Consumer electronics are battling a strong headwind. The scapegoat seems to be Apple, and the impending launch of the iPhone 7 is the only hope for relief. Target blamed its disappointing Q2 earnings on the drop in Apple sales, while Walmart was less inclined to point the finger.
Walmart blamed weak new item launches and challenges with wireless for its performance. And Best Buy is preparing for a disappointing Q3 and Q4 by lowering earnings expectations because Walmart and Target have increased their product range of 4K TVs. The good news for Apple is that carrier billing is about to roll out in Japan, which is expected to be Apple’s biggest market for mobile income. This payment option has been pursued by Apple competitor Google Play, which is now available in 45 countries.
Here are the data:
160 | The number of 4K TV SKUs Best Buy offers, compared to 44 by Target and 59 by Walmart
136 | The number of countries where Google Play is now available
70% | The percentage of digital goods purchased by carrier billing in Japan, Apple’s fifth-largest carrier billing market
30% | The decline in price of 4K TVs over the last year
20% | The percentage drop in Target’s Apple sales for Q2
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