Now word on the street suggests a worrying number of consumers are happy to opt for older iPhone models if it means saving a few bucks.
One of the key factors in Android’s meteoric rise to first place in smartphone market share was offering phones at various price points.
Traditionally, Apple has been firmly at the wallet-punching end of the price spectrum, but more recently – in an apparent bid to address the Android thing – it’s started keeping the older models around and dropping the price.
For example, right now the iPhone 5 starts at £529, while the iPhone 4S comes in from £449, and – cheaper still – there’s the iPhone 4 as low as £319.
Makes sense, eh? Or does it?
According to Consumer Intelligence Research Partners, the iPhone 5 accounted for 68% of iPhone sales in its first month, significantly less than the iPhone 4S –which managed 90%.
The problem here is that low-end models are typically less profitable, so while an iPhone sale is an iPhone sale and a victory for iOS, it means less money in Apple’s pocket, and that ain’t good for business.