iPhone 15 Plus
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A metric used to gauge iPhone sales performance suggests a decrease in the average selling price in the June 2024 quarter due to the popularity of older models.
Apple stopped reporting iPhones’ Average Selling Price (ASP) in 2018. However, Consumer Intelligence Research Partners (CIRP) have maintained the US-WARP, which closely mirrors the ASP, minus the global scope and wholesale discounts.
In the June 2024 quarter, US-WARP was recorded at $966, representing a decline from $995 in the March 2024 quarter but shows an increase from $948 in the June 2023 quarter. Notably, the March 2024 figure was the highest ever estimated by CIRP.
The impact of older models
The sales shift towards older, less expensive iPhone models is a significant factor influencing US-WARP. The observed trend in the June 2024 quarter mirrors the decline seen in June 2023, a reflection of Apple’s iPhone launch calendar.
iPhone US-Weighted Average Selling Price
As dedicated upgraders purchase new models soon after release, the remaining buyers in subsequent quarters are less inclined to buy the latest and more expensive models.
The shift has implications for Apple’s sales strategy and investor expectations. While the overall unit sales remain high, the increased share of lower-priced models suggests a weaker sales quarter in revenue.
The impact on Apple’s revenue is evident in the higher percentage of Android switchers and repeat iPhone buyers opting for less expensive models. As the company prepares to release its financial results on August 1, these insights provide a clearer understanding of the underlying sales dynamics and potential challenges ahead.
