Wednesday, 25 June 2014 13:33

The world wants phablets Featured

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As Apple readies the large screen iPhone, a major global survey finds consumers wanting larger screens. These devices are often called ‘phablets’ - a phone with a screen the size of a small tablet (5 to 7 inches).

According to a new survey conducted by consultancy Accenture, nearly half of global consumers say they want a phablet-instead of a smaller phone. Phablets are more popular in emerging markets – nearly two thirds (66%) of Chinese consumers want one.

The findings underscore the shift among smartphone users toward larger screens. And they explain much of the reasoning behind Apple's widely rumoured plans to increase the screen size of the next iPhones.

News agency Bloomberg has all but confirmed many earlier reports that Apple’s new iPhones will have much larger screens and be released in September. “Suppliers in China will begin mass production of its largest iPhones ever next month, according to people familiar with the plans, as the smartphone maker faces increased competition.”

Bloomberg’s informants say that Apple is building two bigger iPhones. “One model will have a 4.7-inch display and be ready in September. A 5.5-inch version is also being prepared for manufacturing and may be available at the same time.” Apple's current iPhones have 4-inch screens.

Apple’s Android competitors have been moving towards larger screens for some time. Samsung’s popular S5 has a 5.1 inch screen, which must now be regarded as the industry norm. A recent report from Forrester Research said 40% of Android sold globally this year have had display sizes of more than 5 inches.

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“The phablet screen size is hitting a sweet spot for a large percentage of consumers wanting more digitally connected lifestyles,” said David Sovie, managing director of Accenture’s Communications, Media and Technology group. “To capitalise on this, consumer technology companies should consider adjusting their digital strategies, research and development investments, product roadmaps and supply chains to focus more on phablet business opportunities and less so, in some cases, on the conventional smartphone market.”

The findings are the latest to be released from the 2014 Accenture Digital Consumer Survey, which explores consumer electronics spending and usage of 23,000 respondents in 23 countries.

The survey also revealed that consumer preferences for phablets are stronger in emerging countries than developed countries. Of the consumers planning to buy a smartphone, 67% in India, 66% in China and 65% in South Africa said they would prefer to buy a phablet device.

“Consumers in developed countries, by contrast, were less partial to buying phablets. In the US, for example, 40% indicated a preference to buy a phablet. Similarly, less than a third (30%) of German respondents and only 19% of Japan’s participants prefer a phablet.” The figure for Australia was 37%.

“Phablet demand in developed countries is significant, yet even bigger business opportunities are coalescing in emerging markets,” said Sovie. “Among those, the most lucrative opportunity will likely be in China, because it is one of the world’s largest smartphone markets. Consumer technology companies need to broaden their phablet product development and sales initiatives to target larger regional markets keen to buy phablets.”

The survey also found that 44% of respondents are planning to buy a tablet PC this year. Of those, 72% prefer the full-size tablets rather than micro-mini-sized versions, compared with 20% who prefer the smaller versions.

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Graeme Philipson

Graeme Philipson sadly passed away in Jan 2021 and he was always a valued senior associate editor at iTWire. He was one of Australia’s longest serving and most experienced IT journalists. He is the author of the only definitive history of the Australian IT industry, ‘A Vision Splendid: The History of Australian Computing.’He was in the high tech industry for more than 30 years, most of that time as a market researcher, analyst and journalist. He was founding editor of MIS magazine, and is a former editor of Computerworld Australia. He was a research director for Gartner Asia Pacific and research manager for the Yankee Group Australia. He was a long time weekly IT columnist in The Age and The Sydney Morning Herald, and is a recipient of the Kester Award for lifetime achievement in IT journalism. Graeme will be sadly missed by the iTWire Family, Readers, Customers and PR firms.

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