Rising iPhone ASP in Q1 hints at healthy iPhone 6s sales

In first quarter financial results announced on Tuesday, Apple's average selling price (ASP) for the iPhone rose to $690.50, suggesting a fairly healthy demand for the iPhone 6s and 6s Plus which launched in September.

By comparison, the same quarter of 2014 saw iPhone's ASP hit $687. If the figure had decreased year-over-year, it might indicate that shoppers were skewing towards the iPhone 6/6 Plus, or even 2013's iPhone 5s.

Apple sold just under 74.8 million iPhones during the December quarter, a very slight increase over the 74.5 million units sold a year ago. While that number may still be disappointing to some analysts familiar with growth percentages in the double digits, others had been worried that iPhone numbers might be flat or even decrease, hinting at "peak iPhone."

A number of reports have raised concerns about weak demand for 6s models, particularly after signs that Apple was cutting production for the March quarter. Suppliers such as Foxconn, Catcher, and TPK have reported either lower-than-expected December quarter figures or adjusted 2016 spending.

Slower production has been linked to an "inventory adjustment" instead of low demand though, giving retailers a chance to empty out stockpiled phones.

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15 Comments

jfc1138

said about 8 years ago

Given they've a customer base to satisfy that's a nice turn of events. I do like the s year's offerings and this one is no different.

rogifan_old

said about 8 years ago

On the conference call Tim said 60% of the install base has not yet upgraded to the 6 series phones. That seems awfully high at this point.

konqerror

said about 8 years ago

Healthy? Ha! 690.5 from 687 = increase of 1/2 of 1 percent. They're not even keeping up with inflation.

dasanman69

said about 8 years ago

rogifan_old said:

On the conference call Tim said 60% of the install base has not yet upgraded to the 6 series phones. That seems awfully high at this point.

There are still a lot of iPhones 5/5s/5c out there. Many in the hands of the second owner plus all those that don't like the larger size form factor.

eightzero

said about 8 years ago

dasanman69 said:

rogifan_old said:

On the conference call Tim said 60% of the install base has not yet upgraded to the 6 series phones. That seems awfully high at this point.

There are still a lot of iPhones 5/5s/5c out there. Many in the hands of the second owner plus all those that don't like the larger size form factor.

I've reached peak iPhone with my 5s. It serves my current needs nicely. At some point in the future, I expect to need to replace it - a battery fail, or some Killer Feature(tm) I can't live without.