A new report from Consumer Intelligence Research Partners (CIRP) looks at way Apple and its iPhone customers may react to tariffs.
“We think that Apple will be reluctant to increase prices, especially before the launch of the next generation of iPhones, likely in September 2025,” notes the research group. “ And we have two data indicators of how consumers may react to any price increase that Apple determines it needs to impose. We can look at how many iPhone buyers already pay more than the ‘base’ price for their phone by purchasing an upgraded storage model. And we can look at how iPhone buyers pay for their new phones and how that might affect their reactions to higher prices. The elephant in the room is how iPhone owners might wait to buy their next phone, and we have some thoughts about that, too.”
CIRP notes that, fundamentally, iPhone buyers have significant flexibility as to what they end up paying for a new iPhone. Most models offer three levels of upgraded storage with upcharges ranging from $100 to $500. A significant percentage of customers partake of that, with about half upgrading over the base level of storage for their model.
Paying by installments could help offset sticker shock. Two-thirds of iPhone buyers in 2024 financed their phone using interest-free monthly installments, according to CIRP. Options like Apple Card Monthly Installments, carrier payment plans, and in-store financing are widely used.
I hope you’ll help support Apple World Today by becoming a patron. Patreon pricing ranges from $2 to $10 a month. Thanks in advance for your support.
