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Apple reported technical advisers to push iPhone upgrades to customers with out-of-warranty devices



Last month, Apple lowered its revenue guidance for the first quarter of the financial year 2019 by up to $ 9 billion due to fewer iPhone upgrades than expected, mainly due to economic weakness in the Greater China region.


A few months before the announcement, Apple began to strongly promote the iPhone XR and iPhone XS Limited Time Procurement procurement, prominent banner on its website, emails for older iPhone users, store signage, App Store editorial, and other uncharacteristic aggressive tactics with the aim of increasing sales.

Bloomberg s Mark Gurman reported earlier that Apple transferred some of its marketing staff to focus on strengthening sales of its latest iPhone lineup at the end of October around the time of iPhone XR launched. The report quoted a named source describing the action as a "fire drill".

In a report this week about Deirdre O & # 39; Brien followed by Angela Ahrendts as Apple's retail manager, Gurman further elaborated on Apple's tactics to promote his latest iPhones. He claimed the company shouted its technicians to "push iPhone upgrades to consumers with out-of-warranty devices."

Senior staff also had the task of ensuring that other employees suggested upgrades, according to Gurman:

When Apple executives were worried about the demand, in December, the company asked to promote the new iPhones using methods that did not was seen before. Technicians were asked to push iPhone upgrades to consumers with out-of-warranty devices. Senior sales staff should make sure that other retailers suggested upgrades, and easels with generous trades for iPhone XR were listed in stores. Apple's online website was also replaced with reduced iPhone pricing, which required the introduction of older models.

We assume that this refers to Genius Bar technicians at Apple Stores, but there is also a network of Apple Authorized Service Providers, some of which double as authorized dealers offering the latest Apple products for sale.

It is unclear whether the tactic had any influence on Ahrendts stepping down from its position. Unlike her short-lived predecessor John Browett, allegedly pushing Apple retailers to aggressive upsell products, Ahrendts focused on the experience of free today in Apple creativity sessions and more.

Last month, Apple CEO Tim Cook admitted that "customers stay longer for their older iPhones than before." In a letter to the shareholders, Cook said Apple was launching and accelerating initiatives to improve performance, such as Making it easy to shop in a phone at its stores.

Apple's reported effort to push iPhone upgrades creates an interesting equation. On the one hand, the company's environmental manager, Lisa Jackson, recently said that customers are using their devices longer "are the best for the planet," and on the other hand, more aggressively encouraging customers are buying a new iPhone.

Go to 1:23:51 mark for Lisa Jackson's comments


If tactics are effective it will be harder to measure forward as Apple no longer reveals unit sales in its quarterly earnings report. Apple anticipated revenue of $ 55 billion and $ 59 billion in the current quarter, falling from $ 61.1 billion in the fourth quarter quarter.


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