Apple is known for its feature-packed devices. It is also known for the premium prices it charges for them. At the end of 2021, Apple made the headlines once again, but not for the right reasons. Check out the next sections to find out why people stopped being interested in iPhone 13 and what Apple plans to do in 2022 to get back on track.
Apple Store in Aventura, Florida, USA.
Everyone knows the tech giant, Apple, and its many popular products. iPhones have been all the buzz for some time now, but it seems that this is about to change.
At the end of 2021, Apple announced that it cut down on the production – part of it because of the global chip shortage. Secondly, the company stated that even the cut-down numbers may not even be produced at all.
Financial Distress or Technical Issues?
It’s no longer a surprise that many people went through financial distress in the past couple of years due to the pandemic. Some voices may claim that people were no longer interested in Apple’s premium-priced new model that currently costs about $1,000.
Skyrocketing inflation, unemployment, and challenging economic conditions affected many people around the world. In fact, according to Promocodius, a promo code website, the demand for coupons and discounts has increased considerably. For instance, for Ukraine’s Comfy, promo codes are
increasingly becoming popular and are used to discount numerous gadgets and other tech goods, including phones, cameras, and even TVs.
Despite this, there’s another assumption that people looking for bargains may not be the only reason the demand for iPhone 13 slumped. In fact, the new iPhone 13 is believed not to come with worthwhile improvements, so some people may be saving up for iPhone 14, set to be released later on in 2022. There was also Apple’s confirmation that the new iPhone 13 has an audio problem regarding noise cancellation during phone calls, which some may claim that it defeats the main purpose of a phone – to make calls.
What’s Apple Planning Next?
During the holidays, Apple counted on iPhone 13, MacBook Pro, and the well-known AirPods to keep up with its sales estimations. Despite the 6% expected rise in revenues, iPhone 13 failed to deliver on its promise. Apple’s most popular product, iPhone, accounted for about half of its revenue in the previous year, so the company tried to compel its customers via inexpensive upgrades and rebate programs to buy the new gadget.
Unfortunately, Apple fell short as people became more aware of the ongoing chip supply chain crisis, along with being pressured by inflation, massive delays in delivery times, and the emergence of the new COVID-19 variant, Omicron.
During the pandemic, people used their savings to splurge on luxury tech products and other expensive goods. However, with more relaxed restrictions, many individuals now pump their cash into outdoor activities and traveling. This leaves Apple with lower demand for their newest product.
Undoubtedly, the drop in customer demand for iPhone 13 also led to share price drops, although Apple remains the second most valuable company in the world. Most tech companies were hit hard by the chip shortage last year that slowed down production and delivery.
In 2022, Cook, Apple’s CEO, predicts that the company will remain short of demand. There are already rumors that iPhone 14 will have several new improvements on the iPhone 13 Pro. For instance, the camera will come with 48 megapixels (versus only 36 for iPhone 13), 8K video recording, and the so-called “pixel binning.” This means that people can choose from 48 or 12 megapixels, as more pixels mean that there is less captured light, resulting in darker photos. The pixel binning process is nothing new – it has already been used in some Samsung products, such as the Galaxy S21 Ultra.
In conclusion, it may be difficult to decide whether people are simply waiting for a better product or many of Apple’s loyal customers found out about the product’s missing feature. For 2022, Apple seems to focus on retaining its customer base by providing a superior iPhone 14, along with making sure that the product remains at a (relatively) affordable price to drive demand.