Consumers Wont Pay For Mobile Video
JupiterResearch has found that while consumers are interested in watching video on their cell phones, the majority of mobile subscribers are not willing to pay for it. According to a new JupiterResearch report, eleven percent of mobile phones will be video capable in 2006, but only one percent of mobile subscribers will pay for a subscription this year.
Overall, twenty five percent of consumers are interested in watching video on their cell phones, with live TV topping the list of preferences.
"This high level of interest demonstrates that there is market potential," said Julie Ask, Research Director at JupiterResearch. "Service providers will need to give consumers context for watching TV on a small screen in order to convert interest into paid subscriptions. Given current consumer resistance to paying, the most plausible business model for carriers to adopt is one that combines paid and ad-supported mobile video subscriptions."
After live TV, consumers also express interest in watching full-length movies, short video clips and pre-recorded television shows on their cell phones.
"Wireless carriers must leverage the uniqueness of the cell phone to deliver an experience that is personalized and customized for individuals," said David Schatsky, President of JupiterKagan. "Doing so will generate a video service worthy of paid subscriptions as well as advertiser attention."
Posted to the site on 8th September 2006