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Nokia releases mobile content studyBy Jørgen Sundgot, Thursday 29 April 2004
Pitching its content delivery solution, Nokia releases a study conducted by NOP World which finds 'out and about' consumers will pay more for mobile content.

According to an announcement released by Nokia today, a global market study conducted for Nokia shows that mobile content services hold promising revenue potential, with study respondents willing to pay for such services 28% more than they pay for their current services today.

The study, undertaken by research firm NOP World in nine countries in North America, Europe and Asia, sought to answer what kind of mobile content people prefer, how they would like it delivered (download, streaming or browsing), and how much they would pay for it. According to Nokia, the main body of the study is based on interviews with people who are mobile phone users and have access to the Internet.

Main findings of the study indicate consumers have a preference for entertainment content and information that is considered useful whilst "out and about". Overall, enhanced content services seem to generate high interest and when fully available could even lead consumers to reduce their usage of newspapers, TV and the Internet.

The survey also found that while consumers would spend significantly more for new mobile content services, service providers will need to do more to explain the options available and differentiate services to serve all age groups. The study also points out younger consumers as particularly attractive due to their willingness to pay an extra EUR 10 monthly, an amount that decreases significantly with the age of the respondents.

In contrast to age, sex is less important. Between men and women, the survey found, there are no large differences in the willingness to spend more for mobile services.

Current mobile content usage is dominated by downloading ringtones (used by 40% of the respondents), followed by icons/screen-savers (22%). However, current mobile content services are perceived as being too expensive. For example, 48% of those respondents who have never used any content service rank cheaper services as the prime factor that would entice them to use content services.

The study also shows how technical and attitudinal issues will be barriers unless properly addressed by improved service design, marketing and support. These issues vary by age group. For example, older consumers need greater education and hand-holding, while younger users have different expectations about ease due to their greater experience using the Internet.

The Finnish manufacturer rounded off its announcement pointing to its own content delivery solution for multimedia traffic and variable charging, as well as its IP Multimedia Subsystem, as tools to aid service operators in reaching consumers of all ages.
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