A third of Apple iPhone owners would shell out $100 more for an iPhone with a larger screen

A third of Apple iPhone owners would shell out $100 more for an iPhone with a larger screen
How badly do Apple iPhone owners want a model with a larger screen? According to a survey done by Raymond James analyst Tavis McCourt, 33% of iPhone owners would be willing to pay $100 more than the current price of the device, in order to have a display larger than 4 inches on the next-gen iPhone. That is up from the 26% of iPhone owners in the previous survey, who said that they would reach deeper into their wallet for a larger display on the next model.

Only 6% of Android users who were asked the same question, said that they were interested in spending that extra C Note for a larger-screened iPhone. This would seem to indicate that if Apple does release an iPhone with a larger display later this year, it should expect a large number of current iPhone users to update to the new model. But that is usually a given. What Apple was hoping for, and apparently will fail to get based on the survey, is a huge number of Android users switching to an iPhone offering a larger screen.

McCourt's survey indicates that 8% of current Android users plan on switching to the iPhone, down from 20% last year. This has lead to an increase in Android's estimated retention rate to 89% from 72% last year. The analyst believes that any Android user who was stuck with the platform because their carrier didn't offer the iPhone, has already switched to Apple's iconic smartphone. The numbers also indicate further gains ahead for Samsung, as 57% of Android owners plan on buying a Samsung Galaxy handset for their next smartphone.

This quarter, 44.4% of those surveyed said they plan on buying an Android model. That is the highest percentage for Google's open source OS since the December 2012 period. The 49.7% who plan on buying an iPhone is off sharply from the 54.3% reading scored by the iPhone last quarter. McCourt, noting the 3% that plan to buy a Nokia Lumia model, and the 1% who expect to purchase a BlackBerry handset, said that the lack of interest for both platforms might signal the end of the line for the pair. That seems like a pretty harsh statement to say about Windows Phone, which is the fastest growing OS on the planet according to Kantar.


source: Barron's via BGR

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35 Comments

1. cripton805

Posts: 1485; Member since: Mar 18, 2012

Apple knows they can raise the price by $200 and they would still buy because of the Apple logo. The reason why the 5c didnt sell as well was because the pricing was too close to the 5s, so they just stepped up instead. No sale was lost.

2. HansGoneInsane unregistered

I wouldn't pay more than 700€ for a Smartphone. I own an iPhone 5s and if Apple raised the price again, I wouldn't buy. Think about it. It is still just a phone and you spend so much money on it.

9. buccob

Posts: 2952; Member since: Jun 19, 2012

Well.... Today smartphones are not JUST a phone... While I agree that I wouldn't pay 700€ for one either, I actually use phones today to the max I can... They are my primary Music Players, Video Player (with HDMI, CEC), GPS unit (both G Maps and Waze), primary internet and social communication device, primary gaming device (sometimes I play Xbox and Wii... but I definitely do more casual gaming on my phone)... primary Camera (I have been using QX100 lately too)... That leaves my computer (the other expensive gadget I own) with use for: Content creation (Office, 3D works, serious photo editing), Internet surfing (but I continue it with Pocket in my phone), and low use of emails, social, etc... My ASUS notebook cost me $800 + a SSD + External HDD = about $1200... And I see myself using a lot LESS than my (at the time) $450 Xperia Acro S... + Microsoft Arc Touch Mouse + Logitech K810 Keyboard = about $600 So in conclusion, I take a lot more advantages out of those $600 than the other $1200...

13. ardent1

Posts: 2000; Member since: Apr 16, 2011

I am on the other side. Yes, I would spend an extra $100 for the larger screen (say 4.7" or larger) because IT IS what you do with the phone. (Realistically, I am expecting Apple to release a 4.3" device). Here is example -- when you buy a car, it can last for years so why not spend a litte more for a better stereo, power seats, extra safety features, etc. Everytime, you get into the car, you will be reminded you did a smart thing and wasn't so damn cheap. As for the phone, I look at my phone from 30 to 100 times a day (I am hooked on Castle Age). Think about all those moments where the phone gave me happiness because I wasn't so damn cheap. $100 over a 2-year contract (typical in the US) is about $4+ a month. It's a no-brainer to get the larger screen at $4+ a month if it gives me SO MUCH more enjoyment.

17. torr310

Posts: 1625; Member since: Oct 27, 2011

Phones can last for years only if they are not broken/lost/damaged. How many people are paying for the phone insurance? I am not. It doesn't mean you can do more if you spend more. Instead, you can spend less and do more if you do not care the Apple logo.

31. ardent1

Posts: 2000; Member since: Apr 16, 2011

Now that is a dumb comment. Castle Age IS NOT on android OS. Food for thought.

20. cheeseycheeser

Posts: 413; Member since: Mar 24, 2011

The real problem here is the fact that even if it may be worth it, it's still a ripoff. Samsung, htc, Motorola, LG, and Nokia are able to deliver 5"ish screen for $200. Apple could also do this with no real loss on profits. Charging $300 for a 4.7" iPhone would honsetly be an "f-u" to consumers.

21. Ninetysix

Posts: 2933; Member since: Oct 08, 2012

I don't see the problem if people are willing to pay for it. When you walk inside a store, nobody's forcing you to buy an Apple product.

4. Commentator

Posts: 3722; Member since: Aug 16, 2011

No sale was lost, maybe. But was profit lost? Probably.

6. Miracles

Posts: 560; Member since: Aug 31, 2013

Apple played smart...they priced 5s and 5c equally so people jumped up to the 5s. Now they gonna sell that 5c stock to third world countries like all of asia. No loss, but profit. Probably never intended to sell 5c here anyway.

32. stealthd unregistered

No. The high end devices are always higher margin, so if someone bought a 5s instead of a 5c, that's more profit, not less.

3. iushnt

Posts: 3060; Member since: Feb 06, 2013

Good news for Samsung as well..57% who are planning to buy android handsets are planning to et latest galaxy device..not bad

5. ihavenoname

Posts: 1693; Member since: Aug 18, 2013

IDK, this survey seems weird. I'll just rather wait for iPhone 6 and see what happens. I don't think that Samsung is going to eat marketshare like in #3.

7. Lt.Green

Posts: 397; Member since: Mar 13, 2014

I would too...

8. Miracles

Posts: 560; Member since: Aug 31, 2013

Oh BlackBerry....no back from the dead huh....secure os is all that's left for ya.

10. fredmode01

Posts: 19; Member since: Jul 17, 2012

I won't buy anymore any smartphone priced above 400€.. Prices went insane the last 3 years (thanks to Apple, and the other manufacturers following them) I'd rather have last year high end phone than paying that much money.. Last year best phone is still competitive, no prblem about it. Half the price.

11. mrblah

Posts: 577; Member since: Jan 22, 2013

" compiled from responses of 500 people in the United States from March 13th to 17th" lol yea... not enough people or locations to measure squat.

12. JMartin22

Posts: 2327; Member since: Apr 30, 2013

A better sample size usually consists of at lest 3,000 people from across various areas of the country

14. bubbadoes

Posts: 1225; Member since: May 03, 2012

Iphone owners would shell out 100 or more regardless of anything changing on the iphone. This has been the case since 2007---only a bump up in screen size and different ios UI's every year and that's about it.

15. jb4674

Posts: 145; Member since: Apr 05, 2013

It's not only a larger screen that Apple needs to outfit a new iPhone with. there are other important pieces of hardware that need to be included as well: 1. A longer lasting battery 2. Better graphics chip 3. Better cameras

16. SAO101789

Posts: 123; Member since: Feb 10, 2014

As long as the camera can compete with Nokia and Samsung than I'm good on buying one. However if it sticks with 8 mp than it's going to be a hard sell.

18. SamDroid unregistered

"As long as the camera can compete with Nokia and Samsung..." To be sincere I don't see an 8MP competing with 13MP and 41MP cameras.

19. Ninetysix

Posts: 2933; Member since: Oct 08, 2012

22. SamDroid unregistered

They don't have the Note 3 or Lumia 1020 there. ;)

23. Ninetysix

Posts: 2933; Member since: Oct 08, 2012

What's the resolution (MP) of the phones in that comparison? How did the 8MP phone do?

24. SamDroid unregistered

Looks like you are not getting my point.........THEY DID NOT BOTHER COMPARING IT TO THE BEST SHOOTERS KNOWN TO MAN aka Note 3 and Lumia 1020. Sure it beat the other 8MP phones, point is, it cannot compete with said devices

27. Ninetysix

Posts: 2933; Member since: Oct 08, 2012

Except the other devices did not 8MP. Do you even know your phones and cameras? You've fallen for the OMMGGG Higher megapixel is better crap. More cpu cores is better!!! Higher MHZ is betteerrrr...derp...

35. SamDroid unregistered

It was beat and you know it

33. stealthd unregistered

Well the 5s's 8MP camera absolutely does compete with the 13MP camera phones out there, just check out any camera comparison out there. As for 41MP, is there really a point in comparing with something that's more camera than phone (besides the fact practically no one bought it)?

34. ecmedic4

Posts: 520; Member since: May 02, 2013

Better graphics chip and better camera? Um the iPhone has always had a very very good GPU and the 5S has one of the best. The iPhone camera since the iPhone 4 has also been called one of the best by many many review sites. If your gonna troll, at least do a better job of it.

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