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Internet Finding Few Newcomers in 2006
Study finds substantial barriers exist to luring late adopters to
the Internet; 14 million households rely on Internet connections outside
the home
A new study from Parks Associates has found few new households willing
to subscribe to Internet services, which will limit 2006 growth in overall
Internet penetration to one percent, rising from 63% to 64% by year’s end.
According to
The National
Technology Scan (2005), a survey of 1,000 U.S. homes, there are
currently 39 million homes without Internet access, and among these, only
eight million own a computer, an obvious prerequisite for Internet
adoption. Moreover, the majority of these PC households will not subscribe
to an Internet service at any cost.
The study found only two million offline homes are planning to get
Internet services in 2006. Another 300,000 homes said they might subscribe
if offered a cheaper service. At the same time, 14 million U.S. households
do not have Internet service at home but access the Web at work or other
locations, such as a library or an Internet café.
“We are clearly facing a problem of demand, not supply,” said
John Barrett,
director of research at Parks Associates. “Computers and Internet service
have never been cheaper, yet many households still show little enthusiasm
for the technology.”
Reasons given for this lack of interest vary. Among households that
will not subscribe to an Internet service at any price, 31% said having
access at work is sufficient for their Internet needs. Another 18% simply
claimed, “I am not interested in anything on the Internet.” Thirty-nine
percent of households cited “other” reasons for their lack of interest.
“We present them with several possible reasons, and their response is
typically ‘none of the above,’”
Barrett
said.
The
National Technology Scan (2005) is a nationwide survey that
provides an accurate picture of current adoption levels, demand, and the
size of the total available market. Such data are crucial for strategic
planning and forecasting sales and revenues for product lines and
services. For more information on The National Technology Scan (2005),
visit
http://www.parksassociates.com or contact Parks Associates at
972-490-1113 or e-mail
sales@parksassociates.com.
About Parks Associates: Parks Associates is an
internationally recognized market research and consulting company specializing
in emerging consumer technology products and services. Founded in 1986, Parks
Associates creates research capital for companies ranging from Fortune 500 to
small start-ups through market reports, primary studies, consumer research,
custom research, workshops, executive conferences, and annual service
subscriptions.
The company's expertise includes new media, digital
entertainment and gaming, home networks, Internet and television services,
digital health, mobile applications and services, consumer electronics, and home
control systems and security.
Each year, Parks Associates co-hosts executive thought
leadership conferences CONNECTIONS™ and CONNECTIONS™ Europe in
partnership with the Consumer Electronics Association (CEA®). In addition, Parks
Associates produces the online publication Industry Insights in
conjunction with the CONNECTIONS™ Conference series.
http://www.parksassociates.com |
http://www.connectionsconference.com |
http://www.connectionseurope.com
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http://www.connectionsindustryinsights.com
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