Apple Inc. (NASDAQ:AAPL) will be reasonably happy with the reviews for the Apple Watch which appeared yesterday, but the company may not be quite as content when pre-orders roll in on Friday. That’s the opinion of Argus Insights, a research firm whose research has found less and less excitement about the Apple Watch.
Argus Insights says that in its record of millions of social conversations and thousands of product reviews it has found a measurable decline in how excited the world is about the release of the Apple Watch. That’s bad news heading into the official start of pre-orders of the device on Friday and the eventual beginning of physical sales at the end of April.
Apple Watch demand fades
According to the Argus Insights report interest in the Apple Watch actually peaked a couple of times when it was first mentioned, but the heat around the device has faded since, to be replaced with more excitement for competing wearable devices.
John Feland, the research firm’s CEO said, “We have seen a couple of remarkable Apple Watch spikes – when it was first introduced of course and then when it was launched with details in March – but aside from those two periods, there has not been a sustained level of consumer interest compared to Android Wear or FitBit.”
Argus’ research involved the analysis of 7.8 million social conversations and 65,000 reviews of wearable products in order to come up with a metric of the popularity of the Apple Watch. Excitement and interest in the Watch has not been sustained and with reviewers still asking questions about who exactly the Watch is for, there may be a difficult road ahead for Apple.
No runaway success for Apple Watch
Feland says that his research suggests that the Apple Watch will be successful, but that the product won’t be an absolute phenomenon straight away. Argus has been monitoring excitement around the launch of an Apple Watch since long before the device was actually announced.
Analysts are split on their predictions for the future of the Apple Watch. Gene Munster, the Piper Jaffray analyst famed for his TV obsession, reckons Apple will sell just 8 million devices in its first year. On the higher end Katy Huberty of JPMorgan reckons that one in ten iPhone owners will grab the wearable, meaning around 30 million sales for Apple inside the first year of business.
Apple investors remain sceptical
Shares in Apple have not been on a run up or down as the company heads towards the release of the Apple Watch. The company’s shares even earned a rare downgrade on Wednesday. Analysts from Societe Generale, the french investment bank, reckon that the company is facing serious currency headwinds that will rough up its first quarter earnings report.
That report is scheduled for revelation on April 27, just three days after the Apple Watch goes on sale for the first time in stores. That means that some information about sales of the company’s first foray into wearable technology might be available, especially if the numbers are firm. Apple Inc. (NASDAQ:AAPL) closed at $125.60 on Wednesday’s market.