iPhone Launch Shows Slowing Ecosystem Growth

iPhone Launch Shows Slowing Ecosystem Growth
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More iPhone 5S/5C Buyers Had iPhones, Not Android Phones

Fewer iPhone Owners Buy Most Advanced Models

Consumer Intelligence Research Partners released analysis of phone purchasing patterns for iPhone 5S/5C buyers after the September 20, 2013 launch of these new iPhones. Based on that analysis, iPhone buyers increasingly come from within the Apple ecosystem, rather than from other platforms such as Android phones.

CIRP analyzed survey data in which iPhone 5S/5C buyers identified their previous phone, in its new report, "iPhone 5S/5C Launch," available now from CIRP. Almost two-thirds of these buyers previously owned an iPhone, compared to 55% of buyers at the launch of the iPhone 5 on September 21, 2012.

2013-11-13-chart.jpg

Ideally, Apple attracts a significant percent of its customers from Android and other systems. At the most recent launch, though, Apple saw an increase in the share of customers that already had an iPhone. Perhaps because of the declining base of non-smartphone owners, a smaller percentage of iPhone buyers upgraded from a basic or flip phone, compared to the year-ago launch.

In addition, a smaller percentage upgraded from the most recent flagship phone. We see a noticeable decrease in the number of iPhone buyers that seem to want the latest, most advanced phone. For the iPhone 5S/5C, 6% of buyers upgraded from the year-old iPhone 5. In contrast, at the launch of the iPhone 5 in September 2012, 12% of customers upgraded from the year-old iPhone 4S. Within the two-thirds of iPhone buyers that upgraded from an existing iPhone in September and October 2013, many fewer upgraded from the year-old iPhone 5, relative to the 55% of iPhone 5 buyers in September and October 2012 that upgraded from the year-old iPhone 4S.

CIRP bases its findings on its survey of 400 phone customers that activated an iPhone in the US in after the launch on September 20, 2013.

For further information, please contact CIRP.

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