M:Metrics: iPhone Hype Holds Up

85 percent of iPhone users browse the mobile Web; iPhone is top device for news and information accessed on mobile browser

SEATTLE and LONDON — March 18, 2008 — Six months after the iPhone’s U.S. launch, has the device changed the mobile landscape? According to M:Metrics, the mobile media authority, the answer is yes. Today, the measurement firm reports that the iPhone is already the most popular device for accessing news and information on the mobile Web, with 85 percent of iPhone users accessing news and information in the month of January.

“The iPhone has certainly delivered on its hype,” said Mark Donovan, senior analyst, M:Metrics. “Beyond a doubt, this device is compelling consumers to interact with the mobile Web, delivering off-the-charts usage from everything to text messaging to mobile video.”

M:Metrics found that a staggering 30.9 percent of iPhone owners watched mobile TV or video, versus a 4.6 market average, and more than double the rate for all smartphone users. Usage of social networking is also popular among iPhone users: 49.7 percent accessed a social networking site in January, nearly twelve times the market average. Twenty percent of iPhone owners accessed Facebook, one of the first Web properties to customize its content for the iPhone, versus 1.5 percent of the total mobile market.

“This data indicates that the iPhone’s widgets are and effective means to drive mobile content consumption,” observed Donovan. “Two featured widgets, YouTube and Google Maps are extremely popular among iPhone users: 30.4 percent accessed YouTube and 36 percent used Google Maps. In comparison, only one percent of all mobile subscribers accessed YouTube and 2.6 percent checked out Google Maps.”

Mobile Content Consumption: iPhone, Smartphone and Total Market: January 2008

Activity

iPhone

Smartphone*

Market

Any news or info via browser

84.8%

58.2%

13.1%

Accessed web search

58.6%

37.0%

6.1%

Watched mobile TV and/or video

30.9%

14.2%

4.6%

Watched on-demand video or TV programming

20.9%

7.0%

1.4%

Accessed Social Networking Site or Blog

49.7%

19.4%

4.2%

Listened to music on mobile phone

74.1%

27.9%

6.7%

Source: M:Metrics, Inc., Copyright © 2008. Survey of U.S. mobile subscribers. Data based on three-month moving average for period ending 31st January 2008, n = 31,389.

*Smartphones include devices running Windows, Symbian, RIM or Apple operating systems.

M:Metrics is also the first to report use of the music playing capability of the iPhone, with 74.1 percent of iPhone owners listening to mobile music in January, compared to 6.7 percent of the total mobile audience. Eighty four percent of iPhone owners who use an MP3 player use an iPod.

M:Metrics revealed the demographic composition of iPhone users, which are similar to the demographics of other smartphone owners. They are more likely to be: male, aged 25-34, earn more that $100,000 and have a college degree, than the average mobile subscriber.

“While the demographics of iPhone users are very similar to all smartphone owners, the iPhone is outpacing other smartphones in driving mobile content consumption by a significant margin,” said Donovan. “In addition to the attributes of the device itself, another important factor to consider is the fact that all iPhones on AT&T are attached to an unlimited data plan. Our data shows that once the fear of surprise data charges is eliminated, mobile content consumption increases dramatically, regardless of device.”

M:Metrics applies trusted media measurement methodologies to assess the audience for mobile content and applications. As the world’s most authoritative mobile media measurement firm, M:Metrics delivers the most accurate mobile market metrics through the world’s largest monthly survey of mobile subscribers as well as automated data collection methodologies. Below are the findings of its January Benchmark Survey.

Mobile Subscriber MonthlyConsumption of Content and Applications
M:Metrics Benchmark Survey: January 2008

US

EU

FR

DE

IT

ES

UK

Total mobile subscribers (13+)

219m

220.5m

45.5m

48.5m

46.5m

33.5m

46.5m

Watched video

4.6%

5.5%

5.3%

2.8%

6.7%

8.1%

5.6%

Listened to music

6.7%

16.9%

14.7%

15.9%

13.9%

21.1%

19.9%

Accessed news/info via browser

13.1%

9.4%

9.5%

5.5%

7.9%

7.5%

16.5%

Received SMS ads

19.2%

50.6%

64.7%

31.1%

56.0%

73.1%

35.4%

Played downloaded game

9.0%

8.4%

4.1%

7.5%

9.0%

12.3%

10.4%

Accessed downloaded application

4.7%

2.7%

1.4%

2.3%

4.0%

2.4%

3.4%

Sent/received photos or videos

21.9%

28.4%

25.5%

22.1%

33.2%

31.7%

30.6%

Purchased ringtones

9.5%

4.1%

4.3%

3.8%

4.9%

3.9%

3.6%

Used email

12.1%

8.4%

6.3%

6.9%

10.6%

9.1%

9.4%

Accessed social networking sites

4.2%

2.6%

2.2%

1.1%

2.3%

2.5%

4.7%

Source: M:Metrics, Inc., Copyright © 2008. Survey of mobile subscribers. Data based on three-month moving average for period ending 30th January 2007, mobile subscribers in France, n = 12,783 Germany, n = 15,585; Italy, n = 13,059; Spain, n = 12,720; United Kingdom, n = 15,259; United States, n = 32,262; the cities of Beijing, Shanghai, Guangzhou, Shenyang, Chengdu, Wuhan and Xi'an for the three-month average ending China n = 5,163

About M:Metrics
M:Metrics is the mobile media authority. As the only research firm to measure the audience for mobile media, M:Metrics provides the most accurate metrics on actual mobile content consumption by applying trusted media measurement methodologies to the mobile market. M:Metrics’ monthly syndicated data service gives clients the critical insights and intelligence required to inform smart business strategies and the competitive benchmarks needed to evaluate the performance of competitors and partners. M:Metrics is a private, venture-funded corporation headquartered in Seattle, with offices in San Francisco and London.

About M:Metrics Data
Based on continually refreshed samples of nationally representative mobile phone consumers, M:Metrics reports summarise market size, device reach, and key demographic and mobile phone usage characteristics. The data presented here is drawn from an extensive survey questionnaire that collects specific device model and carrier subscription information from each month’s sample of mobile phone subscribers, and also drills down into specific details related to current and past usage of various mobile phone applications and content. Data collected from each sample are statistically balanced and projected to the total national population of mobile phone subscribers.

Authorized Uses
Members of the press may cite research data or a portion of text provided that each is sourced to M:Metrics, for example, "Source: M:Metrics, Inc." or “According to M:Metrics, . . .”. Copies of graphs, data tables or slides must include the following copyright notice affixed to all material: "Copyright © 2008, M:Metrics, Inc.”

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