ANALYSIS, COMMENTS, THOUGHTS, AND OTHER OBSERVATIONS IN DR. SKOSPLES' NATIONAL INCOME AND BUSINESS CYCLES COURSE AT OHIO WESLEYAN UNIVERSITY
Wednesday, April 23, 2014
Older Americans Are Buying Smartphones
Consumer demographics for smart phones are changing, as older people are increasingly becoming interested in purchasing smart phones. According to a Nielsen survey, 51% of American adults who are 55 or older have purchased a smart phone. Since 2013, this statistic has increased by 10%. As of now, this is the first time in which a majority exists in each age group for having bought a smart phone. Right now, 70% of Americans have bought a smart phone, with 85% of them looking for a new phone currently. Apple is the biggest maker of smart phones, with 42% of people who own a smartphone saying they prefer Apple goods. However, Google Android operating system is the most used system for smartphones.
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Its very intriguing to see that many Americans over the age of 55 are now purchasing smart phones. For those who are still employed, having a smart phone may be necessary to fulfill the needs of their clients or other co-workers. I also think that more American adults are becoming interested in technology than in the past. I believe that it is good that more people are purchasing smart phones. This increase of consumption will help stimulate the economy. Smart phone companies such as apple and android will also have the opportunity to expand and hire more people.
ReplyDeleteApple is making huge profit margins on these statistical changes. It is incredible that they dominate the market place as much as they do. Just shows the power of marketing, and Apple has done very well with that. Not necessarily to do with class, but I think this shows concerns of people living under their means. Not every american can afford a cell phone, much less a smart phone. It is difficult that our society requires more and more basic needs for everyone.
ReplyDeleteApple products are known for their "user-friendly" electronics, so it would make sense if older demographics are drawn to the Apple iPhone smartphone over windows or other smartphone models. People 55+ were not exposed to technology until a late age so the products that are easiest to use would be appealing to them, whereas people around age 30-40 have been more exposed, but mostly to windows products and so non-Apple products that are more "pc-like" would be more appealing for this age group. It would be interesting to see a comparison of age groups to their choice of electronic goods. The mellenia age group is interesting as well since almost life-long exposure to electronics have given us a variety of options so our choices may be more based on the true "better product". But of course advertising and popularity play a huge role in these choices as well.
ReplyDeleteThis will be interesting to see what happens to the prepaid services such as T-mobile, Cricket, and Tracfone. Since the usually older generation used to have these old flip phones that are simpler to use, we can expect that these companies will soon go out of business.
ReplyDeleteI agree with the above comments and I think that this really shows how technology is truly now integrated into the lives of many demographics and age groups. In order to maintain a job and contacts (staying employed), you must keep up with current technology and innovations.
ReplyDeleteI am in agreement with Catherine! I do think that Apple goods are very easy to use and is appealing to all demographics to take liking in Apple's products. Apple's positioning in the markets, draws all sectors of consumers to take liking in their product. If you ask me, Apple will someday become a monopoly like Wal-Mart and perhaps run some of its competitor out of business.
ReplyDeleteI think this is also due to the fact that cell phone providers make more money when someone has a smart phone as opposed to a basic cell phone. That being said they promote smart phones more to the consumer and make them look more appealing. They are always the first phones you see when walking into a store. Smartphone cost are almost always greater and also require an additional payment per month on a person's plan. This is a larger money making opportunity and a reason to be pushed onto the public.
ReplyDeleteIt is also becoming harder and harder to buy phones that are not smartphones anymore.. if you walk into any wireless providers store today such as verizon, there is maybe one section with about 5 phones that are not smartphones anymore.. so people almost have to get a smartphone if they want to have a phone at all
ReplyDeleteI agree with Robby, there are not really any other phones that you can buy. Also, a lot of the cheaper smartphones cost around the same price as a non smartphone so there would be no point of not getting one.
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