Wealthy smartphone users tweet, play games less

Luxury Institute research focused on app usage of wealthy consumers, who earn annual income of $150,000 or more.

April 2, 2012 13:39
2 minute read.

iphones R 311. (photo credit: REUTERS)


Dear Reader,
As you can imagine, more people are reading The Jerusalem Post than ever before. Nevertheless, traditional business models are no longer sustainable and high-quality publications, like ours, are being forced to look for new ways to keep going. Unlike many other news organizations, we have not put up a paywall. We want to keep our journalism open and accessible and be able to keep providing you with news and analyses from the frontlines of Israel, the Middle East and the Jewish World.

As one of our loyal readers, we ask you to be our partner.

For $5 a month you will receive access to the following:

  • A user uxperience almost completely free of ads
  • Access to our Premium Section and our monthly magazine to learn Hebrew, Ivrit
  • Content from the award-winning Jerusalem Repor
  • A brand new ePaper featuring the daily newspaper as it appears in print in Israel

Help us grow and continue telling Israel’s story to the world.

Thank you,

Ronit Hasin-Hochman, CEO, Jerusalem Post Group
Yaakov Katz, Editor-in-Chief

UPGRADE YOUR JPOST EXPERIENCE FOR 5$ PER MONTH Show me later Don't show it again

TORONTO - Wealthier smartphone users are less likely to play games or tweet and will opt for news, travel or finance applications, according to a new study.

The research by The Luxury Institute focused on app usage among wealthy consumers, who earn an annual income of $150,000 or more. They tend to be older, with a mean age of 52.

Be the first to know - Join our Facebook page.

"As you get older and have family and significant others, aging parents, and a lot more assets and investments, you're going to need apps for far more relevant things than playing games and chatting with your peers," said Milton Pedraza, CEO of The Luxury Institute.

The findings are in contrast to smartphone usage as a whole, which research firm Nielsen showed is dominated by games and social networking categories.

The wealthy use Facebook and Angry Birds, the two most downloaded apps of 2011, but overall, higher-income consumers use apps for entertainment far less than the average smartphone user, according to Pedraza.

While wealthy consumers are only slightly more likely to have a smartphone than the general population, Nielsen said the breakdown of devices owned differs considerably.

Forty-five percent of wealthy smartphone users own an iPhone, followed 35 percent with an Android device and a quarter who had a Blackberry. But Nielsen found that overall Android had 46% of market share, followed by the iPhone with 30% and Blackberry with 15%.

"Google's strategy with Android is that they have multiple manufacturing partners," explained Jonathan Carson, the CEO of digital at Nielsen. "There's a broader choice with Android in the number of devices, and that may offer some opportunities for lower-end consumers."

He added that the iPhone has always done quite well with high-income consumers.

Carson also noted an upswing in the number of smartphone users adopting iPhones within the last few months, which he attributes to the iPhone 4S, and Apple's strategy to keep lower-priced models on the market at lower-price points to appeal to a wider range of consumers.

The study also showed that more than 80% of affluent consumers have downloaded apps and many have opted for paid apps and in-app upgrades. But on average, wealthier consumers download about half as many apps as the average consumer.

Among wealthy smartphone users, 67% have used their mobile device to shop for products or services online with tickets, gift cards, food or electronics the most popular purchases.

"There are a large number of people that still love to shop in the store, and I don't think it's only older people," Pedraza said, adding apps can augment the in-store experience.

The marketing firm Plastic Mobile polled 603 consumers whose mean income was $295,000 and net worth was $2.8 million for The Luxury Institute study.

Related Content

Holland Park’s forest, north of Eilat.
August 11, 2014
Promising trend of prosecution for environmental crimes, officials say