Strategy Analytics Press Releases


Limited Wi-Fi Plans Offer Little Value Proposition for Consumers in the US and Europe

by Chris Schreiner, Diane O’Neill | Mar 06, 2017


Greater Opportunities for Adoption Exist in China

 

Boston, MA – March 6, 2017 – A recent survey from the In-Vehicle UX (IVX) group at Strategy Analytics (Consumer Interest and Willingness to Pay for In-Vehicle Wi-Fi) has assessed consumer interest in and willingness to pay for in-car Wi-Fi. Consumer interest in in-vehicle Wi-Fi was high across all regions, with increased interest amongst premium vehicle owners and those under 45 years of age. However, willingness to pay was not apparent in the US and Europe, though China may remain an opportunity.

Surveying consumers in the US, Europe and China, Strategy Analytics has found that while turning a car into a Wi-Fi hotspot sounds attractive to consumers on the surface, it is unlikely to meet expectations, especially in US and Europe. Initial consumer impressions were found to liken in-vehicle Wi-Fi to a public hotspot, allowing access to unlimited data at no cost. In reality of course, in-vehicle Wi-Fi is different, with OEMs wanting to charge consumers for data used.

Click here for report:  http://sa-link.cc/1jz

Chris Schreiner, Director of Syndicated Research, UXIP commented, “Consumers are already paying for data access on their smartphones, so the value proposition for in-vehicle Wi-Fi needs to be better than what they would get by simply continuing to use their smartphones in the car and potentially increasing data limits with their carrier.”

Continued Schreiner, “Consumers’ understanding of how much data is used for typical in-vehicle services also impacts the value proposition. Lower GB limits may not meet the needs of in-car usage for features such as rear-seat entertainment or daily streaming audio.”

Kevin Nolan, Vice President, UXIP added, “In-vehicle Wi-Fi faces challenges in the US and Europe with savvy consumers understanding that current packages pushed by OEMs are actually of no benefit to them. Consumers in China, however, are much more keen on in-vehicle connectivity and the appeal of turning their car into a Wi-Fi hotspot could result in greater opportunities for adoption in that region.”

About Strategy Analytics

Strategy Analytics, Inc. provides the competitive edge with advisory services, consulting and actionable market intelligence for emerging technology, mobile and wireless, digital consumer and automotive electronics companies. With offices in North America, Europe and Asia, Strategy Analytics delivers insights for enterprise success. www.StrategyAnalytics.com.

 

About In-vehicle UX

The In-vehicle UX group forms part of the User Experience Innovation Practice (UXIP) at Strategy Analytics. Focusing on user behaviors, motivations and interests within in-vehicle, mobile device, connected home and media & services research areas, UXIP helps clients meet consumer needs, develop usable solutions and deliver compelling user experiences. Extensive expertise and highly experienced in large-scale survey work, in-depth interviews, focus groups and observational sessions, UXIP’s research methodology allows strategic user-centric analysis on the potential for new technologies that would otherwise be unavailable. Providing actionable insight, go-to-market strategies and business recommendations, UXIP is a leading supplier of consumer knowledge to the technology industry. Click here for more information.

 

Press Contacts

US Contact: Chris Schreiner, +1 617 614 0713, cschreiner@strategyanalytics.com

European Contact: Diane O’Neill, +44(0) 1908 423 669, doneill@strategyanalytics.com
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