iPhone 4S Beats iPhone 4 in Customer Survey, Augurs Well for Holiday Sales

December 5th, 2011 by Trefis Team
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According to a ChangeWave Research survey, Apple’s (NASDAQ:AAPL) iPhone 4S owners have higher customer satisfactions ratings than its predecessors iPhone 4. [1] In this survey, 77% of the owners said that they are very satisfied with iPhone 4S compared to 72% of the iPhone 4 owners. The owners ranked Siri Digital Assistant as the best feature of iPhone 4S leading some to quip that the ‘S’ in 4S stands for Siri. The customers’ satisfaction for new products is a good indicator that Apple’s iPhone franchise will continue to challenge its rivals like Google (NASDAQ:GOOG), Research In Motion (NASDAQ:RIMM) and Nokia (NYSE:NOK) in the smartphone race.

iPhone continues to be an important product for Apple and accounts for more than 50% of our $500 price estimate for Apple stock. Our price estimate is about 30% above market price.

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See our complete analysis for Apple stock here

January results should show gains

We believe that iPhone 4S could surprise analysts when Apple announces its quarterly results in January next year. Apple suppliers gives a good indication of how Apple products are faring in the market. Wintek, an important supplier for Apple, revealed that its sales in November were up 74% month over month. [2] These impressive results for Wintek could very well have been influenced by iPhone 4S’ success after it was launched in October this year.

Sprint showers praise on iPhone as well

During the company’s webcast, Sprint (NYSE:S) mentioned that both new and existing customers are buying iPhone in bulk. [3] This success could partially be due to the unlimited data plan that Sprint offers, but iPhone 4S popularity should be mainly driving its sales.

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Notes:
  1. New Owners Survey Shows iPhone 4S More Popular than its Apple Predecessor, ChangeWave Research, December 1st, 2011 [↩]
  2. Wintek sales surge 74% on iPhone, iPad demand, Apple stock boost expected, AppleInsider, December 1st, 2011 [↩]
  3. Sprint: iPhone has done ‘very, very well for us’, FierceWireless, December 1st, 2011 [↩]