Weighted Average Selling Price of iPhone in the U.S. is in a downtrend،
A worrying trend, at least in Apple’s eyes, is emerging with
iPhone prices. Over the past two quarters, the weighted average retail price (US-WARP) of iPhones sold in the United States has decreased by
Consumer Intelligence Research Partners (CIRP). For the quarter ended September 2023, US-WARP was down $918 from the $948 US-WARP for the quarter ended June 2023. The high of $988 was reached during the quarter ended March 2023.
A year ago, the US-WARP price was $957 for the iPhone, meaning the downward trend in iPhone prices in the states hasn’t just been happening for two consecutive quarters (the trend in the short term), but also occurred over a year. on an annual basis (the long-term trend). “Weighted average retail price” looks at the mix of iPhone models sold in the
United States. The “weighted average” price is based on several factors, including which models are sold (are
Pro models selling better than non-Pro models? What are the storage sizes? Are consumers willing to pay?)
The weighted average US retail price of the iPhone is in a downward trend
Since the end of the June 2021 quarter, the iPhone has so far not experienced two consecutive declines in US-WARP. The September 2021 quarter showed a slight decline in US-WARP from $869 to $865. The following quarter showed a considerable increase in the weighted average retail price of the iPhone in the United States, to $949. After a decline to $882 in US-WARP for the iPhone in the March 2022 quarter, the iPhone experienced four consecutive quarters of rising US-WARP to, as previously reported, reach a high of $988. Since this peak, Apple has experienced two declines in US-WARP, reaching $918 currently.
The current trend appears to be a surprise since the iPhone 15 Pro Max and iPhone 15 Pro, the two most expensive current iPhone models, accounted for 15% of total iPhone sales in the September quarter. This is a slight decline from the 17% of iPhone sales in the September 2022 quarter coming from the iPhone 14 Pro Max and iPhone 14 Pro. And sales of older models like the iPhone 12 and iPhone 13 were fairly stable in the September 2023 quarter compared to the same quarter a year earlier.
The December quarter data should be very interesting since it is the holiday quarter after all. Either Apple will finally be able to end the current downward trend in US-WARP, or the company will face a worrying and continuing trend of downward weighted retail prices for the most important product in its lineup.
