The document summarizes research on consumer preferences between Apple and Samsung smartphones. It outlines project objectives to understand brand loyalty, important features, and the role of price. It reviews literature on user demographics and retention rates. A survey asked questions about brand influence, social influence, and price sensitivity. Data analysis using t-tests found users see the iPhone as more user friendly and that brand and price significantly impact purchase decisions. Battery life, storage space, and durability were the most important phone aspects for consumers. The conclusion states the iPhone 6 was more popular among respondents, with operating system playing a smaller role than features and price.
2. OVERVIEW
Project Objectives
Background Information
Literature Overview
Survey and Results
Data Analysis
Conclusion
3. PROJECT OBJECTIVES
Brand loyalty and consumer retention
Does one company have more loyalty than the other?
Features important to consumers
Do features or innovation of features impact consumer decisions?
Importance of price
Does price difference significantly matter in the consumer’s eye?
Importance of operating system
Do consumers prefer iOS or Android?
4. BACKGROUND INFORMATION
Apple iPhone
8 generations of iPhones
First generation released in 2007
iPhone 6 & 6 Plus released in 2014 (most recent)
iOS Operating System
Manufactured by FoxConn
700 million units sold worldwide
5. BACKGROUND INFORMATION
Samsung
First generation Samsung galaxy released in 2009
Android Operating System
Samsung Galaxy S6 & Edge releasing in 2015 (most recent)
Manufactured by Samsung Electronics
200 million units sold worldwide
6. LITERATURE REVIEW
Geographical location
Retention and migration rate
Price differences
Important features
Marketing strategies
9. LITERATURE REVIEW
Retention and migration rate between Apple and Samsung:
Retention
Migrating
Customers
Apple Samsung Apple Samsung
16-24 78% 51% 16-24 35% 26%
25-34 72% 58% 25-34 34% 35%
35-44 71% 59% 35-44 27% 35%
45-60 85% 61% 45-60 14% 35%
61+ 83% 61% 61+ 18% 34%
10. LITERATURE REVIEW
Manufacturing Price
Apple iPhone 6
• $228.07
Samsung Galaxy S5
• $214.54
Retail Price
Apple iPhone 6
• As low as $200; as high as $400
Galaxy S5
• As low as $200; as high as $400
13. SURVEY AND RESULTS
Sample questions:
“The brand name of Apple or Samsung has an influence on which
smartphone you purchase”
“The choice of smartphone your friends and/or family have
impacts your decision on which phone to get”
“The price difference has a strong influence on which smartphone
you purchase”
14. SURVEY AND RESULTS
Results:
“The brand name of Apple or Samsung has an influence on which
smartphone you purchase”
Mean answer: Agree
“The choice of smartphone your friends and/or family have
impacts your decision on which phone to get”
Mean answer: Neutral
“The price difference has a strong influence on which smartphone
you purchase”
Median answer: Agree
15. DATA ANALYSIS
Two sample t-test
User friendly operating system?
Q7 iPhone user friendly Q8 Galx user friendly
Mean 2.2 3.016666667
Variance 1.416949153 0.898022599
Observations 60 60
Hypothesized Mean Difference 0
df 112
t Stat -4.157646939
P(T<=t) one-tail 3.15972E-05
t Critical one-tail 1.658572629
P(T<=t) two-tail 6.31944E-05
t Critical two-tail 1.981371752
16. DATA ANALYSIS
Paired two sample t-test
Brand name influences which phone you purchase?
The price has an influence on which phone you buy?
Q5brand name Q9price
Mean 4.083333333 2.716666667
Variance 0.653954802 0.986158192
Observations 60 60
Pearson Correlation 0.008794063
Hypothesized Mean Difference 0
df 59
t Stat 8.301937616
P(T<=t) one-tail 8.45803E-12
t Critical one-tail 1.671093033
P(T<=t) two-tail 1.69161E-11
t Critical two-tail 2.000995361
17. DATA ANALYSIS
One sample t-test on both
How significant is brand recognition for each?
Null Hypothesis m= 0
Level ofSignificance 0.05
Sample Size 60
Sample Mean 4.3833
Sample StandardDeviation 0.865372785
Q13Apple
Null Hypothesis m= 0
Level ofSignificance 0.05
Sample Size 60
Sample Mean 3.70
Sample StandardDeviation 0.979449863
Q14Samsung
18. DATA ANALYSIS
What are the most important aspects you look for?
# Feature Points
1 Build Quality 8.35
2 Call Quality 8.85
3 Battery Life 15.33
4 Features 10.58
5 Applications 7.42
6 Screen Size/Resolution 8.95
7 Customizability 8.12
8 Operating System 8.70
9 Storage Space 10.22
10 Durability 13.48
Q16 Aspects
19. CONCLUSION
iPhone 6 more popular among sample respondents
Operating system plays a smaller role in consumer’s decision
Features and price play big roles in consumer’s decision
Possible bias because of many respondents who have owned
only or more than one iPhone