Analyst: Early iPod nano sales ‘good, not great’ | iLounge News


Analyst: Early iPod nano sales ‘good, not great’

Sales of Apple’s new iPod nano were lower than expected on the first weekend it was available, a Wall Street analyst said Tuesday. American Technology Research analyst Shaw Wu reported that a number of Apple retail stores only sold between 200 and 500 of their initial nano allocation of between 1,800 and 2,500 units.

“We believe iPod nano may cause sticker shock as consumers are not getting more storage for their dollar as they are accustomed to,” Wu said in a research report. “In contrast, iPod mini has superior storage capacity (4 gigabytes vs. 2 gigabytes at $199 and 6 gigabytes vs. 4 gigabytes at $249) and better battery life—18 hrs vs. 14 hours. We may be alone at this point, but we believe matching the super success of iPod mini may be a tough act for iPod nano to follow without some changes.”

Wu said Apple may need to increase the storage capacity of the nano or cut its price by $50. The analyst cautioned, however, that the iPod nano “has only started shipping since Sept. 7, and thus it may be difficult to draw a trend with only six days of data.”

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the very reason i am still holding on to my money…
give us a price cut apple, same thing as samsung gave you a price cut…
don’t be greedy or it will fire back at your face…

Posted by iJay on September 13, 2005 at 2:07 PM (CDT)


I think a major part of it is the fact that most retail stores don’t have them in stock yet!  I work at Circuit City on the east coast and we don’t plan to have them in the store until next monday. (9/19)
You can pre-order them, but most people would rather wait till they could take it home to buy it.
It’d only be fair to wait until all major retail stores have them stocked before we determine how great or poor the nano sales are.

Another thing, price isn’t an issue.  In working at Circuit City for 2 years, I’ve found that most people buy an iPod to own an iPod. 500 songs for under $200 is plenty in thier minds… as long as they get an iPod! 
Also, many of the iPods are purchased as gifts.  School kids want these things, and they don’t have the money.  Thier parents come to buy them, and they don’t even want to know the difference between the two sizes.  They just want to get what thier kids have been begging them for.

It will be big.  And this holiday season will make it huge.

Posted by ShadowT77 on September 13, 2005 at 2:36 PM (CDT)


I’m almost glad that the nano has underperformed.  This is just an example of a large corporation telling people what they “want” instead of listening to the wisdom of supply and demand.  According to several sources, the iPod mini was the best selling iPod on the market.  Why?  There are many reasons, but I believe “cuteness” was a huge factor in their success.  They came in varied colors and had a catchy name.  “mini” is cute, “nano” is technical.  Do you think Pixar’s movies would have done so well had they created “hard hitting dramas” or a CG remake of “Blade Runner”?  No, they made Finding Nemo and Toy Story.

The point is, this is a prime example of Apple telling consumers what they want (or saving something that’s initially dorky: “give chance a chance”?  That’s spin control for “we don’t want to build a screen into the iPod Shuffle, so we’re going to make you WANT a screen-less iPod).  Don’t get me wrong, I really like Apple and their products, but as their market share increases and their demographics widen, what fifteen year old girl is going to want a sleek black “nano” when she could have had a cute green “mini”?

Posted by Ender on September 13, 2005 at 2:45 PM (CDT)


We order ours 1 hour after it was offered at the apple store online, wanted it shipped over night! Got an email today saying it may not ship unitl 9/16.  Sounds like good sales of Nano’s to me!?

Posted by thoughtoutbiz on September 13, 2005 at 2:50 PM (CDT)


uh-oh… looks like Apple are gonna be like, “um, yeah… we messed up a bit… heres the new iPod nano, called the mini again, and its comes in black, blue, silver, pink, and red… its a bit thicker, but the battery life is over 18 hours, and the headphone port is on the top so it can use top-mounting accessories…” i can just hear it now…

Posted by louispavlo on September 13, 2005 at 3:50 PM (CDT)


Don’t think they should worry just yet, several retailers won’t get stock for a full three weeks after it’s released.

I stopped in to the apple store on saturday, they had just robbed another store of two full crates of 4g nanos because they already sold out.

Posted by someguy on September 13, 2005 at 4:01 PM (CDT)


I was in the Apple store on the weekend. I had just bought a mini for my daughter’s b-day 10 days before, and we were in the store to see if she wanted to switch. my daughter decided she liked the look and feel of the mini better and thought the nano was “...too small”. Funny, but a number of other people who were in the store at that time, all “oohed” and “ahhed” but then said that it is a little too small and fragile looking.

Posted by birdman on September 13, 2005 at 4:05 PM (CDT)


the only way they’re getting money from me before christmas is if they hurry up with the 5g ipod

preferably with an 80GB HD.

Posted by puckles on September 13, 2005 at 4:09 PM (CDT)


No, this site can’t get slower, because I’m seeing time-out pages instead of this one.  How many times do I have to hit F5?  STOP THE MADNESS!

Posted by mpeng on September 13, 2005 at 5:06 PM (CDT)


This is ridiculous…You can’t possibly expect sales figures to reflect the public’s appreciation of the device in less than a week after the product has been released!  Give the public time…most people don’t even know what a nano is yet…

Posted by Cameron Talley on September 13, 2005 at 5:50 PM (CDT)


All I can say is I like my nano, I sold my mini in order to get a 4GB black nano and I’m happy with that decision.

Posted by danner on September 13, 2005 at 6:17 PM (CDT)


iPod nano is like nowhere, I can’t even find it here in NEW YORK. I ordered mine Saturday nite and it should be here by the 16th of September…IN time for my BDAY!!
The iPod nano is soo kewl and the iPod mini sales werent even determined in less than a week…..Plus they HAD WAY more advertising than nano….it was basically low key. No chance to preorder….No worries about the nano it’ll catch up to its big bro…But it could use a price cut…..

Posted by Amber on September 13, 2005 at 6:21 PM (CDT)


I went to the local apple store here in Austin 9/12 and they were completely sold out of all the black nanos, but had many of the white 4g and a TON of white 2g.

Looks to me that the black is selling on the “hotness” value, and that people are not that intreasted in the 2g. Personally i want one, but i am waiting for the 8g.

Posted by yancey on September 13, 2005 at 7:42 PM (CDT)


I’ve just bought a new 6GB Mini as a Christmas present for my 12 year old son (while I can still get one!). He thinks the Nano looks too skinny and is worried about scratching/breaking it. He also wants the bigger capacity and isn’t bothered about a colour screen.

I can see different advantages for both the Mini and Nano. What I can’t understand is why Apple wanted to kill the Mini off so quickly rather than wait to see if there was still a demand for it after the Nano came out. Why force a market sector to buy one product when you could have offered them a choice of two?

Posted by Tom on September 13, 2005 at 7:54 PM (CDT)


Well you also have to consider the fact that not everyone even knows about the Nano, its pretty new. Once the word gets out about it, I think the sales will start to increase - then skyrocket.

Posted by M Bargo on September 13, 2005 at 8:01 PM (CDT)


The nano will break all the sales records ... there is simply not enough data to draw the report’s conclusion ... the analyst even admits this fact.  Apple for once actually had product in some stores fairly quickly ... many people simply ordered online due to past experience (ie. iPod shuffle).  The analyst will be doing some serious backpeddling when the next quarter’s numbers are announced.

Posted by dmcleod on September 13, 2005 at 8:07 PM (CDT)


Definitely in London this is not the case. The first batch of 4GB nanos are out of stock everywhere. I heard that the Apple Store had someone in the region of 6000 on the first day. All sold out by the next day. You just have to go there to see the neverending queue to realise that the analyst is talking bull… wait a few days before the data becomes avail. Also the Tv ads have not even arrived here in britain yet. I’m betting that apple will sell more than a million in the first week.

Posted by HWPro on September 13, 2005 at 8:31 PM (CDT)


There are huge gaps in the analyst’s logic.  He’s comparing the initial sales of a replacement product (the iPod nano) with initial sales for a product in a new category for Apple (the iPod mini when it debuted).  What he should do is compare iPod nano sales this week with sales of iPod minis the weekend before.  Also statements about a only certain percentage of the initial allotments being sold are meaningless without any information about how long those initial allotments were supposed to last at the Apple Stores. 

Given the high-school level of the analyst’s logic, I’d short American Technology Research’s stock.

Posted by yyoo on September 13, 2005 at 9:00 PM (CDT)


Sales are low, but not for any of the reasons listed.

Apple thought white would outsell black by a margin of eight to one. They got it dead wrong backward—everyone wants the black model.

Also, the 2gb is dead out the door. If it were a difference between a 3gb and 4gb, or 4gb and 6gb, the smaller model might be desirable; but only fifty bucks for double the storage? That’s a price jump anyone would want to make.

In summation: everyone wants the 4gb black. There’s a ton of 2gb and white 4gb nanos lying around while buyers wait for more inventory to show up.

Posted by Eric J on September 13, 2005 at 9:35 PM (CDT)


they shouldve just made the mini color screen and have got it over with,the white color is very bland.while black is sleek and sexy,now imagine if they a black regular(not the u2 one) 20 gb ipod color,not that would sell

Posted by rajendra bhika on September 13, 2005 at 11:31 PM (CDT)

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