Apple will test customer loyalty with expensive iPhone 15 Pro lineup

iPhone 15 Apple Event live updates

Trade pundits and insiders expect Apple to market high-end iPhone Pro models aggressively this year, which will be launched alongside standard iPhone 15 models. “I would expect the main focus of the event to be indeed the new range of iPhone 15,” said Thomas Husson, Vice-President and Principal Analyst at Forrester Research. While the new range might offer some incremental improvements, Husson doesn’t expect the iPhone 15 will be a major revolutionary breakthrough.’

At a time when the smartphone industry appears to have peaked, the iPhone continues to impress both in its established markets as well as in newer markets like India where Cupertino is seeing double-digit growth amid an expansion in the premium phone segment. With Apple recently delivering impressive fiscal third-quarter results, and despite iPhone revenue being down 2%, Cupertino may look at affluent consumers to create desirability to move iPhones off the shelves as fast as they can during the fall holiday season, when sales are typically the highest.

The high-end iPhone Pro lineup is a major money maker for Apple. (Image credit: Anuj Bhatia/Indian Express)

But more than base variants, Apple is banking on the Pro models in a bid to retain current consumers, keep in the Apple ecosystem, and attract future buyers. This year, analysts expect the iPhone 15 Pro models will have a titanium casing, a lightweight metal often used to make jewellery. Titanium not only is more luxurious metal but has the same strength as stainless steel and weighs half as much. Apple is also expected to bring a periscope lens to the iPhone 15 Pro models that could extend its optical zoom range.  That would allow clear close-up shots of far-away subjects, opening up a new way to use smartphone cameras.

More advanced components and an already high price for the chip that powers these devices could increase the end cost of the iPhone 15 Pro/Pro Max between $100 to $200.

In all probability, Apple will pass on the extra manufacturing cost to consumers, warns analysts. The iPhone Pro line hasn’t had a significant price increase in years. That strategy worked when the line was new as it brought in new consumers to the Apple ecosystem. But the iPhone Pro as a product has matured and so has the premium smartphone market; but over time, more people have been able to afford premium devices and this has allowed device makers with a certain level of brand power to increase prices.

Husson has noticed a shift in the way Apple is beginning to put more emphasis on high-end iPhone Pro models and is trying to make a clear distinction between non-pro and pro models. “The high-end iPhone line is key to Apple’s bottom line because it does not only generate meaningful revenues but also because it is critical to reinforce the premium of the Apple brand that creates a halo effect on the non-Pro devices,” says Husson. “It is a key element of Apple’s pricing strategy.”

Apple’s newly opened flagship store in Mumbai, India. (Image credit: Anuj Bhatia/Indian Express)

With the iPhone Pro range, Apple follows a different strategy and the emphasis is to become more “accessible” because of the potential of this market without killing the “exclusivity.” In a way, the idea of an iPhone Pro goes beyond keeping up with factors such as inflation as buyers of ultra-premium devices are financially strong.

It’s something that Leo Gebbie, Principal Analyst, Connected Devices at CCS Insight agrees with. Gebbie calls Apple’s iPhone Pro line “well-established” which is keeping Cupertino on the top of the smartphone market despite not jumping onto the foldable smartphone bandwagon.

Neither Husson nor Gabbie expects the iPhone 15 series to be exceptionally compelling to move the needle. The iPhone 15 base models may get the Dynamic Island from the Pro models and a 48-megapixel camera.

One major change that the new iPhone 15 series will bring is a USB-C port to replace the Lightning connector. With that, the iPhone 14 would be the last iPhone to come with the Lightning connector, which was introduced more than a decade ago with the launch of the iPhone 5 in 2012. The move is more to comply with European rules mandating that new phones all use the same standard USB-C charging port. Most Android smartphones already use USB-C, with the Apple iPhone being an exception.

“The expected shift to USB-C could generate some friction for Apple customers who already have proprietary Lightning cables and docks around their homes,” explains Gabbie. However, Apple has already transitioned other devices such as the iPad over to USB-C. “It’s hard to imagine that customers will be totally caught cold by this switch, and in the long term, it’s likely to benefit them, with a universal charging system having some very obvious upsides,” he said.

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