3. Research Objectives
• Do demographics influence consumer’s choice of smartphone?
• Age
• Race
• Sex
• Household Income
• Are hardware, software, and price influential factors?
12. 13
5
1
3
0
3
3
69
2
1
2
1
0
0 10 20 30 40 50 60 70 80 90
African American
Caucasian
Asian
Middle East
Other
Prefer not to say
Hispanic
OS PREFERENCE BASED ON ETHNICITY
Android IOS
17. 46%
36%
12%
6%
HOW LONG AGO DID YOU BUY YOUR CURRENT
SMARTPHONE?
Less than one year One to two years Two to three years More than three years
18. 0 2 4 6 8 10 12 14 16 18 20
Less than $20,000
$20,000 to $34,999
$35,000 to $49,999
$50,000 to $74,999
$75,000 to $99,999
$100,000 to $149,999
$150,000 to $199,999
$200,000 or more
AVERAGE HOUSEHOLD INCOME
19. Recommendations and Next Steps
• Focus groups for Samsung users – why choose Samsung over Apple?
• Focus on communicating why iOS is worth the price, the ease of use, and
overall brand benefits.
• Communicate the competitive advantage of hardware that accompanies the
iOS operating system.
We are looking at mobile operating system preference in Canada.
Research Objectives – Louisa (3)
Methodology – Danielle (4)
Findings – Louisa starts (slides 6-8), then Nick & Danielle do majority
Recommendations & Next Steps – Rachel
We wanted to see which mobile operating system was most preferred among Canadians.
To find an answer to this, our research objective was to find out if specific demographics influenced Canadian consumer’s choice when purchasing a smartphone.
Main demographics that looked at were age, race, sex, and household income.
A subsequent objective was to understand was if hardware and software, as well as price, were influential factors in a consumer's choice.
The strategic issue was trying to attract new customers and switchers in an oversaturated market to Apple and the iOS ecosystem. Specifically, what would make non Apple users most willing to switch operating systems.
Humber Eco-system
We started with secondary research and then performed primary research to validate or not validate the claims/information in the secondary data.
We had a total of 111 individuals completed the survey.
Our initial screening question was if the individual owned a smartphone or not.
Results revealed 98% said yes.
Preconceived notion among individuals is that iOS is the most popular operating system for mobile phones. Our primary data supported this notion, with 71% of respondents using iOS while only 23% use Android.
With that, we focused on the 27% of users who were non iOS and examined what factors they ranked as being the most important when considering switching from their current mobile operating system.
Results revealed operating system (11) and hardware (10) as the two most important factors.
Mobile Hardware preference results were surprising, besides 71% being iOS.
Samsung and Other tied at 14%.
Other includes:
Blackberry
LG
Acer
Sony
We can infer that physcologoyl their justifying the iPhone high price with the brand.
Nick
Something interesting
Nick
Danielle
Danielle
Danielle
Danielle
Danielle
Nick
Nick – there is a preconceived notion
Rachel
Next Steps: we would want to go back to Apple – focus group for switchers / non-iOS users ask them why they prefer Samsung over Apple
Gain more qualitative data
In order for Apple to continue to be successful and dominant over any other operating system, they need to focus on marketing and advertising.
The biggest reason for individuals buying a smartphone is the brand and price.
Apple should target their brand benefits and focus on the reasons why iOS is worth the cost.
Consider international currency conversions when selling abroad
Even iPhone users consider price as a top priority but are willing to pay
Getting extra support / Siri / Genius help psychological justification for paying more
Operating system and hardware are main reasons for switching, therefore Apple needs to stand out as to why their operating system is a better operating system
i.e. does it have a better user interface? Smoother transition? More user friendly?
Hardware: Focus on the way it looks and feels in the users hand, the color, weight, and appearance of the device
Apple should take into consideration international currency conversions when selling their phones abroad. this is based on the fact that Apple is an American company and wants to be paid in USD, because of this iPhone prices have been on the rise due to the weakness of the Canadian dollar. We recommend, based on the findings, that Apple should consider lowering the price of the iPhone in international markets where there is a major currency disconnect. They will take less of a profit but they can keep their market share growing in these countries (especially Canada) because they run the risk that one day, price will reach a point where consumers cannot justify paying the price for an iPhone.
Based on the survey findings that show all smartphone users consider price the top priority when considering purchasing a smartphone (even iPhone users), consumers are still paying the price for the devices. We can infer that this may be attributed to consumer psychologically justifying the price because of the features and/or support that they are getting from the brand (such as support / Siri / Genius Bar / Lessons); that is not available from other smartphones brands. It seems as though apple is slowly raising their prices over the years because the dollar is going up, not because they want more money but because the dollar is weakening. People will continue paying because they believe that the reason for justifying the price increase is due to new features rather than the state of the dollar.
Of non-iOS users, operating system and hardware are the majority reason why individuals would be willing to switch. iOS therefore needs to stand out as to why their operating system is more beneficial than any other operating system - such as that it is more user friendly or that it has a smoother transition when opening and closing apps.
Hardware is also important as users find the Apple iPhone. This means that Apple should focus on the way in which the iPhone feels in the users hand, the look and presentation of the phone and the durability of the phone.
All are ways in which Apple can compete for potential new users, specifically non iOS users and switchers, in an oversaturated market.
