updated 06:00 pm EDT, Thu November 1, 2007
Study: iPhone price factor
Pricing is the highest hurdle for Apple's iPhone amongst most consumers today, according to one study. Market research service provider GMI conducted a study measuring the features that most compel customers to purchase an iPhone, and gaged which iPhone features consumers dislike. The survey found that $100 iPhones would attract a colossal 88 percent of consumers to the device, and that a $200 iPhone would see an adoption rate of 68 percent. "We found that price was the biggest factor keeping people from buying an iPhone with the Apple-AT&T alliance a close second," researchers said. "We found that only 8 percent of consumers would by a $500 iPhone, but if the price dropped to $100 88 percent say they would buy the phone."
The latest GMI poll found that seven percent of respondents would only purchase an iPhone when their current service plan expired, while a full 60 percent said Apple's decision to use AT&T as the sole service provider is a "black mark" for the handset that could keep them from purchasing the device.
GMI interviewed 2,356 consumers online, revealing a sharp upturn in potential iPhone owners as the handset's price dropped toward $100. iPhones priced at $400 would attract 14 percent of respondents, while $300 iPhones were a definite purchase for 38 percent of those surveyed. iPhones priced at $200, meanwhile, appealed to 68 percent of respondents.
"Overwhelmingly, people like the iPhone," said Chris Seals, vice president of research at RDA Global. "The two problems Apple needs to worry about are the expensive price tag, and the Apple-AT&T alliance. Apple brought down the price a little, but the lack of choice in service providers is still a big problem."
Consumers also said Web access and the ability to take digital photos were both more desirable features than playing MP3 musical tracks.
A whopping 97 percent of consumers surveyed said the iPhone functions well as an actual phone, and 96 percent say they like the display. Still, 46 percent of respondents cited other phone options that are equivalent or even superior to the iPhone, according to GMI.
The iPhone's digital camera is desired by 79 percent of participants, while Google Maps and MP3 player technologies were sought after by 74 percent. The ability to play video appealed to 70 percent of survey respondents, and YouTube integration caught the eye of less than half -- or 41 percent -- of consumers.