
Writing in the AppleInsider, Katie Marsal says Credit Suisse Analyst Robert Semple predicts women--specifically divorced women-- may be the iPhone's biggest surprise.
In defending his thesis, Semple cited a "precedent" or trend in the market where consumers continue to show a willingness to "trade up" to premium products, such as the Apple iPod, Under Armour, Coach handbags and Tiffany jewelry. "At Coach, the mix of $400+ handbags has increased 100 basis points as a percentage of total sales," he explained. "And at jeweler Tiffany, 'statement' jewelry has seen average selling prices increase from $81,000 to $91,000 over the past year while less-than $500 silver products have decreased as a percent of total."
Fueling the trend, according to the analyst, is the rise in discretionary wealth, the introduction of an influential female consumer, changing family structures, and evolving consumer behavior, along with encouragement from media influences to acknowledge and respond to personal needs.
"Why will consumers Trade Up to the iPhone?," asked Semple. "The real value and differentiation in the iPhone lies not its sleek design (this is certainly helpful though), but rather, the innovative qualities and resulting capabilities delivered by the Mac OS X, which remains the best operating system in the PC world today in our opinion, and an OS that easily exceeds the capabilities of the scaled down OS’s that dominate the mobile phone market today."
In case you have been so preoccupied watching cable news breaking news that Paris Hilton has been released from prison, the iPhone goes on sale this Friday. It is already creating a new career opportunity for some -- line sitters.
From Mark Lacter on Los Angeles Business by way of Cnet,
From Santa Monica): iPhone LineSitter Wanted - Easy $. "I am looking for several people who will wait in line for me to buy the new Apple iPhone on Friday, June 29...You need to be reliable, mature, and patience will definitely be a plus! What you do while you're in line is your business, but unless you devise a foolproof strategy, you cannot leave the line."
(From Cupertino): I want an iphone, but i cant skip work. "I want an iphone! but I cant skip work. I'm looking for someone willing to stand in line for me starting thursday afternoon, camp out, and trade spots with me around 4-5pm friday...It seems like the asking price for people to stand in line is 200-300 dollars (however i have seen offers for 150). but I want to make SURE that i get one, and I'm pretty much willing to pay the 200-300 extra for it...contact me and make me an offer - if i dont get any, i may have to camp out myself and just get in trouble with work :)"
(From Santa Monica): "I am looking for someone who can wait in line for me to buy the new Apple iPhone on Friday, June 29 - I have to travel for work that day, or I'd be out waiting myself. Our target is the Apple Store at the Third Street Promenade in Santa Monica. The gig starts at 5am and ends at about 5pm. You need to be reliable and focused on the success bonus...Let's make this happen." This message will self-destruct in 30 seconds.
I will not be hiring a line-sitter. I won't be standing in line. In fact,if I stick with my current wireless provider I will be iPhone-less for the next five years.
It makes me weep. I want to be an early adapter.I'm the market! But alas and alack I'm a Verizon Gal and if reports are correct, AT&T has a lock on the iPhone for the next 5 years.
Five years! Verizon what in the world were you thinking?
Turns out Verizon got first shot at the iPhone but turned it down because they couldn't agree on terms. Oh my achy, breaky heart.
As far as loyalty goes,I have been a tried and true Verizon customer for over 20 years. I am actually very happy with their service.
But and this is a big but...I want an iPhone.
Will a product motivate me to switch phone providers? It could. Not this week. But I'm very tempted and depending on just how cool this gadget actually is, I may not be able to wait the entire summer.
While I would have been willing to wait a year until Verizon could carry the phone, if the rumor of the five year lock with AT&T is true,it could be my Verizon deal breaker.
Lust is a dangerous and expensive thing.
Image source:Screen shot of iPhone on Apple.com
Elana writes about business culture at FunnyBusiness
Comments
iphone
Be glad your carrier will not carry the iphone for a while. Chances are it will take that long for Apple to clean up the glitches the phone will have upon release. Isn't that how it always is?
The rate plans
I see that Apple and AT&T finally announced the rate plans for iPhone.
http://www.pcworld.com/article/id,133443-c,techindustrytrends/article.ht...
And, you can acitivate the iPhone at home using iTunes. You don't have to stand in line at the store to do it.
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Love the Hype
I'm excited about the phone too, but probably won't be buying one soon. Even though the marketing is great and the anticipation is fun, I'm still a conscious-consumer (at least when it comes to techie items...clothes, that's another thing!) I'll wait to hear the verdict and/or until the kinks are ironed out. In the meantime...I'll window shop.
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Isn't the iPhone heavier
Isn't the iPhone heavier than other cells? Not sure if I want a heavy thing in my purse. My Blackberry 71XX lasted like a year before I traded up for a Pearl. Besides, this thing has, what, 8 Gigs max? My video iPod has 30Gs.
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I don't get it
Paris Hilton? Mac iPhone? I don't covet either and won't be buying either. Both seem to be a symptom of market place hype. A phone is a phone. I am not sure what Paris Hilton is. Cool or not, I can't afford it and apparently it will rock my world?
Cato
Ever since Eureka..
Ever since I saw it used on Eureka, SciFi's geek town, I wanted one. Talk about the ultimate product placement or introduction. Not only did they place it in the show, but gave it an acting role as an everyday tool in everyone's hands.
That said, would I wait in line? Nope.