Apple may officially launch a hardware subscription service that lets you rent the iPhone monthly

2022-06-23 0 By

Apple is rumoured internally to be considering an official hardware rental service that would allow users to rent iphones, ipads, Macs and other devices on a monthly or yearly basis.Sharing economy equipment rental industry is not a new thing, as early as a few years ago when the sharing economy entrepreneurial rise, there were a lot of digital product rental services.From camera game consoles, to mobile phone headsets and other products, can be through the package day package month package year and other different forms of payment for rent.In fact, the demand for leasing is not a hole in the tide, there is indeed a large demand for certain scenarios, for example, in order to save one-time expenses, start-up companies like to rent computers for employees, especially expensive Mac computers;For example, many people like to use drones and coding cameras to shoot videos when they travel, but they don’t need to use them at ordinary times.For service providers, many of the products themselves are second-hand purchases, or other devices that idle users put on the platform to make money, especially cameras and drones, so the investment costs themselves are not high.It can also make money based on various fees such as “deposit”, “lease duration”, “insurance service”, “combination package” and “accessory sales”.As a result, there are still hundreds of rental platforms engaged in digital product rental services, even though wechat and Alipay are available today.As we said above, the scene of digital rental industry focuses on cameras, computers and game consoles, which are characterized by high unit price, single use scenario and long machine life.However, mobile phones are different. As the newly-needed devices that people use frequently every day, the properties of mobile phones are naturally different.First of all, the unit price is relatively low. Compared with cameras and computers priced at tens of thousands, the threshold of a mobile phone is relatively low.Second is the high loss rate, no matter the length of use or accidental damage, mobile phone accidents are the most serious, the highest frequency;Finally, there is the discount space. The warranty rate of mobile phones is the lowest among digital products. Even for iPhone, the warranty rate is only 60-70% after one year, and for Android machines, the warranty rate is only 50% or even less.That’s why there seems to be a lot of demand for mobile phone rental services, but not many companies are willing to do it.Many enterprises would rather withdraw from all kinds of replacement and maintenance insurance, so that consumers can replace the old one every year, or free maintenance and replacement, rather than do leasing services, because it is not profitable to spread out the depreciation loss.So why is Apple getting into the rental market?It actually has to do with two of its key businesses.First, Apple itself has built a subscription ecosystem of music, games, streaming media, news and other content in addition to hardware. The revenue of these content services has exceeded that of mainstream music and video companies in China, and the volume is huge.Apple certainly wants more people to subscribe to the service, which will have to lower the barrier to entry for hardware.Now Apple’s products are made of a large number of recyclable materials, which actually reduces the raw material cost of new products. Once Apple officially opens the rental service, the recycled damaged machines can be put into the production materials of new machines, realizing a closed-loop.The iPhone as the world’s highest sales flagship mobile phone, stand at $5000 entry barriers still make a lot of consumers, but once opened rental service, a month YiLiangBaiKuai can get a cell phone use, the second year in a contract and can continue to use the update of the machine, consumers will be locked in the chain.If Apple does launch an official rental service, as an avid phone changer, I’d be more than happy to use it.How about you?