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BizReport : Trends & Ideas archives : April 10, 2014

Survey reveals increase in teen desire for an iWatch, but at what price?

Apple's shiny new product, the iWatch, is set to hit the stores in the second half of this year and research points to U.S. teens' increased desire to get that product on their wrists.

by Helen Leggatt

Interest among U.S. teens in smartwatches is growing. In an October 2013 survey by Piper Jaffray 12% indicated they would purchase an iWatch if available from Apple at a price of $350 or less. In the most recent survey that figure has risen to 17%.

However, if respected and, more to the point, accurate Apple analyst Ming Chi Kuo of GI Securities is on the money then teens will need to plead with their parents, or part with more of their own hard-earned cash if they want Apple's best. Kuo believes that at the top of the iWatch range prices will be around the $1,000 or more mark.

Six percent of the 7,500 surveyed U.S. teens already own a smartwatch which, says Piper Jaffray, is "slightly higher than expected given the relative lack of smartwatches on the market".

"The universal truths about teens remain the same--they continue to seek peer affirmation, their spending is almost entirely discretionary, and they are early adopters of change," said Steph Wissink, co-director of investment research and senior research analyst at Piper Jaffray. "What's different about this generation of teens versus prior is that they are non-conformists, they seek experiences over products, and they align with brands that are practical yet cool."

Early adopters of smartwatches were also highlighted in recent research by Nielsen.

Their latest survey found that most consumers (70%) are already aware of wearable tech of which 15% have already bought into the trend.

Furthermore, three-quarters of those sporting wearable tech consider themselves early adopters. Almost a third (29%) of those self-professed early adopters fell within the affluent category with more disposable income and earning over $100,000. In fact, Nielsen's study found that cost was one of the key barriers to wearable tech adoption with 72% of those yet to purchase a device saying they wished they were cheaper.

Image via Shutterstock

Tags: Apple, smartphone, trends, wearable technology

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