Adoption of iPhone 7 Is 'Strong,' But Lags in China, Says Localytics Study
Adoption of the iPhone 7, 7 Plus and iOS 10 is “strong” -- 1.3 percentage points higher than two weeks ago -- but adoption over the period was higher for the iPhone 6 and 6 Plus two years ago, said…
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a Localytics study Tuesday. IPhone 7 models have 5.1 percent of total iPhone market share, said Localytics, with 3.6 percent iPhone 7s and 1.5 percent the iPhone 7 Plus. IPhone adoption has slowed in China where the 7 models are 3.8 percent of total iPhone share, said Localytics. The digital analytics/marketing firm attributed the lower share in China to resellers trying to smuggle phones outside of the country to sell them at a higher price, leading to supply shortages. Demand “seems to exist” for the iPhone 7 phones, but “high prices set by the re-sellers may also be turning Chinese consumers off from the new phones,” it said: The global one-month share for combined 7 models is faring better than the iPhone 6S and 6S Plus a year ago, at 4.3 percent share after one month. "Even though the ‘7’ models have strong overall adoption, demand does seem to have slowed down,” Localytics said. Hong Kong, Taiwan, and Japan experienced high adoption with the new iPhone 7 models, which are 7.7 percent of total iPhone market share in Hong Kong, 7.4 percent in Taiwan, and 7.1 percent in Japan, with the U.S. having the fourth-highest adoption. Demand was especially high in Hong Kong, where lines outside of Apple stores were reported, even with rising popularity of preordering, it said. Adoption of iOS 10 has continued to increase since its Sept. 13 release, reaching 60 percent adoption on eligible devices, it said. By comparison, iOS 9 was adopted by 56 percent of eligible devices and iOS 8 by 39 percent one month after release, it said. For the study, Localytics examined more than 70 million iOS devices. Meanwhile, Barron’s reported Tuesday that Stifel Nicolaus raised its price target for Apple to $130 from $120, reflecting iPhone shipments of 47 million vs. its prior 42.2 million estimate.