Apple records poor sales but maintains its popularity in US and China

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Apple has a relatively fair market share in the tech market but it reduces each year. The smartphone might have negative reviews from analysts around the world, but it still stands as a notable device in the market.

In the final quarter of 2015, the iPhone regained its status as the top smartphone brand in both the US and China, research firm Kantar Worldpanel ComTech said on Wednesday.

“Apple loyalty in the US is at its highest since 2012, reinforcing the fact that customer retention is not an issue,” Kantar research chief Carolina Milanesi said in a statement.

In the US, the iPhone 6S was the most popular model, followed by the Samsung Galaxy S6, and the iPhone 6, a Kantar analyst said. In China, iPhone 6S came in first, followed by iPhone 6S Plus and iPhone 6, the analyst added.

Apple holds a bigger share in the US and other devices have zero chance of taking over Apple’s market share. However, it’s ironic how Apple is preferred in China when they have other companies like Huawei and Xiaomi in the country.

The report provides that the company saw iPhone maintain flat sales from a year ago. Worse, Apple predicted total company revenue would slide next quarter and said that in the March period, iPhone sales are in for their first slump ever.

In the US, Android’s share of the market grew by 11.5 percent last quarter, while Apple’s iOS — which powers iPhones — shrunk by 8.6 percent, according to Kantar. In Japan, Android’s piece rose by 6.1 percent, while Apple’s declined by the same amount.

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Throughout the European countries like France, Germany, Italy, Spain, UK, Android’s share was up by 5.4 percent, while Apple’s was down by 3.3 percent. Among the regions tracked by Kantar, only China delivered, with a 5.6 percent rise in the iPhone’s market share.

Reason for the poor performance

The US smartphone market continues to become saturated with fewer first-time buyers. As the number of potential new buyers declines, Android offers a more tempting environment with a wider-priced range of phones. In contrast, the iPhone remains a premium-priced device.

The report provides that, the huge number of people buying iPhones dropped to 11 percent last quarter from 13 percent for the same period in 2014, Milanese said. Further, the “contribution that first-time smartphone buyers make to Apple’s overall sales numbers went from 20 percent to 11 percent over that same period,” Milanese added.


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