Anybody born between 1997 and 2012 is a part of the Gen Z technology. Gen Z is a vital shopper demographic and Gen Z patrons have lots of spending energy. They won’t be desperate to spend their cash on the iPhone 16, per the survey findings.
Whereas the iPhone 16 sequence is rumored to introduce adjustments corresponding to greater screens for the Professional fashions, improved digital camera {hardware} for the Professional fashions, 3nm chips, higher battery expertise, and a brand new Seize button, Apple Intelligence is predicted to be its essential promoting level.
CEO Tim Prepare dinner is relying on AI options to revive gross sales, that are at the moment in decline. Out of 93 p.c of Morgan Stanley interns, solely 4 p.c contemplate AI-fueled options as a prime precedence when shopping for a brand new cellphone.
Ought to Apple be anxious about these findings? Analysts do not suppose so.
Jacob Bourne, who’s a tech analyst at Emarketer, says that AI is an extended sport, and sooner or later, the corporate that makes its providing essentially the most helpful could have an edge. Bourne believes that the corporate “has an enormous following of loyalists” who will need to expertise Apple Intelligence on their iPhones.
Since Apple Intelligence options will solely work on iPhone 15 Professional or greater fashions, many individuals might want to improve.
Wedbush Securities’ senior analyst Dan Ives has an identical outlook. In keeping with him, Apple would not want Gen Z patrons to meet its objective of driving a “golden improve cycle.”
In keeping with Wedbush Securities, there are 1.5 billion lively iPhones on the earth proper now. And provided that 9 out of 10 Morgan Stanley interns already personal an iPhone, it is clear that the corporate has a loyal fan base. It’d take some getting used to however these loyalists will most likely not be capable of keep away from Apple Intelligence ceaselessly.
AI will change the panorama, and Apple has a singular alternative to personal the buyer AI revolution. AI is coming, and it will take some getting used to by Apple shoppers.
Dan Ives, Wedbush Securities, August 2024
