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Smartphone Wars: Apple’s Opportunity to Strike

September 10, 2016 Gadgets No Comments Email Email

As the battle heats up between Apple and Samsung, a new study conducted by Market Strategies International reveals that 33 percent of all Samsung owners show purchase interest in the much anticipated iPhone 7. More interestingly, nearly half (45%) of Galaxy Note owners expressed interest in the new iPhone, more than any other Samsung device user. With so many Samsung users considering iPhone 7, Apple is well-positioned to acquire customers amid challenges with the recently launched Galaxy Note 7.

“Our conversations with customers reveal a strong likelihood that Samsung Note users are ripe for defecting to Apple,” said Greg Mishkin, vice president, research & consulting, Market Strategies. “Samsung’s recent issues are a huge boon to Apple, just as many were writing off the iPhone 7 release as insignificant.”

The study’s key findings include:

  • Battery: 80 percent of current iPhone users and 60 percent of current Samsung users want a longer-lasting battery more than any other feature.
  • Waterproofing: Although 74 percent of current iPhone users and 56 percent of Samsung users are interested in a waterproof iPhone 7, only 16 percent of iPhone users and 8 percent of Samsung users would like to see the headphone jack removed, a change that Apple had been considering for the next iPhone release.
  • Wireless Charging: 64 percent of Apple users and 46 percent of Samsung users hope for this feature on the next iPhone.
  • Memory: 58% of iPhone owners and 44% of Samsung owners noted more memory as a feature of interest.
  • Screen Size: While 61 percent of iPhone users who currently have a large screen (i.e., iPhone 6/6S Plus) report wanting an even larger screen, only 30 percent of people with older iPhones (i.e., iPhone 5S and earlier) want larger screens.

The study, which asked more than 1,100 consumers about their current phones and preferences among the most frequently rumored iPhone 7 features, revealed not only which features were most desirable, but also critical differences between customer segments based on carrier. Although iPhone distribution falls in line with the general market share of cellular providers, with Verizon and AT&T owning 33 and 34 percent of the market respectively, just 17 percent of Verizon’s loyal iPhone users show interest in the iPhone 7. Alternatively, as one of the last to add the iPhone to its device list, MetroPCS customers have long pent up demand for the new iPhone with nearly 40 percent of customers having interest in the latest device from Apple. Overall, Apple has built a loyal following with 60 percent of current iPhone users interested in the new iPhone 7.

Mishkin adds, “The difference in iPhone 7 needs and wants varies greatly based on customers’ current make and model, wireless carrier and brand loyalty. Understanding who these customers are and what differentiates their interests in upgrading to the iPhone 7 is of paramount importance to retailers, carriers and brand marketers in the days and months ahead.”

Download the full report, iPhone 7 Market Landscaper, to explore who wants to buy the iPhone 7 and key customer segment differentiators.

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