KeyBanc Capital Markets analyst John Vinh, via a client note, claims that the iPhone 7 is outselling the iPhone 8 across the United Kingdom and United States, citing surveys carried of carrier stores.
Somewhat predictably, sales of the iPhone 8 do appear impacted by the spectre of the iPhone X which is still a couple of weeks away from going on sale.
A sizeable portion of the early adopter user base is undoubtedly waiting for the flagship phone to drop, whereas they would normally have jumped on the iPhone 8 weeks ago. However, Vinh thinks there is more to it than that. Namely, the iPhone 8 is simply not being seen as a big enough jump over the existing iPhone 7.
“Many respondents indicated that a meaningful portion of customers are buying iPhone 7 in lieu of the new iPhone 8, given the lack of significant enhancements in the new phone,” Vinh wrote.
While iPhone 8 starts from $699 in the United States, iPhone 7 is retailing from $549 after a price cut.
Vinh also believes that carrier offers and deals are partly to blame here, too. While carriers are offering special deals on the iPhone 8, they are nowhere near those being offered on the older, less expensive iPhone 7. According to Vinh this is having a direct impact on whether buyers opt for the iPhone 8 or the iPhone 7.
There are of course problems with all of this, mainly the fact that the survey only takes into account carrier-owned stores. This in itself may skew the numbers as previously reported by KGI – more price-conscious buyers will likely make their purchases via carriers in order to take advantage of the aforementioned deals. Apple does not offer the same deals in its stores so when you take into account sales in Apple’s online and retail outlets it is possible the numbers would be a mirror image of those collated here.
This is all of course guesswork, and while the iPhone 8 does appear to be doing well it is surely only a matter of time before it is almost forgotten about in an avalanche of iPhone X media blitzes. There should be no doubt, the iPhone X is where it’s at, and Apple’s die hard fans know it.
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