The Push Towards Hand-Held: Reality or Myth? Joe Bates Vice President
Official Custom Market Research Provider of CEA www.eBrain.com 1
eBrain Market Research
eBrain is a full service market research company providing primary custom research services to the Consumer Electronics industry •
eBrain conducts qualitative, quantitative, and online research on behalf of individual CE companies •
Founded in 1998 from the Market Research department of CEA
Specializing in branding, product development & concept testing, customer satisfaction and retention, segmentation, pricing, and global research
Contact us: • •
Joe Bates, VP,
[email protected], 703.757.5213 ext. 14 Visit us at www.eBrain.com to learn more Official Custom Market Research Provider of CEA www.eBrain.com 2
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Video Consumption Patterns
Rising Consumption
Video Consumption
2006 vs. 2005
2007 vs. 2006
Watched Less
12%
7%
Watching More
38%
24%
Net Effect
+26%
+17%
Source: CEA, Video Content Consumption and The Rise of PC Video, March 2007
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Viewing Locale Location Home Friends/Families Home Movie Theater Work In Car Public Transportation School At the Gym Walking Around Other Total
Percent of Users 97% 31% 30% 12% 9% 8% 4% 4% 3% 1% 199%
Percent of Time 75% 8% 6% 4% 2% 2% 1% 1% 1% 0% 100%
Source: CEA, Video Content Consumption and The Rise of PC Video, March 2007
Types of Content Viewed
Source: CEA, Video Content Consumption and The Rise of PC Video, March 2007
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Portable Device Usage
Ownership of Portable Ent. Devices Wireless Phone Notebook PC Portable CD Player MP3 Player Portable DVD Player Portable Gaming Device
54.1 Million Online Adults
PDA Digital Media Player Source: CEA, The Future of Portable Entertainment Devices, May 2006
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Sources of Digital Content Among Portable Entertainment Device Owners
Personal Home Collection of Audio And Video Content Online Store
Subscription Service
Other Sources
Source: CEA, The Future of Portable Entertainment Devices, May 2006
How Are they Used? Listen to Music Listen to Other Content Listen to Podcasts View Digital Photos Watch Movies Listen to Audio Books Watch Music Videos Play Games Watch TV Programming Watch Home Movies Source: CEA, The Future of Portable Entertainment Devices, May 2006
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Where Are They Used? Portable Digital Media Devices At Home In a Vehicle Vacation Location At the Gym At Work On Public Transport Family/Friend’s Home Business Trip At School Source: CEA, The Future of Portable Entertainment Devices, May 2006
The Future of Mobile Video
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The Shift to New Devices
Overall
Broadband Users
18-24 Year Olds
Early Adopters
Traditional
51%
48%
44%
41%
New Sources
34%
37%
37%
42%
Other
14%
15%
18%
17%
Device Used for Video
Represents the percentage of total video consumption occurring on the type of device mentioned.
• •
Traditional Source: TV, VHS, DVD New Sources: PC, DVR, Cell Phone, Laptops
Source: CEA, Video Content Consumption and The Rise of PC Video, March 2007
Shifts in Activity Interests w/ PED % Point Difference Between Activity’s Current Use and Future Interest
Watch TV Programming Watch Movies Listen to Audio Books Watch Music Videos Watch Home Movies View Digital Photos Listen to Other Content Play Games Listen to Podcasts Listen to Music Source: CEA, The Future of Portable Entertainment Devices, May 2006
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Purchase Intent: Portable Ent. Devices % of Online Adults Planning to Buy Wireless Phone
Notebook PC
Portable DVD Player
MP3 Player
Digital Media Player Source: CEA, The Future of Portable Entertainment Devices, May 2006
Forecast for PMD Sales Wireless Phones
Notebook PCs
143.8 million units in 2008 ~75% are video capable
Portable Media / MP3 Players
Portable DVD Players
48.5 million units in 2008 75% are video capable
14.6 million units in 2008 100% are video capable
5.7 million units in 2008 100% are video capable
Source: CEA, U.S. CE Sales and Forecast, January 2008
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Planned Spending on Portable Digital Media Devices Online Adults Buying In Next 12 Months
Mean Spending = $432
$100 Or Less
$101 to $200
$201 to $300
$301 to $500
$501 to $750
$751 Or More
Not Sure
Source: CEA, The Future of Portable Entertainment Devices, May 2006
Spending on Entertainment Content Segment Size and Dollar Share By Segment Medium Spenders $1.2 Billion
Total Estimated Spending In 2007 = $2.65 Billion
42%
31%
$150 Million Small Spenders
27%
Big Spenders $1.3 Billion
Source: CEA, The Future of Portable Entertainment Devices, May 2006
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Content Subscription Services Index Among Interested Digital Media Device Owners
100 = Average Interest Level
45% Interested
Music
30% Interested
Movies
24% Interested TV Programs
17% Interested Games
Source: CEA, The Future of Portable Entertainment Devices, May 2006
To Sum It Up…
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To Sum It Up…
Video content consumption is increasing
Increase is seen online and on-the-go via downloads
Portable entertainment devices are growing in popularity and usage
Significant market exists for subscription services to mobile content
Still unclear is consumers’ desires for OTA reception on PMD. Official Custom Market Research Provider of CEA www.eBrain.com 21
Questions? Joe Bates:
[email protected] 703.757.5213 ext. 14 Visit us at www.eBrain.com to learn more
Official Custom Market Research Provider of CEA www.eBrain.com 22
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