Apple Analysts See Decline in Average Selling Prices For iPhones
Apple iPhone smartphones are displayed at a store.
Photographer: Chris Ratcliffe/BloombergThis article is for subscribers only.
Apple Inc. could see a bigger-than-expected decline in the average selling price for the iPhone as consumers gravitate toward cheaper models, according to analysts.
Deutsche Bank wrote that average selling prices (ASPs) for the key product category could drop between 4% and 6% in fiscal 2020, thanks to both the cheaper price of the iPhone 11 -- which starts at $699, compared with last year’s iPhone XR, which started at $749 -- along with reduced prices for previous generations like the iPhone 8 and 8 Plus. Analyst Jeriel Ong estimated that these models could together account for 40% of iPhone unit sales over the next 12 months.