Black Friday Deals Drive Frenzy Of Older iPhone Adoption
Consumers responded very directly to iPhone and iPad discounting.
Widespread buying incentives on older iPhone and iPad models from big box retailers this weekend seem to have driven a lot of sales. Mobile analytics provider Localytics documents how effective discounting was in motivating these purchases.
The company looked at new devices on its network both before and after Black Friday. Prior to Black Friday various retailers (and carriers) were discounting — in some cases very aggressively — older iPhone models. Consumers took the bait, according to Localytics.
The chart below reflects new device activity before and following Black Friday. It shows how consumers leapt after deals on the iPhone 5s and older models. The big winners were the iPhone 5 and 5c. Many of these models were offered for “free” or zero-down with a two-year contract.
The graphic above also implies what financial analysts have long been saying: were Apple to lower prices it could substantially increase its market share.
On Black Friday and Cyber Monday the new iPads (Air 2, Mini 3) also went on sale at Best Buy, Target and elsewhere. Consumers snapped them up. Before Black Friday older iPhone and iPad models were on sale and consumers responded in a big way it appears.
The iPhone 6 is seeing strong adoption despite a lack of discounting. It would be interesting to see similar data on the Android side.
Localytics also makes the point that when new devices are purchased apps may not be carried over. Accordingly the company says that publishers and developers need to attempt to reengage audiences at critical times like holiday shopping season to keep their place on consumer handsets as devices change over.
Then again app engagement should be a full-time, year-round concern.