The Connected Consumer Survey 2012: mobile broadband

Research Report

The Connected Consumer Survey 2012: mobile broadband

December 2011 Martin Scott

Analysys Mason Limited 2011

The Connected Consumer Survey 2012: mobile broadband

Contents
Slide no. Slide no.

5. 6. 7. 8. 9.

Executive summary Executive summary Recommendations Recommendations [1] Recommendations [2]

28. Replacement mobile broadband has clear appeal for young people who live alone in rented accommodation 29. Replacement mobile broadband has fewer low-value customers than complementary mobile broadband 30. Replacement mobile broadband users are more likely to use moreadvanced mobile services and are less interested in TV 31. Customers who rely solely on mobile broadband for connectivity are less satisfied than other customers 32. Customers are in little doubt that fixed broadband is currently superior to mobile broadband and the impact of LTE may be slow to take effect 33. Results: Large-screen complementary broadband: operators must better cater for casual users 34. Mobile broadband is complementary to fixed broadband in Western markets, and this is unlikely to change 35. Further complementary mobile broadband growth will be due to improved tariffs that better suit how customers use mobile broadband

10. Introduction 11. Introduction 12. Denmark

13. France
14. Germany 15. Poland 16. Spain 17. UK 18. USA 21. Results 22. Results: Mobile operators are struggling to limit broadband churn and should segment the market 23. Service providers are struggling to retain mobile broadband customers 24. Casual mobile broadband users are not currently well catered for 25. Divide and conquer: mobile broadband has three distinct use cases that should be treated differently 26. Results: Large-screen replacement mobile broadband: dissatisfied customers so far 27. Fixedmobile broadband replacement will continue, but at a slightly slower rate
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36. The most important factor for mobile broadband is not speed, reliability or even price it is customer service
37. Complementary mobile broadband appeals to some of the same demographics as multi-play bundles 38. Fixedmobile bundling can become an effective strategy for promoting mobile broadband growth, if tariffs cater better for light users 39. Results: Mid-screen mobile broadband: new opportunities for broadband growth 40. Mid-screen devices, such as the Apple iPad, present new opportunities for mobile broadband growth

The Connected Consumer Survey 2012: mobile broadband

Contents
Slide no. Slide no.

41. Early adopters consume higher volumes of media, but spend less time watching video a potential relief for mobile broadband providers 42. Streaming is the most popular form of video delivery to a tablet, but this will primarily be over Wi-Fi 43. Achieving successful growth in mid-screen mobile broadband subscriptions will require tariff innovation 44. Results: Selling mobile broadband to consumers who say that they are not interested 45. Of consumers who do not take mobile broadband, 65% are not interested in doing so 46. Fixed broadband is sufficient for most consumers who do not currently take mobile broadband 47. Consumers confirm that fixedmobile bundling could incentivise them to take up mobile broadband

48. Methodology 49. Methodology 50. About the author and Analysys Mason 51. About the author 52. About Analysys Mason 53. Research from Analysys Mason 54. Consulting from Analysys Mason

Analysys Mason Limited 2011

The Connected Consumer Survey 2012: mobile broadband

List of figures
Figure 1: Figure 2: Figure 3: Figure 4: Figure 5: Figure 6: Figure 7: Figure 8: Figure 9: Selected statistics from the Connected Consumer Survey 2012: mobile broadband Survey respondents demographic data: Denmark Survey respondents demographic data: France Survey respondents demographic data: Germany Survey respondents demographic data: Poland Survey respondents demographic data: Spain Survey respondents demographic data: UK Survey respondents demographic data: USA Percentage of subscribers that would like to change service provider in the next six months, by country and service Figure 18: Consumer perception of fixed and mobile broadband services, Europe and the USA Figure 19: Consumer perception of fixed and mobile broadband services, Denmark Figure 20: Breakdown of mobile broadband users by fixed broadband ownership Figure 21: Future plans for fixed and mobile broadband, by type of broadband to which currently subscribed Figure 22: Population penetration of complementary mobile broadband, various countries, 20052016 Figure 23: Metrics on aspects of mobile broadband customer satisfaction among customers that also have fixed broadband, Europe and the USA Figure 24: Demographic breakdown of complementary mobile broadband users compared to all respondents Figure 25: Population penetration of mid-screen mobile broadband, various countries, 20092016 Figure 26: Selected statistics regarding the activities and demographics of tablet owners Figure 27: Consumption of video content by delivery method and device type Figure 28: Future plans of consumers that are aware of mobile broadband, but do not subscribe to it, various countries, Figure 29: Preferred subscription type of consumers that are interested in mobile broadband, various countries Figure 30: Reasons given by consumers for not being interested in mobile broadband Figure 31: Factors that would motivate consumers to buy mobile broadband as a percentage of respondents who are interested in taking the service

Figure 10: Relative use of mobile broadband in different locations, by whether the respondent also has a fixed broadband connection Figure 11: Frequency of mobile broadband use, by whether the respondent also has a fixed broadband connection Figure 12: Mobile broadband subscribers by device and use type, Europe, 20052016 Figure 13: Population penetration of replacement mobile broadband, various countries, 20052016 Figure 14: Demographic breakdown of replacement mobile broadband users, compared to all respondents Figure 15: Distribution of monthly spend on mobile broadband (EUR PPP), by type of mobile broadband Figure 16: Selected activity and device usage statistics among replacement mobile broadband users compared to all respondents Figure 17: Overall customer satisfaction with broadband and voice services

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About the author

Martin Scott (Principal Analyst) leads Analysys Masons Fixed Broadband research programme. His primary areas of specialisation include fixed broadband retail pricing and bundling, and customer satisfaction and consumer-facing marketing strategy. Martin also specialises in statistics, surveys and the analysis of primary research, and he co-ordinates Analysys Masons Connected Consumer series. He has produced research for Analysys Mason on different aspects of broadband (next-generation) access, consumer demand for present and next-generation services, and the business case for value-added services, such as videotelephony and three-screen advertising. Martin has a Masters degree in Mathematics from Oxford University.

Published by Analysys Mason Limited Bush House North West Wing Aldwych London WC2B 4PJ UK Tel: +44 (0)845 600 5244 Fax: +44 (0)845 528 0760 Email: research@analysysmason.com www.analysysmason.com/research Registered in England No. 5177472 Analysys Mason Limited 2011. All rights reserved. No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form or by any means electronic, mechanical, photocopying, recording or otherwise without the prior written permission of the publisher. Figures and projections contained in this report are based on publicly available information only and are produced by the Research Division of Analysys Mason Limited independently of any clientspecific work within Analysys Mason Limited. The opinions expressed are those of the stated authors only. Analysys Mason Limited recognises that many terms appearing in this report are proprietary; all such trademarks are acknowledged and every effort has been made to indicate them by the normal UK publishing practice of capitalisation. However, the presence of a term, in whatever form, does not affect its legal status as a trademark. Analysys Mason Limited maintains that all reasonable care and skill have been used in the compilation of this publication. However, Analysys Mason Limited shall not be under any liability for loss or damage (including consequential loss) whatsoever or howsoever arising as a result of the use of this publication by the customer, his servants, agents or any third party.

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About Analysys Mason

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Research from Analysys Mason

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Consulting from Analysys Mason

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