Variety reports that "Apple’s digital services businesses fueled top-line growth in the first three months of 2022, as overall the tech giant handily topped analyst projections despite supply-chain challenges.
"The services segment — which includes the App Store, Apple Music, Apple TV+, iCloud and other subscription businesses — notched a record $19.8 billion in sales for the quarter, up 17%.
"Apple at the end of March had more than 825 million paying subscribers worldwide (comprising both Apple-branded and third-party services), up more than 165 million in the last 12 months and up from 785 million in the year-end 2021 quarter." However, "Sales of iPhones, Apple’s biggest product line, were $50.6 billion in the period, up 5.4%, a slowdown compared with a nearly 66% boom in the year-ago quarter. Still, it was quarterly record for Apple’s smartphone business."
- KC's View:
Interesting to see that even in its business sector, Apple is finding that it may be more important to be a resource for customers rather than just a source of product. And as this gains steam, Apple is also looking to develop a stronger base of subscribers that goes beyond those of us who are not just Apple users, but advocates.
It may not be traditional retail, but the general outline is the same about building connections to shoppers that are based on creating relationships, not just generating transactions.