Here?s a shocker: the iPad mini is selling well. And yet, more interestingly, it?s a net positive for Apple?s overall iPad sales.
Many worried that the iPad mini would cut in to Apple?s larger, higher-margin 4th-generation iPad sales. The lower price and similar capabilities of the iPad mini, they argued, would be enough to sway users to the smaller device. However, based on sales data and samples collected by?All Things D and taken by Cowen and Co., this isn?t the case: while users are purchasing the iPad mini in droves, most who said that they were going to purchase it said that they weren?t using it to replace a full iPad, and that they were not interested in the larger, 4th-generation iPad at that time.
Based on this data set, Cowen and Co. sees the iPad mini as Apple?s way to get into a new tier of tablet devices:
?The iPad mini creates more demand than it cannibalizes,? Cowen analyst Matthew Hoffman explained. ?Since 52 percent of the mini intenders in our sample did not own a tablet of any type, we see it successfully positioned as likely to penetrate new entry-tier segments. ? Mini will no doubt take some iPad ?4? sales, but its low price also looks like an important tool to capture new consumers? attention.?
Source: http://www.ifans.com/blog/62338/
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