New iPhones Tipped To Be Expensive Second Hand Models In Demand
This week iPhone owners looking to upgrade to a new iPhone 15, could be in for a shock, with Apple looking to justify a significant price increase. because of the use of new materials and an upgraded camera.
Banned by various Chinese Government departments at both a State and Federal level, Apple is facing a difficult time with the EU forcing Apple to eliminate their lightening cable connector a move that could further hurt revenues at Apple, who saw billions wiped off their share value last week.
Revenue is key to Apple with the cost of a new iPhone 15 set to top previous records, ChannelNews has been told that Apple is set to drive as much business as they can to their own store network a move that eliminates the need to pay mass retailers of their products margin which is at best “slim” compared to other brands sold by these retailers.
Apple’s rational for the price rise is that they are moving to more expensive components like titanium frames, new camera sensors and additional storage.
Apple is also set to pitch improved battery life, and faster USB-C data transfer speeds, thinner borders and nicer screens.
On the issue of battery life, I for one are fed up with listening to Apple iPhone users complain of poor battery life. This problem was very evident at IFA last week with several attendees diving into the media room to recharge their iPhone with several complaining that they are only getting 5-6 hours life out of a full charge which at a show like IFA is a big problem.
Insiders are tipping that the top end Pro versions will get a customisable action button and a faster processor.
The new pricing could push up the monthly cost of owning a premium iPhone between $15 and $25 dollars depending on the model.
Apple also is adding an extra enticement to the top-of-the-line Pro Max: The phone will offer a wider range of optical zoom via a so-called periscope lens similar to what Samsung has been offering for some time.,
This system doubles the iPhone’s ability to zoom in on an object via the hardware lens from 3x to about 6x.
Bloomberg claims that in past years, the two Pro models typically only differed in terms of screen size and battery capacity. They shared the same features, internal components and specifications.
(The last time Apple differentiated its high-end phones was in 2020, when the iPhone 12 Pro Max had slightly superior zoom and stabilization. But the periscope addition is more significant.)
So, the new approach shows Apple is getting more aggressive with its premium strategy.
The company will also push customers toward its more expensive accessories, continuing a trend from the September 2022 launch.
The new Apple Watches will all get a major performance upgrade, but users will need to spring for the pricier Ultra to get a titanium case, larger screen and longer battery life. And if customers want AirPods that support USB-C charging, they’ll need to buy the costlier model, at least for now.
Currently iPhones account for around 82% of the fast-growing second-hand device market with brands such as Boost reporting “big demand” for second hand models and this is an ongoing problem for Apple as consumers go second hand over new.
IDC expects will reach 413 million smartphones in 2026.
CCS Insight claims that some markets have a surplus of traded-in formerly leased phones, and that trade-in volumes in Europe don’t meet second user demand.
In 2021, Western Europe had to import 11 million smartphones to meet demand from the second-user market, they say. In most territories, demand for these devices is growing to outpace supply.