Cable / Telecom News

2010 signals end of recession for mobile market, study finds


NEW YORK – The mobile market is poised for growth this year.  55% of Canadians say that they plan to buy a mobile phone in the next six months, up from just 19% this time last year, an annual study conducted by research company TNS has found.

The Global Telecoms and Insight Study, comprised of over 24,000 consumers in 35 markets, found that touch screen phones are set to be the big winners, with 28% of Canadian consumers looking to buy one as their next phone.  Mobiles with Qwerty keyboards are also rising in popularity, with 19% of Canadian respondents planning to purchase one as their next device.

"Increased consumer confidence, pent-up demand and a raft of new smart phones have created conditions akin to a ‘perfect storm’ for 2010, and the industry stands to make out handsomely”, said TNS senior vice president Tom Buehrer, in the press release highlighting the report. “Purchase intent is at unprecedented levels and has risen dramatically since last year, which presents the industry with an opportunity to drive handset sales and simultaneously build incremental revenue through content and data plans."

Another mobile device that stands to do well in 2010 is the Netbook, the study found. Despite current penetration levels being relatively low, 20% of Canadians say they are likely to buy one in the next six months, compared to 22% for larger Notebooks and only 5% for desktop PC’s.

But while these trends point towards an upturn in the sector, there are a few forces at work which could restrict the potential for growth unless properly dealt with. TNS says that consumers are faced with a plethora of new devices, and find it hard to distinguish one from the other. Also, 29% of consumers highlight ease of use problems as preventing them from using some of the new mobile services offered.

www.tnsglobal.com