Table of Contents
Scope and Themes
-
- What you need to know
- Data for this report
- Definition
- Abbreviations and terms
- Abbreviations
- Terms
Executive Summary
-
- The biggest gains in penetration are in lower-income and middle-aged subscribers
- Data revenues maintain ARPUs and lay the groundwork for future differentiation
- Data sales to drive industry as voice sales decline
- Verizon poised to overtake AT&T as service revenue leader
- Subscriber bases of major providers show similar demographic compositions but a definite skew
- Brand market tries to differentiate but speaks to the same audience
- Income, age, and race/ethnicity determine cell phone usage habits
- More customers happy than not
- Service providers face new challenges in shifting industry dynamics
Market Drivers
-
- Subscriber growth led by middle-aged and lower-income subscribers
-
- Figure 1: Growth of U.S. mobile subscribers, 2001-07
-
- Figure 2: Estimated share of new subscribers, by household income, 2005-07
-
- Figure 3: Estimated share of new subscribers, by age, 2005-07
- Figure 4: Estimated share of new subscribers, by race/ethnicity, 2005-07
- Voice revenues face commoditization
-
- Figure 5: U.S. mobile subscriber base and voice revenues per subscriber, 2002-07
- Data saves the day
-
- Figure 6: Mobile data revenues as a percentage of total service revenues for top service providers, 2006-07
- Figure 7: Usage of mobile data services, August 2007
- Low income subs drive prepaid
-
- Figure 8: Cell phone ownership and types of service plans, by household income, May 2006-Jun 2007
-
- Figure 9: Prepaid subscriptions and monthly churn rates at the Top Five mobile service providers, 2005-06
Market Size and Trends
-
-
- Figure 10: Total U.S. sales of mobile phone services, at current and constant prices, 2002-07
- Figure 11: Average revenue per mobile subscriber, by segment, 2002-07
-
Market Segmentation
-
- Overview
-
- Figure 12: Sales of mobile phone services, segmented by type, 2005 and 2007
- Mobile voice services
-
- Figure 13: Sales of mobile voice services, at current and constant prices, 2002-07
- Mobile data services
-
- Figure 14: Sales of mobile data services, at current and constant prices, 2002-07
Supply Structure
-
- Companies and brands
-
- Figure 15: Service revenues of mobile service providers in the U.S., 2004 and 2006
- Figure 16: Graph: Service revenues of mobile service providers in the U.S., 2006
- Subscriber statistics
-
- Figure 17: Subscriber statistics for major mobile service providers, 2006
- Surveyed subscriber shares
-
- Figure 18: Service providers subscribed to, by year, 2003, 2005, & 2007
- Subscriber shares by demographic
-
- Figure 19: Graph: Service provider subscriber indicator, by age, May 2006-June 2007
-
- Figure 20: Graph: Service provider subscriber indicator, by household income, May 2006-June 2007
- Figure 21: Graph: Service provider subscriber indicator, by race/ethnicity, May 2006-June 2007
-
- Figure 22: Graph: Service provider subscriber indicator, by geographic region, May 2006-June 2007
- Service provider profiles
- AT&T (Cingular)
- Unique offerings
- Verizon
- Unique offerings
- Sprint PCS (Nextel)
- Unique offerings
- T-Mobile (Deutsche Telekom)
- Unique offerings
- Alltel
- Unique offerings
- Mobile Virtual Network Operators (MVNOs)
Advertising and Promotion
-
- Overview
-
- Figure 23: Media expenditures of mobile service providers, 2004-06
- Cingular (AT&T)
-
- Figure 24: Xtreme Clip: AT&T Unity Plan (January 2007)
-
- Figure 25: Xtreme Clip: AT&T Unity Plan (September 2006)
- Verizon
-
- Figure 26: Xtreme Clip: Verizon Family Share Plan (April 2007)
-
- Figure 27: Xtreme Clip: Verizon In-Network (January 2007)
- Figure 28: Xtreme Clip: Verizon In-Network (July 2007)
- Sprint (Nextel)
-
- Figure 29: Xtreme Clip: Sprint (April 2007)
- Figure 30: Xtreme Clip: Sprint (July 2007)
- T-Mobile
-
- Figure 31: Xtreme Clip: T-Mobile myFaves (January 2007)
- Figure 32: Xtreme Clip: T-Mobile NBA stars (April 2007)
-
- Figure 33: Xtreme Clip: T-Mobile Jimmy’s HotSpot (June 2007)
- Figure 34: Xtreme Clip: T-Mobile Family Plan (July 2007)
-
- Figure 35: Xtreme Clip: T-Mobile Death March (December 2006)
- Alltel
-
- Figure 36: Xtreme Clip: Alltel Nerds (February 2007)
- Figure 37: Xtreme Clip: Alltel Family Choice (January 2007)
- Prepaid plans
-
- Figure 38: Media expenditures of prepaid mobile service brands, 2004-06
- Go Phone (AT&T/Cingular)
-
- Figure 39: Xtreme Clip: AT&T Go Phone (July 2007)
- Boost (Sprint)
-
- Figure 40: Xtreme Clip: Boost (October 2006)
- Virgin Mobile
-
- Figure 41: Xtreme Clip: Virgin Mobile (November 2006)
- Figure 42: Xtreme Clip: Virgin Mobile (July 2007)
- Net10 (Tracfone)
-
- Figure 43: Xtreme Clip: Net10 (May 2007)
Retail Distribution
-
- Introduction
- Carrier retail stores
-
- Figure 44: Media expenditures of retail stores owned by mobile service providers, 2004-06
- Electronics stores
-
- Figure 45: Top ten consumer electroincs retailers*, 2005-06
- Internet sales
- InPhonic (Wirefly.com)
Cell Phone Ownership and Types of Service Plans
-
- Summary of penetration and average spending
- Penetration
-
- Figure 46: Cell phone ownership, by year, 2001, 2003, 2005 & 2007
-
- Figure 47: Cell phone ownership and types of service plans, May 2006-June 2007
-
- Figure 48: Cell phone ownership and types of service plans, by age, May 2006-June 2007
-
- Figure 49: Cell phone ownership and types of service plans, by household income, May 2006-June 2007
-
- Figure 50: Cell phone ownership and types of service plans, by number of persons in the household, May 2006-June 2007
-
- Figure 51: Cell phone ownership and types of service plans, by age and marital status, May 2006-June 2007
- Average spend per month on cellular/wireless phone bill
-
- Figure 52: Average amount paid on last cellular/wireless phone bill, by age, May 2006-Jun 2007
-
- Figure 53: Average amount paid on last cellular/wireless phone bill, by household income, May 2006-Jun 2007
-
- Figure 54: Average amount paid on last cellular/wireless phone bill, by type of plan, May 2006-Jun 2007
Cell Phone Features Used
-
- Summary
- Availability and usage of features
-
- Figure 55: Usage of cell phone features, May 2006-Jun 2007
-
- Figure 56: Usage of cell phone features, by age, May 2006-June 2007
-
- Figure 57: Usage of cell phone features, by household income, May 2006-Jun 2007
-
- Figure 58: Usage of mobile data services, August 2007
-
- Figure 59: Average media offerings purchased, by age, August 2007
-
- Figure 60: Average media offerings purchased, by household income, August 2007
Reasons a Mobile Service is Chosen
-
- Summary
- How providers are selected
-
- Figure 61: Reasons a mobile service is chosen, August 2007
-
- Figure 62: Reasons a mobile service is chosen, by age, August 2007
-
- Figure 63: reasons a mobile service is chosen, by household income, August 2007
- Attitudes towards mobile voice plans and interest in switching
-
- Figure 64: Attitudes towards mobile voice plans and interest in switching, August 2007
-
- Figure 65: Reasons to switch services, August 2007
-
- Figure 66: Reasons to switch services, by age, August 2007
Attitudes Towards Mobile Service
-
- Summary
- Attitudes towards voice service
-
- Figure 67: Attitudes towards mobile voice services, August 2007
-
- Figure 68: Attitudes towards mobile voice services, by age, August 2007
- Attitudes towards data and media features
-
- Figure 69: Attitudes towards mobile data and media features, August 2007
-
- Figure 70: Attitudes towards mobile data and media features, by age, August 2007
-
- Figure 71: Attitudes towards mobile data and media features, by household income, August 2007
- Attitudes toward mobile GPS and other travel services
-
- Figure 72: Attitudes toward mobile GPS and other travel services, August 2007
-
- Figure 73: Attitudes towards mobile GPS and other travel services, by age, August 2007
Reasons Not to Have a Mobile Service Plan
-
- Summary
- Reasons for holding out
-
- Figure 74: Reasons not to have a mobile service plan, August 2007
-
- Figure 75: Reasons not to have a mobile service, by age, August 2007
-
- Figure 76: Reasons not to have a mobile service, by household income, August 2007
Penetration, Spend, Selection and Attitudes by Race/Ethnicity
-
- Summary
- Penetration and spend
-
- Figure 77: Cell phone ownership and types of service plans, by race/ethnicity, May 2006-June 2007
-
- Figure 78: Average amount paid on last cellular/wireless phone bill, by race/ethnicity, May 2006-Jun 2007
-
- Figure 79: Usage of cell phone features, by race/ethnicity, May 2006-Jun 2007
-
- Figure 80: Average media offerings purchased, by race/ethnicity, August 2007
- Selection of service provider
-
- Figure 81: reasons a mobile service is chosen, by race/ethnicity, August 2007
-
- Figure 82: Reasons to switch services, by race/ethnicity, August 2007
- Attitudes
-
- Figure 83: Attitudes towards mobile voice service, by race/ethnicity, August 2007
-
- Figure 84: Attitudes towards mobile data and media features, by race/ethnicity, August 2007
Future and Forecast
-
- Future trends
- Slowing subscriber growth will shift focus to retention and ARPU
- Retaining ARPU on an aging population
-
- Figure 85: Growth of the U.S. population, by age, 2002, 2007 & 2012
- Voice commoditization
- Customer service
- Media convergence
- Content differentiation
- GPS mobile services
- Mobile virtual network enablers (MVNEs)
- Handsets unlocked
- Internet-based mobile calls
- Wireless health risks
- Market forecast
- Mobile phone services
-
- Figure 86: Forecast of total U.S. sales of mobile phone services, at current and constant prices, 2007-12
- Mobile phone voice services
-
- Figure 87: Forecast of U.S. sales of mobile phone voice services, at current and constant prices, 2007-12
- Mobile phone data services
-
- Figure 88: Forecast of U.S. sales of mobile phone data services, at current and constant prices, 2007-12
- Forecast factors
Appendix: Trade Associations
Back to top