Millennials Holding out, Boomers not Compelled to buy next iPhone

Loyal Apple consumers across generations aren’t excited about a 4-inch iPhone, which is expected to go on sale following Apple Inc.’s announcement later this month. A recent survey of 1,041 iPhone users in the U.S. found that 78% of Millennial, Generation X, and Baby Boomer-aged consumers are either happy with and will keep their current device, or plan to wait until the next iPhone launch.

Leading mobile shopping app and site platform, Branding Brand launched the study to see how receptive current iPhone owners are to Apple’s next release. Of the survey participants, 46% have only ever owned an iPhone as their smartphone, while the rest switched to iPhone at an earlier point in time. In its investors meeting on January, 26, 2016, Apple noted that iPhone customer loyalty, in general, is two times as strong compared to Android.

Millennials, Generation X iPhone Owners won’t “Downgrade”

The youngest generations of iPhone users are most likely to own the latest devices. In fact, 60% of Millennials and Generation X currently own one of the iPhone 6 or 6 Plus models, but 88% of the people who own these devices aren’t interested in a 4-inch iPhone.

“Millennials like to save money but will spend on quality,” said Chris Mason, CEO of Branding Brand. “With the latest product rollout, many are wondering if Apple is making a step backward, but the company is likely expanding market share to potential consumers wanting to either switch or upgrade.”

Millennial iPhone shoppers are worth a lot to retailers; 55% of them shop online 1-3 times per month. Of all generations, 51% shop online 1-3 times per month. During the 2015 holiday season, Branding Brand’s mobile shopping report saw that iPhones generated 65% of mobile shopping revenue and 61% of visits.

Cost is top Concern, but Generation X most Likely to own Apple Watch

The hype for the new Apple Watch bands might come up short for Apple’s announcement. Generation X is most likely to own an Apple Watch; however, only 4% of all people surveyed own an Apple Watch. If it were cheaper, 39% say they would consider buying one.

“Apple has a long way to go if they want to catch up with other wearables,” said Mason. “According to our survey, 53% of all consumers without a smartwatch say they couldn’t be convinced to buy an Apple Watch, with cost being their top concern.”

Baby Boomers most Interested in a 4-inch iPhone

Out of all age groups, Baby Boomers are the most likely to own an older iPhone. 42% of people owning iPhone 4s and older iPhone devices are willing to trade in their current device for a 4-inch iPhone. More than half of this generation is loyal to Apple and has never owned another brand of smartphone. 55% of 55-and-older iPhone owners currently have an iPhone 5s or older.

“We’ve come to expect innovation and excitement from Apple product launches,” said Mason. “Unfortunately, none of these rumored products are actually new; they are light functionality upgrades of devices that excited us years ago.”

KEY: Millennials: 18-34; Generation X: 35-54; Baby Boomers: 55-65+