Why does everyone buy an iPhone from contract?

I usually buy a second hand iPhone that is 1 year old and was used with a case for $200-250 less and use T-Mobile's family plan that costs $20 per line for data, talk, and text.

Why do I see a lot of people using contracts to get their iPhones instead?

Because people are blind to the fact that they would save $400 if they bought the phone unlocked for $800, instead of getting it for free on a contract which will end up costing them $1500+ sometimes. They see the "$0 down" and run towards it.

  • Why does everyone want an iphone? I have this phone: http://i.i.com.com/cnwk.1d/i/tim/2012/07/11/Huawei_T-Mobile_MyTouch, Q_610_610x467.png and although it's not an iphone, I love it. Came out a week ago. I just don't understand why people want an iphone.
  • Why does everyone want an iphone 5? I honestly don't think apple would be as popular as it is if Steve Jobs was still alive. Like they say, an artist's work is more valuable when they're dead. I think people are just buying the iphone 5 because of that reason, but some people are buying more than 2. Why? Is the technology inside the phone advanced or something? I heard some people buy the phone to take it apart for the useful stuff inside, but why do they do that?
  • Why does everyone want an iphone 5 for? - 1 As soon as you buy that iphone 5 they'll just come back next year with an iphone 6 with yet better features, and maybe a satellite signal that can make calls worldwide instead of just national.
  • Why does everyone say that iPhone's are easier to use than Android? I have both and I'm wondering as soon as I picked up both phones I knew how to use them it wasn't difficult and practically same concept why do people say that?