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Internet Finding Few Newcomers in 2006 Study Finds Substantial Barriers Exist to Luring Late Adopter - 14 million households rely on Internet connections outside the home
Internet Finding Few Newcomers in 2006 Study Finds Substantial Barriers Exist to Luring Late Adopter

 

NewswireToday - /newswire/ - Dallas, TX, United States, 2006/02/22 - 14 million households rely on Internet connections outside the home.

   
 
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A new study from Parks Associates has found few new households willing to subscribe to Internet services, which will limit 2006 growth in overall Internet penetration to one percent, rising from 63% to 64% by year’s end. According to The National Technology Scan (2005), a survey of 1,000 U.S. homes, there are currently 39 million homes without Internet access, and among these, only eight million own a computer, an obvious prerequisite for Internet adoption. Moreover, the majority of these PC households will not subscribe to an Internet service at any cost.

The study found only two million offline homes are planning to get Internet services in 2006. Another 300,000 homes said they might subscribe if offered a cheaper service. At the same time, 14 million U.S. households do not have Internet service at home but access the Web at work or other locations, such as a library or an Internet café.

“We are clearly facing a problem of demand, not supply,” said John Barrett, director of research at Parks Associates. “Computers and Internet service have never been cheaper, yet many households still show little enthusiasm for the technology.”

Reasons given for this lack of interest vary. Among households that will not subscribe to an Internet service at any price, 31% said having access at work is sufficient for their Internet needs. Another 18% simply claimed, “I am not interested in anything on the Internet.” Thirty-nine percent of households cited “other” reasons for their lack of interest. “We present them with several possible reasons, and their response is typically ‘none of the above,’” Barrett said.

The National Technology Scan (2005) is a nationwide survey that provides an accurate picture of current adoption levels, demand, and the size of the total available market. Such data are crucial for strategic planning and forecasting sales and revenues for product lines and services.

About Parks Associates
Parks Associates is a market research and consulting firm focused on all product and service segments that are “digital” or provide connectivity within the home. The company’s expertise includes home networks, digital entertainment, consumer electronics, broadband and Internet services, and home systems.

Founded in 1986, Parks Associates creates research capital for companies ranging from Fortune 500 to small start-ups through market reports, multiclient studies, consumer research, workshops, and custom-tailored client solutions. Parks Associates also hosts Fall Focus and co-hosts CONNECTIONS™ (in partnership with the Consumer Electronics Association) each year.

 
 
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Written by / Agency / Source: Parks Associates

 
 

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Internet Finding Few Newcomers in 2006 Study Finds Substantial Barriers Exist to Luring Late Adopter

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Publisher Contact: Chelsey Tyson - ParksAssociates.com 
972-490-1113 sales[.]parksassociates.com
 
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IMPORTANT INFORMATION: Issuance, publication or distribution of this press release in certain jurisdictions could be subject to restrictions. The recipient of this press release is responsible for using this press release and the information herein in accordance with the applicable rules and regulations in the particular jurisdiction. This press release does not constitute an offer or an offering to acquire or subscribe for any Parks Associates securities in any jurisdiction including any other companies listed or named in this release.

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