Apple is a big fish in a shrinking pond
Contrary to popular belief, the iPhone’s aren’t the highest rated devices on the market. While the competitors have broad product portfolios that a mix of hit and miss, this allows them to tailor a handset to the diversity of consumers while the first thing iPhone customers do is buy a case to personalize it. I agree their focus on profitability is keeping the market share limited. The fact that Verizon sold as many iPhone 4S as iPhone 5 demonstrates that for iPhone fans, the only thing better than the iPhone 5 is a cheaper iPhone 4S. They have also been losing the experience innovation battle, focusing their launches on cool technical features such as camera components or silicon rather than moving the user experience forward. Even Henry Ford’s vaulted, “any color you want as long as it’s black” strategy had to give way to diverse offerings. You can see the narrowly defined handsets are delighting consumers more, in large part due to the strong point of view they take on the mobile experience.
Time and time again, as markets mature, the dominate experiences have to fragment to address the refined niche needs of the market. Galaxy Note does that very well while the Facebook phone didn’t. The Note phones added capabilities that integrated into the mobile experience. The Facebook phone took over the mobile experience, forcing consumers into an even more constrained experience. It’s time for Apple to find ways to fragment their walled garden or else iPhone users will continue to dig their way out.
via Apple’s Incredible Profits And Small Market Share – Business Insider.