $750, while the iPhone XS and iPhone XS Plus are selling for $1,000 and up.
According to iPhone purchase intent mentions following Thanksgiving, consumers are predominantly opting for the cheapest option, LikeFolio said in a report. This data potentially reveals consumer hesitance surrounding the products’ value and functionality, according to LikeFolio.
Infographic courtesy of LikeFolio.
Black Friday and Thanksgiving traffic in 2018 was down 5-9 percent year-over-year, according to the Wall Street Journal.
For Apple, LikeFolio analyzed consumer purchase intent mentions for the week of Thanksgiving and Black Friday compared to the same time period in 2017 for both iPhones and the Apple Watch sales.
Purchase intent for the iPhone is down more than 30 percent compared to 2017, signifying a potentially difficult position Cupertino, LikeFolio said.
“Apple’s warning on iPhone sales was warranted. According to LikeFolio data, the holiday season could come up significantly short of historical sales levels. The Watch is doing well, but at half the cost of an iPhone, it only amplifies the message that consumers are looking for ways to spend less money on Apple products this year.”
Apple shares last closed at $176.69.
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Photo courtesy of Apple.
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