Apple sales drop 20% at Target during the second quarter

Apple sales drop 20% at Target during the second quarter
Target chairman and CEO Brian Cornell was talking to Wall Street analysts today about the rough second quarter suffered by the retailer. He mentioned the double-digit percentage decline in revenue the retailer had in electronics, and noted that Apple devices had a 20% drop in sales in Target from April through June.

The retailing executive didn't want to target the iPhone (no pun intended) for the drop in revenue. Instead, when asked by a Goldman Sachs analyst if the drop in Apple revenue was due to weak iPhone sales, Cornell said the issue was a "broader story across the product suite." The Chairman and CEO said that Target is working with Apple to help promote and sell Apple's new products in the second half of the year. Besides the new Apple iPhone 7 and Apple iPhone 7 Plus, he could be referring to the rumored Apple Watch 2 and a possible sequel to the 9.7-inch Apple iPad Pro.


The latest rumor has the iPhone 7 and iPhone 7 Plus getting unveiled on September 7th. According to a leaked AT&T memo, the two phones will be available for pre-orders starting on September 9, with the actual launch of the phones taking place two weeks afterward.     

source: SeekingAlpha

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32 Comments

1. keithtae

Posts: 564; Member since: Mar 25, 2015

Waiting for the new iPhone.

15. cheee

Posts: 50; Member since: Jul 11, 2016

meanwhile samsung sale doesn't drop that mean costumer don't care about new iphone

16. Unordinary unregistered

LMAO. What an idiot

19. NoToFanboys

Posts: 3231; Member since: Oct 03, 2015

There's something called a 'brain' inside your head, try to use it, don't be afraid, I know you can.

2. johnnyboy

Posts: 55; Member since: Aug 16, 2016

Bargain prices.

14. SYSTEM_LORD

Posts: 1168; Member since: Oct 05, 2015

If this drop in profits will spur some *useful* innovation out of Cupertino (and inevitably the android space as well), then the financial hurt of Apple will do us all some good.

22. tedkord

Posts: 17456; Member since: Jun 17, 2009

Innovation in the Android space is humming along just fine.

3. kiko007

Posts: 7520; Member since: Feb 17, 2016

Breaking News: I didn't know Target sold iPhones! Breaking News: No one gives a damn :D!

4. JunitoNH

Posts: 1946; Member since: Feb 15, 2012

They are good, reliable devices, but need to come down in prices.

5. johnnyboy

Posts: 55; Member since: Aug 16, 2016

Better than anything else at the affordable price point....

6. TechieXP1969

Posts: 14967; Member since: Sep 25, 2013

Subjective!

8. johnnyboy

Posts: 55; Member since: Aug 16, 2016

Truthful!

13. jeroome86

Posts: 2314; Member since: Apr 12, 2012

Even though they're the best selling smart watches I'm more interested in maybe a fitness band. But if they were more affordable and offer some water resistance I would consider getting one.

11. lyndon420

Posts: 6868; Member since: Jul 11, 2012

If they lower their prices further they will lose their faux luxury status. iOS users obviously don't want that to happen ;)

27. TechieXP1969

Posts: 14967; Member since: Sep 25, 2013

No. They don't need to lower the cost, they just need to add features to make it worth the cost. If not, then yes, drop the price. But they aren't going to do either.

7. HugoBarraCyanogenmod

Posts: 1412; Member since: Jul 06, 2014

Very happy to see Apple plummet

9. htcisthebest

Posts: 437; Member since: Nov 15, 2011

I second that.

10. kiko007

Posts: 7520; Member since: Feb 17, 2016

You must live a sad life then. Can't image wishing harm on any entity for such a minute cause.......China out here slippin'.

28. TechieXP1969

Posts: 14967; Member since: Sep 25, 2013

But don't you do it to Samsung?!

31. kiko007

Posts: 7520; Member since: Feb 17, 2016

If you'd bother reading my posts you'd know I don't. What would be the point in that anyway?

17. Unordinary unregistered

Cant really sell more when it already sold to the majority of the smartwatch market lol

26. lyndon420

Posts: 6868; Member since: Jul 11, 2012

The smartwatch market hasn't even begun yet. You apple lovers jumped on the first thing apple released while the rest of us are patiently waiting for OEM's to get the whole concept right...for example, batteries that can last a week or more.

29. TechieXP1969

Posts: 14967; Member since: Sep 25, 2013

I just don't see that ever happening. For one the form factor prevents a larger cell. Until Samsung perfects double sized cell in the same space or someone creates a new cell technology.

32. lyndon420

Posts: 6868; Member since: Jul 11, 2012

Anything is possible. For example...you gave a one word comment on something (I believe it was yesterday) and it totally blew my mind lol. Even this comment of yours that I'm replying to is surprisingly short compared to what you usually post.

12. emmawilliam834

Posts: 241; Member since: Feb 09, 2016

Over the past six quarters, Apple has single-handedly controlled the tech sector’s growth rate. Back in 2015, the tech sector would have been in the red every quarter without Apple. This influence is most pronounced back in Q1 of 2015, where earnings would have declined by 4%, but instead increased by 3%, thanks to Apple. However, this trend is now hurting the tech sector. The aforementioned 3.9% expected decline turns into a 2.2% gain in the second quarter, once you strip out Apple earnings. Butters also notes that Apple’s volatility is due to Apple’s reliance on the iPhone for earnings (http://goo.gl/f7RH4M ) , which has been seeing big declines this year.

18. Unordinary unregistered

Lmao why would Apple give Target exclusive access to the sales of certain devices? Apple has their own retail stores which do great. Apple doesn't need Target, Target needs Apple. Apple is doing great. Keep making the best smartwatch

25. Subie

Posts: 2416; Member since: Aug 01, 2015

Target wants to work with Apple to promote their products. I don't read anything about a target exclusive in the article.

30. TechieXP1969

Posts: 14967; Member since: Sep 25, 2013

Target needs Apple? So how did Target survive before they started seling APple's hardware? Oh that's right, even against Wal-Mart they were ding just fine Retails stores of any brand don't need Apple. You're confused about who needs who. Apple needs retailers because it gets more product in peoples faces. Apple doesn't have that many stores in the USA. Retailers actually encourage more sales vs Apple stores, because Apple rarely offers promotional discounts.

20. Charlie2k

Posts: 153; Member since: Jan 11, 2016

When journalists see that Apple sales are going down they will step up a notch with the never ending propaganda.

21. quakan

Posts: 1419; Member since: Mar 02, 2011

"About a third of the decrease in electronics sales stemmed from reduced demand for Apple products, which were down more than 20 percent." - Reuters Target had a weak quarter for all electronic sales and now people want to act as if this spells out doom for Apple? I'll chalk that up as blind hate.

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