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Study finds youth most lucrative to rural wireless carriers

A youth-oriented consumer survey released by the National Telecommunications Cooperative Association and the Foundation for Rural Service found that rural wireless customers between the ages of 18 and 24 could prove a more appealing target for rural telecommunications providers than their urban counterparts.

The third annual Rural Youth Survey of Telecom Usage found that 20 percent of those surveyed, an increase from 13 percent last year, claimed they rarely used landline phones from their residences. Those who said they never use landline phones from home jumped from 6 percent last year to 14 percent this year. The survey also found that 86 percent of youth questioned said they had their own wireless devices, which NTCA noted was significantly higher than the national average.

In addition to increases in wireline displacement, the survey found that 45 percent of rural youth said they always use their wireless phones to make calls, an increase from the 38 percent last year, and 98 percent of those surveyed said they use their wireless phones most often for voice calls.

While voice remains the “killer application” among rural youth, 12 percent of those questioned said they frequently text message, which was double the 6 percent from last year. The percentage of youth claiming to never use text messaging dropped from 62 percent last year to 46 percent this year.

The survey also found that while many prepaid providers target the youth market, rural users are predominately postpaid customers, with just 5 percent of those surveyed claiming to be prepaid customers, down from 7 percent last year. Half of those surveyed who claimed to be prepaid wireless subscribers noted they did so because their parents bought their phones and paid for their service, while 60 percent of postpaid users said their parents paid for their service.

“This indicates that parental decision makers are a major force behind prepaid wireless, a factor that rural carriers should consider when marketing such services,” NTCA said.

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