Supply Chain: High Pricing Approach May Affect The Demand Of iPhone XS

A new report from DigiTimes said that the extremely high price set of Apple's new iPhone XS series may cause the demand of this latest flagship to slow down in end of 2018, as the initial fanfares of this new product have begun to fade away. This is particularly true for the iPhone XS Max, which is priced at $1,449 for the 512GB version.

Interestingly, several people predicted that iPhone X would also sell poorly on the market because of the high pricing strategies it adopted, but it turns out pretty strong. Still, by 2018, there are still many people who are not optimistic about the approach.

Cited sources from the iPhone supply chain, the report noted that Apple would significantly reduce orders in case the sales begin to go downhill. Plus, the similar situations have occurred when the company selling iPhone 6s and iPhone 7.

Sources explained that one of the important indicators is that the initial sales of iPhone XS and iPhone XS Max are not as strong as the previous iPhone 6, consumers have apparently avoided the expansiveness of iPhone XS Max, and the iPhone XS's "S-level" upgrade did not make most consumers motivated to purchase it.

One of the major indicators was that the first wave of the sales of the iPhone XS and XS Max was not as enthusiastic as that of the previous iPhone 6 generation, as consumers have apparently shunned away the iPhone XS Max for its extremely higher price and also the iPhone XS for a lack of specification upgrades, said the sources.

However, Apple's "final ace" is likely to be the iPhone XR. Reports said that Apple is modifying the balance of total iPhone orders in December, and iPhone XR will account for more than 50% of total iPhone orders. The iPhone XR is a lower-priced model and is likely to be Apple's best-selling iPhone this year.

Image Via The Independent

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