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Friday, October 1, 2010

Why consumers have hang-ups about buying a new phone

According to this recent story from Marketing Daily, consumers might have some hang-ups about spending money on a new phone right now. For one thing, money is still a bit tight. For another, many consumers are unsure about the impact of data-use payment plans on their pocketbook. Click here to see the story.

Implications: Quick, answer this question: How many bytes of data did you use from your phone last month? Most people haven’t the foggiest idea.

Some phone company marketing is not as smart as the phones they’re designed to sell. If you think about it, whether you’re talking about apps or GPS or communication management… the reason smart phones are so beloved is the way they intuitively respond to the needs of the consumer.

Few consumers think in terms of data bytes used. We think in terms of text messages and emails sent or received, music or videos streamed, or photos uploaded to our favorite social network. Wouldn’t it be great to receive an invoice at the end of the month that said, “This month, you sent ____ messages, compared to your average of ____ messages. You uploaded ____ photos, at an average file size of _____; this compares to your typical monthly average of ___ photos per month over the past year.”

If we started to comprehend how many photos, songs or messages were involved with a 5 GB data plan, we might start grasping the value of ever more functional phones.

The fast food industry does not promote a fixed quantity of protein and carbohydrates for $5.99. They advertise a combo meal.

Mike Anderson

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