Survey: 51% of iPhone buyers came from other carriers

[bobolito]

iPhone buyers have no regrets
By Edward C. Baig, USA TODAY

Early iPhone owners are overwhelmingly happy with their devices, a survey out Friday says, and Apple (AAPL) and AT&T (T) are luring customers from rivals as a result.

In one of the first such studies, 90% of 200 owners said they were "extremely" or "very" satisfied with their phone. And 85% said they are "extremely" or "very" likely to recommend the device to others, says the online survey conducted and paid for by market researcher Interpret of Santa Monica, Calif. The firm surveyed 1,000 cellphone users July 6-10.

The findings are "pretty much off the charts," says Jason Kramer, Interpret's chief strategy officer.

The firm's clients are in the entertainment and mobile industries.

Kelly Croy, a seventh-grade teacher in Oak Harbor, Ohio, is a happy buyer. "Overall, the coolest device I've ever owned," he says.

Apple launched the combination cellphone, iPod music player and Internet gadget with much fanfare on June 29. AT&T is the exclusive service provider.

Greg Joswiak, Apple's vice president of worldwide marketing for the iPod and iPhone, said positive word-of-mouth reaction is "critically important" to any product, as it was with the iPod. "We're getting even greater reaction to the iPhone," he says.

Apple still faces challenges. The high cost of the two iPhone models — $499 and $599 — ranks as the No. 1 reason consumers interested in the device did not buy one, the survey says. Those consumers said they would pay an average of, at most, $180.

Owners said there's room for improvement. At the top of their wish list: longer battery life, faster Internet speed and more internal memory. Other factors, including the lack of a physical keyboard, were well down on their lists.

The iPhone is extending Apple's reach, the survey says. Three of 10 buyers were first-time Apple customers. For 40%, iPhone is their first iPod.

Apple could "change the physics in the phone market," if it is as successful building loyalty to the iPhone as it has been in the music and computer markets, says Gene Munster, senior research analyst at Piper Jaffray.

Interpret's survey also bodes well for AT&T. Half the buyers switched from another carrier. Of those, 35% paid an average $167 to break a contract. "We thought AT&T would be more of a barrier to entry," says Munster.

Another boon for AT&T: IPhone owners surveyed expect to pay about $35 more in monthly service fees compared with their previous cellphones.


Contributing: Jefferson Graham

Buyers' previous cell phone carriers:
AT&T-Cingular     49%
Verizon               25%
Sprint Nextel       11%
T-Mobile              6%
Alltel                   3%
U.S. Cellular         2%
Other                  2%
Virgin Mobile         1%
Helio                   1%

Source: Interpret survey of 200 iPhone owners

iPhone buyers have no regrets - USATODAY.com

[T Sizzles]

So that's about 301,000 new customers. I bet by this time next year it could hit a million new customers.

[RJB]

Those are some impressive numbers considering it was only one phone that did this lol.

[Jay2TheRescue]

All that for a phone that doesn't even have 3G data...

-Jay

[KyleAndMelissa22]

I won't give up my LG AX4270, as I've learned it like my hometown. It does so well for me.
If they come out with another similar phone (that'll let me program SIDs), then I'll think about it.

[nKrypteD1]

Sids is a CDMA thing, as AT&T is a GSM carrier this is something completely different. It is nice to know though that so many people are willing to jump ship for a cool device.

[KyleAndMelissa22]

Originally Posted by nKrypteD1

It is nice to know though that so many people are willing to jump ship for a cool device.

That device is nothing without good service.
Luckily, I have a 300 foot AT&T tower right behind my house (see my pics)

If they'd offer a "My Circle" type service, I'd probably make them my 2nd cell service.
I'd have two cell phones, Maybe someday.

[RJB]

Originally Posted by nKrypteD1

Sids is a CDMA thing, as AT&T is a GSM carrier this is something completely different. It is nice to know though that so many people are willing to jump ship for a cool device.

I just hope there are no major bugs with this phone that come up that wouldbe a headache.

[Matt]

Not too bad for TMO, I must say. Although, the results are kind of in line with the subscriber counts, so one would expect more VZ customers than TM customers to go to the iPhone since there are more than twice as many to begin with.

[twopiece]

I'm not surprised at those figures. Take for instance my workplace, five people have the iphone:

2- existing ATT customers
2- switched over from VZW
1- switched over from Sprint

[T Sizzles]

I went and played with one in the Apple Store today, one side of me wants one now, the other side wants to wait for a 3G one.

[Fire14]

Originally Posted by twopiece

I'm not surprised at those figures. Take for instance my workplace, five people have the iphone:

2- existing ATT customers
2- switched over from VZW
1- switched over from Sprint

I don't know 1 person that bought the iPhone & you have 5 just at your workplace. Thats amazing, so are they happy with it & service so far?

[hf1khal]

well I know of 10 who did (out or 12 who said they will buy it). The 2 hold outs read some where that the 3G version will be out some time around the October time frame and the reason it did not make it now is because of the battery life issue as it drains it fast. May be that woul;d be the right time for Apple to introduce the version where one can change his/her own battery. As to the iPhone, I got to try it today and I am not overly impressed with it (comparing to using the BB) but as a consumer fancy device I say it is a hit.

[T Sizzles]

October is good, my contract expires on Sept. 11, but it doesn't really matter since you can get one in-contract. They should give us subscribers that are out of contract a price break.

[hf1khal]

Originally Posted by T Sizzles

October is good, my contract expires on Sept. 11, but it doesn't really matter since you can get one in-contract. They should give us subscribers that are out of contract a price break.

I agree, I am wating for that one as my Nano will be over a year old and may be that iphone will end up to be my travel phone