The secret to explosive iPhone sales growth is the fourth leg of the stool
Apple’s iPhone 16 Plus is available in five bold colors: black, white, pink, teal, and ultramarine.
If Apple can show growth from all four new phones it releases each year without them cannibalizing one another, the company will have its best chance to see iPhone sales grow meaningfully for the first time since 2022.
One of the first things Steve Jobs did when he returned to Apple in 1997 was simplify Apple’s product lineup. At the time that meant four computers: Two laptops and two desktops, each in a pro and consumer version.
“If we had four great products, that’s all we need,” Jobs said at a product launch in 1998.
Three decades later, Apple’s product lineup is much broader… But when it comes to iPhones, four remains the magic number.
Unfortunately for Jobs’ company, not all of the iPhones are equally popular.
Every year since 2020, one of the new iPhone models has lagged its siblings in sales. This year it’s the iPhone 16 Plus, which lands in the middle of the lineup. At $899 in the U.S., it’s more expensive than the baseline iPhone 16 but cheaper than the iPhone 16 Pro and Pro Max, which have better screens.
Looking ahead, Apple is keeping its four iPhones strategy in place, but it may change the approach it takes to finding a successful fourth model for its 2025 lineup.
Instead of a fourth Mini model at the low end of the lineup or a Plus in the middle, Apple may introduce an Air model at the top of the lineup. An Air offering could be distinguished by a lighter-weight device and a higher starting price…
MacDailyNews Take: Drop the numbering system. Forget about “Air” (or do it as described below) and give us the “iPhone Ultra.”
Market it as the ultimate iPhone with all of the latest cutting-edge tech and, importantly, a unique, differential design. An all-new flagship iPhone – that everyone immediately knows upon sight is the flagship iPhone Ultra – will sell better than some alternative base model, be it small or large. It will also increase iPhone ASP.
The lineup should be named thusly:
• 6.3-inch iPhone (year)
• 6.7-inch iPhone Pro (year)
• 6.9-inch iPhone Pro (year)
• 7.1-inch iPhone Ultra (year)
Alternative naming option (rebrand the smallest model as “Air”):
• 6.3-inch iPhone Air (year)
• 6.7-inch iPhone (year)
• 6.9-inch iPhone Pro (year)
• 7.1-inch iPhone Ultra (year)
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