Are you an Apple fan?
Do you rock black mock turtlenecks and Levi Jeans, to pace back and forth in envy of each new Apple product release?
If so, you might also be a rabid consumer, someone who spends far more than everyone else for almost everything.
Apple Users Love Apps
Let’s start off with apps. Here’s a comparison between app revenues per user for iTunes, Amazon’s App Store, and Google Play where Apple’s revenues are set as the basis for comparison at 100%.
As you can see, neither Amazon App Store customers (Kindle users, primarily) nor Google Play customers (Android phones and tablet devices) spend to the same degree as Apple users. On average, Apple users spend $1 on apps for their devices for every $.89 Amazon users spend or for every $.23 a Google Play customer spends.
But it doesn’t stop there.
Over the weekend, the Wall Street Journal mentioned that Orbitz also taps into the spend-happy lives of Apple electronics users. Apple users who go to Orbitz.com to rent a hotel room pay an average of $20 more per night than other users. The author of the brief suggests two reasons for heavy Apple user spending:
Anyone who pays a 50% or so premium for a Macintosh has more money to begin with. Either that or they’re the ideal consumer – the type that pays through the nose for a name brand.
iPhones Win the Female Heart
Elsewhere, in China, Apple iPhones are the gift of love. I’ve previously written about the off the charts male to female ratio in China that makes women so ultra-valuable to an unmarried man. An anecdotal story from one writer at Harvard Business Review says Chinese men are unlikely to have an iPhone, a $700 product in China, where phones are not subsidized by carriers.
However, women in relationships almost always carried their prized iPhone – a product that isn’t even remotely in the same league as other smartphones on the market. The iPhone 4S’s Siri cannot understand Chinese, the keyboard is difficult to use for Chinese speakers, and usability is second-rate compared to local offerings.
However, every woman with a boyfriend seems to own one. The boyfriends? Nope. The women with boyfriends? Yes – iPhone or nothing!
Interesting. Even in the emerging markets, cellular phones with a well-known Apple emblazoned on the back are a status symbol, a product for wealthier consumers who enjoy everything the Apple brand stands for.
So, is it definitive? Is Apple now a luxury goods maker before everything else? Who knows. What I do know is that Apple’s marketshare among wealthier consumers certainly doesn’t hurt the firm’s exponential revenue and earnings growth. The company is killing it:
Maybe Apple finally did what no company could ever do: turn consumer technology into a high-margin business in the long-haul. The edge in loyalty, spending, and responsiveness to branding is absolutely incredible.