CONNECTED CONSUMER SURVEY: tracking the usage and opinion of 6000 European and US telecoms and media usersOperators should position mobile broadband as a complement to xed broadband, not a substituteMARTIN SCOTTSenior Analyst Research Team“ Mobility is the easiest Mobile broadband operators in markets with developed xed broadband method for selling infrastructure should prepare for a decline in market growth. Recent research from mobile broadband Analysys Mason’s Connected Consumer survey – involving 6000 European and US into a customer base consumers – indicates that interest in mobile broadband among non-subscribers used to the bene ts declined slightly in all markets between 2009 and 2010 and subscriptions to mobile of xed broadband”broadband are unlikely to grow at the same high level during the next year as they did in previous years. Operators’ best strategy to slow the decline in mobile broadband take-up is to emphasise the unique selling point of mobile broadband – its is the easiest method for selling mobile The positive message for service providers here is Attempts to sell mobile broadband into a customer base used to the benefits that customers in developed markets have realistic broadband as a substitute of fixed broadband: 66% of non-mobile-broadband expectations for mobile broadband, which means for fixed are likely to fail as subscribers consider it a key factor in motivating they are not taking it to be a direct equivalent to fixed there is a strong perception among consumers that them to buy the service – ahead of price, convenience broadband – if they were, they would likely be mobile broadband is not as and other perks such as cheaper service bundles disappointed. Our research found that about 84% of fast, more unreliable and and access to premium content. This is positive news mobile broadband subscribers also have a fixed more pricey than fixed for other operators, as other potential motivations broadband connection, and there is little evidence broadband. Over 70% of those expressing an opinion – such as network improvements and price that these subscribers will drop their fixed-line in our consumer survey reductions – hit operators’ pockets, whereas mobile contracts – only 10% of those with both fixed and agreed with statements that broadband’s mobility does not. Network mobile broadband services stated that they intend to mobile broadband was improvements are costly to implement and, given the drop the fixed , less reliable and more expensive than pressure on mobile broadband, it is unlikely that operators will reduce prices any to sell mobile broadband as a substitute for fixed are likely to fail as there is a strong perception among consumers that mobile broadband is not as fast, more unreliable and more pricey than fixed broadband. Over 70% of those expressing an opinion in our consumer survey agreed with statements that mobile broadband was slower, less reliable and more expensive than fixed. The differences between the two will become increasingly apparent as fixed operators deploy more fibre and double-digit megabit-per-second speeds (which most mobile networks will struggle to offer) become more common and more-commonly
“Our research found that about 84% of mobile broadband subscribers also haveMobile broadband also struggles to compete as a a xed broadband connection, and there is little evidence that these subscriberssubstitute for fixed because customers are increasingly will drop their xed-line contracts – only 10% of those with both xed andhappy with their fixed mobile broadband services stated that they intend to drop the xed service.”broadband service – and those who have the greatest need and are the most willing to pay for mobile broadband are likely to have Mobile broadband also struggles to compete as a For more information regarding Analysys Mason’s taken up the service for fixed because customers are Connected Consumer research, log onto: increasingly happy with their fixed broadband service and those who have the greatest need and are the most willing to pay for mobile broadband are likely to have taken up the service respondents who said they weren’t interested in mobile broadband, 72% said it was because they are happy with their fixed service (see Figure 1) – which is up from 65% last year. The only way for operators to tap into this section of the market is to promote mobile broadband as a complementary service to fixed broadband, not as a am happy using xedbroadband services Mobile broadband istoo expensive for meMobile broadband signalcoverage is not good enough 20102009I am not interested in usingany kind of broadband serviceMobile broadbandis too unreliableMobile broadbandis not fast enough0%20%40%60%80%Percentage of respondents1Figure 1: Reasons for lack of interest in mobile broadband, 2009 and 2010 [Source: Analysys Mason, 2011]1 Question: “Why are you not interested in mobile broadband? (select all that apply)”; all respondents who are not interested in mobile broadband; all countries; n =
