While these results are bad news for newspaper pay walls, there is better news for videos, music and games creators, as these are the most popular types of content for which people are willing to pay: games 50% will pay; music 44%; and video 35%.
There is also good news for advertisers, as the survey shows a strong trend for consumers to receive adverts in exchange for lower prices or free content: 74% of UK consumers are willing to receive ads on their PC in exchange lower costs and 56% have the same view in respect of mobiles.
Where UK consumers are willing to accept ads, their preference is for them to be tailored to their own interests and activities. This preference corresponds with an increase in people’s willingness to allow their online usage and personal profile information to be tracked if it would result in lower costs: 48% of UK consumers would be willing to accept profile tracking, up from 35% in the 2008 survey.
Despite concerns over privacy and data security, people around the world are adopting the mobile internet at an astonishing pace as an easy and convenient method of carrying out everyday transactions including banking and shopping.
Compared with only 18 months ago, the global percentage of consumers who have used their mobile device for banking has more than doubled from 19% to 46%, while the percentage that have used it to buy goods and services has gone from 10% to 28%.
The UK however remains more sceptical about mobile banking; only 19% of Brits have used a mobile device for banking, although this is an improvement on 18 months ago when only 5% had. Similarly, only 15% of Brits have used a mobile device to buy goods and services, although this is an increase from only 4% in 2008.
Despite this growing familiarity with mobile commerce and profile tracking, consumers still remain worried about risking their privacy. Almost 90% of consumers globally said they were concerned over privacy and security online in many cases more now than 18 months ago.
Consumers in the UK are also concerned about these issues with 88% worrying about their online security and 86% about their privacy, this has reduced very little since 18 months ago when these figures were 95% and 89% respectively.
Aw concluded: “At first sight, these concerns over privacy might seem to conflict with our findings that consumers are more willing to have their profile information tracked, but there seems to be a clear distinction in consumers’ minds between uncontrolled use of personal information, and properly regulated use. They do see the value in allowing service providers to have access to the information necessary for more tailored services, but they are only prepared to do this if the risks are controlled and, crucially, if there is some value in it for them.
“But the twin issues of inadequate privacy and poor security are definitely uppermost in consumers’ minds, and may be holding back the further development of the internet as a commercial tool. Consumers around the world see solving these issues as a joint responsibility of service providers, who should improve systems and be more transparent in their reporting on security matters, and regulators, who should introduce tougher privacy and security regulations.”
Further headline findings from the survey includes: News of the death of the landline is greatly exaggerated as 94% of UK consumers have no plans to discontinue their landline telephony connections and use mobiles only; When it comes to telecommunications, retaining and attracting customers is still about the three basics, price, network quality and customer service, with other value added service factors such as devices, bundling packages and content, a distant second to the top three.
Chris Woodland, director within KPMG’s telecommunications practice, commented:
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