Apple segments the iPhone market into three groups. The first segment consists of loyal Apple customers, including fans of other Apple products, who are willing to pay higher prices. The second segment is oriented towards the iPhone's technical features and novel design. The third segment purchases iPhones for social acceptance and status. The first group of loyal customers is Apple's primary customer segment.

1. Apple’s iPhone Market Segmentation
 Introduction about Apple :
Apple Inc. is an American multinational technology
company was established by Steve Jobs , Steve Wozniak
and Ronald Wayne on April 1, 1976 in Cupertino, California.
It designs, develops, and sells consumer
electronics, computer software, and online services.
Its hardware products are the iPhone smartphone, the
iPad tablet computer, the Mac personal computer,
the iPod portable media player, and the Apple
Watch smartwatch. Apple's consumer software includes
the OS X and iOS operating systems, the iTunes media
player, the Safari web browser, and the
iLife and iWork creativity and productivity suites. Its online
services include the iTunes Store, the iOS App
Store and Mac App Store, and iCloud.
 What is iPhone???
iPhone is a line of smartphones designed and marketed by Apple
Inc. They run Apple's iOS mobile operating system. The first
generation iPhone was released on June 29, 2007; the most
recent iPhone models are the iPhone 6s and iPhone 6s Plus,
which were unveiled at a special event on September 9, 2015.
The user interface is built around the device's multi-touch screen,
including a virtual keyboard. The iPhone has Wi-Fi and can
connect to cellular networks. An iPhone can shoot video (though
this was not a standard feature until the iPhone 3GS), take photos
,play music, send and receive email, browse the web,
send texts, GPS navigation, record notes, do mathematical

2. calculations, and receive visual voicemail. Other functions—video
games, reference works, social networking ,etc.—can be enabled
by downloading application programs (‘apps’); as of October
2013, the App Store offered more than one million apps by Apple
and third parties and is ranked as the world's second largest
mobile software distribution network of its kind (by number of
currently available applications).
 iPhone’s MarketSegmentationStrategy :
1) The first segment : customers with high loyalty to Apple
Apple’s loyal customers are divided into two groups : the first
group is a group of people who has strong loyalty to this
brand, acting as the role of primary customer. Primary group
consumers are mainly people who are the big fans of the
products of Apple company, not only iPhone but also
products in other series such as iPod, iPad and iTouch.
People in this group may have more than one product from
the firm. They know well about the features and the benefits
of the products and they are willing to pay for the extra
money to get these features. The second group contains the
people from the middle to high class in the society and have
the ability to pay for the new products in the company. They
are the main consumer group of the company. This is also
the main reason why Apply can have a higher price than
most of its competitors.

3. 2) The second segment : technical oriented
This segment contains people who are attracted by the
novel design and functions of the product. These people are
adults in the middle class, who are curious about new high
tech products. They use smart phone quiet frequent. A
superior product could simplify one's daily life.

4. 3) The third segment : social acceptance oriented
This segment has people who chase after social status.
Social acceptance and fashion are the main reason of their
purchase. They are capable to pay for iPhone 4S as their
daily supplement, they still need to use external material to
differentiate with others and make them feel confident.
Among these three groups, the first group is the primary
customer. They are the reason why Apple can enjoy
premium in the market.