Why Korea's MZs are drifting away from iPhone

By Candice Kim Posted : December 16, 2025, 16:17 Updated : December 16, 2025, 16:17
Graphics by AJP Song Ji-yoon

SEOUL, December 16 (AJP) - The conventional wisdom that iPhone users rarely switch ecosystems is beginning to fray in South Korea, where a small but notable share of Millennials and Gen Z (MZ) consumers are migrating to Samsung’s Galaxy lineup, driven less by price than by everyday usability.

Net switching among users in their 20s has reached 11.3 percentage points in favor of Galaxy, according to Counterpoint Research, challenging Apple’s long-held grip on young Korean consumers.

Analysts say the shift reflects practical considerations—from mobile payments and call recording to foldable form factors—that Apple has been slow to deliver in a market known for tech-savvy users.

While iPhones still dominate among Koreans in their 20s, holding a 63 percent share compared with 35 percent for Galaxy, brand loyalty appears to be weakening.

Only 52 percent of young iPhone users plan to stick with Apple for their next device, according to a survey of 3,045 respondents conducted by recruitment platform Catch.

Another 40 percent said they intend to switch to Galaxy, a shift that could upend the balance if intentions translate into purchases.
 
Graphics by AJP Song Ji-yoon

“I used to think iPhones made people look more artistic and stylish,” said Kim Arin, a Seoul-based professional in her 30s who recently switched to Galaxy. “But at some point, practicality started to matter more.”

The transition becomes more pronounced as users enter the workforce. iPhone penetration among those aged 20–24 stood at 74 percent in mid-2023, compared with 55 percent among those aged 25–29, according to Gallup Korea.
Galaxy’s share climbed to 44 percent in the older cohort, suggesting that daily usability increasingly outweighs brand identity once professional routines set in.

Among iPhone users considering a switch, the most frequently cited reason was the convenience of Samsung Pay and its deep integration with Korea’s domestic payment infrastructure.

Other factors included missing features such as call recording, flexible file transfers, and foldable displays, while price ranked lower.

Emotional appeal placed near the bottom.

“In South Korea, Apple Pay’s real-world acceptance remains limited compared with Samsung Pay,” said Lee Soo-joon, a professor at Sejong University’s College of Business. “Domestic issuer support initially centered on Hyundai Card, and the broader rollout is still incomplete.”

The divide extends beyond payments. Lee noted that Samsung offers AI-powered photo editing and other advanced features without requiring paid subscriptions, while Apple continues to gate many functions behind additional fees.

“In terms of AI, Apple is clearly behind,” Lee said. “If Apple wants to narrow this gap, strengthening AI capabilities is no longer optional—it’s essential.”

Samsung’s foldable lineup is also reshaping competition at the premium end of the market.

Industry data show that nearly half of Galaxy users in their 20s now opt for the Z series, led by the Z Flip, indicating that switching is occurring within high-end devices rather than toward budget models.

“With foldable and tri-fold designs, Samsung is expanding screen real estate into territory that overlaps with tablets,” Lee said. “Apple’s new models lack that kind of scalability.”

Offline retail trends reinforce the shift.

An employee at a Casetify store in Seoul said demand for Galaxy foldable cases surged following the launch of the Flip 7 and Fold 7.

“When those models came out, cases sold out for a while,” the employee said. “We didn’t see that with earlier versions, but now more customers in their 20s and 30s are clearly moving from iPhones to Galaxy.”

Broader usage data underscore the tilt toward utility-driven choices. About 70 percent of Koreans aged 20–29 use Samsung Pay, the highest rate among all age groups, according to Gallup. Bank of Korea data show that more than 80 percent of early-career workers rely primarily on mobile payments, leaving little tolerance for ecosystems that still depend on physical cards.

Apple retains a numerical lead among young users, and the shift does not signal an abrupt collapse. But the convergence of net-switching data, purchase intentions and premium-device adoption suggests that loyalty among Korean younger consumers is becoming conditional.

Lee framed the trend as part of a broader reassessment of Apple’s post–Steve Jobs trajectory.

“In Korea, there’s a growing perception that Apple has become more design-focused than function-driven,” he said. “iPhones still excel at design and security, but in a market where practical infrastructure matters, that’s no longer enough.”

For now, the message from young Korean consumers is clear: smartphone choices are increasingly decided by daily usability, not brand mythology—and the balance is shifting.

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