Apple Inc. (NASDAQ:AAPL)’s stockpile of the iPhone 5C has reached over 3 million units. About 2 million of the phones remain at the Pegatron factory and rest are sitting on store shelves.
Sales for budget phone continue to disappoint
Apple Inc. (NASDAQ:AAPL) initially launched the iPhone 5C as a budget-friendly version of the iPhone 5. Although this cheaper phone is just like the more expensive version save for a few key differences (like the brightly colored plastic body), it’s evident customers are willing to pay more for the upscale version.
Digitimes summed up the numbers in a recent report:
“Apple previously announced its quarterly smartphone sales had reached a new high at 51 million units, but the mix of iPhone 5s and 5c did not provide much of a benefit to sales as demand for the iPhone 5c has always been weak compared to its predecessors or higher-end counterpart, the sources said. Due to their contracts with Apple and high purchasing prices, most telecom carriers and retailers are unlikely to offer significant price cuts in the short term for the iPhone 5c. Currently, iPhone 5c is priced at US$99 (16GB) and US$199 (32GB) with 3G service bundle plans, and US$549 (16GB) and US$649 (32GB) for the smartphone itself, the sources noted.”
Apple utilizes social media to market phones
In the meantime, Apple Inc. (NASDAQ:AAPL) is trying to find a way to promote the iPhone 5C. A few days ago, there was a report that Apple was using Tumblr as a new way to market their colorful phones. The name of the campaign is “Every color has a story” and the webpage is titled “ISee5C”. The ads are essentially videos showing different iPhone 5C colors. These videos last about 15 seconds and plays a different song. Most notably, each video has a different message. For instance, at the end of the green video, the message “Viva o Carnaval” is displayed at the end.
There is no actual proof Apple Inc. (NASDAQ:AAPL) is behind this ad but the fact that some Tumblr users report this ad page shows up as a sponsored post on their dashboard.