Huge handset and ringtone sales cannot last.
Globally, converged mobile devices sales climbed in 2006, to reach 19.3m units. "The growing availability of email solutions that can support a variety of platforms is really driving demand for converged mobile devices [...] In particular, IDC has seen a steady increase in demand for enterprise-based devices for mobile workers."
But analysts Informa expect growth of mobile handset sales to slow from their 20%+ year-on-year rates after first breaking the one billion devices per-year barrier in 2007. "The analysts also expect less low-end phones to be sold by 2011. Basic phones made up 28.3 per cent of total sales in 2005. This will fall to 10.3 per cent by 2011. By 2011, 55.3 per cent of handsets sold will be high-feature."
In media sales, music consultancy MusicAlly say that 2006 will see the first fall in ringtone sales. "Customers have grown tired of signing up for what they thought was a single download, but finding themselves facing hidden subscription charges". The increase of devices capable of storing more music means "customers can transfer tunes from their computers to their mobiles and use their own music collection as ringtones, rather than buying specific snippets."
And while some say "MMS has not really found its place in the market", market research from the Yankee Group is predicting revenue from MMS in the US will approach that of SMS: of the revenue from messaging, 33% will be SMS, 29% MMS, 24% email and 15% instant messaging.
Sources:
- IDC: Shipments of Converged Mobile Devices Hit New Record High in Second Quarter of 2006.
- The BBC: Mobile phone sales start to slow.
- The Register: Mobile sales set to fall.
- The BBC: Mobile ringtones 'are dying out'.
- eMarkerer: Mobile Marketing: Follow the Money.
<< Home