Teens Stoked About iPhone 7, But GoPro Is So Yesterday

Jim Liebelt | Senior Writer, Editor and Researcher for the HomeWord Center for Youth and Family at Azusa Pacific University | Monday, October 24, 2016

Teens Stoked About iPhone 7, But GoPro Is So Yesterday

*The following is excerpted from an online article posted on Investor's Business Daily.

A survey of U.S. teenagers by Piper Jaffray finds that young people are excited about Apple's (AAPL) iPhone 7 and interested in new Fitbit (FIT) activity trackers, but think GoPro (GPRO) action cameras are yesterday's news.

In the firm's 32nd semiannual survey of teens about brand preferences and shopping behavior, teen ownership of iPhones jumped. In the fall survey, 74% of teens said they have an iPhone. That compares with 69% in the spring survey and 67% in the fall 2015 survey.

Plus, 79% of teens expect their next handset to be an iPhone, vs. 75% in the spring survey.

"This is the largest survey-to-survey change we've seen since spring to fall 2014, which was the launch of the iPhone 6," Piper analyst Gene Munster said in a report. "While we don't view the iPhone 7 as significant as an upgrade as the iPhone 6, we believe this is a positive data point on how consumers are viewing the new device."

The fall teen survey is a sign that Apple's position as the dominant device brand among U.S. teens remains intact.

Interest in Fitbit wearable fitness devices remained firm among upper-income teens in the fall survey.

Some 21% of upper-income teens plan to purchase a fitness tracker in the next six months, compared with 18% in the segment last fall.

Fitbit is the No. 1 preferred brand within the wearables category, capturing 71% of teen preferences – up from 53% last year.

Meanwhile, interest in GoPro cameras has fallen to its lowest level since spring 2014, Piper analyst Erinn Murphy said in a report.

"Fewer teens are citing GoPro on their holiday wish lists," Murphy said. "In fact, 0.6% of teens (unaided) indicated they want a GoPro – this is down from 1% a year ago."

That suggests sales downside for GoPro this holiday season, she said. The highest level for GoPro on holiday wish lists was 1.6% in spring 2015. In the surveys, teens are asked to name the top two holiday gifts on their wish list.

Source: Investor's Business Daily