Apple Reorients Strategy to Rejuvenate its iPad Product Line

After a short but marked lull in the Apple’s iPad business for the past three years, the technology major has made a series of software enhancements and product launches to bolster its margins. Making significant productivity improvements in its iPad Pro lineup recently, the company hopes to better target its potential customers. On the other hand, with the launch of its 5th generation iPad in March 2017, the company seeks to tap lower end of the market. Furthermore, Apple optimistically hopes to capitalize on lucrative trends emerging in the detachable segment, which will help the company bolster its presence in the tablet market.

Key Software Enhancements to iPad Pro Models to Help Apple Improve Bottomline

Driven by concerns of a receding tablet market and the supposedly cannibalization from its larger screen iPhones, Apple has recently taken series of measures to boost its product line. Earlier this year, the company introduced iPad Pro with 9.7-inch display and kept the price low. Next, in the recently held annual Worldwide Developers Conference (WWDC) that took place on June 5-9, 2017 in San Jose, California, the company launched its renowned iPad Pro models, along with several software enhancements.

In order to bolster its presence in the lucrative detachable segment, the company introduced compelling features in the iPad Pro lineup through its latest version of iOS 11 software. Key benefits attributed to the new software include better multitasking, enhanced file management, drag and drop features, and dock features that replicate the benefits of Mac lineup. Since, the iPad uses the company’s propriety silicon instead of Intel processors and graphics chips, the margins for the product line can be as good as that from its Mac Book business. The premium price points of the iPad Pro lineup will help company improve the average selling price of iPads.

Recently Launched Low-Priced 9.7 inch iPads to Tap Lower End of Market

In another notable change in its strategy, Apple hopes to increasingly target lower end of the market thrived by first-time tablet buyers and the like. To this end, the company launched 9.7 inch iPad in March this year and kept the price significantly lower to especially target first-time or casual users. Compared to smartphones, software and hardware upgrades for the iPads are few and far. With the launch of these budget iPads, the company hopes to explore a new user base and boost its overall ecosystems.