Apple Sales Look Healthy

Apple Products Holding Prices Steady, iPods, iPhone Sales Look Healthy.

Apple (AAPL) Stores See Some Uptick in iPod Touch Sales
Over the past week, we surveyed Apple Stores to gauge trends in sales of iPod's and computers. We asked the following questions:

1. Are you discounting any iPod's?
2. What is the best selling iPod model?
3. Have you sold more iPod's in the past month than in the previous month?
4. Are you planning on discounting computers soon?

• 87% of respondents said they were not discounting iPod's currently.
• 63% of respondents said that the iPod Touch was the best selling iPod model. 23% said that the new iPod Shuffle was the best selling model.
• 57% of respondents said they had sold more iPod's in this past month than in the previous month.
• 63% of respondents reported not discounting computers or any kind. 37% said they were discounting computers.

Key Takeaway: Apple stores appear to be holding the line on pricing. This trend has been consistent throughout 2009. We believe that the pricing discipline could positively impact Apple's performance. Business also appears to be trending upwards in April. In our related survey on AT&T (T) stores sales of the iPhone continue to look strong with positive trends in new iPhone account openings in addition to simple hardware unit sales.

AT&T Store Survey Show Strength in iPhone.
Over the past week, we also surveyed AT&T Stores to gauge trends in sales cell phones and new account sign ups. We asked the following questions:

1. What is the best device to get for e-mail?
2.Has there been an increase in the number of people opening accounts?
3.What is the best overall selling phone?
4.What is the best selling music device?

• 53% of respondents said that the Apple iPhone was the top device for e-mail. The Blackberry Bold was seen as the best device by 27% of respondents.
• 53% of respondents state that the number of new accounts opened at their location has increased in the past month.
• The Apple iPhone was seen as the best selling overall device by 67% of respondents.
• The Apple iPhone was seen as the best music device by 53% of respondents. 20% cited the Sony-Ericsson (SNE) W350.

Key Takeaway: The Apple iPhone appears to maintaining its strength as the leader in every category we survey – best overall, best for e-mail and best for music. New account openings appear to be moving up a bit. We believe that AT&T Wireless is doing well with the strong allure of the Apple iPhone drawing in new users.

Comments

[Robert DiAl...:]

I am in the Apple camp too. I hold some shares in AAPL and will look for good news when they come out with earnings on April 22, 2009. Good luck to the bulls.

Apr 16 07:34 AM

[lovethelang...:]

It's too bad the iPhone name so prominently calls out the phone function because it's so much more than that. The new version of the hardware and software is going to make that clearer than ever.

Editorial note: please don't use apostrophes to create plurals (e.g., "ipod's"! I see it all over the place and it drives me nuts.

Apr 16 08:19 AM

[Alan D.:]

I may be missing something, but I'd like to see historical results of such a survey... The only (literally, ONLY) time I've seen Apple discount products in-store, is Black Friday in November. And I'm in Apple stores somewhat frequently...

Apple stores (including store.apple.com) do offer discounts to students/faculty, government employees/military, and many large corporations, but those are ongoing discount programs, not a 'sale'.

Apr 16 09:05 AM

[The Crossha...:]

AAPL historically moves higher into earnings and depending on the general market moves higher into the summer, then a nice correction before the fall/winter move higher. All subject to change in the current environment. My strategy is smaller profit targets based on my charting rules. Live to fight another day.

Apr 16 09:38 AM

[beech_35:]

No discounting in a down market speaks volumes about their product draw. Educational discounts have always been available, but they're on the order of 5%.

The iPhone ought to be thought of as an exquisitely engineered, fully functional computer that happens to have a phone. There are no comparable products from any other company so Apple is enjoying a well-justified monopoly. What meaningful competition does Apple really have with any of its products?

Please: to make a noun plural, add an s. No apostrophe. Grammatical errors diminish your message.

Apr 16 10:18 AM

[Techtrader10:]

This sounds like a home grown survey to me!

Apr 16 10:20 AM

[mollytjm:]

i'm constantly asked about my iPhone...no matter where i am or the age of the person asking. people just love it and i'm sure they react the same way to the Touch. I tell them it also makes phone calls because it's true that the 'phone' part of the name really doesn't announce it's best features. No one buys an iPhone because they just want a phone.

Apr 16 10:44 AM

[winindthedust:]

Maybe so, but the consensus is pretty universal... April 22 will be a good day for Apple, creating steady momentum to June. Consolidation after the new products are announced, with a steady rise until the holidays.

I know you have some strong bear sentiments, but (un)fortunately, there is little left bad rumor news to sell Apple short on.

Feel the love Techtrader10.. spring is in the air!


On Apr 16 10:20 AM Techtrader10 wrote:

> This sounds like a home grown survey to me!

Apr 16 02:42 PM

[Zoltan L. K...:]

There is just one thing I can say about the Apple iPhone: you ain't seen nothing yet. Its only the beginning.

Apr 17 06:30 AM

[brewer:]

I agree with every point here, even Techtrader10. I think it is the first time I have agreed with him. I do surveys for a living. Anytime 20% say that Sony-Ericson is 'best for music' is like screaming outloud that you only had 10 or so respondents. Seriously. The truth would be less than 1 percent in any sufficiently large population would say that. You must have had a gaggle (I think this is the correct term) of Sony execs in the Apple store when you did the survey. :-)

Apr 17 09:44 AM

[Neil Anderson:]

Looking forward to Apple's upcoming back-to-school deals.

Apr 19 02:09 PM