Opportunities exist in both the Prepaid and postpaid market, but the upswing in Prepaid purchases and smartphone proliferation opens up a market opportunity for retailers and manufacturers alike.
Louisville, KY (PRWEB) March 28, 2012
The Stevenson Company, a leading provider of consumer data and market research, has released the findings of its most recent TraQline Wireless report, a survey of hundreds of thousands of consumers that measures their purchases of wireless phones and wireless phone accessories for carriers, retailers, and brands.
Smartphones are gaining share at a rapid rate in both Prepaid and postpaid, and now represent more than 50 percent of all phone purchases. In Prepaid, smartphones represent 29 percent of all sales, compared to five percent just three years ago. Postpaid shows a gain of 310 bps from 2009 to 2011, bringing its smartphone penetration to 63 percent. As a percentage of total cell phone purchases, Prepaid purchases have increased 370 bps from 2009-2011, and now represent 17 percent of total cell phone purchases. Walmart remains the top Prepaid cell phone retailer with 25 percent market share, and Prepaid accounting for 68 percent of their cell phone sales.
For cell phone carrier stores, the mix of cell phone sales that are Prepaid was flat year over year. For the top two Prepaid brands, Samsung and LG, both experienced significant gains in unit share year over year.
Other 2011 TraQline Wireless findings include:
- Best Buy and Amazon are experiencing large gains in Prepaid
- 50 percent of cell phone purchasers shop online before making their purchase
• Shopping online includes comparing prices, features and benefits, looking for promotions or sales, basic product research and reading consumer reviews
- Features are the number one reason a consumer purchases a given cell phone brand, followed by competitive price and brand loyalty
• Features are more important to Prepaid phone purchasers than Post Paid
“Opportunities exist in both the Prepaid and postpaid market, but the upswing in Prepaid purchases and smartphone proliferation opens up a market opportunity for retailers and manufacturers alike,” said Eric Voyer, vice president of The Stevenson Company. “Our findings suggest a continued demand for Prepaid options, with handset features playing a critical factor in the purchase decision. As consumers begin to rely on their wireless devices more, retailers and manufacturers have to adapt to shifting preferences to remain competitive and retain and grow market share.”
About The Stevenson Company
The Stevenson Company delivers improved market intelligence for retailers and manufacturers selling in North America. Delivering greater insights into market data while also delivering exceptional customer service is at the core of The Stevenson Company. Its TraQline solutions provide consumer market research and insights that can be customized based on the individual needs of the retailers and manufacturers. For more information, please visit http://www.stevensoncompany.com.