Smartphone Usage

Android Gobbles Smartphone Share from BlackBerry to Beat iPhone

SEPTEMBER  2011

Google's mobile operating system gains 13 points against competitors


By the end of this year, the iPhone will have lost its title as the No. 1 smartphone in the US, eMarketer estimates, with Google’s Android operating system surging ahead to first place.

Android will be installed on 37% of all smartphone handsets in the country by year-end, up 13 percentage points over 2010. Apple will likewise see its OS increase share, but only slightly: from 28% of the market last year to 29% this year. iOS will continue to inch upward in market share through 2013, but by that year Android will hold more than two-fifths of the US smartphone market.

The growth in Android usage comes mostly at the expense of Research In Motion’s BlackBerry, which eMarketer predicts will drop from 30% of the market in 2010 to just 15% in 2013. Shares for Microsoft’s and other competitors’ operating systems, including Nokia’s Symbian, will also dwindle over the forecast period.

“The battle for US smartphone market share continues to look like a two-horse race between Android and iOS,” said eMarketer Principal Analyst Noah Elkin. “Within two years, Google and Apple will control nearly three-quarters of this key segment, making it very difficult for contenders like Microsoft and RIM to achieve scale.”

US Smartphone User Share, by OS, 2010-2013 (% of total)

eMarketer bases its smartphone OS forecasts on a meta-analysis of survey data, traffic data, smartphone sales data, smartphone shipments, company reports and company news releases.

In terms of users, Android will more than double again this year after posting 496% growth in 2010. eMarketer estimates the number of Android users will rise from 33.4 million this year to 50.4 million in 2013. The iOS user population will also grow substantially, from 26.1 million this year to 38.4 million in 2013.

US Smartphone User Growth, by OS, 2010-2013 (% change)

Despite the large addressable audience of Android users, many marketers remain more interested in advertising on the iPhone.

One fact that has helped Google’s OS to grow in terms of usage—its availability on a range of devices from several manufacturers—may also be hurting it here, as device fragmentation makes marketing efforts more difficult. But Android’s hold on the smartphone market will only become harder to ignore.

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Android Surge Will Help Double
Smartphone Users by 2016

Global shipments of smartphones will reach 653 million by 2016, double the amount sold in 2010, according to a new forecast by the market research firm Ovum. The company believes that Google’s Android platform will be the driving force behind this upsurge that will see the smartphone device category experiencing a CAGR of 14.5 per cent between 2010 and 2016. During this period the Google OS will outstrip Apple’s iOS by taking a 38 per cent share of the smartphone market, compared to Apple’s 17.5 percent, according to Ovum.

“The smartphone market will see significant growth over the next five years, once again outperforming the wider mobile phone market,” said Ovum analyst Adam Leach in a press statement. “The success of the Android platform is being driven by the sheer number of hardware vendors supporting it at both the high and low ends of the market.”

According to Ovum’s latest forecast, the 17.5 per cent market share held by Apple’s iOS in 2016 will be just ahead of Microsoft’s Windows Phone 7 with 17.2 per cent, which in turn will be closely followed by the BlackBerry OS with 16.5 per cent. Hedging his bets, Leach added: “We expect at least one other platform to achieve mainstream success within the forecast period. This could be an existing player in the market such as Bada, WebOS or MeeGo, or it could be a new entrant to the market place.”

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Consumers Browse The Mobile Web in the Evenings and Morning

clock-android.gifInteresting information has recently been published which provides further proof that smartphones have become the first and last device that consumers look at in the day.

 

London-based mobile ad network Adfonic has released a study about the hourly click patterns of smartphone users, which can help advertisers target ‘temporally”.
 

By studying the hourly click patterns of smarthphone users on their network, Adfonic have shown that traffic starts to build from 6 pm, continues rising through the evening before peaking at midnight. There is a similar usage peak in the early morning.

Interestingly both these periods coincide with traditional dips in online traffic showing that mobile is, for brands, a clear opportunity as well as a good compliment to an online campaign.

“Analysis of our data shows that among iPhone, iPad and other smartphone traffic, there is a growth in ‘sofa’ and ‘bed’ surfing. Many seem to prefer their smartphone - to engage with social media or to download apps for example - to a good book when they go to bed,” says Paul Childs, chief marketing officer at Adfonic.

images.jpegThe study also found that consumer use of their smartphone varied during these two periods; with most connecting via Wi-fi in the evenings resulting in a higher level of app downloads. This is opposed to the morning peak which involved much more 3G connection and less app downloads suggesting that consumers where on the move.

“As people switch off from TV advertising and spend less of the evening in front of a PC, smartphone and tablet devices are becoming the mediums of choice for spontaneous internet access. They also open up exciting new opportunities to cross-link TV and online campaigns with mobile devices and content.” said Childs.

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Mobile Shopping On The Rise Says PayPal Data

paypal-mobile.jpgOnline and Mobile payments specialist PayPal has released results for this year’s Black Friday which show a stong rise in both online and mobile sales.

 

In the US, “Black Friday” is the day after Thanksgiving and is traditionally the biggest shopping day of the year.

PayPal saw an increase of 27% in total payment volume this year compared to last year and a 310% increase in mobile shopping.

“With the convenience of shopping from a laptop or mobile phone, more people are choosing to avoid the long lines, parking chaos and early morning rush in exchange for great online deals available from the comfort of their homes.” said Amanda Pires, senior director at PayPal.

Other interesting results from Black Friday included:

  • PayPal found that the official holiday shopping season began on Monday, November 15, 2010
  • On Black Friday 2010, consumers shopped most frequently between 9:00 a.m. and 10:00 a.m. PST
  • PayPal saw 19 percent more payment volume on Black Friday 2010 compared to an average Friday in 2010
  • PayPal processes 16.5 percent of U.S. eCommerce and 15 percent of global eCommerce

The view that mobile represents an increasingly important part of commerce was also backed up in an IBM CoreMetrics report. This report indicated that mobile devices were heavily used for overall online shopping, with 5.6 percent of shoppers logging in using a handheld devices. This was up 26 percent compared to the Friday the week before.

In addition, mobile users were responsible for 3.2% of overall sales, which is up 42% on 2009.

 

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Who Relies Most on Smartphones for Shopping?

DECEMBER 23, 2010

Women, young people and ethnic minorities will do most mobile shopping


Mobile phone users will be taking advantage of their devices en masse this holiday season to aid the multichannel shopping experience, building up their mobile shopping habit for the year to come. According to Google, 78% of smartphone users are at least somewhat likely to download or use a mobile app for holiday shopping, with price comparison the biggest draw.

A survey by mobile marketing agency Briabe Media of mobile users in the MocoSpace mobile social networking audience found that a similar 76% of respondents considered their phone at least somewhat important for their holiday shopping this year.

Women placed a greater weight on using their phone for holiday shopping, with more than a third saying it was very important, compared with 28% of men.

Importance of Their Mobile Phone to Holiday Shopping This Season According to US Mobile Internet Users, by Gender, Dec 2010 (% of respondents)

Mobile shopping habits also split across racial and ethnic lines. Asian, black and Hispanic respondents were all at least 12 percentage points more likely than whites to place any importance on their phone for shopping. The differences were even more dramatic among respondents who classified their phone as very important: 40% of black respondents said so, compared with just 24% of whites.

US Mobile Internet Users Who Say that Their Mobile Phone Is Important to Holiday Shopping This Season, by Race/Ethnicity, Dec 2010 (% of respondents)

Age had a smaller effect on results, with teenagers predictably more interested in mobile shopping. But with 79% of teens saying their phone was at least somewhat important, they were not too far ahead of adults over 30, 74% of whom said the same.

The top use of mobile phones was for product or pricing information before the shopper entered a store (62%); fewer respondents did comparison shopping on their phone while they were in a retail outlet (46%).