JPMorgan consumer survey suggests stronger, more robust cycle for iPhone 16 By Investing.com

Investing.com — The iPhone 16 cycle is shaping up to be “stronger and more robust” than previous years, despite a slight shift in consumer preferences for higher-end models, according to JPMorgan’s recent consumer survey.

The survey, which gathered responses from potential upgraders and switchers, found that 68 percent of respondents plan to buy a new iPhone in 2024, up from 63 percent in both 2023 and 2022.

“Consumer interest (is) higher in the US and China compared to last year,” JPMorgan said.

However, they note that there is lower demand for the high-end iPhone 16 Pro Max model compared to last year’s iPhone 15 cycle.

The bank says only 26 percent of consumers expressed interest in the 16 Pro Max, a modest drop from the 15 series.

JPMorgan suggests this could be related to the limited availability of Apple’s (NASDAQ: ) Intelligence features, which only ranked as the sixth top reason to upgrade, behind faster devices and 5G connectivity.

“Interestingly, Apple Intelligence features did not make it into the top 5 reasons to buy the new iPhone, but was the sixth top reason, and we believe that the staggered release and limited availability of the features for consumers to try is driving this trend,” the bank adds .

Android-to-iPhone switchers are said to be showing stronger interest in high-end models compared to last year.

Of those switching, 27 percent are considering the iPhone 16 Pro, up from the previous cycle, according to JPMorgan.

In addition, the survey found that interest in the Apple Watch has increased, with 54% of respondents looking to buy one in 2024, compared to 48% last year. Despite the reduced traction compared to the iPhone, the Apple Watch Series 10 is said to have attracted more attention than its predecessor.