58% of Apple’s User Base Still Owns an iPhone 5s or Older: Kantar

With the iPhone SE, Apple is targeting users who still own a an iPhone 5s or older, which currently accounts for more than half (58%) of the total user base, Kantar WorlPanel Comtech has found.

The research is interesting, as the firm highlights how the market offering has changed during the past two years: In February 2014, 58% of smartphones sold were four inch or smaller, which compares to this February when that percentage dropped to 9%, hence Apple’s move to re-launch its 4-inch offering raises questions.

Interestingly, the average lifecycle of iPhone 5s or older devices is 27.5 months, longer than the overall smartphone market at 20.9 months. This suggests that these iPhone owners have resisted upgrading for various reasons, perhaps because they prefer a compact iPhone or because they aren’t interested in the newest offerings.

That has changed with the iPhone SE, as it is an appealing choice for those eyeing an upgrade in the next 12 months – 49% of the aforementioned user base owning an iPhone 5s or older – and willing to pay more than $300 for a new smartphone.

The Kantar survey found that 84% of users expecting to upgrade will buy another iPhone, remaining loyal to Apple’s ecosystem.

The research also notes that during the three months up to the end of February 2016 consumers spent $494 (USD) on an iPhone, which compares to $211 in the same period of 2014.