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PRIMARY PERSPECTIVES: CONSUMER DEMAND FOR MOBILE DATA SERVICES

AN INDUSTRY REPORT FROM PARKS ASSOCIATES

By Parks Associates

Publish Date: Jan 03

SYNOPSIS

At the end of 2002, there were more than one billion mobile telephone subscribers in the world, with anticipated year-end 2003 subscribers nearing 1.5 billion. And as consumer demand for mobile telephony continues to increase, connectivity becomes commoditized and prices are driven down to a point where the connection itself is essentially free. To survive in such an environment, service providers are hoping to move up the value chain and begin offering more content and network applications to their subscribers. The objective is to use advanced service offerings to increase both the number of subscribers and the average revenue per user (ARPU).

Whether this strategy succeeds will be largely determined by consumer demand for mobile data connectivity and the services that this platform makes possible. The purpose of this report is to assess consumer interest in and demand for mobile data services. Consumer Demand for Mobile Data Services attempts to:

  • Identify and describe both current and future mobile data service (MDS) subscribers;

  • Determine which physical platforms are most appealing for interaction with advances mobile data services;

  • Discover which of the many new types of advanced mobile data services consumers are most interested in; and

  • Find out which service combinations, if any, are most attractive to these consumers.

Consumer Interest in Mobile Data Services

 

"As consumer demand for mobile telephony continues to increase, connectivity becomes commoditized and prices are driven down to a point where the connection itself is essentially free. To survive in such an environment, service providers are hoping to move up the value chain and begin offering more content and network applications to their subscribers. The objective is to use advanced service offerings to increase both the number of subscribers and the average revenue per user (ARPU). Whether this strategy succeeds will be largely determined by consumer demand for mobile data connectivity and the services that this platform makes possible." -Parks Associates

Read the press release U.S. Consumers Tune In to Mobile Data Services

 

CONTENTS
1.0 Executive Summary

2.0 Methodology

3.0 Profile of Current Mobile Data Subscribers
   3.1 Number of Subscribers among Internet Households
   3.2 Demographic Profile of Current Subscribers

4.0 Profile of Internet Household Most Likely to Adopt Mobile Data Service
   4.1 Likelihood of Service Adoption among Internet Households
   4.2 Demographic Profile of Likely Adopters
   4.3 Most Attractive Price Points for Mobile Data Service
   4.4 Primary Reasons for Not Desiring Mobile Data Service

5.0 Appeal of Various Form Factors for Mobile Data Service
   5.1 Standard Mobile Phone
   5.2 Premium Mobile Phone
   5.3 Personal Digital Assistant

6.0 Value-Added Mobile Data Services
   6.1 Interest in Various Value-Added Services
      6.1.1 Instant Messaging Service
      6.1.2 E-Mail Service
      6.1.3 Accessing Web-Based Information
      6.1.4 New Types of Utilities
      6.1.5 Personalized Ring Tones
      6.1.6 Viewing Documents on Mobile Device
      6.1.7 Accessing Corporate Database
   6.2 Value-Added Service Payment Preferences
      6.2.1 Flex-Plan with Pay-Per-Use Features
      6.2.2 Unlimited Usage Plan with Single Monthly Fee
   6.3 Value-Added Service Packaging Preferences
      6.3.1 Single-Service Plan
      6.3.2 Combination Service Plan
      6.3.3 Full Suite of Services
   6.4 Likelihood of Value-Added Service Adoption

7.0 Primary Use of Mobile Data Service

8.0 Source of Payment for Mobile Data Service

 

FIGURES
Figures in Section 1.0
Appeal of Various MDS Form Factors
Comparison of Platform Preferences
Comparison of Interest at Various Price Points
Comparison of Value-Added Service Preferences
Comparison of Various VAS Payment Options
Comparison of Various VAS Packaging Options
Likelihood of Adoption VAS

Figures in Section 3.0
Current Mobile Data Subscribers
Age of Mobile Data Subscribers
Penetration of Mobile Data Service among Various Age Segments
Marital Status among Mobile Data Subscribers
Penetration of Mobile Data Service among Various Marital Segments
Children per Home among Mobile Data Subscribers
Penetration of Mobile Data Services & Children in the Home
Education Level among Mobile Data Subscribers
Penetration of Mobile Data Service among Various Educational Segments
Annual Household Income of Mobile Data Subscribers
Penetration of Mobile Data Service among Various Income Segments
Internet Connectivity among Mobile Data Subscribers
PC Ownership among Mobile Data Subscribers

Figures in Section 4.0
Consumer Interest in Mobile Data Services
Age & Interest in Mobile Data Service
Marital Status & Interest in Mobile Data Service
Children in the Home & Interest in Mobile Data Service
Education & Level of Internet in Mobile Data Service
Income & Interest in Mobile Data Service
Internet Connectivity & Interest in Mobile Data Service
PC Ownership & Interest in Mobile Data Service
Comparison of Interest at Various Price Points
Primary Reasons Why Consumers are not Interested in Mobile Data Service

Figures in Section 5.0
Appeal of Standard Mobile Phone for Mobile Data Services
Appeal of Premium Mobile Phone for Mobile Data Services
Appeal of a PDA for Mobile Data Services
Comparison of Platform Preferences

Figures in Section 6.0
Interest in Instant Messaging Service
Interest in E-Mail Service 
Interest in Mobile Web Access 
Interest in New Utilities 
Interest in Personalized Ring Tones 
Interest in Viewing Documents 
Interest in Accessing Corporate Database 
Comparison of Value-Added Service Preferences
Interest in Pay-Per-Use Payment Plan 
Interest in Single Fee/Unlimited Usage Payment Plan 
Interest in Single Value-Added Service 
Interest in Combination of Value-Added Services 
Interest in Full Suite of Value-Added Services 
Likelihood of Adopting Value-Added Service in Next 6 Months

Figure in Section 7.0
Primary Use of Mobile Data Service

Figure from Section 8.0
Primary Source of Payment for Mobile Data Service

 

ATTRIBUTES
Authored by: Parks Associates
Executive Editor: Tricia Parks
Produced by: Michael Greeson
Published by Parks Associates

© January 2003 Parks Associates
Dallas, Texas 75230

All rights reserved. No part of this book may be reproduced, 
in any form or by any means, without permission in writing from the publisher.

Printed in the United States of America.

 

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