Who will Apple sell the cheapest 5g mobile phone?

Recently, Apple released the third-generation iPhone se with a starting price of 3499 yuan, becoming the cheapest 5g mobile phone on the market however, the design of its home button and small screen does not seem to attract Chinese consumers. Who will the phone be sold to in the endP align = “center” who is the target user of iPhone se

On March 9, apple held a spring conference and officially released the iPhone se (third generation) iphone se (the third generation) is known as “the cheapest 5g iPhone” , and the starting price is set at 3499 yuan, which is 200 yuan higher than that of the previous generation.

Compared with the iPhone 13 series whose overall price was reduced by Lihe Technology (Hunan) Co.Ltd(300800) yuan last year, why did Apple raise the price of the new generation of iPhone se under the banner of price reduction

iPhone se (the third generation) has introduced A15 bionic chip and 5g technology, and its cost has actually increased by more than 200 yuan. from this point of view, iPhone se (the third generation) still maintains the ‘people-friendly line’, and its cost and price ratio is similar to that of the previous generation.” Ivan Lam, a senior analyst at counterpoint, told China business daily.

It is noteworthy that compared with the previous generation of iPhone se, the biggest difference between this phone and the previous generation of iPhone se is that it adopts A15 bionic chip and supports the latest 5g mobile network, also provides a choice of 256gb capacity version; However, the other parameters are almost the same as those of the previous generation. The 4.7-inch small screen and home button are still used, that is, the size and appearance of iPhone 8.

In the mobile phone market, the iPhone SE (third generation) still keeps the home button design four years ago. This has also become the main reason why netizens make complaints about their lack of innovation. not only that, the iPhone Se series is not updated every year. Since the first generation was launched in 2016, only three models have been launched in six years.

Why does apple still keep this product line? Who are the target groups of iPhone se (third generation)?

iphone se product line’s main strategic purpose is to expand user groups with relatively limited budget and some overseas emerging markets. ” Wang Xi, China Research Manager of IDC, told China business daily, “In the price range of $600 or even less than $500, Apple’s inherent product strategy is to use n-1, n-2 or older products to extend their life cycle and reduce prices. Of course, under this strategy, the processor will relatively lag behind the main products, while the iPhone se uses older molds to carry the latest processor to give corresponding users one more choice.”

“The iPhone se (third generation) is for people with special needs, such as people who prefer fingerprint unlocking, small screen, etc.

“According to the past data, a large part of Apple users come from old models, second-hand phones and small screen models. iphone se is to take care of these stock users.” Lin Keyu told reportersP align = “center” will it impact China’s medium and high-end market

Although the iPhone se (the third generation) is positioned as a medium and high-end model, but 5g mobile phones with a price of 3000 yuan emerge one after another in the Chinese market, and the competition is very fierce redmi K50 E-sports Version (from 3299 yuan), one plus 9rt (subsidy price of 3399 yuan), glory 60 pro (from 3699 yuan), oppo reno7 pro (from 3699 yuan), realm GT2 pro (from 3699 yuan) and other domestic brand models are concentrated in this price segment.

The person in charge of a mobile phone dealer in Beijing told China Business Daily: “In China, people buy Apple phones mainly for high-end models, because these models have higher configuration and better experience. if the budget is not enough, they will also choose domestic phones with good strength and better marketing. what’s more, fewer and fewer people use small screen phones now.”

The above-mentioned Apple store salesperson also admitted to reporters that does not buy many iPhone se . If you like small size or pursue cost performance, the iPhone 13 Mini is more popular.

Some consumers even included the iPhone 12 Mini in the comparison range. ” from the product positioning of iPhone se, iPhone 12 Mini is more suitable to start with. ” a digital enthusiast told reporters.

“Consumers in the Chinese market have a high demand for large screen and battery life. The iPhone se (third generation) with and a starting price of 3499 has only 64g capacity, and the relatively mainstream 128G capacity needs up to 3899 yuan . There are many other options in this price segment, including the iPhone 12 mini, which is also in a very close price segment, so China chooses the iPhone se (third generation) The number of users is expected to be relatively small. ” Wang Xi said.

” the price range of 3000 yuan is the obvious advantage of domestic manufacturers , iPhone se will not have a strong impact on the models of domestic brands in this price range.” Lin Keyu saidP align = “center” may be more popular in overseas markets

The iPhone Se series may not be “popular” in the Chinese market, but judging from the previous shipment data, it still has a certain competitiveness

According to the data of Market Research Institute counterpoint, among the top ten best-selling mobile phones in the world last year, iphone se (second generation) ranked eighth with a market share of 1.6%, and even exceeded the market share of iPhone 13 Pro Max released last year.

According to the counter point smartphone model share tracking report in the fourth quarter of 2021, from the second quarter of 2020 to the fourth quarter of 2021, iPhone se (second generation) accounted for 12% of Apple’s total iPhone sales . Among them, Japan and the United States are the world’s largest markets for this mobile phone, accounting for 33% and 24% of the total sales of iPhone se (second generation) respectively, while China accounts for only 8%.

The above digital enthusiasts also said that iPhone se still has a market in Japan and other countries . “When I went to Japan, I saw that many elderly people in the subway still use the old key presses. In addition, iPhone se still has room for development in some 5g underdeveloped regions and emerging markets. In some markets, Shanzhai machines have not been completely eliminated.”

Japanese market is the ‘base’ of Apple’s mobile phone sales and its sales share in Japan exceeds 50%. The consumption behavior in Japanese market is also dominated by rational consumption, and consumers can accept the configuration and price of iPhone se.” Lin Keyu said.

In view of the previous sales performance of iPhone se (second generation), the industry still gives confidence to the release of iPhone se (third generation)

Apple analyst Guo Mingxuan said expects iPhone se (third generation) shipments to reach 25-30 million units in 2022 futu securities predicts that the annual sales volume of iPhone se (third generation) is expected to exceed 30 million, contributing US $13.5 billion in revenue. Analysts at JPMorgan Chase Bank said before the release of the mobile phone that the new mobile phone is expected to win about 1.4 billion medium and low-end Android mobile phone users in the world and about 300 million old apple users,

According to the supply chain news, iphone se (third generation) entered the mass production stage in early February this year . Hon Hai Zhengzhou factory left 100000 people during the Spring Festival in order to successfully mass produce iPhone se (third generation).

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