Apple is Not Like Other Companies When It Comes to Good, Better, Best. What About iPads?
Most companies that sell to consumers offer a standard range of “good, better, best” options in their product line-ups. There are some exceptions:
Some super-premium brands, like luxury watch or handbag manufacturers, really only offer “best”
Some value brands, like some basic clothing manufacturers, offer only “good” options.
Most electronics companies, like Apple, Samsung, Sony, LG, and the rest, tend to offer some version of a “good, better, best” assortment.
And most of those “good, better, best” arrays yield something of a normal sales distribution, with the “better” option leading in market share, and the “good” and “best” alternatives less popular. In fact, many producers offer a top-of-the-line option primarily to make the second most expensive option seem less extravagant.
Apple is not like other companies. Though Apple offers good, better, and best options across key product lines. What sets Apple apart is that for iPhones and Macs, the “best” models are actually most popular by a considerable margin. This idea gets to the heart of Apple’s product strategy, brand position, and business economics, including its attractive gross margins.
This is generally true for iPads as well. Yet, their varied launch schedules makes it a little less clear.
We looked at the last five years of iPad sales. Apple has sold four different iPad models: iPad, iPad mini, iPad Air, and iPad Pro, in different sizes and configurations. Apple has introduced and retired versions of each model at different times and has sold some version of all four in each of the past five years. Since 2020, iPad Pro models have accounted for between 38% and 48% of US iPad unit sales (Chart 1).