A recent Nielsen survey showed iPhone owners love their games and are willing to pay for them too. As here we see several interesting social trends forming, as the first is the disposable time available for gaming as waxed in a prior post means even as the economy continues its slide, the affluency within society still exist to fulfill this [entertainment] gap. As it’s reported that “the average iPhone owner spent 14.7 hours playing mobile games over a 30 day period, while the average Android owner spent only 9.3 hours”. While the number in total may seem close, when we look at the percentages we quickly see a 36% delta between the groups. Also for those of us “others” out there who are still saddled with a Black Berry the number not surprisingly drops to a mere 7.8 hours! So is it we are working harder or the Black Berry is a worthless gaming platform, well the answer to that is obvious.
The other piece is the fact money is exchanged for the “entertainment” [of the game] which means as this grows it has to come from somewhere as there is only so much money. Therefore as an example if John Doe spends $100 dollars per month on movies and now is spending $20 on iPhone App’s this would lead one to believe the movie industry is going to take it in the shorts given this scenario which isn’t too far off the mark. However not only is the movie industry losing 20% for the sake of discussion, we however have to look at all the “other” losses in the “economic chain” as its not only the moguls in Hollywood as it’s also the popcorn sales person as well as the folks that clean up after each show.
As here we are starting to look at a significant shift in paradigms in our spending choices as more money flows in a more disperse pattern. Which means that new affluency models are rising which are worth noting as new sets of consumers will begin to shift the existing markets. As unlike their Android counter parts, they are more affluent and will spend cash for this act of entertainment which is indicative of the formation of separate social based consumer models.
The other data point from this survey is the fact that people are buying games and yes I know I’m repeating myself however with a point. As if they are “buying” games, and spending time “playing” games, they are “NOT” using the devices for personal advancement as this is represented by only an 11% piece of the pie which is another tell of our ever evolving societal modem. As here more value is being placed on entertainment rather than education. As again quoting the survey “other types of apps aren’t as proficient as games at enticing consumers to spend money. Only 76 percent of downloaders would spend money on a news app, for instance. Customers are most willing to spend money on games (93 percent) and “entertainment” apps (87 percent)”, so in short was Rupert’s investment in the Daily a good idea?
What gets even more concerning is that “only 11 percent got themselves an “education/learning” app”…