Research shows major decline for new iPhone generation

Jan 8, 2019 09:43 GMT  ·  By

Sales of new iPhone models have dropped 20 percent year-over-year, according to new data provided by Counterpoint, with iPhone XR becoming the top-selling model of the latest generation.

The November 2018 figures show that when comparing the new lineup with its predecessor, the iPhone X sold nearly 50 percent more units than the iPhone XR despite its higher price.

“The overall sales of new iPhones took a hit in November due to slower sales of the series in the Asia Pacific region (excluding China and India), Europe and US,” Counterpoint says.

One of the reasons customers no longer purchase new iPhones is that they stick with their devices for a longer period of time, but in emerging markets, the difference in terms of pricing versus phones from Chinese brands is a decisive factor.

iPhone XR is the best-selling 2018 iPhone, topping both the iPhone XS and the iPhone XS Max, with the 64GB configuration said to be particularly successful.

Increasing sales for older iPhone models

On the other hand, when comparing iPhone XR with iPhone 8, which were the cheapest models at the time of their launch, sales are down 5 percent for the 2018 generation.

iPhone XR is expected to continue eating share from its more premium siblings, especially for the month of December, the research shows.

As for China, which has proved to be a particularly challenging market for Apple, the new iPhone generation provided good results in November.

“Sales in China during November were steady due to the popular 11.11 (Single’s Day) sales. Even then, sales of iPhone XR remained lower than expected due to a lack of innovative features and just one camera. And while it’s the cheapest new iPhone, it still is expensive compared to local competitor products,” Counterpoint says.

A drop is likely to be experienced in December in the Chinese market, mostly because of the trade war between China and the United States, and sales of older iPhone models are projected to grow thanks to their lower prices.