Apple again restricts iPhone sales to two per customer
Friday, October 26, 2007 - 04:09 PM EST Carl Howe, writing for Blackfriars Marketing, reports, "One of my blog readers wrote in with the following very interesting story: "I am a regular there and was talking with one on the higher-ups when he told me about a change in policy effective yesterday (10/24) regarding the sale of iPhones. Effective immediately, there is a limit of 2 iPhone purchases per person (not, the individual was clear to tell me, per transaction).""Given that Apple estimated in its earnings call that about 250,000 iPhones have been sold to unlockers, and that Piper Jaffray's Gene Munster estimates that Apple earns about $432 per AT&T activated iPhone, I can see how Apple might want to take this approach. But it does suggest a possible problem for particularly well-heeled Christmas shoppers who may want to buy an iPhone for everyone on their gift lists," Howe writes.
"I suspect that these restrictions have less to do with squelching the unlocking business, and more to do with Apple's holiday marketing and sales strategy. If Apple lets consumers buy five or ten iPhones at a time, it runs the risk of 1) depleting limited stocks of iPhones over its critical holiday selling season, and 2) having those resold phones, which get sold for very high prices with possibly buggy unlocking software, sully Apple's consumer experience and brand image. That would be, as people in consumer marketing business would say, bad. Want proof? Ask Nintendo how much fun it was last year not to have stock of Wiis at Christmas," Howe writes.
"Despite what seems like an endless iPhone launch, the iPhone has only been on the market for four months now, and Apple's manufacturing capacity is probably still only about 500,000 iPhones a month, if that. With the iPhone launching in Germany and the UK in two weeks and in France in a month and with holiday shopping demand ramping up, the last thing Apple wants to happen is to run out of iPhones for any of its markets," Howe writes.
More in the full article here.

You know you're doing well when you have to restrict the number sold to each consumer.