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07-17-2013, 11:50 AM #1
Apple Wants to Sell Half of All iPhones Through Its Retail Stores
Apple CEO Tim Cook isn't pleased with how many iPhones are sold at Apple's retail stores.
Despite boasting the most lucrative square footage across the global retail landscape, Apple wants to do bigger business at these locations when it comes to moving units of the company's iPhone.
As of the most recent data available, only 20 percent of all iPhones are sold through Apple Stores. Cook wants to eventually see that number balloon to more than 50 percent.
As of May 2013, Apple has 406 Apple Stores worldwide. Although that's not a miniscule retail presence by any stretch of the imagination, is it realistic to think that Apple could sell a majority of its iPhones - on a global scale - at these stores, particularly when millions of consumers don't live within a reasonable distance from the closest Apple Store?
According to new analysis shared with AllThingsD by Consumer Intelligence Research Partners (CIRP), raising Apple Store iPhone sales to the level Cook is asking is a potentially difficult proposition.
07-17-2013, 11:57 AM #2
07-17-2013, 12:10 PM #3
I'm pretty sure most people buy phones from their respective carrier due to being subsidized, So I don't see how this is even a logical thought to focus on...
07-17-2013, 12:13 PM #4
07-17-2013, 12:35 PM #5
I haven't gone into a physical store to buy an iPhone since my first one, a 3GS. I've just bought them online, and then activated through iTunes. My iPhone 5 had not been connected to a computer until I installed iOS 7 on it. iCloud is the bomb!
07-17-2013, 12:39 PM #6
Why camp out when you can just pre-order online and get it the same day it releases? It's so much easier to order online and its free shipping.
07-17-2013, 12:52 PM #7
I buy my phone outright from apple. Means I'm not tied to a ****** contract with a ****** service provider
07-17-2013, 12:56 PM #8
Im not sure how this even got on the table but I think its weird. Its 2013, we buy groceries online. Why would I go, wait in a line when I can just order online and go about my business? Seems like Apple wants to keep up its retail dominance by opening and hiring more all around. I guess when you offer one phone compared to hundreds that the competition has, having a retail chain presence is part of the success?
07-17-2013, 01:17 PM #9
But those points have little to do with the article...
Last edited by AdonisBlue; 07-17-2013 at 01:22 PM.
07-17-2013, 01:44 PM #10
I think i got my first two iPhones from an AT&T store (3 & 3gs). I've bought pretty much all iphones for the family on apple's website. Unless there is a discount going on at bestbuy or walmart. Then it just make economical sense to go to a third party store. I really believe apple should price match other stores, but they'd start losing money on each phone if they did that I guess. How can you compete with bestbuy if they are offering an iphone 5 for $99? Free if you trade in your old phone, which you shouldn't do by the way because you can get more your old phone on ebay.
07-17-2013, 02:14 PM #11
why buy a phone from apple when best buy gives you the same thing but a couple bucks cheaper and normally comes with a case or some type of extra incentive. You can easily take your iphone you bought at best buy to apple and get it serviced.
07-17-2013, 03:03 PM #12
The logic is simple: If they can get you into the store there is a much higher probability that you will buy accessories and Apple Care/iTunes Match/etc. The phone purchase is simply more profitable for them with the potential add-ons than if a customer orders it online. It's not hard to see why they'd want you to come in.
07-17-2013, 03:17 PM #13
I always go to my local carrier store simply because its blocks away from my house (5min drive) and an apple store is well over a 35min-60min drive some times longer depending on traffic.
07-17-2013, 04:11 PM #14
07-17-2013, 04:48 PM #15
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07-17-2013, 05:31 PM #16
There's no real reason to drive to an Apple retail store to purchase an iPhone when you can easily order one online. Maybe Apple needs to create an incentive for people to come to the store and buy an iPhone. There nearest one to me is like 35 min away, so unless they're offering me something to drive there I'll stick to ordering online.
07-17-2013, 06:17 PM #17
On Contract: $200 + ($86 x 24) = $2,264. After 2 years, unlock iPhone from carrier.
Outright: $650 + ($86 x 24) = $2,714.
I'm not stuck with the carrier. I have been with AT&T since past 9 years and have the same number. If any other carrier can beat that price (I have two lines btw, one iPhone and one dumb phone), I'll switch. Oh and I have unlimited data plan and have never gone past 5gb.
07-17-2013, 06:23 PM #18
I always order online because the nearest Apple store is about two hours away. I do not want to stand in a huge long line to buy my phone or stand there for a long time to find out that they just ran out.
Apple wanted their iDevices at lots of stores and now they want their stores to sell at least 50% of the iPhone or more?
If Apple wants this then they are going to have to open more Apple stores.
Last edited by thetoothfairy; 07-17-2013 at 06:29 PM.
07-17-2013, 06:42 PM #19
07-17-2013, 07:13 PM #20
I guess I'm lucky then, there are 3 Apple stores within 30mins of me, one is only 15mins. At least 4 AT&T stores within 15mins and at least 2 Best Buy within 30, again one is only 15 mins.