updated 05:40 pm EDT, Wed April 27, 2011
'Mystique,' scarcity help create demand
Analyst Brian White of Ticonderoga Securities reacted to the long-delayed arrival of the white iPhone 4 by predicting it could push sales of the popular phone even higher, AppleInsider reports. He believes that it will attract some customers that may have passed on the black model, along with new customers who simply waited for the white color to be available. Apple has officially announced that the white iPhone 4 will be available beginning tomorrow, April 28th, in 28 countries.
Based on his prediction that the next official model of iPhone, currently dubbed the iPhone 5, won't arrive until September, White says the added option of the new color iPhone will drive incremental sales to the tune of one to 1.5 million units per quarter. White says the 10-month delay between the initial announcement of the white option and its long-awaited arrival has created "a certain mystique" and "scarcity value" that increases its status and creates pent-up demand to some degree.
Apple's Senior Vice President of Worldwide Product Marketing Phil Schiller and CEO Steve Jobs confirmed that several factors, including UV reactions to both the coating and internal components, caused issues with the white iPhone that introduced the delays. Apple was not interested in shipping a product that would not meet its own internal expectations, with Jobs adding that the company utilized the challenge as a learning opportunity, with results that have benefitted the company. The solutions that Apple came up with resulted first in the white iPad, and are expected to enable Apple to offer white models of their mobile devices going forward.
Apple sold 18.65 million iPhones in its fiscal second quarter, which ended March 31st. Lineups have already started appearing in Hong Kong, one of the first major cities to have the white model go on sale. [via AppleInsider]