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5.5-Inch iPhone 6 May Cost an Extra $100, but Consumers Willing to Pay
Raymond James analyst Tavis McCourt has now weighed in (via MarketWatch) with his own belief that the larger model will indeed include a $100 price premium. But according to McCourt's survey data, consumers are showing an increasing willingness to pay that premium for a larger device.
“Our June consumer survey points to continued growth in the willingness of iPhone users to pay $100 more for a bigger screened iPhone, with now a full one-third of survey respondents willing to pay a $100 premium,” he added.Analysts and other observers unsurprisingly expect the iPhone 6 to generate a massive upgrade spike given the move to a larger screen size. The iPhone's usual two-year design cycle typically sees stronger anticipation for new designs, and the significantly larger screen sizes appear to be boosting that excitement even more this year.
In fact, he added, “data seems to suggest meaningful demand for a larger screen, which should logically mean the iPhone 6-cycle will be strong for upgrade sales, which combined with modest contribution from wearables should cause a modest acceleration in revenue growth in fiscal 2015.”