Apple Company has reached its peak where the company sells its products such as iPhone, mac and iPad with relative flat sales over the year. Apple announced no longer disclosing its unit sales for iPhone, mac and iPad as it claims unit sales not to be any more accurate on measuring how well the company is doing. Apple being an iPhone company earns a lot of profits and revenues from its popular products but the iPhone company has reached its peak and its now thinking on ways of measuring its profits and success.
The apple company has compelled to a new direction that it is not considering about how many people are going for iPhone products each like some years back when the company was at a hyper-growth stage. Apple average selling price for phone has increased over the year not like when it sold its products with a flat price last quarters of the previous years. Customers desire to go for new expensive iPhone XS despites its high price making apple to earn more profits than the previous years. The broad range of apple price starting from $449 of 2016 to about $1449 of the latest iPhone XS Max makes unit sales no longer show the strength of the business. Apple earns a lot of profit from items including apple music subscriptions, iCloud storage subscriptions and app store sales where it reports margins for its services showing how well it is doing.
Will apple create new products that change the game?
Apple is planning to introduce iPhone subscription model to be the game changer for its products. IPhone subscription plan is expected to change apple customers from the previous business model to a new subscription model to make the world a different place. Apple is expected to upgrade its stock for its customers products if subscription plan is confirm.
Apple thinks positively on changing the world differently to subscription model as they did on transactional model where they dominated the smartphone market. As the core issue of apple being iPhone replacement circle, the smartphone market causes iPhone sales at its mature point. Customers are no longer hanging on phone products as they decide to upgrade to latest models. Apple is still able to convince traders to worry less on iPhone sales and services.
Apple is planning to announce its new products and services they will offer in 2019. It’s planning for subscription services for its News apps and Tv. Apple is expected to reveal the new AirPods and new mac pro. Apple is moving from Hardware Company to Services Company where it is expected to introduce interesting services that will attracts more customers. Some of the apple game changer in 2019 includes;
Launching a digital video service that will offer TV subscription to its customers. The subscription will consist of TV shows and apple original movies content.
Launching airPods that will include wireless charging and smaller than the previous model. The model will be water resistance and support noise cancellation which totally different from iPhone.
Apple will still produce new iPhone, iPad and apple smartwatch as usual and release them on September.