comScore Wireless Report Finds Price is an Increasingly Important Factor for Consumers...

comScore Wireless Report Finds Price is an Increasingly Important Factor for
Consumers Selecting a Cellular Phone Carrier
Report Provides Insights into Customer Satisfaction, Factors Influencing
Purchase Decisions and Mobile Internet Adoption

RESTON, Va., March 31 /PRNewswire-FirstCall/ -- comScore, Inc.
(Nasdaq: SCOR), a leader in measuring the digital world, today released the
results of a study evaluating the behaviors and attitudes of wireless phone
subscribers. The findings, published in the March 2008 comScore Wireless
Report, are based on a survey of more than 2,000 U.S. wireless cell phone
users, providing comprehensive insights into consumer satisfaction, factors
influencing purchasing decisions, mobile Internet adoption, and wireless
customer migration. The study -- conducted from February 29 to March 5,
2008 -- found that price has become an increasingly important factor in the
purchasing decision and that the use of Mobile Internet among existing
subscribers continues to grow, with of the majority of these users accessing
the Web at least once a day.
(Logo: http://www.newscom.com/cgi-bin/prnh/20080115/COMSCORELOGO )
In order to demonstrate the shifts in the wireless consumer landscape, the
findings from this study were compared to results from a similar comScore
study conducted from October 25 to November 1, 2006, which included data from
more than 1,700 U.S. wireless users. These prior findings were first published
by comScore in January 2007.
"Overall study results indicate that cellular phones are quickly
transitioning from being viewed by consumers as a simple communication device
to a multi-functional media and entertainment consumption device," said Serge
Matta, senior vice president of comScore Telecommunications Solutions. "There
is a significant opportunity for mobile carriers, advertisers and product
developers to capitalize on the industry's continued trend toward consumer
dependence on cell phones."
Role of Price in Decision-Making Process Increases
As consumer dependence on cell phones grows, it has become increasingly
important for marketers to understand the factors motivating a customer to
switch carriers. Similar to the 2006 comScore study results, the current study
found that coverage, price and family/friend connectivity continue to be the
strongest factors in driving consumers' wireless purchasing decisions.
However, the 2008 study found that consumers' focus on price has increased,
while coverage does not have the commanding lead it once had as a factor. This
may be the result of the perception that coverage among leading carriers has
become more comparable. In the 2006 study, for example, consumers cited
"better coverage" twice as often as "lower price" when noting the primary
reason for choosing a wireless service provider. According to the latest
survey results, this gap narrowed significantly, with 22 percent of
respondents saying "better coverage" was the main determinant compared to 19
percent who said "lower price" was their primary reason for switching to their
current cellular carrier.

Primary Reason For Switching to Current Cellular Carrier
Source: The comScore Wireless Report

Percent of Survey Respondents

Primary Reason for Choosing Oct-Nov 2006 Feb-Mar 2008
Carrier Study Study

Better Coverage 27 % 22 %
Lower Prices 14 % 19 %
Family/Friends Subscribe
to Carrier 13 % 17 %
Plan Features 9 % 12 %
Promotional Offer 8 % 9 %
Better Minute Level Plan 9 % 7 %
For a Specific Phone 4 % 3 %
Other Reason 16 % 11 %

Just as cost proved to be an important factor when choosing a mobile
carrier, cost-savings also plays a role in selecting a mobile plan. In fact,
the three most important features cited when choosing a new wireless plan were
unlimited off-peak minutes, free in-network calling and the ability to
"rollover" unused minutes. Notably, each of these features is directly
associated with cost.
Mobile Internet Users Are Becoming More Engaged
Compared to the level of customer engagement in the 2006 study, Mobile
Internet users have become significantly more engaged today. In fact, the
percentage of Mobile Internet users who access the Internet more than once a
day doubled from 18 percent to 36 percent. Further, 56 percent of Mobile
Internet respondents said they access the Internet at least daily, which is up
21 percentage points from the earlier study.

Mobile Internet Access Among Current Mobile Internet Subscribers
Source: The comScore Wireless Report

Percent of Survey Respondents

Access the Mobile Internet Oct-Nov 2006 Feb-Mar 2008
Study Study

More than Once a Day 18 % 36 %
Once a Day 17 % 20 %
Few Times a Week 27 % 22 %
Once a Week 8 % 7 %
Less than Once a Week 30 % 15 %

Only 10 percent of survey respondents using Mobile Internet said they were
dissatisfied with their Internet browsing, noting that connection speed was
the biggest source of their dissatisfaction. For those who are not currently
Mobile Internet users, the biggest deterrent was price, which represents a
shift from the earlier study where non-users cited a lack of need as the main
reason they do not subscribe to Mobile Internet.
Additional Study Findings:
-- Thirty-three percent of survey respondents said they do not have a
landline, which is an increase of 19 percentage points compared to the
first wave of the study where only 14 percent said they did not have a
landline.
-- Forty-four percent of survey respondents agreed with the statement, "I
feel lost without my cell phone."
-- Sixty-seven percent of respondents agreed that "having my cell phone
with me makes me feel safe."
-- Depending on the carrier, 5 to 15 percent of customers intend to switch
carriers within the next six months.

Wireless industry professionals and members of the media may request a
copy of the full report by visiting:
http://www.comscore.com/request/wireless_report.asp.
About The comScore Wireless Report
The comScore Wireless Report provides an in-depth look at the wireless
industry, including the general landscape, competition, and the factors that
influence consumers' decision processes. Key areas of focus include consumer
satisfaction, phone feature usage, mobile Internet adoption, and wireless
customer migration. For the purposes of this report, comScore conducted a
survey among members of comScore's panel of more than two million online
consumers who have given comScore permission to track their complete behavior
on the Internet.
About comScore
comScore, Inc. (Nasdaq: SCOR) is a global leader in measuring the digital
world. For more information, please visit www.comscore.com/boilerplate.
SOURCE comScore, Inc.

Andrea Vollman of comScore, Inc., +1-312-775-6646, press@comscore.com