UK mobile phone users set to spend £740M on downloads: research |
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Wed, 21 Sep 2005 16:05
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LONDON: If anything has matched the staggering growth of the mobile phone market, it has to be the downloads to mobile phones. A recent survey by research firm Mintel has revealed an 18-fold increase in the number of downloads to mobile phones since 2002.
With latest high-tech phones that allow you to download not just songs but also screen savers, games, movies and videos, it’s just possible that we fulfill the report’s statistical prophecy: that we are about to blow close to three quarters of a billion pounds on downloads this year.
Ringtones take up one third of volume sales – the largest share of downloads. A large part of this increase was due to their integration with the UK singles chart. Better quality downloads and phones that simplify downloading also contributed to the growth. Dropping cost of download, from £1.30 in 2002 to £1 this year could also be a significant driver for this growth, the report said.
Music downloads are also expected to increase significantly as operators negotiate deals with recording companies for access to their catalogues on iTunes. Currently music downloads contribute only 8 percent of volume sales. Games account for around 24 percent.
By the yearend, the volume sales of all download types (excluding screensavers and wallpapers) would at least double.
The report goes on to warn that gambling which currently enjoys 9 percent share of the download market, is likely to see an astonishing 367 percent growth in volume sales, this year.
Overall volume sales are expected to increase by approximately 760 million downloads compared to 30 million downloads costing around £40 million in 2002.
The research firm’s consumer analyst Jenny Catlin said the greater part of the growth was due to the increasing popularity of downloads among young people. The market has yet “to prove that these products are relevant to older generations” because the survey found people above 35 thinking it to be a waste of money. This industry might consider providing more substantial download products for older consumers, she said.
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