karin du chenne tns research surveys
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Habari Digital SymposiumTRANSCRIPT
TNS Copyright
Global Telecoms Insights 2009A world of mobile insightKarin Du [email protected] 2009
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Why do consumers act the way they do?What will they do next?
Are consumers using their mobile potential?
How do different mobile devices and services interact?
How converged is consumer behaviour?And how convergence-ready are they?
Which features and services are positioned for future growth?
Which niche brands will become mass market?
Consumerisation Convergence
Mobility Innovation
GTI 2009 is designed to provide insight into the four key drivers of the telecoms market
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It looks to understand the evolution of global, regional and local trends in mobile technology
32 markets; 20622 respondents; Interviewing Nov/Dec 2008 Regions covered:
•N America: USA, Canada•Europe: UK, France, Germany, Spain, Italy, Netherlands, Sweden•Dev Asia: Japan, Korea, Hong Kong, Malaysia, Singapore, Taiwan, Australia•China: China only•India: India only•Russia: Russia only•Emerg Asia: Pakistan, Indonesia, Vietnam, Thailand•Lat Am: Mexico, Brazil, Argentina•N Africa: Morocco, Egypt•M East: Saudi Arabia, UAE, Kuwait•S Africa: South Africa only
New markets for ‘09: Singapore, Malaysia, PakistanMarkets omitted : Algeria
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What do you need to know?
THE BIG PICTURE
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THE BRAND FACTORWhat is the current state of the consumer-brand relationship?
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Chooses quality over price
Brand is an important driver of purchase
Active pursuit of new products and services
High levels of research prior to purchase
Engages in discussions with friends and colleagues
TNS uses a set of questions to calculate the level of ‘involvement’ a consumer has in the mobile phone sector
An ‘involved’ consumer is categorised as displaying some of the following behaviours:
‘Involved’ and ‘Uninvolved’ consumers are different and by understanding the level of involvement, local market strategies can be developed
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The mobile phone sector continues to engage consumers, although sector involvement is regional
5561
2008 2009
% ‘Involved consumers’ Level of sector involvement – mobile phones
High involvement Average involvement Low involvement
Involvement segmentation: See slide 5 for explanation. Measure defines level of consumer involvement in the mobile phone sector (Highly involved +8%, Involved within 8%; Uninvolved -8% on global average)2008 Base: All mobile users; 134682009 Bases: All mobile users; 17264 1439 333 451 373 460 437 473 492 536 557 489 607 498 494 433 523 2031 724 325 379 432 706 325 349 361 447 506 368 496 377 393 450 7
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TNS Conversion Model profiles the consumer relationship with individual brands, both handset and network providers
UncommittedBrand Users
USERS NON-USERS
Shallow Convertible Available Ambivalent
OpenNon-Users
WeaklyUnavailable
StronglyUnavailable
UnavailableNon-Users
CommittedBrand Users
Entrenched Average
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Single-minded
Passive
Seekers
Shared (committed / uncommitted
• Strong attachment to one brand
• Unhappy with current brand
Uninterested
• Equally attracted to two or more brands
• Committed, but less interested in general
• Do not care which brand they use
Conversion Model also profiles the relationships with mobile phones brands generally
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Consumers are asked a series of questions based on their current use of brands and attitudes to competitors, and are placed in appropriate segments
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As single-minded commitment to brands is declining, substantial numbers are openly looking to switch
6358
50
71
42
5649
65
87
48
73 75
91 9183
510
4
6
4
45
6
5
6
6 6
4 3
4
7 8
11
5
9
14
6
4
1
19
4 5
1
317 14
19
15
24
13
21
21
7
15
14 124 7 98 11 16
4
2112 17
413
2 2 1
Global
2009
Global
2008
Develo
ped
Emer
ging
N Am
eric
a
Europe
Dev A
sia
China
India
Russia
LatAm
Emer
g Asia
M E
ast
N Afric
a
S Af ri
ca
Single-minded Shared Passive Seekers Uninterested
Relationship with mobile handset brands
E: Conversion model brand segmentation: See slide 5 for explanation. Measure defines commitment of consumers to brands in the mobile handset sector2008 Base: All mobile users; 124892009 Bases: All mobile users; 17264 8522 8742 1772 3222 3528 724 2031 523 1380 1513 1370 808 393
%
Local market
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Nokia continues to dominate global brand commitment
6
5
6
3
4
35
8
8
7
4
16
10
10
11
42
75
79
875
76
Nokia
Samsung
Motorola
Sony Ericsson
LG
Committed Open Unavailable / UnawareUncommitted
Users Non-users
% of committed users
2008 2009
77% 78%
49% 49%
53% 54%
52% 56%
47% 50%
E: Conversion model brand segmentation: See slide 5 for explanation. Measure defines commitment of consumers to brands in the mobile handset sector‘% of committed users’ calculated by dividing the number of committed users by the total number of users2008 Base: All mobile users; 134682009 Bases: All mobile users; 17264 11
Local market
data cuts
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Nokia remains the dominant global player, particularly in emerging markets
%
36 3524
44
7
40
17
39
59
34
64
26
70
89
56
12 13
15
11
14
16
13
20
6
12
8
8
12
3
25
12 15
12
12
25
9
5
87
14
4
28
62
12
98
10
8
3
16
8
13 7
5
7
17
45 4
7 5
10
4
24
4
6
2 8
2
3 11
30 1
11 3
124 24 29
21 2715
52
18 14
34
14 11 5 2 1
Global
2009
Global
2008
Devel o
ped
Emerging
N Am
erica
Europ
e
Dev Asia
China
India
Russia
LatAm
Emerg A
sia
M E
ast
N Afri
ca
S Afri
ca
Nokia Samsung Motorola Sony Ericsson LG Apple Other
A5: Brand of main handset2008 Base: All mobile users; 134682009 Bases: All mobile users: 17264 8522 8742 1772 3222 3528 523 2031 724 1513 1380 808 1370 393
Local market
data cuts
Brand market share
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THE PURCHASE DECISION PROCESSHow do consumers decide what they will buy?
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Distress purchases continue to drive purchase decisions, requiring effective mechanisms to be in place to react to these urgent needs
15 11 17 13 14 1226
157 9
1510
3714 15
14 818
1118
13
27
14
55
511
42
12 6
84
10
6
10
6
15
7
2
62 12
24
8 4
2016
631
7
4
9
32
32
3334 24
11
2335
37 3336
37
31
39
37 46
31
30 2541
14
4720
10 69
10
105
1414
13
5 5 819
15
6
6 46
5
86
52
13
8 7 7 86
7
6 6 121
1216
5 0
1
0 2 0 37
2 1 31
4 3 2 0
1
1 21 2 0
0
6 4 4 8 2 4 4 6
24
7 5 10 11 7 11
Globa l (
2009
)Glo
bal (2
008)
Developed
Emer
ging
N Am
eric
aEuro
peDev
Asia
China
India
RussiaLatA
mEm
erg A
siaM
Eas
tN A
frica
S Afri
ca
Gave away old phone
Given phone by employer
Given phone by network provider
Given phone by friends
Dissatisfied with previous phone
Phone stopped working
Phone lost/stolen
Wanted a phone that was better looking
Wanted a phone with more features
Wanted a phone with latest technology
Main trigger for purchasing last phone
‘Want’triggers
‘Convenience’triggers
A11: Trigger to change to current mobile phone2009 Bases: All who have owned more than one mobile: 14016 6757 10507 7873 6143 1559 2950 3364 574 753 494 1190 1033 1158 669 272
%
Local market
data cuts
‘Distress’triggers
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Internet consumer reviews are becoming an important source of information for consumers in developed markets
23
19
19
17
8
14
15
42
43
15
6
53
3
Previousexperience
Contact servicecentre
TV
Newspapers
Promotions
Telecoms retailerw ebsite
Network providerw ebsite
Manufacturerw ebsite
Speak w ith storestaff
Store displays
Internet consumerreview s
Onlineblogs/forums
Speak w ithfriends/colleagues
All sources of information consulted when looking to buy a mobile phone
Global Developed Emerging(42%)
(N/A)
(N/A)
(37%)
(35%)
(15%)
(14%)
(N/A)
(18%)
(15%)
(14%)
(2%)
(21%)
(2008)
32
3
6
11
23
12
24
25
30
36
27
10
34
18
27
23
13
5
8
8
50
46
8
4
64
2
(25%)
(N/A)
(N/A)
(31%)
(21%)
(21%)
(20%)
(N/A)
(19%)
(8%)
(4%)
(2%)
(22%)
(2008)
(55%)
(N/A)
(N/A)
(41%)
(45%)
(11%)
(10%)
(N/A)
(18%)
(21%)
(20%)
(3%)
(21%)
(2008)
A12: Sources of information consulted when buying a mobile phone2008 Bases: 12489 6696 57932009 Bases: All mobile users: 18482 8655 9827
Word of mouth
Retail
Marketing / ads
%
Local market
data cuts15
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Mobile music is a rapidly growing driver of choice, particularly in emerging markets
8
8
8
15
19
21
9
14
34
18
41
Mobileinternet
Games
GPS
Bluetooth
FM / AMRadio
MP3
Mobileemail
MMS
SMS
Videocamera
Still camera
Most important features when choosing mobile phone
Global Developed Emerging
11
5
12
17
8
15
11
14
40
8
37
7
11
6
13
26
24
8
14
31
24
43(40%)
(15%)
(39%)
(6%)
(7%)
(10%)
(12%)
(15%)
(4%)
(11%)
(6%)
(2008) (2008) (2008)
A24: Most important features when looking to buy next mobile phones (top-3)2008 Bases: 12489 6696 57932009 Bases: All mobile users: 17264 8522 8742
%(38%)
(11%)
(51%)
(8%)
(8%)
(12%)
(6%)
(18%)
(7%)
(7%)
(6%)
(42%)
(22%)
(24%)
(5%)
(7%)
(8%)
(7%)
(14%)
(2%)
(17%)
(6%)
Local market
data cuts
Imaging
Messaging
Music
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Retail channels in emerging markets are still heavily fragmented across multiple channels, offering opportunities for large retailers to consolidate
29 31
6
43
16
12
56
39
56
6
4659
1319
28 23
50
15
63
40
50
5
17
12
46
5
8
33 25
7 7 78
2
7
11 619
3 10
13
9
5
10 87
113
7
1313
816
12 8
7
18
7
9 10
5
11
6
5
315 4
1
13 15
7
1
29
1 1
1
1
1
31
556 5
13
1
1316
81 2 3 13 3 4 1 3 6 2 3 3 1 1 2 5
Global
2009
Global
2008
Develo
pedEm
ergin
gN A
mer
i ca
Europe
Dev A
sia
China
Indi a
Russia
LatAm
Emer
g Asi
aM
Eas
tN A
frica
S Afri
ca
Telesales
Internet
Open air market
Generalist store
Consumer electronics store
Manufacturer store
Network provider store
Independent retailer
Sources of purchase for last mobile phone
Retail stores
Other
A9: Source of last phone purchase2008 Base: All mobile users: 124892009 Bases: All mobile users: 17264 8522 8742 1772 3222 3528 724 2031 523 1380 1513 1370 808 393
%
Local market
data cuts17
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USAGE: THE CONSUMER ANGLE
How do consumers use their phone?
18
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Smartphones are moving from a niche desirable towards mass market penetration levels, especially in Developed Asia
20
13
25
18
27
17
3430
6
14 15
5
21
3
15
Globa l 2
009
Global 2
008
Develo
ped
Emer
ging
N Am
erica
Europe
Dev A
sia
China
India
Russia
LatAm
Emer
g Asia
M E
ast
N Afric
a
S Afr i
ca
A22. Ownership of Smartphones (defined on feature-set of current mobile phone. See study overview for details)2009 Bases: All mobile users: 17264 8522 8742 1772 3222 3528 724 2031 523 1380 1513 1370 808 393
Local market
data cuts19
% of mobile users with a Smartphone
TNS Copyright
Messaging capabilities are diversifying to include MMS, email and IM
17
16
8
11
36
13
12
15
26
40
80
3Blogging
Netw ork provider brow ser
Dedicated brow ser
WiFi
3G capabilities
Bluetooth
Instant Messaging
Push email
Pull email
MMS (video)
MMS (pictures)
SMS
Global Developed Emerging(78%)
(36%)
(18%)
(11%)
(5%)
(8%)
(27%)
(5%)
(3%)
(N/A)
(N/A)
(3%)
(2008)
23
19
10
16
35
13
12
18
24
48
77
5
14
15
6
8
36
13
10
13
28
35
82
3
(69%)
(37%)
(17%)
(14%)
(6%)
(5%)
(30%)
(9%)
(4%)
(N/A)
(N/A)
(4%)
(2008)
(84%)
(35%)
(19%)
(9%)
(4%)
(10%)
(24%)
(3%)
(2%)
(N/A)
(N/A)
(2%)
(2008)% using
A22+B1: Use of connectivity features and services on mobile phone2008 Bases: All mobile users: 12489 6696 57932009 Bases: All mobile users: 15479 7114 8365
Messaging
Connecting
Internet
Local market
data cuts20
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While there is plenty of room for new messaging forms to grow, they are not being used as frequently as SMS
1
5
6
3
5
11
5
4
6
5
8
54
1
4
5
2
3
12
3
3
4
8
13
17
1
8
5
3
3
12
4
4
5
13
19
9
41
42
45
47
46
37
44
47
47
42
37
10
39
30
28
30
27
19
30
30
28
24
18
7
Blogging
Network provider browser
Dedicated browser
WiFi
3G capabilities
Bluetooth
Instant Messaging
Push email
Pull email
MMS (video)
MMS (pictures)
SMS
Daily users Weekly users Infrequent users White space (interested non-users) Rejectors
%%
A22+A23+B2+B4: Use of connectivity features and services on mobile phone + interest from non-users2009 Bases: All mobile users: 17264
Messaging
Connecting
Internet
21
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The mobile internet is critical for giving emerging markets users access to mobile entertainment and music
6
3
2
8
11
15
16
27
5
14
20
3
8
11
2
20
34
1
10
Travel
Health
Automotive
Business/ f inance
Games
Sport
Weather
News
Adult
Picture sites
Video sites
Entertainment
M usic
Gambling
Auct ion sites
Shopping
Virtual worlds
Social networking
Search
Global Developed Emerging(42%)
(16%)
(N/A)
(14%)
(10%)
(5%)
(30%)
(19%)
(N/A)
(N/A)
(N/A)
(30%)
(25%)
(18%)
(16%)
(12%)
(6%)
(6%)
(9%)
(2008)
% visiting mobile internet site
7
3
2
8
11
16
27
27
4
6
14
5
13
13
20
38
1
8
1
4
4
3
7
11
14
6
27
6
20
25
2
8
3
19
31
1
12
1
(37%)
(16%)
(N/A)
(9%)
(11%)
(6%)
(26%)
(12%)
(N/A)
(N/A)
(N/A)
(31%)
(34%)
(18%)
(13%)
(11%)
(4%)
(5%)
(11%)
(2008)
(46%)
(16%)
(N/A)
(17%)
(7%)
(2%)
(38%)
(21%)
(N/A)
(N/A)
(N/A)
(28%)
(11%)
(18%)
(20%)
(14%)
(9%)
(8%)
(6%)
(2008)
A33: Websites visited on mobile phone2008 Bases: All mobile internet users: 9640 6337 33032009 Bases: All mobile internet users: 6792 4789 2003
Connecting
Media
Information
Purchasing
22
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Mobile music continues to boom with mobile gaming somewhat stagnant
19
9
11
10
46
18
25
26
17
28
38
17
11
8
42
59
5
Upload contentto PC
Upload contentto mobile internet
Sideload games
Download games
Play games
Load caller tunes
Load ringtones
Sideload music
Download music
FM /AM Radio
M P3 player
Load graphics &themes
Live TV
SideloadTV/Video
DownloadTV/Video
Video camera
Still camera
% usingGlobal Developed Emerging
(55%)
(32%)
(4%)
(7%)
(4%)
(15%)
(31%)
(22%)
(15%)
(22%)
(24%)
(18%)
(48%)
(10%)
(10%)
(N/A)
(N/A)
(2008)
25
9
7
9
37
11
17
9
14
31
10
14
40
71
5
5
3
21
22
29
14
40
11
30
21
36
42
16
10
9
9
6
43
53(64%)
(31%)
(3%)
(5%)
(5%)
(12%)
(25%)
(14%)
(11%)
(16%)
(20%)
(14%)
(38%)
(10%)
(7%)
(N/A)
(N/A)
(2008)
(49%)
(33%)
(5%)
(9%)
(3%)
(19%)
(35%)
(27%)
(19%)
(28%)
(27%)
(22%)
(57%)
(11%)
(12%)
(N/A)
(N/A)
(2008)
A22+B1: Use of content features and services on mobile phone2008 Bases: All mobile users: 12489 6696 57932009 Bases: All mobile users: 17264 8522 8742
Imaging / video
Music
Gaming
Local market
data cuts23
TNS Copyright
There is substantial growth still available for mobile content, if service delivery can match expectations
2
1
2
2
14
2
3
4
3
12
19
2
1
1
1
7
13
7
4
4
3
14
6
8
11
6
8
10
6
2
3
2
14
23
9
4
5
5
18
9
12
11
7
8
8
8
2
3
2
20
23
44
47
45
46
26
44
42
42
48
46
38
43
49
48
49
38
30
25
31
33
34
23
29
26
23
28
20
18
30
34
33
34
16
9
Upload content to PC
Upload content to mobile internet
Sideload games
Download games
Play games
Load caller tunes
Load ringtones
Sideload music
Download music
FM/AM Radio
MP3 player
Load graphics & themes
Live TV
Sideload TV/Video
Download TV/Video
Video camera
Still camera
Daily users Weekly users Infrequent users White space (interested non-users) Rejectors
%
A22+A23+B1+B4: Use of content features and services on mobile phone + interest from non-users2009 Bases: All mobile users: 17264
Imaging / video
Music
Gaming
24
TNS Copyright
PDA and GPS functionality appear the most likely niche applications to move towards the mass market
6
6
14
4
2
3
9
4
Videocalling
Microsoftoffice
capabilities
PDAfunctionality
Access tosubscribedinformation
Homecontrol
Mobilewallet
GPS
Locationbased
services
Global Developed Emerging
(3%)
(5%)
(3%)
(1%)
(4%)
(9%)
(3%)
(3%)
(2008)
% using
10
8
21
5
2
4
11
5
4
5
10
4
2
3
8
3(5%)
(6%)
(4%)
(2%)
(5%)
(12%)
(4%)
(6%)
(2008)
(2%)
(5%)
(2%)
(1%)
(4%)
(6%)
(2%)
(2%)
(2008)
A22+B1: Use of incremental features and services on mobile phone2008 Bases: All mobile users: 12489 6656 57932009 Bases: All mobile users: 15479 7114 8365
Local market
data cuts25
TNS Copyright
The mobile phone is fast becoming the preferential method of communicating at work, led by emerging markets
3442 43
28
4249
3629
21 22
44
21
4233 29
4
4 6
3
4
6
8
3
2 1
6
0
2
01
3
23
2
3
3
3
3
1 1
5
1
2
0 1
6051 48
67
5242
5365
77 77
45
79
5467 68
Globa
l 200
9Glob
a l 200
8Dev
elop
edEm
ergin
gN A
merica
Europ
e
Dev A
sia
China
India
Russia
LatA
mEm
erg
Asia
M Eas
t
N Afri
ca
S Afric
a
Mobile phone
VOIP (mobile)
VOIP (fixed)
Fixed line
Split of work related phone calls
I1: Number of calls made during a day – wok onlyI2: Proportion of work calls made by different technologies out of every 10 calls2008 Base: All respondents (I1); 16274 All who make work calls (I2): 97072009 Bases: All respondents (I1): 19942 18219 6806 13136 2147 2800 1860 4464 2356 1392 1818 2055 313 409 328All who make work calls (I2): 11478 10455 4390 7089 1248 1741 1400 2876 804 945 1038 1042 146 137 100
%
Number of work calls made during a day
9 9 14 7 9 18 17 7 2 13 12 4 4 2 5
Local market
data cuts26
TNS Copyright
Five key recommendations for 2009
• Focus on ‘winning in retail’– Consumers are more reliant than ever on retail channels to research the sector and make purchases– With industry marketing communication budgets under pressure in 2009, target consumers who are in the buying
process
• Tailor channel and point of sale strategies to the local market level– Drivers of purchase, research touchpoints and channels of purchase vary greatly, even within regions– Effective targeting of resources can deliver incremental benefit
• Capitalise on consumer demand for content sharing– Consumers are content hungry and find multiple ways of sharing music, images and video– Growth of alternate devices in emerging markets will put pressure on the role of the mobile phones as the primary
imaging, music and internet device for consumers– This presents real opportunities to differentiate for devices, services and software, but consumers are unwilling to incur
incremental revenue
• Target niche consumer needs– Niche brands continue to gain traction in crowded marketplaces, especially amongst the ‘involved’, higher margin
consumers– Features driving purchase continue to become more diverse
• Expand the consumer communications experience to dr ive differentiation– New opportunities exist in voice and messaging to provide new and better consumer experiences, with features like
mobile IM and email gaining market traction– Little ground has been made in moving social networking and Blogging experiences to the mobile phone
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TNS Copyright
Global Telecoms Insights 2009A world of mobile insightKarin Du ChenneMarch 2009Visit our website www.tnsresearchsurveys.co.zaOr www.tns-global.comOr contact me on 011 778-7780
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