Trying to update frpm itunes 10 to itunes11, but get error message after installation

I am trying to update my itunes to be compatible with my replaced iphone 4s (apllecare replacement) that is not compatible with my current iTunes 10.6.  I have tried several times to upload th enew version of iTunes to no avial getting an error message after a "successful installation" and the itunes reverts to 10.6.  Since my imac was an older unit I had to update to OSX 10.6.8 (sucessfully) and increase my RAM.  I am 120bucks in the hole plus the 49 dolar surcharge for the iphone replacement and i am still no closer to restoring my phone.  Help please

First backup your music and content.
Then delete iTunes 10.6 Drag the application from Finder > Applications to Trash. Empty Trash
Try and install 10.7 first iPhone 4s will work with this. You can find the download here
http://support.apple.com/kb/DL1576
Install it. Does itunes 10.7 now appear? Is your content all there? Connect up your iPhone and start syncing.
From there if you want to you can upgrade to iTunes 11 but it is only necassary if you have an iPhone 5

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