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Why the Apple Watch Badly Needs a Breakthrough App
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Generally, after a successful product release, the company will choose to reveal some figures โ€“ this wasnโ€™t the case with the Watch. Interestingly, Apple Inc. has been cagey about releasing the Apple Watch sales data, since the product was launched in March 2015. Looking at it, the Watch is not the ground-breaking game-changer many people were expecting in the weeks prior to its release.

In an interview with Reuters, Apple CEO Tim Cook said the Apple Watch sales growth is off the charts. In fact, during the first week of holiday shopping, the sell-through of the Watch was greater than any week in the productโ€™s history.

These comments came a week after a report from market research firm IDC which said it estimates Apple Watch sales have gradually fallen by 71% year-on-year. An aging lineup and an unintuitive UI remain the primary reasons for the downturn.

Apple Watch sales

Watch Sell-Through

It is worth noting that the Watch is relegated to Appleโ€™s โ€œother productsโ€ category, which also includes Apple TV, Beats products, and iPod. During the 2014 holiday quarter, the other products category raked $2.6 billion โ€“ this was before the Watch was released. Revenue from the 2015 holiday quarter increased by 65% to $4.35 billion โ€“ a couple of months after the Apple Watch went on sale. While the Watch wasnโ€™t the primary reason for the jump, it most certainly was a primary catalyst.

Apple Inc. shipped 10.6 million watches in 2015, a slight increase when you compare it to a depressing 7.5 million figure from 2016. When it comes to Apple products, itโ€™s not just about sales numbers. In fact, itโ€™s about creating a loyal user base which buys apps and attracts developers to build on the platform. Over the course of the last few months, several bigwigs including Google Maps, Amazon and eBay, have stealthily removed Apple Watch functionality from their apps. Google later confirmed it has removed support from Google Maps and suggested the move was rather temporary.

Apple Inc. Mothballing?

In the present market, itโ€™s not just smartwatches which have failed so far, but also wearables in a broader sense. To turn things around, the company will need to make the most of its apps and features. As of yet, no company has created a compelling reason to own a high-end smartwatch. For instance, Apple has failed miserably to do so, and this is asserted by the fact that it hasnโ€™t yet attracted developers onto its platform. Believe it or not, the Watch is only a couple of quarters away from being declared a massive failure. Perhaps, the most intriguing aspect is that Apple Inc. has refused to share the Apple Watch unit sales numbers.

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