Low video quality and data-charge fears will let down a third of Europe’s World Cup fans
REDWOOD CITY, Calif – June 5, 2014– Research commissioned by Openwave Mobility, across UK, Spain and Germany has revealed that 1 in 3 British consumers who would love to watch the Brazilian World Cup on a mobile device are put off by poor mobile video quality and fears of “bill shock” from their operators. The dissatisfaction with pricing and the quality of mobile video are some of the findings from the independent survey conducted by Censuswide, which interviewed over 2,200 mobile users across the three countries last month (May 2014).
Subscribers from the previous World Cup winners Spain were three times more likely (68%) to watch the likes of Sergio Ramos or Xabi Alonso in action on a mobile device than UK subscribers watching Roy Hodgson's men. 1 in 4 in the UK (21.6%) and just under half of (39%) German fans will switch on their mobiles to watch the matches from Brazil. Spain’s mobile subscribers are clearly reflecting their country’s chances of lifting the cup again!
However there was disappointing news from Europe’s smartphone savvy football fans when it came to data charges and the quality of mobile video. Of the people who would like to watch the games on mobile, 1 in 3 Brits will refrain from doing so due to fears of bill shock or expectation of poor video quality. In Germany - three times World Cup winners- similarly 1 in 3 said they would refrain due to fears around bill shock but a huge 1 in 2 quoted appalling mobile video quality as the reason for staying indoors with a conventional TV set. In Spain there was less criticism with only1 in 4 subscribers quoting bill shock fears and quality of mobile video as factors deterring them from watching the World Cup on mobile.
John Giere, CEO at Openwave Mobility commented: “Mobile operators must capitalize on the exponential demand for video. A major event like the World Cup does not only generate instantaneous revenues, it can also change habits as people who were not mobile video users realise that this is a great way to keep up with the action. As part of the research, we also looked at the growth in mobile video from the 2010 World Cup. Across Europe we saw 2 to 4 times as many people wanting to view at least part of the games on mobile in 2014. This is not just due to an increase in smartphone penetration, that was already high in 2010. This is more about the increasing penetration of mobile video as an activity people can engage with and enjoy. Unfortunately it seems that much of this momentum will be lost through the old perceptions of high price and low quality.”
The survey also asked consumers if they were prepared to pay their mobile operators for high quality mobile video. Interestingly, despite the fears described over unknown data charges, of those people wanting to watch the games on mobile 43% of Spanish, 34% of German and 21% of British subscribers were all happy to pay a fixed fee, ie a video-service subscription fee, to their mobile operator for HD quality World Cup footage. Giere continued: “The fact is that consumers are happy to pay a fee for a service that delivers quality and gives them a great user experience. It is now more important than ever for mobile operators to meet the insatiable appetite for mobile video and monetize their data.”
Sue Rudd, Director Service Provider at Strategy Analytics commented “Strategy Analytics surveys show that consumers are now regularly watching video on mobile devices. Mobile operators and their TV partners around the world are gearing up for mobile delivery of the 2014 World Cup to smartphones and tablets and there is the opportunity for operators to let users experience the addictiveness of high quality video as a service. To ensure a premium experience these operators need to offer end-to-end optimized delivery and management. Vendors like Openwave Mobility offer important video mechanisms to help these operators deliver a great viewing experience over mobile broadband for what is likely to be the most watched World Cup ever.”
About Openwave Mobility
Openwave Mobility enables operators to manage and monetize mobile data using the industry’s most scalable, Layer7 SDN/NFV platform. The company operates within the policy control and charging (PCC) space and delivers Policy Engagement with solutions that include Video Optimization to eliminate data congestion, and Mobile Data Monetization and Analytics to increase ARPU through personalized data plans. These solutions are supplemented by Subscriber Data Management, providing a single consolidated store for policy and subscriber data, and Mobile Analytics, providing subscriber segmentation and Business Intelligence.
Openwave Mobility delivers over 40 billion transactions daily and over half a billion subscribers worldwide use data services powered by its solutions. The company’s global customer base consists of over 40 of the largest communication service providers including AT&T, Du, KDDI, Rogers, Sprint, Telus, T-Mobile, Telefonica, Telstra, Virgin Mobile & Vodafone. Openwave Mobility is owned by Marlin Equity Partners, a leading investment firm with over a billion dollars of capital under management that has publicly committed to building the company through expanded investment in R&D. The company has built a robust portfolio of Intellectual Property, which is growing month-by-month.
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