Mobile Content and Applications Set for Major Boom in China

When asked to choose the single most important factor in their next purchase, 32% of Chinese consumers chose Content and Applications as their first choice, narrowly behind the brand of handset available (41%) and well ahead of the brand of network provider (3%), according to a study by TNS Technology.

The importance of content and applications is one of the highest ratios in the world and well ahead of markets like the Germany (16%), USA (10%) and Japan (3%), only second to Malaysia (35%). A further 21% still considered Content and Applications as important to them, even if it is not their primary decision factor.

Social networking and search brands currently are the most prominent mobile brands in consumer consciousness, though lagging behind from some handset manufacturers and some network providers. When asked about the single most preferred mobile brands in China, Baidu and Kaixin also made the top-10, just like the case of Google and Facebook in western markets.

"This is a clear sign of a fundamentally changing category, with consumers using their mobile phone as a multi-media and social networking device. Consumers want to create, share and comment on it, rather than to collect content." Shawn Wang, Head of TNS Research International China, commented. "With the launch of 3G networks and the increased access to content and service brands like Baidu and Kaixin through a mobile, the power of handset manufacturers and network providers may be challenged. So handset manufacturers and network providers might need to partner with content and application providers, to better meet consumers' needs and to drive more compelling consumer offers."

The study shows that 16% of mobile users in China now say that they check and update social networking sites through their mobile and a further 19% say they are very or quite interested in using this service in the near future.