|
|
Youth, Young Adults and the Wireless Market - USPublished by: Mintel International Group Ltd. Published: Oct. 1, 2003 - 95 Pages Table of ContentsIntroduction & Abbreviations INTRODUCTION OTHER RELEVANT REPORTS DEFINITIONS Other terms ABBREVIATIONS EXECUTIVE SUMMARY A KEY MARKET INCREASING IN NUMBER HIGHER MONTHLY BILLS... ...SUPPLEMENTED BY PREPAID PLANS COMMUNICATION VERSUS ENTERTAINMENT WIRELESS INTERNET ACCESS FINANCIAL CHALLENGES AND RESPONSIBILITY MARKETING TO THE YOUTH DEMOGRAPHIC YOUNG ADULTS AND CHURN FUTURE GROWTH MARKET background WHY YOUTH? Social connectivity Entertainment Safety Mobility POPULATION Figure 1 U.S. population, 1998-2008 COMPETITION LEADS TO COMMODITIZATION Figure 2 The commoditization of cell phone services, 1993-2002 THE YOUTH MARKET ONLINE Student usage reaches high levels Increasing time spent online Figure 3 Percent change in Internet traffic, by location, April 2002 versus April 2001 Figure 4 Internet population estimates, October 2002 YOUTH AND BRANDING teen/student spending & Income TEEN SPENDING Figure 5 Total U.S. teen spending, at current and constant prices, 1997-2002 What are teens spending money on? THE COLLEGE AGE CONSUMER Figure 6 Total enrollment in all college institutions, 1998-2008 Spending differences between on-campus and off-campus students Student employment (income earned) Figure 7 Annual earnings: full-time college students aged 18-24, June 2002-May 2003 Non-earned income FINANCES LIMIT MARKET New plans address financials market trends The total mobile phones market Figure 8 Total U.S. retail sales of mobile phone handsets and subscriptions, at current and constant prices, 1998-2003 Figure 9 Total U.S revenues reflecting U.S. commercially operated cellular, ESMR and PCS service, at current and constant prices, 1998-2003 Chart 1 U.S. retail sales of mobile phone handsets and subscriptions, at current prices, 1998-2003 Youth as a segment of the market Figure 10 Youth as a segment of the total wireless market, by age, 2002 MARKET SEGMENTATION INTRODUCTION INTERPERSONAL COMMUNICATIONS Voice Text messaging Figure 11 Interest and use of SMS services, 2001 and 2002 ENTERTAINMENT Gaming Ringtones Figure 12 Top downloaded ringtones for cell phone users, week ended June 3, 2003 Internet access/information services Wireless photos supplier profiles INTRODUCTION VERIZON [FREEUP] Replenishing airtime Marketing activities BOOST MOBILE Entertainment is key Marketing activities Distribution AT&T WIRELESS What is mLife? AT&T introduces prepaid wireless Current activities VIRGIN MOBILE Marketing activities How are they doing? Retail distribution INTRODUCTION WHERE CONSUMERS INDICATED THEY LAST PURCHASED THEIR PLANS Figure 13 Location for contracting most recent wireless plan, by age (18-24s vs. all adults), July 2003 Chart 2 Location for contracting most recent wireless plan, by age, July 2003 THE STRUCTURE OF MOBILE PHONE DISTRIBUTION Service provider stores Figure 14 Top service provider retail outlets, by number of stores and kiosks, March 2003 Chart 3 Top service provider retail outlets, by number of stores and kiosks, March 2003 Electronics stores Figure 15 Top electronics retailers' operating data, latest financial year-end Other ownership & Usage INTRODUCTION WIRELESS PHONE OWNERSHIP/USAGE Figure 16 Wireless device ownership/usage, June 2002-May 2003 Figure 17 Wireless device ownership/usage, by age, June 2002-May 2003 Chart 4 Wireless device ownership/usage, by age, June 2002-May 2003 Figure 18 Wireless device ownership/usage, by gender, June 2002-May 2003 Figure 19 Wireless device ownership/usage, by household income, June 2002-May 2003 Figure 20 Wireless device ownership/usage, by region, June 2002-May 2003 FEATURES ON CELLULAR PHONE Figure 21 Features included on cellular phone, by age, June 2002-May 2003 Chart 5 Features included on cellular phone, by age, June 2002-May 2003 DEVICES USED TO ACCESS INTERNET Figure 22 Devices used to access the Internet, June 2002-May 2003 Figure 23 Devices used to access the Internet, by race/ethnicity, June 2002-May 2003 Figure 24 Devices used to access the Internet (adults aged 18-24), by devices owned/used, June 2002-May 2003 Figure 25 Devices used to access the Internet (teens aged 12-17), by devices owned/used, June 2002-May 2003 PURPOSES FOR WIRELESS PHONE USE Figure 26 Purposes for wireless phone use, August 2003 Figure 27 Purposes for wireless phone use, by age, August 2003 Figure 28 Purposes for wireless phone use, by gender, August 2003 SUMMARY Payment & Plans AMOUNT OF MONTHLY CELLULAR BILL Figure 29 Amount of monthly cellular bill, June 2002-May 2003 Differences in respondents aged 18-24 Figure 30 Amount of monthly cellular bill (adults aged 18-24), by region, June 2002-May 2003 Figure 31 Amount of monthly cellular bill (adults aged 18-24), by race/ethnicity, June 2002-May 2003 Figure 32 Amount of monthly cellular bill (adults aged 18-24), by county size, June 2002-May 2003 Differences in respondents aged 12-17 Figure 33 Amount of monthly cellular bill (teens aged 12-17), by age and gender, June 2002-May 2003 RESPONSIBILITY FOR PAYMENTS AND PROVIDER CHOICE Figure 34 Choosing service and paying bills, August 2003 Figure 35 Choosing service and paying bills, by gender, August 2003 Figure 36 Choosing service and paying bills, by age, August 2003 Figure 37 Choosing service and paying bills, by household income, August 2003 Prepaid wireless service providers Figure 38 Prepaid wireless service providers, August 2003 Changing providers Figure 39 Willingness to switch providers, by age (18-24 vs. all adults), July 2003 Figure 40 Factors prompting switch in wireless service provider, by age group (18-24s vs. all adults), July 2003 SUMMARY The future FUTURE TRENDS Local number portability Increased interest in existing applications New applications and software CONCLUSIONS APPENDIX: Trade Associations APPENDIX: Research Methodology CONSUMER RESEARCH Sampling & weighting Presentation & definition Further analysis TRADE RESEARCH Informal trade research Formal trade research DESK & INTERNET RESEARCH SOURCES DEFINITIONS FORECASTS APPENDIX: WHAT IS MINTEL? MINTEL PUBLICATIONS MINTEL SERVICeS Product retrieval Retail audits Tailored research Global New Products Database RESEARCH SUPPORT/CONSULTANCY/MIC The Mintel Information Centre (MiC) PR Research AbstractUntil 1998, wireless services had primarily been a business tool, but with the commoditization of service, this changed dramatically. With greater numbers of consumers able to afford and subscribe to these services, prices came down and volume increased.As the industry matured, wireless providers looked to two areas of opportunity for expanding their market: targeting youth, and promoting wireless service as entertainment. Wireless providers are trying to reach kids and young adults in their own space, and are aggressively marketing text services and games. Personalization options, from services to faceplates and stickers, are widely available. Co-branding is also a new strategy and is exemplified by handset styling, service options and branded content. Further, kids have more autonomy over their choice of telecom providers than generally perceived. This report examines how the wireless providers of today are making inroads to entice the youth market to partake in their product offerings. Teens and young adults represent a very attractive market for many product categories, and are bombarded with advertising and marketing. As a result they are often difficult to reach, and their unstable financial standing provides formidable hurdles for marketers to overcome. However, these obstacles are surmountable, evidenced by the rapid uptake of wireless service plans by the younger market. With prepaid wireless plans tailored to teens' and young adults' wallets as well as sensibilities, wireless telecommunications providers are beginning to successfully penetrate this market. Get Full Details About This Report >> |
|
|||
|
About MarketResearch.com
|
||||