Apple has long enjoyed one of the highest levels of customer loyalty. However, when it comes time for iPhone users to upgrade, a new report from Consumer Intelligence Research Partners (CIRP) highlights that they mostly stick to the same iPhone model instead of opting for the Pro series.
Why aren’t iPhone users upgrading?
To examine this trend, CIRP analyzed iPhone purchase data spanning three full quarters following the debut of the iPhone 14 and categorized these purchases into three distinct tiers: the base models (excluding the iPhone SE), the premium models (Pro series), and the budget-friendly SE models.
Upon analyzing the data, the study revealed a remarkable trend of loyalty among iPhone purchasers, with the majority choosing to stay within the same tier they had owned previously. For instance, in the normal iPhone models category, which includes phones like the iPhone 12 and 13, a significant 66% of consumers opted for another base iPhone model as their next device, while only 29% decided to upgrade to a premium “Pro” iPhone. Additionally, 5% of users chose to downgrade to the iPhone SE model.
Similarly, when discussing the Pro models, a staggering 79% chose to stick with a Pro or Pro Max iPhone, while only 21% made the switch to a non-Pro or SE model.
However, when it comes to SE owners, considering the irregular launch cycle of such devices, they displayed a more balanced pattern. Approximately 40% of SE owners continued with the SE, and another 40% moved up to the base models. Interestingly, 25% of SE users decided to upgrade to the Pro models.
Insights from the study
While the research offers valuable insights into the buying habits of iPhone users, it also highlights that most base iPhone users do not find it worthwhile to spend the extra and upgrade to the Pro models. This could be attributed to the fact that despite Apple reserving features like the 120Hz display and triple camera setup for the Pro models, the base iPhones still offer substantial value to everyday consumers.
“We see very little switching among iPhone model tiers. The iPhone market is sort of like a one-way, two-lane road with a solid line between the lanes. One-way because iPhone ownership predicts continued iPhone ownership, of course, but the solid line is a bit of a surprise,” says the report.
2023-09-20 15:07:20