Business sales a 'surprising' growth area

Charlie Wolf of Needham praised Apple's growth in nearly all segments in a note to investors on Wednesday, particularly pointing out the "surprising" growth of Mac shipments to businesses over the last six quarters, saying he believes it to be a durable trend. Wolf also pointed out that the strength of the Mac in the Asia-Pacific market and in other areas meant that Apple had now achieved a 5.2 percent worldwide share of the PC market.

Apple's overall share increased nearly a full percentage point from the same period a year ago, fuelled in part by exploding growth in China and other APAC markets but also due to the ongoing "halo effect" of widespread iPad and iPhone adoption. Mac shipments have outpaced the overall PC market for 22 straight quarters, but more surprisingly Mac shipments to businesses grew 43.8 percent year-over-year, over nine times the pace of the general PC market.

Wolf also credits the ongoing rollout of more international Apple Stores will helping the company increase its home and business share in both Asia and Europe. Overall market growth in Europe was down 10 percent, but for Apple it was up 20 percent year-over-year. Despite the perception that Macs are "premium priced" compared to Windows PCs, the company is even increasing its unit share in the US, though at a much slower pace than elsewhere. It continues to lead the industry, however, in dollar growth -- perhaps helped by the fact that the average price of a Mac has declined at only a one percent average annual rate over the last six years, far less than most of its competitors.

The iPad and the iPhone's success in business have also led companies to consider more widespread deployment of Macs in more areas, Wolf says. The company started on a spike of growth in mid-2010 that appears to be accelerating, Wolf says, jumping over a full percentage point over the last year.

by MacNN Staff