
The NPD Group, which uses monthly survey results from over 150,000 consumers, has released some interesting numbers. They say that 31% of all mobile phones purchased in the United States during Q409 were smartphones, compare that to only 23% in Q408. Two out of every three of those smartphones cost consumers $150 or less, compared to one out of two smartphones purchased in Q408. Do the increased volumes make up for the increased penetration of cheaper smartphones? According to NPD, not really. They say that smartphone revenues rose only 21 year on year, compared to 37% the year prior.
“Although we are seeing more expensive models among the best-selling handsets, carriers are now offering some popular smartphones for less than $100,” said Ross Rubin, executive director of industry analysis for NPD. “As the average price of these highly capable devices continues to fall, the price of data plans and ease of use will emerge as more significant factors to limiting consumer sales growth.”
Shameless plug here, one of my predictions for 2010 was “one in three people will end up owning a smartphone by the end of next year, but sadly the smartphones of 2010 will be nothing more than the smartphones of 2009, except in different packaging with different colour plastic.” As we saw with the HTC Legend, and as we’re going to see as the year progresses, phone manufactures are pushing the industry into two categories: cheap, and premium smartphones.
Sure, 7 out of 10 Americans bought phones that can’t do anything more than talk and text, but those are Q409 numbers, how much you want to bet that figure drops down to 5 out of 10, or even 4 out of 10, still buying the lowest of the low end in Q410?
[Via: PR Web]
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LOUISE MASDEA
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