SAN FRANCISCO-To some, it’s not the service, the network or the technology choice that matter in choosing a mobile phone-it’s how “cool” that new gadget is, according to a recent study by Telephia Inc.
Telephia Inc.’s recent Telephia/Harris Interactive National Handset Report study showed that the handset matters most to the youth (ages 18-24) and “gen X” (ages 25-36) markets. Specifically, 60 percent of respondents who fall into those market segments said they would chose a carrier based on the carrier’s selection of phones.
In comparison, 52 percent of all surveyed considered handset selection very or somewhat important, 22 percent were neutral and 26 percent found it very or somewhat unimportant.
“The budding youth market, despite being perceived as a more cost-sensitive customer segment, is nonetheless fascinated by new phone models and is often focused on which features are available on which wireless carriers,” explained John Oyler, president of Telephia. “Whether it’s screen size, changeable faceplates, MP3-type entertainment capabilities or overall look and feel, carriers need to make sure their phones continue to meet the changing demands of today’s wireless subscribers.”
The ever-growing youth and teen markets, which have proven to be especially strong in Europe and Asia, represent great potential for U.S. wireless carriers, according to several analysts.
A 1999 mobile user survey by The Yankee Group said 25 percent of 10- to 19-year-old respondents already owned a mobile phone. And in another Yankee Group study this year, analyst Knox Bricken reported, “Market estimates conclude that the youth market will spend more than $170 billion and influence even a greater spending amount of total household spending potential for next year.”
According to Telephia Inc., the biannual Telephia/Harris Interactive National Handset Report is based on an online study of approximately 60,000 wireless subscribers and non-subscribers in the 35 largest U.S. markets.