Why Apple Doesn't Care About Marketshare

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If you’ve been an Apple fan for the past fifteen to twenty years, then you probably know that the company has never tried to sell the most of a product. They didn’t try to sell the most computers with the Mac, the didn’t try to sell the most music players with the iPod, and they didn’t try to sell the most phones with the iPhone. In fact, Steve Jobs set out to capture just 1% of the mobile phone market with the original iPhone, since that would still generate tens of millions of dollars in revenue for the company. And that business approach has always drawn criticism from tech analysts, financial experts, and at times people from within the Apple community itself. After all, why wouldn’t a company do everything they can to dominate the market they’re competing in? Well, that’s exactly what we’re going to find out.

[nachbait]

Title of the video: "Why Apple Doesn't Care About Marketshare"
The Video: "That's why I use NordVPN"

[DJTechYT]

4:09 to 5:04 is sponsor ad. You can skip if you want to. You're welcome.

[Megaaleh]

Personally I think when you get into the ecosystem, you get some kind of loyalty towards the brand, and those products you buy from them, generate enough revenue to keep Apple growing and maturing with a fair amount of sustainability. And Handoff, Continuity, AirPlay and iCloud are the glue that keeps the “Apple Ecosystem” together. And think it can get much better and “magical” as my imagination runs wild.

[todortodorov]

Louis Vuitton (LV) holds a relatively small percentage of the "ladies bag" market compared to let's say H&M, but they still make more money due to the way LV has positioned their brand. Apple is in similar position; Either they start appealing to the broad masses (world-wide) and introduce a wide variety of products, ranging from cheap and simple to high-end and expensive, OR they stick with the expensive high-end products to protect their brand and more importantly, to protect the mark-up (profit) that the Apple brand generates. In other words, world-wide domination will cost at the bottom line.

[hsj]

apple: we just can't ship junk.
amazon: we only ship junk.

[dojokonojo]

"Why Apple doesn't care about market share"

Me: Looks around, sees everyone using an iPhone, Macbook, AirPods and I'm the only one using an Android phone, Windows laptop, and wired headphones. Uhhh, Iooks like Apple has a 99% market share here.

[NevilleChand]

3:20

THAT PHOTO OF IJUSTINE OMG 😂😂😂

[AndrewSouthworth]

One thing I think Apple does great at is making products for specific people, when many other brands focus on mass appeal. In general Mac computers are for creatives (music, video, photo, developers), they're not also for gamers and accountants. They aren't making tablets that function as fully functional computers, they're making something that is specifically its own grey area between smartphone and computer. They aren't making phones with the highest specs all around, they make phones with a simplified layout and incredibly fluid UI and tight integration with their other hardware (although they do have great specs, it doesn't beat other phones in every spec).


They even have a smart speaker device that is basically only usable if you have an iPhone AND Apple Music, which on the surface sounds like a horrible business move, but if you consider the small percentage of iPhone users that also have Apple Music and don't have a smart home device its a PERFECT fit for them.


With their iPhone in particular you can clearly see they don't care about the people saying that say they want endless customization options on their phone, thats not what they're about. They want to give you X experience, and if you don't want X experience you can go elsewhere. But for the people that love X experience, they will continue to invest in the ecosystem because nobody else in the world can give them that experience.

[tschetatsch]

Well 12% Marketshare on iPhone is great when you think that there are more than 1 company which are competing with Apple with Android

[tvolta]

You always say “if you are an apple fan” in the beginning. Since 2010 I am always saying yes.

[computertutorials]

3:32 "We're selling millions and millions and millions of phones a year, Apple is selling zero phones a year." My how the tables turned...

[Sacto]

I think a huge advantage for Apple is that their iPhones don't go obsolete so easily. Because _Apple_ controls the software upgrade process, an iPhone model as old as the iPhone 6S from 2015 is still viable in 2020 running the latest version of iOS (13.3.1).

[dougfinlay]

I bought my Apple shares in 1996--cost basis is now about 60 cents a share. I expected the shares to increase in value but not nearly that much. Still, all good things come to an end. When that will happen to Apple, I don't know, but it does seem they are building a sustainable eco-system. One reason I own Disney too--back to the mid-80's.

[JessicaJmoney]

Glad you brought this up! People are so uninformed it’s annoying. The phones we’re cheaper back in the day if you really think about it. People just didn’t know what they were paying for and the subsidy had people confused.

[JimBoomer]

I use to buy my phone outright even in 2007. I think my Tree 755p was like $650 dollars even back then.

[hito]

Well, they did reenter the external display market a little while ago...

[the_pigs_have_rebelled]

Steve jobs didn’t depart though
*he died*

[AvocadoAtrocity]

Speaking of carrier subsidies... phone bills are still around the same AND they absorbed the subsidy.

[WarriorsPhoto]

Greg, I would have never thought about this now a days. And of course you brought up great points about this. Thank you.

[BlackDoveNYC]

I am surprised you didn’t mention that what was it? Two, three years ago, WSJ reported that Apple had something like 86% of the smartphone profits. So basically all those other manufacturers were splitting 14% among themselves. I don’t know if the split is the same now but I know I’d rather have 12% or whatever of the market and 86% of the profits any day.