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How Apple is in Glass Repair Business



  iPhone Broken Glass This weekend I saw an advertisement on TV for Safelite Auto Glass. It showed a happy family who did family things while someone replaced the broken glass on their car. Everyone smiled. Everyone was happy. Win, win, win.

Then I read about a change Apple makes to AppleCare, thanks to the glass sandwich iPhone 8 models. Glass Break. I'm sure you know someone who has dropped his iPhone or an Android model and shattered the screen. Ouch. Crushed screens can be repaired at Apple, specialty stores in the mall or online. The price tag for repair is nominal. Unless you own an iPhone 8 or 8 Plus.

Shatter Proof Profits

If you are lumpy, prone to drop things, or have dropped your iPhone in the past and broken the screen, you know pain and expense. I have a recommendation. Get AppleCare. Otherwise, you help burn Apple's new glass repair business that can be worth almost $ 1

billion a year.

Break the screen on an iPhone 6, iPhone 7 or iPhone 8, and the price without AppleCare now starts at $ 149. The iPhone 6s Plus, 7 Plus and 8 Plus are priced at $ 169. Do you have AppleCare? The first screen repair is $ 29. Apple doesn't get all these repairs, though. Many malls have service and accessory stores that also repair broken iPhone glass.

What if you have an iPhone 8 or iPhone 8 Plus and break the glass on the back? Without AppleCare, the price tag goes up to $ 349 and $ 399, respectively, against $ 99 to repair under AppleCare, because it's not expected to break glass at the back.

Apple is in the screen repair business, and it's worth millions in profit.

How many iPhones are there in nature? Maybe 750 million. Apple sells about 240 million new iPhones every year. Surveys and research say about 25 percent of all smartphone users – including Apple's iPhone crack or broken glass on their smartphones. Of those, a percentage won't bother repairing the broken glass and just buying another phone. Of the iPhone customers who get repair, some go to Apple, others have the screen attached by a child in the mall specializing in broken iPhone screen repairs.

So, let's say that only 5 percent of all iPhones with cracked screens end up at Apple Town Square (that's what Apple calls the stores these days) for repair every year. And let's say half is under Apple Care at $ 29 each, and the other half pays $ 149 for a split screen.

5 percent of 240 million iPhones sold each year mean that $ 12 million comes up at Apple Genius Bars for repair over the year. With six million iPhone screens – at $ 29 with AppleCare, there is extra annual revenue approaching $ 174 million. 6 million broken iPhone $ 149 displays mean $ 894 million in additional revenue from broken screens;

Just fix the glass on broken iPhone screens.

My math is a credible and affordable way, but it is obvious that Apple is in the glass repair business and the revenue stream will only get better with new iPhone models with glass on both sides.

More broken glass. More repairs. More revenue. More profit for Apple.


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