Pre-sales for Apple’s new iPhone are beating expectations and topping last year’s pre-orders for the same time period, Reuters reported on Tuesday (Sept. 17).
Independent research conducted by Wall Street analysts shows that first-weekend sales point to a healthy start and could offset the reduced pricing of the iPhone 11.
The iPhone 11, iPhone 11 Pro and iPhone 11 Pro Max, priced between $699 and $1,099, have enhanced processors and improved cameras.
“We are careful about extrapolating first weekend data, though it is fair to say it is ahead of last year’s launches,” analysts from Instinet said in a written statement to Reuters. “Should the early shipment time data hold and translate to unit volumes, Apple may be able to offset this year’s average selling price reduction.
Apple analyst Ming-Chi Kuo of TF International Securities said the appetite for new iPhones is ahead of his expectations with brisk pre-sales from Chinese buyers.
Although bargains from Chinese retailers have hurt demands for iPhones, the region had the third-largest sales volume for Apple products in 2018, the report said.
The Chinese online retailer JD.com said that in one day, iPhone 11 pre-orders were 480 percent higher than last year, with the iPhone 11 Pro in midnight green and the standard iPhone 11 in black and purple selling the most.
Yicai, the Chinese news platform, said Alibaba is showing sales that are 335 percent more than last year’s demand for the iPhone XR.
Kuo increased his iPhone 11 series shipment forecast from 65-70 million units in 2019 to 70-75 million units, while noting the supply chain will “grow steadily” in Q4, according to CNBC.
He noted that while the demand for the standard iPhone 11 is “lackluster” in the U.S., there is an appetite for the “more expensive iPhone 11 Pro.” He bases this on shipment times, which are two to three weeks past the launch date for the more costly models.
Apple’s zero-interest installment program and trade-in programs have helped drive demand for the more expensive model.
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