Wednesday, September 10, 2008

Millennials Drive Parental Purchases

Millennials (16-27 year olds) in Europe and the Middle East have huge influence on buying of broadband and TV services purchased by their parents, even when the Millennials do not live at home with their parents, a survey conducted by Motorola indicates. The majority of respondents stated that they influence the broadband (83 percent) or TV services (84 percent) purchased by their parents, even if they do not live at home.

The new study of over 1,200 Millennials from five countries in Europe and the Middle East also found that young adults are passionate about being in control of their rich media content and are heavily influencing older generations. So while it is important to understand and meet the needs of Millennials as the future drivers of demand, it is worthwhile to remember that Millennials also drive current buying.

About 66 percent would be interested in pausing TV in one room and restarting it in another. This compares to 86 percent of respondents in the United States when Motorola surveyed U.S. respondents earlier this year. And though lots of attention now is directed at delivering high-quality video using the Internet and then displaying that content on a TV, almost one in three (32 percent) prefer to watch programs on their PC rather than TV set.

Significant numbers of respondents want to be able to access full-length movies and their favorite shows using a mobile device, possibly by side loading. About 81 percent of respondents indicated strong interest in having the ability to move content from a set-top at home to a mobile device.

About 75 percent indicate that watching movies while travelling also is appealing. But there is an apparent appetite for shorter items as well. About 62 percent would be interested in watching 15-minute mobile versions of 30-minute TV programs and 61 percent would be interested in three-minute versions of their favorite shows on their mobile devices.

“Technology is the lifeblood of this generation. Millennials feel that their personal lifestyle would change dramatically without internet access. It is not surprising therefore to see their influence on technology purchasing for the home,” said Joe Cozzolino, corporate vice president and general manager, Motorola Home & Networks Mobility EMEA. "By understanding the needs and desires of this generation, Motorola is able to design and customize solutions for our customers that enable them to deliver rich media experiences to today’s and tomorrow’s consumer.”

Some 63 percent of respondents acknowlede that their demands and expectations for rich media experiences are higher than those of their parents, partcularly in the area of interacting with what is on the screen:

Over half of those surveyed would like to be able to interact with their TV and accessing information about the content they are watching. About 68 percent would be interested in learning about and possibly purchasing items featured in TV shows, with the highest appetite coming from the UAE where 81 percent of the sample expressed interest in doing so.

High-definition TV is popular throughout all markets surveyed, especially in Germany and the UAE with 53 percent and 58 percent saying they "love" HD content

About 43 percent of respondents have an HDTV set; the United Kingdom having the greatest market penetration with 54 percent owning an HDTV set. Of the 57 percent of total respondents who do not presently have an HDTV set, only a quarter said they did not want to get one.

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