Apple Watch more popular than Rolex & iPhone dominant with teens

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in AAPL Investors
Ownership of iPhones among teenagers is high but could be higher, according to an analytics firm's survey that continues to prove Apple is a highly-regarded and popular tech brand for all ages.




In the fall 2021 edition of Piper Sandler's "Taking Stock with Teens" survey, the firm asked approximately 10,000 teenagers about their buying habits, aspirations, and the tech they use. The latest results show Apple is still a major brand in the minds of teenagers and young adults.

In the survey, approximately 87% of respondents say they have an iPhone, a figure that's just below the 88% record seen in the spring survey, but above the 86% observed in fall 2020. That figure is set to rise, as 88% say they have an intention to buy an iPhone, which itself is another record for the survey.

Over 22% of those surveyed also said they planned to upgrade to an iPhone 13 model in the fall or winter. This is above the 6% metric the firm saw in a recent iPhone survey.

For the iPhone 12, ownership increased to 20% for fall 2021, up from 12% in the spring. However, the number of iPhones older than two years being used by respondents has dropped down by approximately 12%, suggesting that upgrades are becoming more frequent.

"These trends are encouraging as the company continues to introduce new 5G iPhones, which could provide a significant product cycle refresh," writes Piper Sandler managing directors Harsh Kumar and Chris Donat. "We think these positive trends can also be a catalyst for further services growth as well, as the initial base for Apple hardware continues to grow."

For other Apple hardware, the Apple Watch is owned by a record 30% of the teens surveyed, up from 25% last fall. It is also believed that Apple has an 86% market share among teen smartwatch owners, with the Apple Watch buying intent up to 15% from 13% in the spring.

Concerning what the smartwatches are used for, just 30% say they use a fitness app as part of their workout routine. Of those app users, over half say they use Apple apps.

Among upper-income teens, Apple overtook Rolex as the top watch brand in the fall, with a 39% share versus 35%.

AirPods ownership is still quite high among teenagers, at 67% in the fall, though it is pointed out that this is a slight dip from the spring survey.

Away from hardware, the survey revealed only half of teens were concerned about their internet activity being tracked, and that 56% were not interested in Apple's iCloud+ service.

Though cash continues to be the favored method of payment for teenagers, used by 85% of the survey, Apple Pay is the second most-used option at 35%, up from 32% in the spring survey. Meanwhile PayPal is third, dropping 2% to 22%, followed by prepaid cards at 18%, again 2% down from the spring.

Read on AppleInsider

Comments

  • Reply 1 of 15
    jas99jas99 Posts: 173member
    All good signs for an expanded user base. Good for Apple. 
    Beatslostkiwiwatto_cobrajony0
  • Reply 2 of 15
    lkrupplkrupp Posts: 10,557member
    To paraphrase Mark Twain, reports of Apple’s death have been greatly exaggerated... for the last forty years.
    lostkiwiwatto_cobrajony0
  • Reply 3 of 15
    GeorgeBMacGeorgeBMac Posts: 11,421member
    OF my 14 year old grandson's friends, I do not know of a single one who doesn't have an iPhone.  And the oldest model is an Xr.

    They use group chat and FaceTime not regularly but constantly...  But increasingly I see them using Apple Cash -- not only to buy stuff but, on occasion, they transfer cash among each other peer to peer.  For them, it is replacing cash.

    Basically, their preference for iPhones has little or nothing to do with hardware and mostly / everything to do with Apple's software and ecosystems that enable them to interact with each other in ways and at times they could do without their iPhones.

    On the other hand, I do not know of even one who has an Apple Watch.  My grandson had one (a Series 3) but stopped wearing it -- now his mother uses it to monitor exercise.
    edited October 2021 tokyojimulostkiwijony0
  • Reply 4 of 15
    "Upper income teens" - wow, Rolex wearing kids are so far from anyone's normal life that I have to wonder where this sampling came from?
    I barely even know any adults whom wear Rolex, and those that do are mostly Doc's and Esq's.  Nice neighborhood I'm sure...
    watto_cobra
  • Reply 5 of 15
    BeatsBeats Posts: 3,073member
    Is iPhone still gaining marketshare every year? I want Apple to take over the cheap iPhoneys ASAP.

    Do these teens even know what a Rolex is?

    OF my 14 year old grandson's friends, I do not know of a single one who doesn't have an iPhone.  And the oldest model is an Xr.

    They use group chat and FaceTime not regularly but constantly...  But increasingly I see them using Apple Cash -- not only to buy stuff but, on occasion, they transfer cash among each other peer to peer.  For them, it is replacing cash.

    Basically, their preference for iPhones has little or nothing to do with hardware and mostly / everything to do with Apple's software and ecosystems that enable them to interact with each other in ways and at times they could do without their iPhones.

    On the other hand, I do not know of even one who has an Apple Watch.  My grandson had one (a Series 3) but stopped wearing it -- now his mother uses it to monitor exercise.

    I see Apple Watch on almost every teen’s wrist who owns an iPhone. 

    Not to be a bully but can Gatorguy chime in? He said he had never seen an Apple Watch in the wild just a few years ago. I saw them immediately after release and now you can’t avoid them. In my town if you count watches about half will be Apple Watches and the other half are analog or some crappy digital thing.

    jas99 said:
    All good signs for an expanded user base. Good for Apple. 

    Bad Apple. They will have a “monopoly” on iPhones!!!!111
    jony0
  • Reply 6 of 15
    GeorgeBMacGeorgeBMac Posts: 11,421member
    Beats said:
    Is iPhone still gaining marketshare every year? I want Apple to take over the cheap iPhoneys ASAP.

    Do these teens even know what a Rolex is?

    OF my 14 year old grandson's friends, I do not know of a single one who doesn't have an iPhone.  And the oldest model is an Xr.

    They use group chat and FaceTime not regularly but constantly...  But increasingly I see them using Apple Cash -- not only to buy stuff but, on occasion, they transfer cash among each other peer to peer.  For them, it is replacing cash.

    Basically, their preference for iPhones has little or nothing to do with hardware and mostly / everything to do with Apple's software and ecosystems that enable them to interact with each other in ways and at times they could do without their iPhones.

    On the other hand, I do not know of even one who has an Apple Watch.  My grandson had one (a Series 3) but stopped wearing it -- now his mother uses it to monitor exercise.

    I see Apple Watch on almost every teen’s wrist who owns an iPhone. 

    Not to be a bully but can Gatorguy chime in? He said he had never seen an Apple Watch in the wild just a few years ago. I saw them immediately after release and now you can’t avoid them. In my town if you count watches about half will be Apple Watches and the other half are analog or some crappy digital thing.

    jas99 said:
    All good signs for an expanded user base. Good for Apple. 

    Bad Apple. They will have a “monopoly” on iPhones!!!!111

     A bit off topic but, while I don't see them on teens around here (at least not my grandkid's friends) where I really saw them was in the healthcare system.   In May I had a nerve issue that produced some severe muscle problems in my left arm and was seeing multiple physicians, technicians and therapists -- and it seemed that everyone of them was wearing an Apple Watch.
    lostkiwijony0
  • Reply 7 of 15
    As an old person, I’ve been wearing the Apple Watch since its release.  I even discovered how well its fall detection worked when I had a hard fall following an equilibrium issue.  It monitors my heart rate, my blood oxygen level, I do occasional EKGs with it, and I even use it to record my daily workouts, all this info pouring back into the Health app on my iPhone.  My iPhone’s Health app is even linked with my health provider so I can see lab results and doctor’s comments, and with my weight scale measuring my weight and BMI.

    The Apple Watch is a full featured health monitoring device that I hope continues to add features, and is so much better than the cheap lanyard button that requires the user to press a button to call a monitoring service for a monthly fee.  If I had passed out after that hard fall, my Apple Watch would have even called 911 and my spouse to alert them I was in trouble.  I don’t see my ever not wearing my Apple Watch in my future.

    And that doesn’t even cover my calendar notifications, news and weather updates, HomeKit control of my home.  So, it’s an invaluable tool for ordinary non-health related issues, as well.
    edited October 2021 GeorgeBMacwatto_cobra
  • Reply 8 of 15
    looplessloopless Posts: 343member
    "Upper income teens" - wow, Rolex wearing kids are so far from anyone's normal life that I have to wonder where this sampling came from?
    I barely even know any adults whom wear Rolex, and those that do are mostly Doc's and Esq's.  Nice neighborhood I'm sure...
    Yeah, that was a very bizarre statement about teens wearing Rolex watches. That would be the 1% of the 1%.
    lostkiwimuthuk_vanalingamwatto_cobra
  • Reply 9 of 15
    Very interesting article, thanks for the post.

    I was very surprised to hear the iPhone and Apple Watch penetration levels in the US Gen Z market.  Those are some very high percentages for some quite expensive pieces of hardware.  In my country Apple seems to have a high penetration in the commuter set of customers but teens seem to be a more mixed bag between Apple/Android devices, I guess because we are not as wealthy a country as the USA.

    Still, overall some great news for Apple in the teen USA market, hopefully those young folk will continue to be Apple users as they leave their teenage years behind them.
    GeorgeBMacwatto_cobra
  • Reply 10 of 15
    GeorgeBMacGeorgeBMac Posts: 11,421member
    As an old person, I’ve been wearing the Apple Watch since its release.  I even discovered how well its fall detection worked when I had a hard fall following an equilibrium issue.  It monitors my heart rate, my blood oxygen level, I do occasional EKGs with it, and I even use it to record my daily workouts, all this info pouring back into the Health app on my iPhone.  My iPhone’s Health app is even linked with my health provider so I can see lab results and doctor’s comments, and with my weight scale measuring my weight and BMI.

    The Apple Watch is a full featured health monitoring device that I hope continues to add features, and is so much better than the cheap lanyard button that requires the user to press a button to call a monitoring service for a monthly fee.  If I had passed out after that hard fall, my Apple Watch would have even called 911 and my spouse to alert them I was in trouble.  I don’t see my ever not wearing my Apple Watch in my future.

    And that doesn’t even cover my calendar notifications, news and weather updates, HomeKit control of my home.  So, it’s an invaluable tool for ordinary non-health related issues, as well.

    Very nice synopsis!
    And I would take it a step further and suggest that all older people should wear one.  As a home health nurse it drove me up a wall when my patient would take off their "I've fallen and can't get up" lanyard when they stepped into the bath or shower -- one of the most likely places for them to fall!  With AppleWatch that is not necessary.

    Further, it can be worn comfortably in bed and also covers the possibility of falls when the person gets out of bed in the dark to go the bathroom -- which is not only common in older people but also one of the most dangerous times for fall risk.
    And, not only that, but it can monitor sleep too -- and sleep is as necessary for health as food, water and exercise.

    But, perhaps its most valuable feature for us older people is how it encourages us to get out of the recliner and move.  And now, with Apple Fitness+ you don't even have to leave the living room to get exercise supported and monitored by your watch!
    watto_cobra
  • Reply 11 of 15
    GeorgeBMacGeorgeBMac Posts: 11,421member
    lostkiwi said:
    Very interesting article, thanks for the post.

    I was very surprised to hear the iPhone and Apple Watch penetration levels in the US Gen Z market.  Those are some very high percentages for some quite expensive pieces of hardware.  In my country Apple seems to have a high penetration in the commuter set of customers but teens seem to be a more mixed bag between Apple/Android devices, I guess because we are not as wealthy a country as the USA.

    Still, overall some great news for Apple in the teen USA market, hopefully those young folk will continue to be Apple users as they leave their teenage years behind them.

    From my experience with my grandson, the appeal is mostly due to what the phone does for them (and how it connects them together no matter where they are) rather than being a status symbol or the speed of its processor.

    In other words, it meets their needs better than any other product -- particularly if all their friends have one too (say for a group FaceTime or group chat).  

    So, will they continue to favor Apple Products as they grow?  That's up to Apple and how well it continues to meet their needs.
    But, starting with user needs has always been Apple's strong point.  They have momentum on their side.
    watto_cobra
  • Reply 12 of 15
    thttht Posts: 5,711member
    Among upper-income teens, Apple overtook Rolex as the top watch brand in the fall, with a 39% share versus 35%.
    There's definitely something about luxury watches that I don't understand. When I see luxury watches, they generally are some combination of the worst UI I've ever seen, some of the worst information design I've ever seen, and their quality in materials isn't immediately evident. Their value is only as a signifier of ultra-wealth.

    Being ultra-wealthy is definitely something most people aspire to, and when people are ultra-wealthy, that market comes about. As a nicely designed object though, don't see the attraction.
  • Reply 13 of 15
    The stats from Piper Sandler's survey reaffirm Apple's appeal to teenagers and young adults alike. With around 87% of respondents owning iPhones and the intention to buy reaching 88%, it's clear that Apple's brand loyalty is going strong.
    The rising interest in upgrading to the latest iPhone models is a testament to the company's ability to consistently innovate and excite its user base. As technology evolves, Apple remains at the forefront, capturing the attention and trust of users.
    Speaking of tech trends and valuable items, you might find it intriguing to explore more insights at newbondstreetpawnbrokers.com. The fusion of technology and style is truly remarkable, and Apple seems to have mastered it well.
    edited September 2023
  • Reply 14 of 15
    Have seen an increase in number of folks with Apple watches over the last 5 or so years.  Heavy used by medical personnel.  Before retiring, saw a fair number of them on the arms of aviation manufacturing mid-level executives (and higher).  I'm still using a Sears branded analog watch (25+ years old), but may switch in the next few years.  Doubt many smart watches last over 5 years.  My last Mac lasted about 9 years (before an upgrade to 14" MBP with 32 GB ram).  

    Will be interesting to see laptop and desktop sales for next few quarters.  Looks like Dell did much better than HP.  Apple has been outperforming most of the WinTel group.  Folks may start extending their time between unit refreshes.  

    I haven't seen many Rolex watches lately (or for some time).  You could consider an Apple watch to be a much cheaper alternative.  (Although the Rolex will likely last longer, the average $7k-$12k price for many is a bit too high.)  Rolex is owned by a private family trust, that also sells Tudor watches.  
    edited September 2023
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