JP Morgan Chase analyst William Young predicted a gloomy forecast for the latest “mini” model of iPhone, the iPhone 12 Mini. The forecast has cut the iPhone 12 and iPhone 12 mini production by 9 and 11 million respectively
The firm has also emphasised that market demand for the device has been low as have been the sales. Production is expected to dwindle in the second quarter of 2021.
The relatively cheaper model among its latest suite of devices has accounted for only 6 % of all sales, making it one of Apple’s least popular models.
Apple’s 2020 5G rollout included the iPhone 12, iPhone 12 Pro, iPhone 12 Pro Max, and iPhone 12 Mini. In comparison, the base model of iPhone 12 was the most popular, with 27 % of all sales.
Research firm Consumer Intelligence Research Partners names iPhone 11 and iPhone XR as rivals
The disappointing sales figures have been attributed to strong public acceptance of older and cheaper models. The iPhone 11 sells for Rs 51,999 and the iPhone XR costs Rs 47,900 in India. These two have enjoyed continued sales despite losing some of its recency. Shoppers have been content to opt for older generation devices which were not just cheaper but had bigger screens as well.
Josh Lowitz, CIRP Partner and Co-Founder, opined that “Apple not only launched a wider range of new models than ever before, and also divided that launch into two pairs of models, so comparison to earlier launches is tricky. In addition, Apple launched a new ?iPhone SE? earlier in the year, further complicating the lineup.”
Indian market not ready for 5G yet, minute differences in specifications
5G rollout in India is not expected until 2022 as per Ericson, the Swedish telecom gear maker. This has added to the low appeal of the iPhone 12 Mini.
Also, it is worth noting that in terms of specifications there is not much differentiating the Mini from iPhone 11. Both phones have two cameras on the back, waterproofness and wireless charging. The main difference seems to be screen size.
Navkendar Singh, Research Director, IDC (International Data Corporation) India and South Asia, has also stated that the Mini model had its appeal only with a specific set of customers looking for a “small, no compromise” device.
While in terms of specifications and technology the iPhone 12 lineup is nothing to write home about beyond slight enhancements enough to convince their ultra-loyal fanbase to leave their year old devices behind, hopefully this pushes the mega-corporation to innovate more in order to sustain interest and excitement.
Further information on market research from National Interest
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