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Apple iPhone No Longer Verizon's Bestselling Smartphone? [Update]

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Fortune reports that Apple's iPhone has dropped from the top selling smartphone position in Verizon retail stores for the first time since the carrier started selling the device. The news comes by way of a research note from William Blair's Anil Doradla.
Doradla attributes the iPhone's fall from grace less to the usual slowdown in advance of a new model than to Verizon's aggressive marketing of competing 4G devices, particularly Motorola's Droid RAZR MAXX, which the carrier is selling for $299 with a 2-year contract.
The results are based on "channel checks" from the April-May-June quarter of 2012. The iPhone was reportedly dethroned by the Motorola Droid RAZR MAXX, but remains in the number two spot ahead of the Samsung Galaxy Nexus.

Verizon first started carrying the iPhone in February 2011. Verizon benefited from pent up demand at launch and the subsequent launch of the iPhone 4S in October of that same year. The iPhone 4S is now 8 months since it's release with rumors that the next generation iPhone will launch this fall.

Update: A separate analyst claims that the iPhone 4S remains the top selling smarpthone at Verizon.
But that's not the case, according to Walkley, who said while the latest Razr is "gaining ground," it "hasn't caught iPhone." His own research has found the iPhone 4S as the top selling smartphone at Verizon, as well as AT&T and Sprint, for the entirety of 2012 thus far.

Top Rated Comments

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29 months ago
With the Droid RAZR MAXX both having LTE and amazing battery life, that's no surprise.
Rating: 20 Votes
29 months ago
Our local Verizon store didn't even mention the iPhone when I went into the store to sign up for a plan; in fact, I had to ask them about the iPhone because they were only pushing Droids.

[Edit: There wasn't even an iPhone on display in the store.]
Rating: 15 Votes
29 months ago
I see this as good news. Sure I prefer Apple over everything else in the terms of smartphones but competition is always good and will keep Apple on its feet trying to make the next great thing.
Rating: 13 Votes
29 months ago

Perhaps if Apple updated their extremely outdated phone every once in a while...

Go ahead and give me a thumbs down, it's true. Apple is seriously dragging their feet with the iPhone. The 4S was an abomination. I mean come on, im using an iPhone 4 that i purchased in June 2010 the day it came out. I have it jailbroken and running siri, there's no real difference between my 2 year old phone and apple's most up to date phone. It's pathetic, and no i don't consider a bump in processor speed to be a major update. In addition to that, the screen IS too damn small whether you want to admit it or not. If the new iphone isn't significantly improved and changed, im going android. And this is coming from an apple fanboy.


I agree with you man. Thumbs up
Rating: 11 Votes
29 months ago
1. Um, Verizon salespeople are TRAINED to NOT LET ANY CUSTOMERS WALK OUT THE DOOR WITH an iPhone. Have any of you actually tried to walk into a Verizon store and purchase an iPhone? It is IMPOSSIBLE. I've tried it on 8 occasions, and Fortune Magazine documents this as well. It is IMPOSSIBLE to do so. Go ahead... I DARE YOU to walk into a Verizon store and try to purchase an iPhone.
2. Furthermore, Verizon salespeople make $75 commission on every NON-iPhone that they sell, but they only make a $5 commission on every iPhone they sell.
3. Verizon salespeople are BERATED by their managers and given WARNINGS if they sell an iPhone.

So it makes perfect sense that the iPhone isn't their best-selling device. This has been Verizon's plan all along.

WHY?

Because once people love the iPhone, they are loyal to the phone and not the carrier. The iPhone relegates Verizon to the dumb pipe that they are, and they don't like that one bit.
Rating: 10 Votes
29 months ago
"The news comes by way of a research note from William Blair's Anil Doradla."

Anil Doradla... ...is an anagram for All Android... something's fishy...
Rating: 9 Votes
29 months ago
this is interesting because the Razr Maxx is only a month or two newer than the iPhone. It's not like some brand new phone overtook the iPhone.
Rating: 8 Votes
29 months ago

Sure, blame Verizon. I'm a grown A$$ man.


I don't even want to know what an "A$$ man" is. That sounds like a private matter, no matter how proud you are to be one.
Rating: 6 Votes
29 months ago
As a member of Verizon Management, I can tell you that this isn't because of Device quality, this is because one of our most forced KPI's in stores is LTE.

As a manager, I have to contantly be on my sales reps about selling LTE devices over anything, despite any actual qulification for an iPhone. Fact of the matter is, Verizon is pushing LTE harder than anything and this is evidence of it.

It's so bad on a store level, that it's to the point where I have to fire reps if they aren't selling LTE devices over the iPhone.

So as much as these articles may make you think, the real matter is that on a store level, Reps are strong armed into selling LTE over anything or their job could be on the line.
Rating: 5 Votes
29 months ago
The older I get, the more I realize just how much everything is about money. I have 3 close friends that all work at Verizon.. One of which is a manager. This is not a "he said she said" post either..

Verizon hates the iPhone because of the way that Apple has a lockdown on their products.

Motorola gives Verizon a bulk quantity deal on their phones and Apple doesn't. Motorola lets Verizon tag up their phones with the VZW logo and Apple doesn't. In addition to all that, Verizon, especially in my area has lost money because of the iPhone. It's a 3G phone when Verizon is trying push 4G and because of the huge amount of iPhone users, they are being forced to put up more and more 3G towers. They especially hate this because they will be rendered useless once 4G is everywhere so that's just money in the drain for them.

The manager that I know actually told me that, during a meeting they held, he was personally ridiculed for having the iPhone 4S as his personal phone and the reason being, Verizon has been losing money on the deal. He even went as far as to say the iPhone was the reason that you have to wait at least 20 months to be eligible for an upgrade because they pay out the nose for iPhones.

Do you want to know why they push the MAXX so much? This is why.

Do you want to know why the iPhone isn't on display in the stores anymore?

Money.
Rating: 5 Votes

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