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BREAKING NEWS & VIEWS

Study: Consumers May Be Wary of iPad
Tuesday, February 9, 2010

Publishers may be a lot more excited about the prospects for the Apple iPad than the people who actually need to buy one to make the platform succeed. After all of that hype and build-up, many consumers were underwhelmed by the Apple announcement last month, according to a survey from electronics marketplace Retrevo. In dual surveys of more than 1,000 Retrevo customers taken before and after the iPad announcement, the percentage of consumers not interested in buying an iPad actually doubled after Steve Jobs rolled out the long-awaited platform. When asked before the announcement if they had heard of the new device, more than a quarter (26%) said they had heard about it but didn’t want to buy one. After the announcement, another random sample showed that 52% of consumers had heard of the iPad but were not interested in buying one.



Here is an interesting wake-up call for publishers who think the world is just waiting for the next big publishing platform. Generally, consumers aren’t. When asked directly whether they thought they needed an iPad, the 49% who responded “no” before the Apple announcement grew to 61% after the details had emerged. The “I don’t know” group shrank from 30% to 15%, while the “maybe” group remains about constant, growing from 18% to 19% before and after the Steve Jobs demo.

The iPad may have seemed like a game changer to the press, but to the people who have to shell out a minimum of $500, the platform seems pricey. More than half of respondents said they would not be willing to pay the $130 device cost premium or the monthly fee for 3G connectivity.

Which is not to say that all of the metrics work against Apple’s prospects for its next cool thing. Apple sealed the deal with a small percentage of onlookers. Before the roll-out, only 3% of people said they definitely wanted to buy one, which grew to 9% after the event. Those who wanted to “wait and see” grew from 19% to 21%. Apple and the iPad certainly do not need to transform even a large minority of people to the new technology in order for it to achieve the kind of scale that publishers and advertisers would consider a success. Even a 10% to 20% share of the massive U.S. media market would be a remarkable penetration rate for a device that asks consumers to change media consumption habits.

These early attitudinal numbers are not entirely predictive of a device’s success. But they do indicate the job both Apple and its publishing partners have on their hands. Cool-to-have is a far cry from need-to-have. The main media technology platforms of the last century (TV, radio, Internet, cell phones) offered consumers unique media and communications experiences that became indispensible to everyday life. Does the iPad vault that hurdle?

If you have breaking news to share please contact Steve Smith at ssmith@accessintel.com

COMMENTS
1.
You have to consider the survey audience - the Retrevo audience is largely Tech PC buyers and Geeks - the iPad is much more of a consumer lifestyle and content consumption device. Yes there is some marketing to be carried out by Apple but in the end it will be the content on the iPad that will drive interest. I am aware of several projects that will roll out at launch that take existing content but enhances it to take advantage of the device's features and functionality.
Posted by Colin Crawford on Tuesday, February 9, 2010 @ 01:43 PM
2.
So, what did the numbers look like for the iPhone before its release? Similar, I guess, if not worse. Historically, consumers do not predict well whether they will adopt new technologies before they have a chance to experience them (or see their neighbor's).
Posted by Ken Novak on Tuesday, February 9, 2010 @ 02:27 PM
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