Smartphone: consumer perception and purchase intention
Smartphone, once a device relegated to corporate executives, is experiencing rapid
growth in the consumer market. Research In Motion, as the pioneer of smartphone, has
enjoyed long market dominance but is facing increasing challenges from Apple.
Meanwhile, traditional mobile phone manufactures such as Nokia, Motorola and
Samsung are adjusting their strategy to focus more on the high margin smartphone
business. There is no doubt that competition in this market will become more intense.
Understanding consumer needs and predicting or even leading the trends are very
important to stand out from the fierce completion and succeed.
Smartphone is integrating more and more functionalities: camera, video recording,
music, GPS, PDA, games, etc. Is it always the more the better? Will smartphone make
all other portable consumer electronic obsolete or will it become a universal device that
does nothing right. Smartphone is usually more expensive and requires additional data
service. Will smartphone soon become a necessity for general public or will it stays as a
niche market for tech savvy Blackberry and iPhone fans?
Apple and Google’s entrance into the smartphone business came as no surprise – they
extended the competition from hardware to software and service. There are thousands
of applications available on iTune and other online stores. Many applications are
consumer orientated and are free. There are also many specialized applications
targeting business customers such as those developed by financial service companies.
One challenge for the developers is whether they should develop customer application
for each smartphone platform or for one platform that they think will reach the broadest
customer base. In the mean time, more ads are appearing with applications, especially
the free applications. Will the mobile platform become a new battleground for online
advertising?
A marketing research is needed to better understand the consumer perception and
purchase intention of smartphones, the profile of current smartphone users. We would
evaluate which smartphones consumers are currently using or planning on purchasing
as well as their experience with application stores such as Android, Ovi, iTune and
others. The research will also intend to investigate how smartphone manufacturers and
carriers can be more effective in targeting potential smartphone buyers on areas such
as product feature, service content and pricing.