Nearly Half of US Multimedia Phone Owners Don't Use Advanced Functions

According to a new report by The NPD Group, 45 percent of U.S. mobile phone users prefer to use their mobile phones to make calls, and not for other available multimedia features. Only 20 percent of mobile phone users prefer to use their phones as an all-in-one multimedia device for music, videos, Web surfing and other activities beyond making phone calls.

NPD's report also reveals that among top wireless carriers, Verizon Wireless customers are least likely to embrace their phone as an all-in-one multimedia device.

While most U.S. consumers are aware of text messaging and the ability to change ringtones, the report revealed that 34 percent of mobile phone users did not know whether their current phone's memory could be expanded, 28 percent did not know if they could watch videos, and 12 percent did not know if they could access the Internet via Wi-Fi. Nearly a quarter (23 percent) were not sure if their phone included GPS, while a similar percentage (21 percent) did not know if their handsets would play music.

The adoption of advanced handset features shows a gap between the usage of these features and the increasing sell through of devices supporting these features. According to NPD's monthly Mobile Phone Track service, 71 percent of all handsets purchased by consumers in the U.S. were capable of playing video, 60 percent had expandable memory, and 55 percent had GPS technology.

"Increasingly consumers are purchasing phones with advanced capabilities that go far beyond voice calling, but only those who take advantage of these features offer the best revenue potential for operator," said Ross Rubin, director of industry analysis for NPD. "Operators and other handset retailers have an opportunity to educate customers as to the capabilities of their handsets in the wake of slower overall handset sales."

Posted to the site on 6th January 2009