Tablet owners more likely to purchase content

Tablet owners more extravagant

Tablet owners are more likely to purchase content for their device, according to new research by Nielsen, in stats that could make positive reading for media firms seeking to better monetise their content online and on connected devices. The research firm claims that consumers are already paying for content on their tablet, with nearly two-thirds of those surveyed in the US claiming that they paid for music during Q4 2011, while 58% paid for e-books. Half of US tablet owners parted with money for movies during the last quarter of last year, but the figures drop for TV shows and magazines, with just 41% paying for the content. In a worrying stat for newspapers, just 19% of tablet owners paid for news content during Q4, illustrative of wider struggles for the market as publishers grapple with ways to generate digital revenues through methods such as paywalls and ads.

While the US leads the way with many forms of tablet content consumption, the figures drop in selected European countries surveyed by Nielsen. Just 19% of UK consumers paid for music on their device during Q4, dropping to as low as 9% in Germany. Contrastingly, some 44% of Italian tablet owners paid for newspaper content late last year, above the UK and Germany’s 19% and 15% paid consumption rates respectively.

Nielsen’s research could go some way to vindicate Amazon’s business model for its Android-based tablet, the Kindle Fire. The online retailer is aiming to recoup losses from manufacturing the device by generating an average of $136 in content revenue per user, according to recent research by RBC Capital, as it attempts to find a lucrative way into the tablet market to challenge Apple’s market-leading iPad. Tablets are increasingly looked upon as primarily media-consuming devices, with the devices’ size and functionality making them ideal for reading, watching and listening to media. Research from Ooyala late last year asserts that tablet owners already watch 28% more video content per play than those who view videos on their desktop computers. Overall, US tablet owners are expected to top 90m in the US alone by 2014, according to stats from eMarketer.

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