iPhone Commands Price Premium as Smartphone Sales Grow
An iGR survey suggests consumers intending to buy an iPhone would pay more than they would for an Android smartphone.Smartphone sales in May accounted for 71 percent of overall mobile handset sales, with basic phones representing just 28 percent of sales, according to a survey from iGR, a market strategy consultancy focused on the wireless and mobile communications industry. The survey also found users intending on purchasing Apples popular iPhone are willing to pay $11 more for the device compared with Google Android-based smartphones. Consumers were on average willing to pay $135.90 for an Apple iPhone, compared with $124.65 for an Android device, according to survey results. Overall, the majority of consumers who recently purchased a handset of any type reported a mean handset purchase price of approximately $114.23 (weighted). Similarly, the majority of consumers who plan to buy any type of handset in the near future plan to spend on average approximately $127.25 (weighted), still nearly $9 below the average price survey respondents said they would spend on an iPhone.
With the rise of mobile email, social networking and constant connectivity to the Web, consumers are developing an increasing interest in mobile devices that can connect them to the Internet, the survey indicated-- close to 69 percent of the handsets survey respondents said they plan to buy in the future are likely to be smartphones. "Smartphones have become the new norm," iGR President and founder Iain Gillott said in a prepared statement. "60 percent of the survey respondents iGR interviewed reported using a smartphone."