AAPL Stock News: Should Apple lower its prices to keep its top-spot?


AAPL Stock News

Many analysts are concerned with Apple’s future: since iPhones and iPads are its top-selling products, what would happen if people stopped buying them because of their prices ? Indeed, Android’s products are way cheaper than Apple’s devices when they offer the same quality and user-experience: Android’s prices are generally at least 50% cheaper than Apple’s.

As the smartphone market is evoluting toward less expensive devices, some are starting to wonder how long will it take for people to stop buying iPhones ? 84.6% of Apple’s worldwide smartphones shipments during the second quarter of 2014 were above $200, whereas 61.4% of Microsoft’s shipments were below $200 in the same period according to IDC. 

Yet, if you take a look at Mac sales, you can see that higher prices don’t necessarily mean lower sales. Mac computers have been outperforming Apple’s PC competitors for years now, even though they are more expensive. In fact, Mac’s shipments are still growing, they’re up 18% on a year-over-year basis for the last quarter. Mac sales are overall the best indicator of both the iPhone and the iPad’s pricing strategy.




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