iPhone sales rebound in June as Samsung slips: Wave7 Research

iPhone 7 (Apple)
Apple's iPhone has capitalized on slowing sales of Samsung models, Wave7 reported.

Sales of the iPhone have rebounded at U.S. wireless retailers this month as Samsung’s Galaxy S8 has lost steam, according to Wave7 Research.

And the launch of LG’s latest flagship has been “a flop.”

All eyes were on Samsung when it introduced the Galaxy S8 in late March, just months after launching the disastrous Galaxy Note 7 that was finally killed after the company was forced to issue two worldwide recalls. The latest phone quickly gained traction worldwide, and preorders of the S8 outpaced those of Samsung’s previous flagship in the United States by mid-April.

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Sales remained strong in the United States in subsequent weeks thanks in part to the buy-one, get-one deal launched by T-Mobile in May. But Samsung’s overall sales at brick-and-mortar stores have slowed due to a lack of demand for last year’s model.

“Samsung’s share has slipped in June, following a highly successful GS8 launch that went well in all channels and is sustaining higher share levels than were seen during 1Q17,” Wave7’s Jeffrey Moore wrote in a note to subscribers. “The GS7 and GS7 Edge are fading from the scene surprisingly quickly. Initially, the GS8+ outsold the GS8, but now the GS8 leads.”

And Apple is taking advantage. While a new iPhone model isn’t expected to come to market until later this year, Sprint is pushing the iPhone 7 with a two-for-one deal for users who lease the iPhone 7. That tactic is boosting sales, Wave7 reported.

“iPhone share in the June survey has bounced back somewhat in the aftermath of the April GS8 launch,” Moore wrote. “Sprint reps have provided strongly positive feedback about the impact of the carrier’s iPhone BOGO.”

Meanwhile, LG’s G6 stumbled out of the gate. While the phone has garnered generally positive reviews and has seen some modest promotional activity from carriers—it was included a Father’s Day buy-one, get-one-free promotion from T-Mobile earlier this month—a lack of a big-budget marketing campaign and in-store support from carriers have shackled sales.

“LG’s G6 launch was a flop, with few if any sales at many stores, zero shelf space at national retailers other than Best Buy, and an absence of national TV advertising for more than a month,” Moore wrote. “However, outsized share performance continues apace at T-Mobile.”

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