market outlook for tablets - ctia - march 22, 2011 - dr. phil hendrix, immr
DESCRIPTION
Summary of primary market research on Tablet market in U.S. conducted by immr in March 2011. Full report available early April.TRANSCRIPT
The Future of Tablets Conference – CTIA – Orlando – March 22, 2011
Dr. Phil Hendrix
Market Outlook for Tablets
Findings from immr Tablet Study - Wave 2
March 22, 2011
Dr. Phil Hendrix, immr/GigaOm Pro
The Future of Tablets Conference – CTIA – Orlando – March 22, 2011
Dr. Phil Hendrix
Topics
Awareness and Familiarity
Interest in Purchasing Tablets
Price Sensitivity
OS and App Store Preferences
Tablet Choice Model – Selected Findings
The Future of Tablets Conference – CTIA – Orlando – March 22, 2011
Dr. Phil Hendrix
Awareness, Familiarity Growing Rapidly
Familiarity with Tablets
n=814 Source: Dr. Phil Hendrix, immr Tablet Study, March 2011
38%
35% 26%
NotFamiliar
VeryFamiliar
SomewhatFamiliar
2 out of 3
The Future of Tablets Conference – CTIA – Orlando – March 22, 2011
Dr. Phil Hendrix
Smartphone HHs Feature Phone HHs0%
10%
20%
30%
40%
50%
60%
70%
80%
40%
15%
40%
37%
Very Familiar/Own Somewhat familiar
Smart Phone HHs Especially Tuned In
Familiarity with Tablets x Mobile Phone Owned
n=814 Source: Dr. Phil Hendrix, immr Tablet Study, March 2011
2.6x80%
The Future of Tablets Conference – CTIA – Orlando – March 22, 2011
Dr. Phil Hendrix
What’s Driving Familiarity?
Tablet Newness, Interest, Exposure, Experience
n=1,014 Source: Dr. Phil Hendrix, immr Tablet Study, March 2011
Percent Experiencing
in last 30 days
The Future of Tablets Conference – CTIA – Orlando – March 22, 2011
Dr. Phil Hendrix
Significant Interest in Purchasing a Tablet
Percent Rating “Very/Extremely Interested in Purchasing”
n=814 Source: Dr. Phil Hendrix, immr Tablet Study, March 2011
For Child in HH
For Spouse
For Self
For Anyone in HH
0% 5% 10% 15% 20% 25% 30% 35% 40% 45%
18%
25%
33%
39% 4 in 10
1 in 5
1 in 4
1 in 3
For anyone in HH
The Future of Tablets Conference – CTIA – Orlando – March 22, 2011
Dr. Phil Hendrix
Consumers’ Price ExpectationsCeiling and Expected Prices for Tablets
(Among those interested in purchasing a Tablet)
n=324 Source: Dr. Phil Hendrix, immr Tablet Study, March 2011
The Future of Tablets Conference – CTIA – Orlando – March 22, 2011
Dr. Phil Hendrix
Consumers’ Price Expectations“Sweet Spot” for Tablet Pricing(Among those interested in purchasing a Tablet)
n=324 Source: Dr. Phil Hendrix, immr Tablet Study, March 2011
The Future of Tablets Conference – CTIA – Orlando – March 22, 2011
Dr. Phil Hendrix
Who’s Winning the OS + App Store Battle?
Ratings of OS + App Stores for Tablets
n=814 (All Respondents – Wave 2) Source: Dr. Phil Hendrix, immr Tablet Study, March 2011
The Future of Tablets Conference – CTIA – Orlando – March 22, 2011
Dr. Phil Hendrix
Profile of Tablet Prospects… Some Markers
n=814 (All Respondents – Wave 2) Source: Dr. Phil Hendrix, immr Tablet Study, March 2011
Characteristics
Technology Adoption
Familiarity
Purchase Paid Apps
Smart Phone
Use: Personal/Business
HH Composition
Age
Income
Internet Use
Marital Status
The Future of Tablets Conference – CTIA – Orlando – March 22, 2011
Dr. Phil Hendrix
Most Likely
Average
Least Likely
The Future of Tablets Conference – CTIA – Orlando – March 22, 2011
Dr. Phil Hendrix
Finding Success in the Tablet Market
Insights from the Choice Model
Choice Modeling Questions Answered
Respondents shown series of Tablets
Tablet features and prices varied according to an experimental design
Respondents indicate likelihood of choosing
Statistical modeling used to estimate impact of features, brands, pricing
Effects incorporated into simulator, using to do “what if” analyses
Demand and Market Share
Market share x Brand
Share x Model (size; Wi-Fi/3G; etc.)
Feature value/impact
Price elasticity
Impact of Operator Subsidy
Modeling competitive scenarios
The Future of Tablets Conference – CTIA – Orlando – March 22, 2011
Dr. Phil Hendrix
Features Examined in the Choice Model
Brand
OS + App Store
Tablet Size
Tablet Weight
Display Quality
Wi-Fi/3G
RAM, Storage, Battery Life
GPS, Cameras
Cellular calling capable
Price and Operator Subsidy
18 Brands
7” and 10” models
Prices – $99 - $799
Subsidies: 0% - 60%
10k+ combinations
The Future of Tablets Conference – CTIA – Orlando – March 22, 2011
Dr. Phil Hendrix
Examples – Tablets Shown in Choice Task
The Future of Tablets Conference – CTIA – Orlando – March 22, 2011
Dr. Phil Hendrix
Scenario A: 3 Models + iPad, Wi-Fi and 3G@0%
n=814 (All Respondents – Wave 2) Source: Dr. Phil Hendrix, immr Tablet Study, March 2011 – Choice Model Scenario
3G vs. Wi-Fi
3G 28%
Wi-Fi 38%
By Brand
ipad 22%
Premium 10%
Mid- 20%
Low- 14%
The Future of Tablets Conference – CTIA – Orlando – March 22, 2011
Dr. Phil Hendrix
Scenario B: 3 Models + iPad, Wi-Fi and 3G@40%
n=814 (All Respondents – Wave 2) Source: Dr. Phil Hendrix, immr Tablet Study, March 2011 – Choice Model Scenario
3G vs. Wi-Fi
3G 37%
Wi-Fi 33%
By Brand
ipad 20%
Premium 14%
Mid- 22%
Low- 14%
The Future of Tablets Conference – CTIA – Orlando – March 22, 2011
Dr. Phil Hendrix
Feature Impact among Interested Tablet Buyers
n=814 (All Respondents – Wave 2) Source: Dr. Phil Hendrix, immr Tablet Study, March 2011 – Choice Model Scenario
The Future of Tablets Conference – CTIA – Orlando – March 22, 2011
Dr. Phil Hendrix
Thank You!
A full copy of the Tablet research report will be published early April.
For more info contact Dr. Hendrix.
pehendrix
www.immr.org
+1 (770) 612-1488
phil_hendrix
The Future of Tablets Conference – CTIA – Orlando – March 22, 2011
Dr. Phil Hendrix
Dr. Phil Hendrix
Dr. Phil Hendrix is the founder and director of immr, a research and consulting firm focused on “very new” product and market opportunities, and an analyst with GigaOm Pro. He specializes in helping organizations identify, verify, and capitalize on opportunities for products that are new-to-customers and very often new-to-market. Dr. Hendrix has developed perspectives and research-based tools to uncover customers’ unmet needs, reveal hurdles slowing adoption, trigger interest and accelerate purchase, and determine features and pricing to maximize market penetration. He has extensive experience adapting and applying research approaches, both qualitative and quantitative, to amplify weak market signals and help clients innovate successfully.
Phil has led significant engagements with numerous startups (such as Company.com) and multiple business units of Fortune 100 clients in telecommunications (AT&T, Verizon, Sprint, Sony Ericsson, and others), financial services (American Express), transportation (UPS), insurance (Allstate, United Healthcare), healthcare (Meridian Health, US Oncology), and others. He has worked closely with senior management and client project teams on issues ranging from “traditional marketing” (segmentation, positioning, branding) to innovation, user experience, and customer retention. Over the course of his career, Phil has helped clients conceive and successfully launch dozens of new products, businesses, and brands. He has extensive experience in B2C and B2B (SMB) markets. He is also a frequent speaker at industry and academic conferences.
Phil brings a unique combination of academic rigor, strategic perspective, and hands-on experience to his work. Before founding immr, Phil was a partner with DiamondCluster (strategy and technology consultancy), founder and head of IMS (Integrated Measurement Systems), and a principal with Mercer Management Consulting. He has held faculty and research positions at Emory University and the University of Michigan, where he taught courses in research design and analysis, buyer behavior, and marketing strategy, and the Survey Research Center at U. of Michigan. After receiving his PhD in marketing from the University of Michigan, Dr. Hendrix completed post-doctoral studies in applied statistics and mathematical psychology.
Overview and excerpts from Phil’s recent publications are available at Slideshare (www.slideshare/pehendrix), with additional information available at www.immr.org and GigaOm Pro.