Ah yes, Apple's in trouble Said he about a company that has hit a 1 Trillion Dollar market cap. A figure most certainly larger than many many countries entire GDP. So what's with the claiming of them being in trouble😨.
Well, Briefly I'm going to talk I phones, why I phones specifically??
Well because 66% of apple's revenues are coming from the Iphone. The Iphone in it's inception proved to be a revolutionary machine. The sheer convenience Steve Jobs was (And numerous nameless, faceless scientists who actually developed the thing xD) selling people was mind blowing to them. Before iphone people were using stylus for their touch screen phones. Which to say was... uncomfortable ..is an understatement. The screen was hard to touch by fingers, even with the stylus the screen was as buggy (cyberpunk screeches) as it could get. I have found myself wanting to do one task with an old stylus phone and it ended up getting commands for something else entirely.
Steve and his scientists came up with the I phone in 2007. In his huge conference he marketed the phone as an easy, convenient and a truly touch screen phone which was enabled to be handled by your very fingers, people went berserk after the concept and the iphone was an instant hit. Being synonymous for innovation since it's inception. Well...that exactly seems to be the case no more.
Alright i know you've zoned out let me start again here's some colorful photos to help you un-zone.
Here's some data of unit sales of Iphones from 2007-2015. A company's dream, an ever growing graph.
Now here's the same graph, but with added information of sales data from 2015-2018. The highest bar that apple hit in sales was the year of 2015. So the tallest bar is 2015, rest are the years beyond.
What's happening here is that apple isn't selling more and more i phones. It's growth is stagnant. Okay but in Apple's case everything is unique. In it's "stagnant" phase Apple still manages to sell 200 Million plus devices a year. Which is to say is HUGE, again, an understatement.
So what's this PROBLEM am I talking about. Alright, so when you know you aren't selling more phones you have to gain money from some other way possible. Apple's way? Charge a premium. A really premium premium. A mega premium so to speak. upwards of 1000$ in the US itself, converting the cost of an iphone in India roughly from 80k to even more than a lakh rupees. Apple's really managed to pull off a thing nobody else has been able to. Sheer.Customer.Loyalty. Apple fanbois WILL purchase the iphone. And apple knows it. It'd seem that all apple needs to do is engage a customer ONCE, and he's done for. Almost always will that customer resort to apple's products. Yes, products, plural. Because one more thing apple does right is getting people hooked to Apple's ecosystem. That is, simply put, if you love the iphone, here's the mac. A simple, convenient laptop that's integrated with your phone and heavily interconnected. So, retaining current customers hasn't been an issue apple's facing..so to speak. At least in western countries. In india you're more than likely to come across people who've bought it for the status symbol.
Alright so coming to the thing i've promised in the title. What is apple's trouble ??😂
NEW CUSTOMERS. yes getting people that are android to convert to Apple. That's one big issue they face. As i've said the people that have an Iphone, are more than likely to buy the mac. So the revenue coming from people that are already apple lovers, is getting more stagnant than ever. Another reason i have to back this claim is, Apple's building phones too good for their own reckoning. It's building phones with premium quality. So the Iphone 7 users don't have a reason to spend 1200$ more to get the iphone 12.Again, blocked revenue from existing customers. They need to get newer people introduced to their products, which, if you're a company that's charging 800$ for base model, can get.. might I say jussst a teensy bit difficult. I might be biased being on the pro Android side, openness, free apps, half the price. But there's a lot more things to talk about that apple does well, like security, after sales and regular updates for example. But that's still not enough for getting Android people to shift apparently, and it's hurting the giant.
And the last and most important thing in my opinion, Innovation. Where is it?? What happened? This isn't just me, Steve wozniak the co creator of apple who now watches things unfold from afar has said that there's no incentive whatsoever to update his i phone 8, which to quote him "Is the same as Iphone 7, which in turn is the same as iphone 6." watch this curb your i phone video for reference.
THANK YOU SO MUCH for reading through, Credits to you tube channel Polymatter for the images of graph and giving me the idea to do this.




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