Portable Media Devices - US - December 2007

Table of Contents

• Scope and Themes
• What you need to know
• Definition
• Data for this report
• Abbreviations and terms
• Abbreviations
• Terms
• Executive Summary
• The facts
• 25-34 year olds key to the market
• Convergence is key particularly amongst younger consumers
• Single parents, young minority men and portable video games
• Cell phones approach ubiquity and picture taking is number one feature
• Younger consumers like to use more phone applications
• MP3 player ownership
• iPod is still the product to beat
• No surprise, video games are a hit amongst children and teens
• Teenage cell phone and MP3 ownership
• GPS capabilities provide potential for growth
• Cell phone subscription services
• Use of PMDs to play content on other media systems is significant
• Managing music collections
• Forecast
• Recommendations for market development
• Market Overview
• Demographic Factors
• Age
  • Figure 1: Population aged 18 or older, 2002, 2007 and 2012
• Race and ethnicity
  • Figure 2: Population by race and Hispanic origin, 2002, 2007 and 2012
• Household income
  • Figure 3: Distribution of households, by household income, 2003 and 2006
  • Figure 4: Median household income, 1996-2006
• Other factors
• Function seep
  • Figure 5: Cell phone and portable media player features and functions
• Locked and unlocked content-hardware systems
• Product Review
• Smartphones
• iPhone
• Blackberry
• Palm Treo
• A/V players
• Apple iPod
• Toshiba Gigabeat
• Microsoft Zune
• Creative Zen
• Archos
• Handheld video game consoles
• Nintendo DS and DS Lite
• Nintendo Game Boy Micro and Game Boy Advance SP
• Sony PSP
• Advertising and Promotion
• Introduction
  • Figure 6: Advertising expenditures for selected portable media device brands, 2005-06
• A/V players
• Microsoft Zune
  • Figure 7: Microsoft Zune advertisement
• Apple iPod
  • Figure 8: Apple iPod Brazilian themed advertisement
  • Figure 9: Apple iPod Paul McCartney advertisement
• Handsets
• Apple iPhone
  • Figure 10: Apple iPhone demonstration advertisement
  • Figure 11: Apple iPhone YouTube advertisement
• Motorola
  • Figure 12: Motorola Motorizr advertisement
  • Figure 13: Motorola Q futuristic advertisement
  • Figure 14: Motorola Q futuristic (longer version) advertisement
• Nokia
  • Figure 15: Nokia Corporate advertisement
• Samsung
  • Figure 16: Samsung Electronic Slim Slider advertisement
• Sony Ericsson
  • Figure 17: Sony Ericsson advertisement
• T-Mobile Sidekick
  • Figure 18: T-Mobile Sidekick "Your friends, all in one place" advertisement
  • Figure 19: T-Mobile Sidekick The Duel advertisement
• Cell Phone services
• Amp' d Mobile
  • Figure 20: Amp' d Mobile "pay as you go" advertisement
  • Figure 21: Amp' d Mobile digital animation advertisement
• Boost
  • Figure 22: Boost pre-paid "I know where you' re at" advertisement
  • Figure 23: Boost premium pre-paid "the girl with the bionic butt-cheeks" advertisement
• Handheld game players
• Nintendo DS
  • Figure 24: Nintendo DS advertisement
• Sony PSP
  • Figure 25: Sony PSP advertisement
• Ownership overview, plans and attitudes
• Ownership and plans to purchase handhelds
  • Figure 26: Phone/digital media player ownership and plans to purchase, August 2007
• Results by age
  • Figure 27: Phone/digital media player ownership, by age, August 2007
• Attitudes towards convergence
  • Figure 28: Phone/digital media player attitudes concerning convergence, August 2007
  • Figure 29: Phone/digital media player attitudes concerning convergence, by age, August 2007
• Convergence lags in the portable gaming segment
• Introduction
  • Figure 30: Cohorts that are important to the portable gaming market
• Ownership and playing video games, by age
  • Figure 31: Play/own video game and play/own portable player, by age, January-October 2006
• Minorities play more video games
  • Figure 32: Play/own video game and play/own portable player, 18-34 year olds by race/gender, January-October 2006
• Results by cohort group
  • Figure 33: Play/own video game and play/own portable player, by cohort group, January-October 2006
• Results by household income
  • Figure 34: Portable video game system owned or played, by household income, January-October 2006
• Frequency of playing by demographics
  • Figure 35: Mean number of times Game Boy Advance was played in last week by key demographics, January-October 2006
• Smartphones
• Introduction
  • Figure 36: Total U.S. manufacturer sales of smartphones, at current and constant prices, 2003-07
• Rising cell phone penetration
  • Figure 37: Cellular phone ownership, 2001-07
  • Figure 38: Cellular phone ownership, by household income, January-October 2006
• Features
  • Figure 39: Features and prices of selected cell phones, January-October 2006
  • Figure 40: Cell phone feature penetration and use, January-October 2006
• Cell phones: usage, attitudes, and interest in other products and services
• Cell phone usage and attitudes
  • Figure 41: Cell phone usage and attitudes, by age, January-October 2006
• Cell phone as primary entertainment device
  • Figure 42: Cell phone as primary entertainment device, by age, January-October 2006
• Cell phone and current events connectivity
  • Figure 43: Cell phone current event update opinions, by age, January-October 2006
• Interest in cell phone concepts
  • Figure 44: Interest in cell phone concepts, by age, January-October 2006
• Portable MP3 players
• Introduction
  • Figure 45: Total U.S. manufacturer sales of leading portable MP3 player chains, at current and constant prices, 2002-07
• MP3 player penetration
  • Figure 46: MP3 music/digital media player ownership, by age, January-October 2006
  • Figure 47: MP3 music/digital media player ownership, by household income, January-October 2006
• Brand owned
  • Figure 48: MP3 music/digital media player brand owned, by household income, January-October 2006
• Children and Teens
• Handheld video game player ownership and use among children
  • Figure 49: Children who play/own video game and play/own portable player, by age, January-October 2006
• Handheld video game player ownership and use among teens
  • Figure 50: Teens who play/own video game and play/own portable player, by gender and age, January-October 2006
• Cell phone ownership - teens
  • Figure 51: Teen cellular phone ownership, 2003 to 2007
• Results by age and gender
  • Figure 52: Teen cell phone ownership, by gender and age, January-October 2006
• Features present on teens' cell phones
  • Figure 53: Cell phone features on cell phones owned by teenagers and adults, January-October 2006
• MP3 player ownership
• Results for children
  • Figure 54: Children' s MP3 player ownership, by age, January-October 2006
• GPS
• Introduction
  • Figure 55: Total U.S. manufacturer sales of portable and transportable navigation systems to dealers, at current and constant prices, 2002-07
• Cell phone as primary GPS device
  • Figure 56: Cell phone as primary GPS device, by age, January-October 2006
• Attitudes toward GPS and cell phones
  • Figure 57: Attitudes toward GPS and cell phones, by age, January-October 2006
  • Figure 58: Attitudes toward GPS and cell phones, by race/ethnicity, January-October 2006
• Subscriptions for PMDs
• Cell phone subscriptions
  • Figure 59: Subscription to cellular services, August 2007
  • Figure 60: Cellular internet service plan subscription, by age and race/ethnicity, August 2007
• Time left on phone subscription
  • Figure 61: Time left on phone subscription plans and desire to change carriers, August 2007
• Demand for possible new PC/handheld services
  • Figure 62: Interest in $20/month services for PC/handheld, by gender, August 2007
  • Figure 63: Interest in $20/month services for PC/handheld, by age, August 2007
• Activities for PMDs
• Downloading audio or video onto a PMD
  • Figure 64: PC and portable media device activities, have done and would like to do, August 2007
  • Figure 65: PC and portable media device activities, by age, August 2007
  • Figure 66: PC and portable media device activities, by race/ethnicity, August 2007
• Playing audio or video from a PMD
  • Figure 67: PC and portable media device activities, have done and would like to do, August 2007
  • Figure 68: PC and portable media device activities, by age, August 2007
  • Figure 69: PC and portable media device activities, by race/ethnicity, August 2007
• Content on Handheld Devices
  • Figure 70: Content stored on cell phones/MP3 players and video game players, August 2007
• Content on phone
  • Figure 71: Content stored on cell phones, by age, August 2007
• Content on MP3 Player
  • Figure 72: Content stored on MP3 players, by age, August 2007
• Content on handheld video game player
  • Figure 73: Content stored on video game devices, by age, August 2007
• Managing a Music Collection
  • Figure 74: PC and portable media device activities, by age, August 2007
• Future and Forecast
• Future trends
• Declining flash prices
• Screen size to increase
  • Figure 75: Interest in bigger screen on phone, by age, January-October 2006
• Cell phone as credit card
• Immersive glasses as monitor
• PMDs as pocket-sized content carriers
• Convergence and product integration
• Keeping up with the Joneses
• Market forecast
• Smartphones
  • Figure 76: Forecast of U.S. manufacturer sales of smartphones, at current and constant prices, 2007-12
• Portable MP3 players
  • Figure 77: Forecast of U.S. manufacturer sales of portable MP3 players, at current and constant prices, 2007-12
• GPS
  • Figure 78: Forecast of U.S. manufacturer sales of GPS, at current and constant prices, 2007-12
• Forecast factors
• Appendix: Trade Associations
• Appendix: Simmons cohorts
  • Figure 79: Married couples cohorts
  • Figure 80: Single women cohorts
  • Figure 81: Single men cohorts