In with the old, out with the new: Apple iPhone 7 is outselling the iPhone 8

In with the old, out with the new: Apple iPhone 7 is outselling the iPhone 8
KeyBanc Capital Markets conducted an in-store survey of Apple iPhone sales and discovered something interesting. The 2016 Apple iPhone 7 is outselling this year's brand spanking new Apple iPhone 8. Usually, when the latest iPhone model is launched, it swamps older versions when it comes to sales. Last week, brokerage firm Jefferies said that weak sales of the iPhone 8 were to blame for a decline of 900,000 postpaid upgrades at AT&T during the third quarter. KeyBanc analyst John Vinh says that consumers don't see much of a difference between the iPhone 7 and iPhone 8, and are saving money by purchasing the former.

The analyst also noted that KeyBanc's survey revealed that many of those shopping for a new iPhone are waiting for the tenth anniversary Apple iPhone X to be released before making a decision on whether to purchase the iPhone 8. The iPhone X is supposed to be launched on November 3rd, and production shortfalls are going to make it the hardest to find iPhone ever.  It carries the first OLED panel used on an iPhone, and offers an edge-to-edge display. Instead of Touch ID, Apple is using a new facial recognition system called Face ID on the device.

Apparently those choosing the iPhone 7 over the iPhone 8 aren't interested in the new additions to the latter model such as wireless charging, a more powerful A11 Bionic chipset, and the Portrait Lighting (iPhone 8 Plus and iPhone X only) feature that allows for the use of dramatic backgrounds when shooting selfies. But the difference in pricing is enticing. The Apple iPhone 7 can be bought at $549 and up while the iPhone 8 starts at $699.

source: Reuters

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61 Comments

1. Avieshek unregistered

Time to Miss Steve Jobs.

3. Lumbergh

Posts: 463; Member since: Feb 14, 2016

While Steve Jobs is missed, the reason iPhone 7 sales are beating iPhone 8 is purely driven by the iPhone X anticipated release. Without question, iPhone X sales will match iPhone 8 sales figures once full manufacturing capacity is available.

5. Finalflash

Posts: 4063; Member since: Jul 23, 2013

Well then it probably never will. They still haven't fixed yield issues and therefore, probably can't produce enough to save this year in terms of sales.

18. sgodsell

Posts: 7244; Member since: Mar 16, 2013

I think the iPhone 7 is out selling the iPhone 8 because of the $150 difference. Think about it, you are getting a glass back with wireless charging, and a updated SoC. That's it. If you want to include fast charging, then you have to add another $75 on top.

46. vandroid

Posts: 405; Member since: Sep 04, 2012

You don’t have to add $75 for fast charging. I bought a $20 anker wall adapter off amazon a while ago and my phone charges pretty fast. Works with the cable that comes in the box too.

47. worldpeace

Posts: 3129; Member since: Apr 15, 2016

And if you wan't to use that wireless charging, U'll need to buy wireless charging pad

6. Valdomero

Posts: 666; Member since: Nov 13, 2012

They make their own product cannibalize.

9. treypoundz

Posts: 65; Member since: Sep 05, 2017

That n its the same damn device as the 7 6s and 6. And then the software is the same. So u can get a 6 se n still have ios 11. N a headphone jack

26. Leo_MC

Posts: 7269; Member since: Dec 02, 2011

Wrong

11. BLUEBLASTER

Posts: 926; Member since: Feb 23, 2014

Nah no way. The X sales will hammer the 8 and 7 hell people have been waiting since the 6 for a new design upgrade.

21. sgodsell

Posts: 7244; Member since: Mar 16, 2013

But a number of people that I know are going to wait, before they fork out the money. Because it's considerably more.

24. Scott93274

Posts: 6032; Member since: Aug 06, 2013

But there are two issues with the X that will probably keep sales lower than expected. 1) The price, it starts at $1,000. 2) Reported Yield rates are below 10% meaning Apple isn't able to fine tune to the manufacturing process enough to get sufficient quantities to the market thus keeping sales low. They had the same issue with sapphire glass displays and they chucked the feature as a result. Though now that they've already announced the iPhone X, they don't have the luxury to simply not release it, but you can expect it to be super limited quantity.

15. Xilam unregistered

The problem as it seems, like Finalflash said below, Apple will not be able to produce to meet demand. I mean there are reports that they’re below 100K for initial launch - that’s a tiny fraction of demand of any iPhone let alone the X. With that you’ll see two type of reports and fanboy arguments: 1. Ha ha, Apple didn’t sell much of X - iPhone X too expensive, not worth upgrade, people realizing iphone sucks! (Or whatever fits their nerrative, when in fact see #2). 2. Apple did not produce enough of X (duh) people switched to another brand with bezeless design. Looks like Apple bit more than it can chew.

22. uncle_gadget

Posts: 1050; Member since: Sep 20, 2017

Whether Apple can make enough or not, there will be millions of people who aren't gonna buy it for whatever reason. So you can't assume what the reasons are!

20. uncle_gadget

Posts: 1050; Member since: Sep 20, 2017

To some degree yes. But every year it usually takes 2 quarters for the newest iPhone to outsell the older model. Also why pay more for the same phone? Then have to go buy wireless charging cable and adapter?!

30. Macready

Posts: 1818; Member since: Dec 08, 2014

" Without question, iPhone X sales will match iPhone 8 sales figures once full manufacturing capacity is available." At this rate, that could be half a year from now. At which point, there is no way it can make up lost ground compared to the iPhone 7. In fact, the price point alone will prevent that from happening in the first place. Not to mention the fact that the 7 series had 2 models to spread sales, the X is a loner (you didn't mention the 8, you said the X would match the 7).

31. DellB

Posts: 55; Member since: Jun 07, 2015

If so sir, why then is the iPhone 7 selling at all? Wouldn't everybody just hold-out for the iPhone X instead of buying the iPhone 7?

32. izim1

Posts: 1596; Member since: Feb 04, 2013

If youre waiting on the x why buy a 7 at all?.... and if youre going to buy a 7 just to hold you over, you may as well buy an 8... It's the price thats driving 7 sales over the 8, buddy. Not x anticipation.

45. antonmassoud

Posts: 89; Member since: Oct 22, 2016

If what you are saying is true and that people are waiting for the iPhone X release, then why are they buying the iPhone 7 more? They could just save the money for the X.

58. Phonehex

Posts: 759; Member since: Feb 16, 2016

Don't feel so bad that your beloved iPhone 6sss isn't selling well.

17. Nine1Sickness

Posts: 896; Member since: Jan 30, 2011

If Steve Jobs was still here, the iPhone would still be sporting a 3.5” screen.

23. uncle_gadget

Posts: 1050; Member since: Sep 20, 2017

False. It would be 4.3" by now! lol

25. Scott93274

Posts: 6032; Member since: Aug 06, 2013

Meh, I'm done with phablets. Not to say that he was right about the 3.5" display, but I think 4.7" to 5" is the ideal side for me.

27. trojan_horse

Posts: 5868; Member since: May 06, 2016

Anything below 5" is a joke to me, brah. I hope you're doing fine, anyways. :))

51. Scott93274

Posts: 6032; Member since: Aug 06, 2013

Well, I'm talking about phones, I'm not sure what you're talking about, but if you love em big, then that's not something I'm going to judge. :P lol.

34. roldefol

Posts: 4744; Member since: Jan 28, 2011

Hear, hear. Every time I pick up a 5" Pixel or Pixel 2 at the store, I think "that feels just right."

55. Wiencon

Posts: 2278; Member since: Aug 06, 2014

That would be actually great

2. PhoneInQuestion

Posts: 496; Member since: Aug 20, 2017

Wouldn't be surprised if the 6S and SE picked up more sales as well...

4. Lumbergh

Posts: 463; Member since: Feb 14, 2016

Oh they will. I am going to buy one of each myself because I refuse to purchase a smartphone without a headphone jack.

13. HansP

Posts: 542; Member since: Oct 16, 2011

The SE does have a headphone jack, I think? But, it's easily fixed with some cement filler.

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