Analysts: ipod device sees no disaster from Zune
Financial analysts are convinced that early sales of Microsoft’s Zune player offer little threat towards the ipod device this holidays.
Since its retail debut on 15 November, customer curiosity about Zune continues to be weak, analysts report. Early reviews from the product happen to be average to negative.
Based on an investigation note printed Tuesday by PiperJaffray senior research analyst Gene Munster, only 8 percent of 40 retailers surveyed through the firm recommend the Zune to customers, while 75 percent recommend Apple’s ipod device.
Furthermore, some MP3 salespeople had not even heard about Zune, although the players are now being offered in their stores, he authored in the report.
Quotes from retail clerks reported in Munster’s report vary from them claiming they do not know exactly what the Zune is, to comments that Zune is a great option if your customer doesn’t use Apple’s iTunes software.
“To tell the truth, I do not fully realize much concerning the Zune,” one clerk is quoted as saying in Munster’s report. Another stated, “I do not suggest the Zune since it is really heavy,” based on the report.
Zune did not show strongly against against other Audio players and Apple’s ipod device even during its initial week of sales, once the hype all around the product what food was in its peak.
Based on Munster’s report, during its launch week on 16 November, Zune held the seventh place on online store Amazon . com.com’s top best-selling Audio players list, also it fell from that place to 13 out there only 5 days after launch, on 20 November.
“The excitement that Microsoft could generate for that Zune’s launch clearly helped the gamer in the first week, but a lot of the publicity required the type of Zune/ipod device comparisons,” Munster authored. He added these comparisons reveal that Zune “unsuccessful to match within the eyes on most reviewers” towards the ipod device, an undeniable fact that negatively affected sales from the device.
Deutsche Bank analyst Chris Whitmore authored Monday the ipod device remains a powerful seller entering very busy holiday shopping season, and also the 30GB video iPods – that Zune competes – “seem to be safe from the Zune”. He stated both 30GB video iPods and also the new 4GB iPods nanos presently are well-liked by consumers.
An email about Apple’s performance from financial firm UBS IT hardware analyst Ben Reitzes also stated that Zune doesn’t seem to be any threat to ipod device at the moment.
Microsoft has stated it intends to invest considerably within the Zune within the next many years, and also the system is likely to be competitive.