Andrew Orr
Although younger people aren't addicted to using their iPhones, they tend to upgrade to the newest model more often than older Apple customers.
There were findings from a study on April 12 that challenged presumptions about the differences between younger and older customers and iPhone addiction. Specifically, it determined that young people don't replace lost or damaged iPhones as soon as older users.
However, this week's report from Consumer Intelligence Research Partners (CIRP) concludes that younger people upgrade their iPhones more often to newer models than older Apple customers. For example, in 18 to 24-year-olds, 45% of consumers owned their previous phone for less than two years, over three times the rate of consumers aged 65 and older.
Meanwhile, 65% of customers aged 65 or older reported having their prior phone for at least three years, which is over 2.5 times the ratio for customers aged 18 to 24.
Age of previous iPhone by customer ageThe results are similar even when casting a larger net to look at the 18 to 54-year-old group. In this larger group, between 40% and 45% of consumers in this larger group retired a phone that was under two years old.
Older phones showed a slightly higher disparity, with 21% to 27% of consumers in this age bracket giving up a phone they held for three years or longer. CIRP has a couple of potential reasons.
"The most obvious is that younger iPhone customers appreciate the sometimes-subtle improvements in subsequent models more than older iPhone users do," it writes. "At the same time, they seem to be more prepared for the monthly expense of paying off a newer iPhone, and more aware of the value in trading in a relatively newer model to help reduce that acquisition cost."
Charles Martin
Malcolm Owen
William Gallagher
Christine McKee
Wesley Hilliard
3 Comments
The smartphone has become such an integral part of people’s lives that I can see the desire to keep current. Just like automobiles, sure there are ones who are proud of driving their 2013 Datsun beater around and declaring that it gets them where they are going. Most like driving a newer, reliable car that they feel safe in.
"The most obvious is that younger iPhone customers appreciate the sometimes-subtle improvements in subsequent models more than older iPhone users do," it writes. "At the same time, they seem to be more prepared for the monthly expense of paying off a newer iPhone, and more aware of the value in trading in a relatively newer model to help reduce that acquisition cost."
Baloney. The younger kids buy the latest and greatest because they have to keep up an image. Imagine being 24 years old and using a 5 year old phone. You'd be a complete outcast to your peers!
As people get older, the realize that the differences in the newest phones likely don't offer much value, especially at the cost of new phones. Younger kids also don't grasp the true opportunity cost of that shiny new phone. I always find it funny when there are kids that complain that they don't have any money as they are staring at their $1200 phone that's only going to last them a year or two. Of course, that cost gets hidden in the monthly payments, but that's still what it's costing them.