There is no scarcity for smartphone manufacturers nowadays and almost all of them release multiple devices every financial quarter. A recent study, however, shows how unimpressive most of these new devices are. According to the study, Americans on average change their phones only once in three years. The study was conducted and released by Strategy Analytics, which had analyzed populations belonging to various groups based on age, ethnicity, gender, price of the current smartphone and replacement cycle.
“Apple and Samsung are dominant with brand loyalty above 70% with a huge separation to second tier vendors LG and Motorola with repeat purchase intentions below 50%. Apple Dominates Hispanic and Asian Markets with market share above 50%,” reads some of the highlights from the study. More importantly, it says that an average American sticks onto the same phone for almost three years. In the case of Samsung devices, for instance, the device stays in one’s bag for an average of 16.5 months.
In the case of Apple iPhone devices, however, the period is longer — 18 months. This practically means that people don’t upgrade their phones as much as vendors want them to. This study adds evidence to the claim by several experts that the smartphone industry is set to witness one of the biggest declines it has seen in the history. The claim was also based on the decreasing amount of smartphone shipments across the globe. We cannot, however, ignore the increasing consumption in developing countries.
The study, however, has its own limitations. For instance, it should be noted that the research team surveyed only 2,500 smartphone users. The company says that people are not convinced with the new upgrades — or in most cases, they find the upgrades to be negligible. This research, nevertheless, shows us why smartphone makers should re-think their strategies.