May it be the most lavishly expensive smartphone vendor, but Apple has got that something that makes users go nuts over it. A recent survey conducted to weigh why consumers terminate their service before the contracted time concluded on the same remark.
Telecom service providers hold high fee for early demand for the termination of their services, but even this incentive could not keep consumers to upgrade or switch to newer versions of iPhone. Almost 45 percent of the mobile service users break their contracts and pay high fees to prove their loyalty to the fruit company.
The termination fee is as high as $100. The survey showed that 45% of the customers broke their contracts on the release of iPhone 4S to grab one for them, whose actual cost was $199 to $399 on contract.
The survey also confirmed the theory of Apple earning more from upgrades as that from people shunning their Android‘s and other smartphone and falling for sleeky slim iPhones. The ratio of people breaking free from their contract to upgrade to a newer version of iPhone is 71% whereas only 18% are those who buy a new iDevice ditching some other vendor.
Not only iPhone earns revenue itself through its diehard fans but is a source of it for service providers too. With one third of the respondents breaking away from the contract to buy 4S, AT&T benefited the most followed by Verizon Wireless and Sprint with 49, 34 and 17 percent of iPhone registrations.
To have a view of the other side, only 18 percent of the iPhone users opt out of its ecosphere. This decline is accredited to the price factor. People having low budgets usually go for buying Androids. but that doesn’t affect Apple‘s popularity in any sense.