We were quick to be cynical towards Apple’s reluctance to release actual sales number for its ‘self declared luxury‘ smartwatch. A recent article in CPP-Luxury.com reveals that hard estimates exists and the magic number may be between 12 Million and 13 Million smartwatches bearing the Apple logo. It now makes total sense as to why Apple would want to hide those numbers from the public.
By contrast, Rolex (which is considered a mass market luxury brand) only produces between 700,000 to 800,000 watches per year. Exclusivity comes standard with Rolex where Apple’s volume falls closer to a mass market gadget. Okay, maybe we are being cynical again but you don’t build brand desirability by putting your product on everyone’s wrist.
If these numbers are even remotely accurate, it will be interesting to note that Apple’s first foray into luxury products nearly doubled the sales of its early segment busting product, the iPhone.
By Doron Levy Courtesy TheTopTier Digital Media
Read more from CPP-Luxury.com:
Apple watch sales reach an estimated $6 billion
The Wall Street Journal is reporting Bernstein Research’s estimates that Apple has now sold 12 million smartwatches and similar figures from an Apple analysis site Above Avalon of 13 million smartwatches sold. That’s on par with previous figures – IDC’s estimate was 11.6 million sold in 2015.
And as has been pointed out before the actual year passed, this is double the number of iPhones that were sold in the its first year.
With estimated average sales prices of between $450 and $500, this means Apple could have sold between $5.8 and $6 billion worth of its first wearable.
Fitbit actually beats Apple in terms of wearable tech sales, at least using estimates for the Apple Watch. But its total earnings for 2015 were $1.85 billion, according to its February 2016 investor report.
Apple might be making big money from the Watch (and be ‘outselling’ the first iPhone) but its job isn’t done yet. In our op-ed, we pointed out that Cupertino’s decisions haven’t always helped the Watch improve to the point of becoming a solid, desirable smartwatch.