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Who wants to pay for content?
Posted on 29-Apr-2004 23:19 | Filed under: News

Nokia commissions a study to try and find out if consumers are willing to pay for mobile content. Perhaps to show to operators and push the market another notch?

The results of this study, undertaken by NOP World, says that study respondents are willing to pay for such services 28% more than they pay for their current services today.

The 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 study conducted by NOP World specifically looked to measure the preferences for mobile content type, quantify the preferences for content delivery within each content type, and determine the amount consumers would be willing to pay for enhanced mobile content services. A wider range of mobile content areas were explored including cinema (listings, clips and reviews), music (chart listings, concert guide, music listening or watching), news and weather, sport (results, clips, live viewing); gaming, and entertainment (where to eat, travel times, TV listings, celebrity gossip, TV viewing). Qualitative research was done in eight countries, including USA, UK, Germany, France, Denmark, Estonia, South Korea, Greece) through interviews with mobile content and Internet users.

In particular, younger consumers are willing 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.

The same is true when it comes to overall interest in mobile content service. The survey indicates that men and women are equally interested in mobile content - except sport content, where 52% of men are interested compared to 29% for women. Again, younger respondents to the survey were significantly keener than were older groups.

In general, the preferred delivery method seems to be browsing, rather than downloading or streaming, but this depends on the content being accessed. Downloading is of value for gaming and music while streaming and browsing are seen as best suited where information is updated frequently. When accessing local news, there is a high preference for streaming or downloading. Perhaps surprisingly, delivery mechanisms do not drive the amount of money consumers are willing to pay - the content type itself is the driver.

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.


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