NEW YORK, March 26, 2007 (PRIME NEWSWIRE) -- "Convergence Monitor," the first in a regular series of surveys by PricewaterhouseCoopers focusing on the new connected consumer, reveals that knowledgeable, security-conscious consumers whose familiarity with and usage of converged services and technologies are well established, and set to grow at an increasing rate.
Communication and media companies are pushing forward with triple- and quadruple-play strategies and new players are intensifying competition and the fight for revenues, as the market moves towards lower prices. Enabled by growth in broadband, Internet Protocol (IP) and other technologies, consumers are now faced with an unprecedented explosion of choices and new services where they can call the shots. Convergence is now becoming an everyday reality.
Deborah Bothun, principal, PricewaterhouseCoopers commented:
"It was especially eye-opening to me that over two-thirds of PwC US employees under 24 years old do not have a fixed line phone. These surveys tap into the digital habits of an educated, technically savvy global workforce. The data demonstrates the dramatic changes underway in the marketplace and helps organizations understand and take advantage of new business opportunities."
Nearly 8,000 PricewaterhouseCoopers partners and staff from 17 countries worldwide participated in this first survey regarding their propensity to buy and use converged technologies and services in the home. Almost 2,500 of these respondents were from the U.S.
Some of the survey findings include:
-- Voice Communication: Consumers are looking to alternative and
convenient means of voice communication, through combinations of
fixed line, VoIP and mobile. Thirty-seven percent of respondents
have "cut the cord" and do not have a fixed line at home. In the
under 24 age category, 67% of U.S. respondents do not have a fixed
line. Asia has the heaviest users of VoIP with 40% of respondents
having used it at least once, compared to 31% in EMEA and 23% in
the U.S.
-- Broadband Penetration: The survey showed particularly high levels
of penetration among the under-24s. Eighty-four per cent of
respondents have a high-speed broadband connection at their home,
rising to 90% in the US, which came out top among the countries
surveyed. Broadband adoption is still rising across the board and
is most popular with the 16-34 age group.
-- Social Networking: China has the largest number of social
networking users, with more than 85% of respondents having
engaged in social networking at least once. China also has the
largest number of "power" users (those using the service daily or
weekly) with 15.8% of respondents accessing their online social
networks daily and another 27.3% going online weekly. In Brazil,
men between the ages of 16-24 are the largest power-user
demographic in the survey, with 51% using the service daily or
weekly. In addition to social networking, users in Asia Pacific
and Latin American countries are more likely to create their own
blog than are their Europe, Middle East & Africa (EMEA) and U.S.
counterparts.
-- Security: Security of personal data is an issue for consumers
with 80% of respondents citing concerns that personal information
on the Internet could be lost, stolen or hacked.
-- Billing Preference: Fifty-three per cent of respondents cited
billing quality as a key factor when choosing a new service
provider and 73% are generally happy with the clarity and
accuracy of their billing. Most are also looking for the
convenience of a single bill for multiple services.
-- Customer Service: Eighty-two per cent of all respondents said
that having customer service available in the evenings and over
the weekend is of great importance to them, though many are
unhappy with the level of customer service they currently
receive. In the U.S., 45% of respondents were willing to pay for a
higher level of customer service.
-- Devices and Content: More than 40% of all respondents have
downloaded a movie at least once. 74% of all respondents have
downloaded music with 30% classified as "high volume" users -
i.e. download tracks on a daily or weekly basis. The growth in
music downloads will be fueled by the future penetration rates
for mobile digital music players such a MP3 players and iPods.
Three-quarters of the respondents are currently using portable
digital music players.
The survey revealed some interesting behaviors and reinforced some of the current trends we are seeing in the global markets:
-- The battle for the customer continues. With such a competitive
marketplace, companies are now finding themselves competing for
the same business, which is likely to fuel further consolidation
in the marketplace in order to acquire customers and achieve
economies of scale.
-- Customer focus may very well be the key differentiator in the
months and years to come. To combat some consumer concerns about
the lack of good customer service and the complexity of some
offerings, providers will need to be increasingly sensitive and
responsive to customers' wishes and expectations and have the
agility to translate them into reality for the customer and their
own organizations.
-- Multi-play (e.g. triple and quadruple-play) scenarios are
becoming a reality. Most media and communication companies are
developing and organizing for multi-play service offerings -- and
are marketing multi-play in some form. They are also becoming
more relevant from a customer perspective as well, as they are
attracted to combined offerings with new features, lower prices
and the convenience of one package and one bill being the primary
drivers.
ENDS
Notes to Editor:
Convergence Monitor: The Digital Home -- understanding the consumer in the new converged world
For more information or to download other convergence related material visit: www.pwc.com/convergence
Methodology
PricewaterhouseCoopers surveyed 8,000 people (partners and staff) from 17 countries around the globe on their propensity to buy and use converged technologies and services in their personal lives.
Percentage of respondents by region:
-- 36% Asia Pacific -- 32% US -- 26% EMEA -- 6% Brazil & Chile
Percentage of respondents by gender:
-- 53% males -- 47% women
Percentage of respondents by age:
-- 15% 16-24 age group -- 56% 25-34 age group -- 20% 35-44 age group -- 7% 45-54 age group -- 2% 55+ age group
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