When It Comes to Downloading Content from the Web, Connected iPhone and iPod Touch Users Lead The Pack

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The NPD Group’s “Entertainment Trends in America” update reveals three quarters of iPhone and iPod Touch users are connecting to the Web to download entertainment content and apps.

According to the latest update to the ''Entertainment Trends in America'' consumer tracking surveys conducted by The NPD Group, a leading market research company, 16 percent of Americans age 13 or older are using devices other than their home computers to download software applications (apps), music, video, and other entertainment content from the Web. Based on NPD’s entertainment market research, 75 percent of iPhone and iPod Touch users are connecting to the Web to download entertainment content and apps, compared to 19 percent of game console users and 17 percent of Blu-ray Disc (BD) set-top product users.

''It’s not surprising that Apple users are ahead of others when it comes to downloading Web-based content, given the breadth of the company’s app catalog and the head start iTunes had selling music for the iPod,'' said Russ Crupnick, entertainment industry analyst for NPD. ''Like other groups of early adopters, consumers downloading entertainment content are mostly younger and male; however, as app stores expand beyond Apple, as connected devices become more commonplace, and as connectivity is simplified we expect to see more activity on other devices and platforms.''

According to ''Entertainment Trends in America,'' among iPhone and iPod Touch users who downloaded content, free apps were the most popular download category, followed by video-game apps, and music downloads. Among consumers who connected via game consoles, game add-ons were far and away the most popular category, followed by purchased downloads of entire games, and movie rentals. In addition, one-third of Blu-ray Disc (BD) consumers who actually connected via their BD reported downloading a movie rental.

''Music now competes with games and other apps for share of device, share of wallet, and share of time,'' Crupnick said. “Entertainment companies need to start to thinking of apps in broader terms, not only as a way of garnering direct sales from downloads, but also as a pathway to paying for additional entertainment content. For example, an app that reviews movies could also be a direct channel for purchasing DVDs, BDs, or digital forms of video.”

Data note: Information in this press release was derived from The NPD Group’s ''Entertainment Trends in America'' consumer survey tracking update. The survey was fielded to members of NPD’s online panel in February 2010. The final report is based on 10,356 completed responses from U.S. consumers. Final survey data was weighted to represent US population of individuals (age 13 and older). All data was tested for statistical significance at 95 percent confidence level.

About The NPD Group, Inc.
The NPD Group is the leading provider of reliable and comprehensive consumer and retail information for a wide range of industries. Today, more than 1,800 manufacturers, retailers, and service companies rely on NPD to help them drive critical business decisions at the global, national, and local market levels. NPD helps our clients to identify new business opportunities and guide product development, marketing, sales, merchandising, and other functions. Information is available for the following industry sectors: automotive, beauty, commercial technology, consumer technology, entertainment, fashion, food and beverage, foodservice, home, office supplies, software, sports, toys, and wireless. For more information, contact us, visit http://www.npd.com/ , or follow us on Twitter: @npdgroup.

Press Contact:
Lee Graham
lee(at)leegraham(dot)biz
212-333-4983

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