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by rogerbinns 4976 days ago
Asymco (highly recommended analysis site for the mobile industry) has an excellent article on this "over serving" issue http://www.asymco.com/2012/09/18/is-the-iphone-good-enough/

One thing he notes is that Apple sell the current (new) generation device at the same time as they sell the previous generation for less. By looking at sales they can tell if they are over serving - people will buy the previous generation because the new generation doesn't add sufficient value to their needs.

1 comments

And yet, even with that strategy being implemented for the past few years, the iPhone is losing in global market share, and Android is 5x bigger now. So it's not very effective in this context.
What "market share" are you measuring? If it is number of devices sold then so what. Maybe narrowing down to number smartphones sold? A little more interesting.

How about instead we look at market share of revenues? Even better what about share of profits since that makes more business sense. Asymco has a post for that: http://www.asymco.com/2012/02/03/first-apples-rank-in-mobile...

I prefer Android myself, but claims of Apple "losing" need to be substantiated. It is certainly the case they are losing the least profitable customers but that is a very hard business to be in.

Apple has never been interested in marketshare alone, unlike Google or Microsoft.

For Apple, it's all about profit, profit-share and units sold. All else matters little to them if they don't have those three.