The IGN Data Hub - July 25, 2001

25 July 2001
What Are You Doing at Work?

Internet usage at work has increased by 23 percent, accounting for more than 42 million office workers, according to the June 2001 Internet ratings report from Nielsen//NetRatings.

Their figures show that, in the past year, work usage increased as staffers logged on more often, visited more sites and spent more time online.

During the previous month, Internet users at work logged onto the Net 43 times, a 10 percent increase from a year before. During June 2000, the Nielsen//NetRatings report showed, a typical worker checked out 28 Internet sites. A year later, that number increased to 35 sites, a 25 percent increase.

"Nearly 15 percent of all Americans access the Internet from their workplace, and that will continue to grow," commented NetRatings VP of Analytic Services Sean Kaldor. "The office environment is depending more on the Internet as a comprehensive tool for research, business-to-business transactions and day-to-day office management."

Broadband Growth Hampered by Pricing, Technology Concerns

New research by the Consumer Electronics Association (CEA) shows that, while consumer demand for high-speed Internet access is on the rise, a limited understanding of the benefits of the technology and concerns over pricing have thus far hampered its wide-scale adoption.

Currently about 9 million American homes boast high-speed connections, although the ability to obtain high-speed access is far greater; nearly 27 million households are capable of obtaining some type of high-speed Internet service. CEA's research, however, shows that most Americans are content to buy enough speed for their current at-home Internet habits: e-mail, Web surfing and instant chats.

"The information superhighway is forming exactly as traditional highways have," said Gary Shapiro, president and CEO of CEA. "When the first highways were built, they were connected to most homes by narrow dirt roads. Increasing consumer demand for use of these highways led to the paving of America's roads. Similarly, as consumer demand for the use of the Internet continues to rise, individual connection speeds will increase.

"Two-thirds of Internet users have never actually tried out a high-speed connection, and without having tried it, these users are unaware of the benefits that high-speed access can offer, including a faster and more enjoyable Web surfing experience, prevention of skips and lags in Internet broadcasts, faster downloads of files and information, and the groundwork for convergence of TV and the Internet."

Shapiro's group suggests that, especially with more people working at home, there will be increased interest in having quicker connection to the Internet. Their studies show that most consumers will be equally happy getting their high-speed access via either DSL or cable connections, although consumers don't want to be forced to buy other services from companies offering Internet access, such as cable television services from a cable Internet supplier.

Spam Goes Mobile

Spam--you might be able to ignore it, but you won't be able to outrun it. New research from Gartner Inc. predicts that European mobile phone users within the next eight to twelve months will suffer from a surge in spamming and indiscriminate advertising. This surge could en up angering the very customers advertisers are seeking to attract, Gartner researchers caution.

"This new medium of advertising sounds exciting, but companies must look at this from a customer's point of view or they risk seriously damaging their brand and customer relations," said analyst Catherine Nichols.

The company has put together five "golden rules" for companies looking to promote their services to mobile users:

  1. Optional: The user must have the option to turn off the advertising at any time. This has to be mandatory for business mobiles, as users do not want to be alerted by advertising in the middle of a meeting.
  2. Personalized: Effective advertising has to be relevant. An opt-in culture is necessary to provide valuable personal information for network operators and advertisers to target specific audiences, and for consumers to influence the nature of advertising that they expect to receive.
  3. Discreet: Users want advertising to be unobtrusive. Text and images are seen as acceptable, while voice advertising is not. Ideally, users would prefer their advertising to arrive silently, unless the user has opted-in, such as for location-specific advertising.
  4. Moderate: Don't bombard users with too many messages. The average mobile user would find receiving three to five adverts per day tolerable. Price-sensitive users will be prepared to receive larger volumes of adverts in exchange for a tangible benefit, such as reduced charges for airtime and SMS messages.
  5. Free to the Recipient: Any perception that advertising is costing the user money or resources, such as airtime, phone memory or battery charge, will greatly reduce receptivity to marketing messages. A free offer to accompany an advert, such as loyalty points, will make mobile advertising more tolerable.