Friday, January 18, 2013

Apple: iPad Only Slightly Cannibalizing PC Sales, NPD Contends

Contrary to popular belief, the Apple (AAPL) iPad isn’t seriously cannibalizing the PC market, according to a new report from research firm NPD Group.

According to the report, only 13% of iPad owners surveyed bought an iPad instead of a PC, while 24% replaced a planned e-reader purchase.That suggests the device is more a threat to the Amazon (AMZN) Kindle than it is to Dell or HP.

NPD also notes that iPad owners, expecially those who bought one within two months of launch, are significantly more likely than other consumers to own Apple products, e-readers and smart phones.

NPD finds that 48% of iPad owners also own a Mac desktop or notebook computer, which compares to the 11% of U.S. households who owned a Mac in a previous NPD study earlier this year. Just 53% of iPad owners also have a Windows-based computer, compared with 75% of total households. About 38% of iPad owners also own an iPhone.

“Early adopters, like iPad owners, follow a traditional pattern of consumer behavior; they purchase products because they want them, not because they need them,” NPD analyst Stephen Baker said in a statement. “However, as Apple increases iPad distribution and consumer interest peaks, the profile of an iPad owner is much more likely to mirror the overall tech population. When that does happen other tech products with similar usage profiles as the iPad, such as notebooks, netbooks, and e-readers will come under increased pressure from the iPad. Until then, however, most iPad sales are likely to be incremental additional technology devices in the home, rather than a one-for-one replacement of a planned purchase.”AAPL today is down 98 cents, or 0.4%, to $282.77.

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