Setting up new replacement iPhone

Hello. Sorry if these are daft questions. I am on a SIM only tariff (was Virgin, now O2) and have bought a new iPhone which I will collect tomorrow. In order to transfer my service and data from the old to the new unit, will I first need to get O2 to send me a SIM card to use in the new handset so that that phone can be activated and receive a signal? I can see what the Apple guide 'Use Quick Start to transfer data to a new iPhone or iPad'

explains, but it doesn't say whether the new device needs its own SIM in place, or if the transfer would work and then you move the SIM card from the old to the new. Hope for your advice. Thanks all.