iPhone 6 Launch: 10 Factors That Will Determine Its Success

By Don Reisinger

Apple has been hounded by concerns in the marketplace that its 4-inch display in the iPhone 5S is too small for today’s consumers. Increasingly, according to the latest DisplaySearch data, consumers want devices with screens 4.5 inches or larger. That’s why Apple will need to deliver a 4.7-inch screen. In addition, phablets with 5- or 6-inch screens are becoming more popular and hurting tablet sales. For Apple to let that go and not deliver a device with a 5.5-inch screen, seems like a bad idea.

Every other year, Apple launches a revamped design for its iPhone, making all early adopters excited and the enterprise jump in fright. Business buyers don’t like the idea of buying dramatically revised products because they could come with some bugs. Apple will have to launch the devices with as few defects and kinks as possible to avoid any hitch in the sales uptake of the iPhone 6.

As of late, rumors have been flying about the size of Apple’s new iPhone battery. Some have said it will have a capacity of around 1,800mAh, while others claim it’ll be more in the range of 2,100mAh. Apple has been facing increasing pressure from Samsung in its “wall huggers” ad campaign, which highlights the Galaxy S5’s better battery life. With greater capacity, Apple should be able to get closer to Samsung on battery life—assuming, of course, that it can get all of the internal components and bigger screen to consume less juice.

Microsoft has been pelting Apple’s Siri, showing the ways in which Cortana is superior for virtual personal assistant functionality. Apple needs to show off new and improved Siri functionality at the iPhone 6 introduction and illustrate how it’s become smarter based on what the company has learned from years of user experience with the personal digital assistant. If it doesn’t, the Cortana ads won’t stop.

Samsung is holding its “Unpacked” event in New York City in early September, which should put even more pressure on Apple. Samsung is reportedly working on a new smartphone and more wearable devices to take on Apple’s products. Apple better show off something better or face the possibility of looking like an also-ran against whatever Samsung shows off.

Although Apple isn’t expected to change its pricing, the very fact that the company is charging several hundred dollars for an off-contract iPhone is troubling for customers in emerging markets. In China, for example, Xiaomi has been able to deliver a new device in the Mi 4 that’s both better than Apple’s iPhone in terms of specs and a few hundred dollars cheaper. In China and India—two major emerging markets—Apple will need to worry about its pricing.

There have been some reports recently suggesting that Apple’s supply partners are having some trouble with yields. More, specifically, the new iPhone’s heavy reliance upon sapphire has proven vexing for suppliers, and it was unclear at that point, according to researchers, whether Apple could have enough iPhones on store shelves as it wanted. Keeping up with demand has always been an Apple concern, but it might mean more this time around.

If we’re talking about demand, we must also acknowledge that it’s possible—just possible—that Apple’s expectations for demand won’t be as high as some have argued. As Samsung noted in its own earnings call recently, competition is fierce in the mobile space, and in key markets, staying atop the space isn’t easy. Apple is facing that same competitive pressure. That could negatively impact demand if the iPhone isn’t as groundbreaking as many believe it will be.

Apple fans need to want to invest in new iPhones. While Apple has been doing a good job of bringing on new customers, getting its current owners to convert to the new iPhone hasn’t been so simple. However, low turnover has occurred mainly in years when Apple has unveiled iterative updates and not benchmark years like the one expected in 2014. Still, it’s something Apple will need to think about: As it brings on more iPhone owners, it needs to ensure they continue to invest in its products.

It’s widely believed that Apple will announce the long-rumored iWatch at its special event in September. Though that will be appealing to customers in its own right, it should also have special functionality with the new iPhone if Apple wants to sell more units of that device. Apple has always been a company that likes to coax people into buying new handsets by bundling special features only in its latest products. In order to build demand for the iPhone 6, it should follow that game plan with the iWatch integration.