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Apple tops rivals in smartphone customer satisfaction – FierceMobileContent

Posted by admin on May 15, 2009 in Uncategorized

It’s not a big surprise that Apple is on top of the J.D. Powers recent Smartphone study.  What is a surprise is how close LG and Samsung are to the iphone.

Apple claimed top honors in consumer satisfaction among smartphone manufacturers according to J.D. Power and Associates’ 2009 Wireless Consumer Smartphone Customer Satisfaction Study. Measuring key device factors including ease of operation 30 percent, operating system 22 percent, features 21 percent, physical design 18 percent and battery function 9 percent, the J.D. Power survey awards Apple a score of 791 on a 1,000-point scale, noting the computing giant excelled in ease of operation, OS, features and physical design. LG 772 points and Samsung 759 points follow closely behind.

via Apple tops rivals in smartphone customer satisfaction – FierceMobileContent.

The differences in scores are probably within the margin of error for the study itself.  The question is, why are we surprised at the lack of difference in how people perceive the experience?  My belief is that the answer lies in how each of these OEM’s crafts and targets their experiences.  The OEM’s are able to compete successfully in the market due to the differences in user tastes.  The iPhone, though a compelling experience, is not equally compelling to everyone.  I feel that this is one of the main reasons the uber converged device will continue to be an elusive myth.  People are different and companies will continue to be successful by exploiting and supporting those differences.

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Death of Television Channels?

Posted by admin on May 1, 2009 in Creating New Markets

Very interesting post from the New York Times on how the cost of content is impacting the profitability of the cable companies where as their dumb pipe business of internet services is taking off.

I’ve been looking closely at the recently announced first-quarter financial results of Comcast and Time Warner, the country’s two largest cable systems.

Matt Rourke/AP

Over all, these companies are doing quite well, making more money than ever, with lower capital investment. But if there was one weak spot jumping out of the numbers, it was not their Internet business but their traditional TV service, where the cost of paying for content to put on all those channels is rising faster than subscription fees.

via The Problem With Cable Is Television – Bits Blog – NYTimes.com.

As a result, I’m having an internal debate on the potential death of channels.  Channels are in some ways the original website portals, locations on the frequency spectrum where you could find content, typically served by a single company but provided by many.  The success of the business model was predicated that the consumer would experience advertising served during their time on that channel/portal.  The channel would gain sufficient revenues from selling these ads to purchase new content, produce their own content, and hopefully make a tidy profit at the end of the day.

As the content gets more expensive and more people are consuming content by selecting specific content from the Internet more than affinity portals on cable networks (Sci-Fi or TLC or ESPN), the channels will start to lose ad revenues while their content acquisition costs continue to increase.  Portals/channels are no longer required for customers to discover and experience content of interest (think You-Tube, Hulu, etc.).  As a result, the blanket advertising model is crumbling.  As TV’s and laptops both begin to access the same content sources from the net, bypassing cable channels all together, there is an opportunity to tailor ads directly to the consumer based on the real time personal channel creation.  By leveraging membership and viewship rosters, YouTube, Roku, Hulu, and others can insert more pertinent ads to the individual or household consuming content outside the traditional cable channels/portals.

Couple this with the increasing quality of prosumer generated content and you have a rising ecosystem that could drive the cable companies into internet service providers at a more rapid pace.  I believe that this will culminate in the death of the channel as we understand it today.

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