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Interest in iPhone High as iPod, iTunes Dominate Teen Market

Jim Liebelt

The of the 18th bi-annual Piper Jaffray teen survey shows that Apple's share among teen consumers continues to grow. The results were based on a survey of approximately 600 teenagers, who were queried about their buying patterns and preferences.

Apple's smallest market among teens -- the iPhone -- is poised to greatly expand. While 15 percent of those surveyed currently own an iPhone, 22 percent intend to purchase one in the next six months.

"We believe the $99 iPhone 3G has been a meaningful part of share gains in the last six months," Senior Research Analyst Gene Munster said. "Previously, teens were indicating that the plan pricing and handset pricing were too high for them (and their parents) to buy iPhones. The lower pricing appears to have been a catalyst for share gains."

Apple has maintained its utter dominance of the portable media player market (iPods), with an 87 percent total share, up from 84 percent one year ago. Coming in second was Microsoft with 3 percent, followed by Sony with 2 percent.

Those who plan to buy overwhelmingly choose Apple as well, though Microsoft's share of that question grew significantly. Of those who plan to buy a media player in the next 12 months, 74 percent said they will choose an iPod, while 13 percent said Zune, and 9 percent opted for a Sony product.

"Apple's dominance in the PMP market remains largely unchecked," Munster said, "and it is clear to us that Apple has captured the 'cool factor' among high school students across America."

Source: AppleInsider
http://www.appleinsider.com/articles/09/10/06/interest_in_iphone_high_as_ipod_itunes_dominate_teen_market.html