Kiwis embrace smartphones, but trail behind on video: IDC

Kiwis embrace smartphones, but trail behind on video: IDC

Constraints in content offerings and data caps may be holding other formats back.

The adoption of smartphones in New Zealand's households has climbed from 13 percent last year to 44 percent in 2012 according to research firm IDC. But IDC’s annual ConsumerScape 360 Degrees survey also shows that compared to 24 other countries around the world, New Zealand is still catching up on overall smartphone and tablet penetration and the use of ‘video on demand’.

The survey analyses video adoption from both an international perspective as well as from the type of video viewing undertaken (e.g. streaming/downloading/viewing user generated video). The results indicate that although New Zealand has caught up to some other countries in the adoption of video, it continues to lag behind the worldwide average.

The study suggests constraints in New Zealand of content offerings and data caps may be holding other formats [downloading and streaming video online] back.

"We have already seen data caps being increased by the majority of providers and a number of new content offerings enter the market, however at present more needs to be done to really motivate consumers to go online and interact with video” says Shane Minogue, IDC market analyst.

"The survey captures the changing dynamics of New Zealand consumers in the home and online. While low bandwidth activities remain the most popular internet activities on both smartphone and PC, we are witnessing a substitution effect between devices as there is an increased uptake of features such as navigation and social networking on smartphones and a decrease in these activities on traditional devices,” says Minogue.

“We continue to see low uptake of higher bandwidth activities on each device with streaming TV and downloading video among the most underutilised activities.”

IDC surveyed more than 47,000 consumers across 25 countries (including over 1000 New Zealand households) to identify the current use, purchase intentions and brand perceptions across the consumer electronics and IT segments.

The study highlights how New Zealand consumers are not only adopting more innovative technologies with smartphones, tablets and smart TVs all becoming more common household items, but how people are now using these devices for a wider range of activities, with 68 percent of respondents now accessing the internet using their mobile phone regularly.

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