CIRP is out with a new report today centered on the gross sales patterns of iPhone patrons relating to storage tiers. They spotlight how storage tiers have develop into a serious approach for Apple to extend its revenue line for every new iPhone bought, because the iPhone’s margins get more and more higher when storage is upgraded.
In accordance with CIRP’s findings, virtually half of iPhone patrons choose to improve the storage on their system. And this development skews even larger, reaching over 50%, when contemplating the iPhone 15 lineup in isolation.
Storage improve conduct varies by iPhone mannequin
Final week CIRP reported that the iPhone 15 lineup is lagging behind sales of its predecessor. At present, nevertheless, its report was all about understanding storage improve conduct.
Storage upgrades range by mannequin. Clients shopping for newer, costlier fashions, such because the iPhone 15 fashions launched in September 2023, improve storage at a better fee than clients shopping for older, cheaper fashions. Over half of iPhone 15 mannequin patrons improve storage, in comparison with underneath 40% for the year-old iPhone 14 fashions and simply over and underneath 30% of iPhone 13 and 12 patrons.
This breakdown makes lots of sense, since patrons choosing older iPhones are possible extra cost-conscious and thus much less inclined to shell out for the next storage tier. Clients shopping for the latest and thus highest-priced fashions, nevertheless, don’t thoughts paying a bit extra for added storage.
The identical development is mirrored even inside the full iPhone 15 lineup as you break it down into Professional and non-Professional fashions. 54% of consumers shopping for the iPhone 15 Professional and Professional Max will select the next storage tier, in comparison with solely 36% of iPhone 15 and 15 Plus patrons.
That’s a big distinction that’s much more outstanding when contemplating that Professional fashions already begin with double the storage of their non-Professional equivalents.
9to5Mac’s Take
Apple has much more knowledge concerning shopper conduct relating to iPhone purchases, however CIRP’s report gives a useful strategy to perceive a key part of what the corporate’s working with. It have to be difficult to strike an ideal steadiness between providing base storage choices which might be enough for a lot of customers, whereas additionally providing engaging improve tiers.
My largest takeaway from this report: Apple is aware of that patrons of its most costly iPhones will fortunately fork over extra money for storage.
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