AppleWatch is the ace… Emerging as a new growth engine
With the iPhone saturated in the North American market, AppleWatch has emerged as a major growth engine for Apple.
According to market research firm Counterpoint Research on the 17th, Apple Watch announced that it reached 30% of iPhone sales in North America in the first half of this year.
This is the highest percentage since the first half of 2015, when Apple sold one Apple Watch per 10 iPhones. The first generation of Apple Watch was first released in September 2014.
Counterpoint analyzed, “The proportion of Apple Watches per iPhone shipment is steadily increasing,” adding, “In particular, Apple Watch’s popularity in the U.S. smartwatch market has increased, achieving annual sales of $70 billion.”
Apple Watch’s red color accounted for only 18% of iPhone shipments in 2021.
The average selling price (ASP) of Apple Watch continues to rise as the iPhone releases its premium line “Apple Watch Ultra” for the first time this year.
This means that there may be more opportunities for sales growth due to Apple Watch.
In 2015, the Apple Watch function only supports messages and calls, but has a limited range of use.
Over time, Apple Watch has become a more useful fitness tracking tool with new functions such as waterproof, GPS, cellular connection, ECG, sleep tracking, fall detection, always-on display, blood oxygen saturation detection, and body temperature detection for ovulation tracking.
In the third quarter of this year, service sales accounted for 23.6 percent of Apple’s total sales. This is more than 10% of service sales in the third quarter of 2015.
The report predicted, “Apple Watch is playing a pivotal role in the growth of service profits mainly through subscriptions such as Apple Music, Apple Care, and Podcast, and there is room for more growth in the future,” adding, “It will play a key role in the next 10 years.”