survey results concerning mobile

Given the critical role cell phones played in the tragic events of September 11, it's not surprising that anecdotal evidence from retailers points to a boom in the U.S. mobile phone market. The industry is likely to experience even greater growth through the first quarter of 2002, as consumers, fearful for their safety, begin to think of cell phones not as luxury items but as necessities, predicts Mintel, a research publisher based in London. To sustain continued growth, however, the report advises wireless service providers need to gain a better understanding of the purchase motivations and demographics of non-subscribers, and educate all consumers about new services.

In the report, "The U.S. Mobile Phones Market," Mintel analysts look at trends and drivers for future industry growth. The report is based on interviews with industry players, and includes statistics culled from various government and business sources, as well as Mintel's own exclusive, nationally representative telephone survey of 1,008 adult Americans conducted in June by International Communications Research (ICR). While the report was initially released in August 2001, additional analysis was conducted to reflect the impact of September 11 on the industry.

Although cell phone penetration in the U.S. seems ubiquitous, just over half of adults today (53 percent) own or use a wireless phone. Not surprisingly, the bulk of cell phone users are wealthy (80 percent have incomes of $75,000 or more) and young (63 percent of 25- to 34-year-olds own a cell phone). With such high penetration among these early adopters, future growth lies in tapping new demographics, say Mintel analysts. For instance, a full 70 percent of Americans with incomes under $25,000 do not own a wireless phone. And now that the cell phone's image has shifted from a toy for the wealthy to a practical tool for everyone, lower-income consumers may be enticed to buy - for the right price.