Tuesday, February 14, 2006

Telephia: Small Group of Advanced Data Users Drives Majority of New Mobile Application Usage in the U.K.,

According to Telephia, "innovators, who are the most sophisticated and advanced mobile consumers, account for a disproportionately high share of streaming TV, online game play, video calling and full-track music download users, as compared to the overall mobile population in the U.K." A new Telephia UK 3G Report for Q4 2005 segments consumers into: Innovators, Early Adopters, and Mainstream Consumers. Innovators comprise on 9 percent of the market, but are the heaviest users of advanced data services.

Table 1: Consumer Adoption Segment Proportions (Indexed) Among
Advanced Data Service Users (U.K.)

Consumer Adoptions Segments
Mainstream Early
Consumers Adopters Innovators
Mobile Data Services Time of
User Groups Index %Share Index %Share Index %Share Launch
Streaming TV users 10 9% 150 29% 700 63% 2005
Online game play users 30 18% 170 34% 530 48% 2004
Video calling users 30 22% 190 37% 460 41% 2004
Full track music
downloaders 40 28% 190 38% 380 34% 2003
Video clip downloaders 40 25% 210 42% 370 33% 2002
Video messaging users 50 33% 180 36% 340 31% 2002
Game downloaders 60 45% 170 34% 230 21% 2001
Internet browsing users 90 67% 100 20% 140 13% 2000
Total UK Advanced Data
Users 71% 20% 9%
Source: Telephia U.K. 3G Report, Q4 2005

Note: In Table 1, the index is benchmarked off a base of 100, with
scores of more than 100, interpreted as higher proportion of users vs.
scores of less than 100 as a lower proportion of users within each
segment group. For example, Streaming TV has an index score of 700
among Innovators, i.e. Innovators comprise 7 x (63%) of Streaming TV
users than they do of the total advanced data user population (9%).
Kanishka Agarwal at Telephia said, "Advanced data services activity in the U.K. is following the classic pattern of adoption -- first gaining traction within the technologically savviest group and then spreading across the rest of the majority. Time plays a critical factor, as the services with an established utility from an extended period on the market are first to gain the most from the mainstream audience, who demand products and services that are relatively glitch-free. As the 3G pipe is optimized for these services and becomes further penetrated, we'll see mainstream wireless consumers begin to exploit the more highly developed features of their cell phones."

Also According to Telephia, "37 percent of current advanced data service consumers would be most interested in a location service and route finding application on their mobile phones:
Table 2: Demand Share for Future Advanced Data Services

Percent of Advanced
Service Feature Data Users (%)
1. Location services/route finding 37
2. Full range of network TV 23
3. Seamless connection to WiFi hotspots 17
4. File sharing 8
5. Mobile advertisements 2
Source: Telephia U.K. 3G Report, Q4 2005