Many new iPhone buyers signing up for services, CIRP data shows
When will Apple One services peak?
Another day, another data point as CIRP confirms big interest in Apple’s services and big interest in high-end iPhones, at least in the U.S.
Over half of all iPhones
The researchers claim new iPhone 12 models (12, 12 Pro, 12 Pro Max, and 12 mini) accounted for 56% of US iPhone sales in Apple’s Q1 2021.
“iPhone 12 and iPhone 12 Pro Max had the largest share for a single model, at 17% each,” they said. “The model mix resulted in a US Weighted Average Retail Price (US-WARP) of $873 for the quarter, compared to $809 for the December 2019 quarter.”
Josh Lowitz, CIRP Partner and Co- Founder:
“Even though these models were not available for the entire quarter, the model mix and pricing drove US-WARP to $873, the highest level we’ve seen in the almost 10 years we’ve surveyed iPhone buyers. US-WARP is similar to the Average Selling Price figure that Apple disclosed until two years ago.
The core iPhone 12 had 17% of sales and was priced $100 more than last year’s iPhone 11. iPhone 12 Pro Max, priced at $1099, matched its share, with the $999 iPhone 12 Pro right behind. For all models, around half of buyers upgraded from base storage, further boosting average selling price.”
Services revenue also climbs
“Apple Music and Apple TV improved penetration nicely in the quarter, so over one-third of customers have the streaming music service, and over one-quarter have streaming video,” said Mike Levin, CIRP Partner and Co-Founder.
Paid iCloud storage, Apple TV, and Apple Music streaming services each improved penetration among customers that purchased an Apple product in the quarter.
“Apple always had decent uptake of iCloud storage, with over half of buyers reporting paid usage. Other services, like podcasts and paid news, are relatively steady at earlier levels, while Apple still struggles to sell AppleCare warranties.
“The diverse results show the challenges of the Services segment, with well-established ones like podcasts, well-integrated ones like iCloud storage, newer ones like Apple TV, and lagging ones like AppleCare, all facing a range of competitors eager to take on Apple as it works to grow these businesses.”
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