1. UK in context
Figure 1.1
1
Global communications revenue
Source: Data derived from various sources: PwC Global Entertainment and Media Outlook 2014-2018 @ www.pwc.com/outlook for television and radio revenues (both include advertising, license fees and subscription services only), Wik Consult / Ofcom estimates for postal revenues. IHS / industry data / Ofcom for telecoms revenues, which refer to retail revenues for fixed voice, broadband and mobile services. Interpretation and manipulation of data are solely Ofcom's responsibility. Ofcom has used IMF 2013 average exchange rates in converting from local currency to GBP. Note: Postal revenues are for our 17 comparator countries only.
770 783 796 824 842
208 225 236 247 254 85 84 82 81 80 26 26 27 28 28 £1,090bn £1,119bn £1,142bn £1,179bn £1,205bn
0
200
400
600
800
1,000
1,200
1,400
2009 2010 2011 2012 2013
Radio
Post
Television
Telecoms
2.7% 2.3%
-0.6% -1.6%
3.1% 5.1%
2.1% 2.3%
2.1% 2.5%
CAGR 2009- 2013
Year- on-year growth
All All
Revenue (bn)
1 1
Figure 1.2
106
85
179
21
21
110
12
30
1
1
13
£129
£118
£332
0 50 100 150 200 250 300 350
CHN
JPN
USA
Telecoms Television Post RadioRevenue (£bn)
7 15
22 31
19 3
6 5
8 16 16
19 27
21 29
0.5 5
4 12
5 1
2 2
3 3 5
7 19
9 13
1 2
2
1 1
2 2
1 3
7 7
8
1 0
3 1
1
£8bn £20bn
£27bn £46bn
£26bn £4bn
£9bn £8bn
£13bn £21bn
£23bn £29bn
£56bn £38bn
£51bn
0 10 20 30 40 50 60
NGAIND
RUSBRAKORSGPPOLSWENEDESPAUSITA
GERFRA
UK
Revenue (£bn)
Source: Data derived from various sources: PwC Global Entertainment and Media Outlook 2014-2018 @ www.pwc.com/outlook for radio revenues (include advertising, license fees and satellite subscription services only), Wik Consult / Ofcom estimates for postal revenues, IHS / industry data / Ofcom for television and telecoms revenues (telecoms revenues refer to retail revenues). Interpretation and manipulation of data are solely Ofcom's responsibility. Ofcom has used IMF 2013 average exchange rates in converting from local currency to GBP. Note: Postal revenue data is not available for Nigeria
Communications sector revenues: 2013
39 78
151 154
392 612
164 472
448 334
691 671
567 311 323 317
449
30 61
106 110
57 202
158 63
199 162
348 109
230 134
210
1 0
4 12
32 24
20 116
132 33
58 92
95 51
88 109
117
1 0
2 2
3 17
3 12
16 8
30 7
40 7
36 17
18
£42 £95
£16 £188
£228 £533
£763 £244
£802 £754
£437 £978
£931 £1,050
£478 £677
£577 £794
£0 £200 £400 £600 £800 £1,000 £1,200
NGACHNIND
RUSBRAKORSGPPOLSWENEDESPAUSJPNUSAITA
GERFRA
UK
Telecoms Television Post Radio
2
Figure 1.3 Communications sector revenues per head: 2013
Source: Data derived from various sources: Ofcom analysis based on data from PwC’s Global Entertainment and Media Outlook 2014-2018 @ www.pwc.com/outlook for radio revenues (include advertising, license fees and satellite subscription services only), Wik Consult / Ofcom estimates for postal revenues (no postal data available for Nigeria). IHS / industry data / Ofcom for television and telecoms revenues (telecoms revenues refer to retail revenues). Interpretation and manipulation of data are solely Ofcom's responsibility. Ofcom has used IMF 2013 average exchange rates in converting from local currency to GBP. Figures adjusted using data from http://stats.oecd.org
270
75
463
404
257
768
559
446
259
269
278
449
73
26
198
142
48
221
135
274
91
192
118
210
22
9
114
119
25
64
77
75
43
73
96
117
2
12
14
6
33
6
31
6
30
15
18
£368
£112
£786
£679
£336
£1,087
£776
£827
£398
£564
£506
£794
£0 £200 £400 £600 £800 £1,000 £1,200
KOR
POL
SWE
NED
ESP
AUS
JPN
USA
ITA
GER
FRA
UK
Telecoms Television Post Radio
3
Figure 1.4 Communications revenues per head adjusted for comparative price levels : 2013
Source: Data derived from various sources: Ofcom analysis based on data from PwC’s Global Entertainment and Media Outlook 2014-2018 @ www.pwc.com/outlook for radio revenues (include advertising, license fees and satellite subscription services only), Wik Consult / Ofcom estimates for postal revenues. IHS / industry data / Ofcom for television and telecoms revenues (telecoms revenues refer to retail revenues). Interpretation and manipulation of data are solely Ofcom's responsibility. Ofcom has used IMF 2013 average exchange rates in converting from local currency to GBP. Figures adjusted using data from http://stats.oecd.org Note: Postal revenue data is not available for Nigeria
£103bn
£24bn
£127bn
Broadcast televisionadvertising
Television public licence fee
Television subscriptions
£22bn
£4bn
£2bn
Radio advertising
Radio public licence fee
Satellite Radiosubscriptions
4
Figure 1.5 Sources of global revenue for television and radio industries: 2013
Source: All data derived from PwC Global Entertainment and Media Outlook: 2014-2018 @ www.pwc.com/outlook. Notes: Ofcom is responsible for all growth calculations displayed. Ofcom uses an exchange rate of $1.563 to the GBP in line with the IMF average for 2013.
1.9% 5.3%
1.6% 1.5%
4.4% 5.7%
2.5% 2.2%
0.3% 0.1%
9.9% 9.3%
Year- on-year growth
CAGR 2009- 2013
55.0 54.8 54.3 53.0 52.2
22.6 23.4 24.0 23.9 23.9
84.5 93.9 98.0 102.8 105.2
20.0 20.4 20.9 21.3 21.8
1.3 1.4 1.5 1.6 1.7
18.6 20.0 21.0 21.6 22.6 37.5 44.7
54.6 63.8
75.0 £240bn
£259bn £274bn
£288bn £302bn
0
50
100
150
200
250
300
2009 2010 2011 2012 2013
Internet
Outdoor
Cinema
Radio
Television
Magazines
Newspapers
CAGR 2009- 2013
Year- on-year growth
Revenue (£bn)
17.6% 18.9%
4.6% 5.1%
4.2% 6.1%
2.5% 2.2%
2.4% 5.6%
0.1% 1.4%
-1.4% -1.3%
5.0% 6.0%
5
Figure 1.6 Global advertising expenditure, by medium: 2013
Source: Data derived from PwC Global Entertainment and Media Outlook: 2014-2018 @ www.pwc.com/outlook. Notes: Ofcom is responsible for all growth calculations displayed. Ofcom uses an exchange rate of $1.563 to the GBP in line with the IMF average for 2013.
All
All
59 60 45 37 42 45 44 41 20
130 117 140
159
106 114 131
107 91
020406080
100120140160
UK FRA GER ITA USA JPN AUS ESP CHN UK FRA GER ITA USA JPN AUS ESP CHN
Fixed voice Mobile
Source: IHS / industry data / Ofcom 7
Figure 1.7 Fixed voice and mobile connections per head: 2013
0 -4 -2 -2 -12 -1 -6 -4 -6 +5 +27 +10 +6 +17 +27 +23 -1 +44
Connections per 100 population
Change since 2008:
Change since 2008:
36 38 34
23 29
35 28 26
15
0
10
20
30
40
UK FRA GER ITA USA JPN AUS ESP CHN
Source: IHS / industry data / Ofcom. Note: Broadband connections include business connections 8
Figure 1.8 Fixed broadband connections per 100 population: 2013
Connections per 100 population
+7 +10 +7 +3 +5 +11 +4 +7
+8
100 95
68
100 95 100 100 99 75
0
20
40
60
80
100
UK FRA GER ITA USA JPN AUS ESP CHN
Source: IHS / industry data / Ofcom. 10
Figure 1.10 Digital TV homes per 100 TV households: 2013
+14 +19 +24 +40 +14 +16 +28 +36 +60 Change since 2008 :
DTV homes per 100 TV households
11
Figure 1.11 Ownership and personal use of devices
63
46
76
54
31
57
42
75 66
6
62
37
78 66
9
76
54
79 67
17
50 38
71 65
5
77
28
79
58
4
69
51
81
64
17
77
59
82 74
13
80
60
84 82
13
%
20%
40%
60%
80%
100%
Smartphone Tablet Laptop Desktop Digital radio
UK FRA GER ITA USA JPN AUS ESP CHN
Source: Ofcom consumer research October 2014 Base: All respondents, UK=1011, FRA=1027, GER=1006, ITA=1006, USA=1000, JPN=1003, AUS=1000, ESP=1002, CHN=1010 Q3a. Which of the following devices do you have in your home? (Tablet, Laptop, Desktop, Digital radio, DVR, HDTV, Smart TV, 3D TV) Q.4a Which of the following devices do you personally use? (Smartphone)
Proportion of respondents (%)
Figure 1.12
12
30
63
22 22
9 14
40
18 12 8
25
48
10
26 17
31
56
15 25
15
38
66
28
14 8
22 27
8 16
6
31
67
7
27 18
24
61
8
21 14 14
37
14
34
13
%
20%
40%
60%
80%
100%
DVR HDTV On Demand (VOD)TV service
Smart TV 3D TV
UK FRA GER ITA USA JPN AUS ESP CHN
Ownership and personal use of devices (DVR, HDTV, VoD, smart TV and 3DTV)
Source: Ofcom consumer research October 2014 Base: All respondents, UK=1011, FRA=1027, GER=1006, ITA=1006, USA=1000, JPN=1003, AUS=1000, ESP=1002, CHN=1010. Q3a. Which of the following devices do you have in your home? (DVR, HDTV, Smart TV, 3D TV) Q3b. Which of the following services do you have in your home (Video on Demand (VoD Service)
Proportion of respondents (%)
13
Figure 1.13 Regular use of selected communications services / media
88
64 44 36 28
88 73
32 45
34
90 75
33
60 40
90 74
58 54
27
85
63
20
48
26
88
40 43 25 18
89
63
38 51
26
91 72
54 51
15
79
28 32 45
12
%20%40%60%80%
100%
Watch TV Listen to the radio Read nationalnewspapers
Read localnewspapers
Send letter /parcel items
through the post
60
82 82
28 29
66 82 84
27 24
81 85 79
28 25
62
91
68
47 45 47
70 66
19 24 41
81
56
16 28
52
84 75
32 32
75 90
78
44 44 27
82 76
51
26
%20%40%60%80%
100%
Use a home fixedline phone
Use a mobilephone/ smart
phone
Use the internetthrough fixedbroadband
Use internetaccess via a
mobile handset
Listen to music ona portable media
player
UK FRA GER ITA USA JPN AUS ESP CHNSource: Ofcom consumer research October 2014 Base: All respondents, UK=1011, FRA=1027, GER=1006, ITA=1006, USA=1000, JPN=1003, AUS=1000, ESP=1002, CHN=1010. Q.6 Which of the following do you regularly do (at least once a week)?
Proportion of respondents (%)
14
Figure 1.14 Comparison of ‘lowest available’ stand-alone pricing
Source: Ofcom, using data supplied by Teligen Note: Excludes the TV licence fee (where applicable)
100 100 100 100 114
95
175
89 63
186
139
71 65
142 174
62 82.73619261
138.2111928
228.1011657
118.6852729
76.43075343
240.3452572
144.3945726
102.718986
0
50
100
150
200
250
Fixed voice Mobile phone Fixed broadband Pay-TV
UK
FRA
GER
ITA
ESP
USA
Index (UK = 100)
15
39 31 47
26 16
28 32 17 11
25
6
5
2 15 1
4
5 1
2
20 7
6 1 5 8
21
6
3 6 1
1 1
2 8
3
1 2 2
5 2
3 7
2
13 22 21
40 32 24
21
32
57
83 88
83 80
67 59
70
90 80
0
20
40
60
80
100
UK FRA GER ITA USA JPN AUS ESP CHN
Other
Fixed phone, fixed broadband,mobile phone & mobile broadband
Fixed phone, fixed broadband, pay-TV & mobile phone
Fixed phone, fixed broadband &mobile phone
Fixed phone, fixed broadband &pay-TV
Fixed phone & fixed broadband
Source: Ofcom consumer research October 2014 Base: All respondents with more than one service, UK=956, FRA=945, GER=941, ITA=931, USA=845, JPN=798, AUS=914, ESP=947, CHN=854 Q.5 Do you receive a package or bundle of two or more of these services from the same supplier?
Proportion of consumers buying more than one communications service from the same provider
Proportion of respondents (%)
Figure 1.15
16
Figure 1.16 ‘Lowest available’ (including bundles) pricing for the ‘connected family’ household
Source: Ofcom, using data supplied by Teligen / OECD Note: Excludes the TV licence fee.
84 80
157
103
158
224
96 80
131 116
132
218
0
50
100
150
200
250
UK FRA GER ITA ESP USA
2013
2014
£ per month
+15% +0% -16% +13% -16% -3% Annual change
17
Figure 1.17 ‘Lowest available’ (including bundles) comparative pricing for the ‘basic needs’ household
Source: Ofcom, using data supplied by Teligen Note: Excludes the TV licence fee.
34 36 35
28
40
50
28 30 26 25
21
44
0
10
20
30
40
50
UK FRA GER ITA ESP USA
2013
2014
£ per month
-16% -19% -25% -13% -46% -11% Annual change
18
Source: Ofcom / Teligen Note: Green circle indicates the lowest pricing across all six countries included in this analysis
Comparison of international pricing: 2014
‘Basic needs’ household
‘Late adopters’ household
‘Mobile power user’ household
‘Connected family’ household
‘Sophisticated couple’ household
Price (£ per month)
‘Weighted average’
‘Lowest available’
‘Weighted average’
‘Lowest available’
‘Weighted average’
‘Lowest available’
‘Weighted average’
‘Lowest available’
‘Weighted average’
‘Lowest available’
UK 40 28 61 40 81 69 150 96 172 121
FRA 42 30 69 33 81 60 174 80 168 108
GER 44 26 94 47 130 101 261 131 216 126
ITA 46 25 79 41 91 75 207 116 178 103
ESP 49 21 87 50 128 106 223 132 187 143
US 75 44 112 87 153 118 286 218 275 214
Figure 1.18
2014 rank Country Average
rank 2013 Average
rank 2014
1= UK 1.9 1.9
1= FRA 2.4 1.9
3 ITA 2.0 2.8
4= GER 4.0 4.2
4= ESP 4.8 4.2
6 USA 5.9 6.0
19
Average overall rank based on ‘weighted average’ stand-alone and lowest available prices, available across all five households: 2013 and 2014
Figure 1.19
Source: Ofcom / Teligen
17
6
52
17
89
60
53
0
0
93
50
100
100
1
25
1
0
0
63
68
81
39
97
82
85
47
90
99
66
100
100
32
36
1
1
9
UK
FRA
GER
ITA
USA
JPN
AUS
ESP
NED
SWE
POL
SGP
KOR
BRA
RUS
IND
CHN
NGA
0 25 50 75 100
2012 2013
7
Figure 1.20
4G population coverage (%) by country: 2012- 2013
Source: IHS
Population coverage (%) Percentage
point change
46
62
29
22
8
22
32
47
90
6
16
0
0
31
11
0
1
9
75 19
80 52
80 45
67 41
72 5
16 0
57 11
67 21
83 47
65 20
63 26
61 13
33 7
99 62
100 87
100 93
100 66
100 83
25 77
20 43
20 50
33 55
28 72
84 78
43 69
33 76
17 49
35 69
37 72
39 62
67 42
1 37
13
7
34
17
4
4
5
3
23
22
20
3
4
11
2
24
51
1
0 50 100
200820132008201320082013200820132008201320082013200820132008201320082013200820132008201320082013200820132008201320082013200820132008201320082013
Total mobile connections (%)
2G 3G 4G
8
Figure 1.21 Mobile connections by technology: 2008 and 2013
UK
FRA
GER
ITA
USA
JPN
AUS
ESP
NED
SWE
POL
SGP
KOR
BRA
RUS
IND
CHN
NGA
Source: IHS / industry data / Ofcom
Figure 1.22
22
40
39
33
33
26
26 31
40
28
18
40
28 36
32
56
48
44
35
37
25 29
53
51
47
44
34
26
17
43
39
37
39
29
27
39
57
30 37
11
38
8
24
38
36
28 35
31
29
42 51
34
55
42
43
22 32
71
54
54
40
31
51
19
01020304050607080
Quickerdownloadspeeds
More reliabledata connection
Quickerstreaming
speeds
Improved datacoverage
To takeadvantage of
newest phones
To keep up withtechnology
developments
It was providedautomatically by
the operatorwithout me doing
anythingUK FRA GER ITA USA JPN AUS ESP CHN
Source: Ofcom consumer research October 2014 Base: All respondents who have or are likely to get 4G, UK=285, FRA=293, GER=192, ITA=362, USA=409, JPN=259, AUS=440, ESP=406, CHN=539 Q.23 You said that you have/ are likely to get a 4G service [in the next 12 months]. Which of the following are reasons why you got/ are likely to get a 4G contract?
Reasons for choosing 4G Proportion of respondents (%)
Figure 1.23
23
Proportion of respondents video streaming/downloading on a mobile phone at least weekly, among 4G and non-4G users
Source: Ofcom consumer research October 2014 Base: All respondents who use 4G/don’t use 4G on their phone, UK=81/258, FRA=99/262, GER=54/329, ITA=83/579, USA=136/148, JPN=93/157, AUS=164/300, ESP=113/507, CHN=132/436.
21 18 16
33 3225 28
35
51
37
25
37
50 50
29
4251
76
0
20
40
60
80
UK FRA GER ITA USA JPN AUS ESP CHN
non-4G
4G
Proportion of respondents (%)
16 7 21 17 18 4 14 16 25Percentage point difference
Figure 1.24 91
66
86
82
84 89
62
75
72
71
88
70
72 79
78 82
76 81
80
77 86
64
78
72 77
74
38
64
61 64
85
64
80
77
74
87
56
77
77 80 85
64
77
72 77
0102030405060708090
100
Overall service Price paid Ability to accessnetwork
Reliability ofinternet
connection
Speed of internetconnection
Satisfaction with mobile phone services Proportion of 4G respondents (%)
81
80
71
64
60
79
67 71
61
55
82
71
64
56
53
80
70
69
62
58
86
72 75
67
66
63
29
42
41
37
81
73
71
62
55
75
60
62
58
52
80
57
52 55
45
0102030405060708090
100
Overall service Price paid Ability to accessnetwork
Reliability ofinternet
connection
Speed of internetconnection
UK FRA GER ITA USA JPN AUS ESP CHNSource: Ofcom consumer research October 2014 Base (4G): All respondents with mobile broadband internet access or those who access the internet access via a mobile handset on a 4G network, UK=81, FRA=99, GER=54, ITA=83, USA=136, JPN=93, AUS=164, ESP=113, CHN=132. PLEASE NOTE: low base sizes Base (non-4G): All respondents with mobile broadband internet access or those who access the internet access via a mobile handset not on a 4G network, UK=252, FRA=261, GER=315, ITA=562, USA=138, JPN=140, AUS=282, ESP=491, CHN=431 Q.25 To what extent are you satisfied or dissatisfied with the following aspects of your mobile phone service?
Proportion of non-4G respondents (%)
25
UK FRA GER ITA US JPN ESP Urban BRA
News about the country 71% 64% 67% 59% 57% 52% 63% 66%
International news 49% 52% 64% 49% 39% 43% 45% 41%
Local news about my town or city 46% 37% 47% 45% 57% 31% 42% 47%
News about my region 38% 41% 51% 38% 31% 33% 42% 12%
Business and financial news 21% 15% 17% 15% 20% 26% 13% 29%
News about the economy 39% 27% 29% 33% 46% 44% 38% 34%
Entertainment and celebrity news 17% 13% 15% 13% 15% 24% 14% 22%
Fun/weird news 15% 22% 14% 21% 16% 28% 18% 15%
Health and education news 28% 31% 30% 38% 28% 30% 37% 57%
Arts and culture news 12% 15% 9% 24% 10% 15% 19% 27%
Sports news 29% 25% 28% 29% 20% 28% 35% 30%
News about the country’s politics 37% 45% 51% 54% 46% 52% 40% 37%
Science and technology news 25% 28% 27% 35% 28% 26% 33% 43%
Source: Reuters Institute / YouGov research Jan/Feb 2014 Q: Which of the following types of news is most important to you? Choose up to five. Base: UK (n=2082) France (n=1946) Germany (n=2063) Italy (n=2010) US (n=2197) Japan (n=1973) Spain (n=2017) urban Brazil(1015)
Figure 1.25 Levels of interest in types of news
26
Figure 1.26
UK FRA GER ITA USA JPN ESP Urban BRA
Computer 57% 61% 60% 69% 69% 79% 63% 62%
Smartphone 24% 22% 24% 19% 17% 15% 22% 18%
Tablet 16% 8% 9% 8% 10% 3% 9% 8%
Source: Reuters Institute / YouGov research Jan/Feb 2014 Q8b.5 You say you use the following devices to access news in the last week, which is your MAIN way of accessing online news? Base: UK (n=2082) France (n=1946) Germany (n=2063) Italy (n=2010) US (n=2197) Japan (n=1973) Spain (n=2017) urban Brazil(1015)
Main online source of news, by country
27
79%
21%
88%
12%
87%
13%
69%
31%
79%
21%
81%
19%
81%
19%
71%
29%
0%10%20%30%40%50%60%70%80%90%
100%
Range of views Particular view
UK FRA GER ITA USA JPN ESP BRASource: Reuters Institute / YouGov research Jan/Feb 2014 Q5c: Thinking about different kinds of news available to you, do you prefer where the reporter tries to reflect… Base: UK (n=2082) France (n=1946) Germany (n=2063) Italy (n=2010) US (n=2197) Japan (n=1973) Spain (n=2017) urban Brazil(1015)
Figure 1.27 Preference for diverse news, by country
28
Source: Reuters Institute / YouGov research Jan/Feb 2014 Q10: Which were the ways in which you came across news stories last week? Base: UK (n=2082) France (n=1946) Germany (n=2063) Italy (n=2010) US (n=2197) Japan (n=1973) Spain (n=2017) urban Brazil(1015) Note: respondents were asked about ways of accessing news additional to the subset discussed here
Figure 1.28
45%
23% 27%
39% 33%
20%
46% 46%
29%
40% 42%
59%
40% 41% 35%
59%
17% 14% 15%
34% 28%
12%
38% 46%
0%10%20%30%40%50%60%70%80%90%
100%
UK FRA GER ITA USA JPN ESP BRA
Brand Search engine Social media
Comparison of online use of traditional brands, search engines and social media
29
Sharing, commenting and creating news, by country
UK FRA GER ITA US JPN ESP Urban
BRA Share a news via a social network 12% 11% 13% 35% 22% 8% 30% 42%
Rate or like a story 8% 10% 17% 31% 15% 6% 25% 22%
Comment on news website 7% 7% 8% 13% 14% 3% 7% 19%
Online vote 11% 11% 16% 24% 25% 4% 16% 22%
Talk to friends online 16% 15% 13% 19% 29% 7% 24% 33%
Talk with friends and colleagues 39% 30% 41% 40% 44% 14% 48% 44%
Source: Reuters Institute / YouGov research Jan/Feb 2014 Q13: During an average week in which, if any, of the following ways do you share or participate in news coverage? Multiple answers allowed, only some responses included here. Base: UK (n=2082) France (n=1946) Germany (n=2063) Italy (n=2010) US (n=2197) Japan (n=1973) Spain (n=2017) urban Brazil(1015)
Figure 1.29
Figure 1.30
30
40 34
10 6
2 8
47
25
7 8 3
10
45
28
11 10
2 5
39 41
8 7 3 2
38 34
9 5
2
12
33
44
9
1 1
12
41 36
9 5
2 7
41 35
8 7 3 5
28
56
6 4 4 3
0
10
20
30
40
50
60
TV Internet Newspaper/magazine
Radio Other people Not interested
UK FRA GER ITA USA JPN AUS ESP CHNSource: Ofcom consumer research October 2014 Base: All respondents, UK=1011, FRA=1027, GER=1006, ITA=1006, USA=1000, JPN=1003, AUS=1000, ESP=1002, CHN=1010 Q.11 Which, if any, is your main source for the following information? International News
Main source of international news All respondents %
Figure 1.31
31
38 33
13
6 2
8
48
24
10 10
3 6
39
24
15 10
2
9
35 39
11 8
5 3
39 34
11
4 3
11
42 38
14
3 1 3
41
32
11 7
3 7
40
33
11 10
2 4
29
54
8 5 3 2
0
10
20
30
40
50
60
TV Internet Newspaper/magazine
Radio Other people Not interested
UK FRA GER ITA USA JPN AUS ESP CHN
Source: Ofcom consumer research October 2014 Base: All respondents, UK=1011, FRA=1027, GER=1006, ITA=1006, USA=1000, JPN=1003, AUS=1000, ESP=1002, CHN=1010 Q.11 Which, if any, is your main source for the following information? National News
Main source of national news All respondents %
Figure 1.32
32
31
20 25
8 6 9
29 25
19
12 6
9
19
35
17 17
6 6
25 24
32
10 6
3
32
23 22
7 4
11
34
22 28
4 3 8
32
23 23
11
4 7
26 21
30
12 7 5
21 26
36
9 6
3
0
10
20
30
40
50
60
TV Newspaper/magazine
Internet Radio Other people Not interested
UK FRA GER ITA USA JPN AUS ESP CHN
Source: Ofcom consumer research October 2014 Base: All respondents, UK=1011, FRA=1027, GER=1006, ITA=1006, USA=1000, JPN=1003, AUS=1000, ESP=1002, CHN=1010 Q.11 Which, if any, is your main source for the following information? Regional / local News
Main source of regional/local news All respondents %
Figure 1.33
33
19 25
8 7 3
38
26 20
9 6 4
36
29
17
9 10
3
32 26 28
12 8
4
22 25
22
7 7 5
33 35 31
3 8
1
21
30
21
8 6 2
34 30
25
11 8
4
23 21
42
12 9
4
12
0
10
20
30
40
50
60
TV Internet Radio Newspaper/magazine
Other people Not interested
UK FRA GER ITA USA JPN AUS ESP CHNSource: Ofcom consumer research October 2014 Base: All respondents, UK=1011, FRA=1027, GER=1006, ITA=1006, USA=1000, JPN=1003, AUS=1000, ESP=1002, CHN=1010 Q.11 Which, if any, is your main source for the following information? Regional / Sports news
Main source of sports news All respondents %
Figure 1.34
34
25
12 8 6
3
47
25
14 10
7 5
39
17 21
11 8
4
38
31
16
8 11
6
28 24
16
6 8 4
43
35
18
3 2 1
40
28
16
8 5 4
40
16
25
6 11
3
38
51
9 6
16
5
12
0
10
20
30
40
50
60
Internet TV Newspaper/magazine
Other people Radio Not interested
UK FRA GER ITA USA JPN AUS ESP CHN
All respondents %
Main source of celebrity news/gossip
Source: Ofcom consumer research October 2014 Base: All respondents, UK=1011, FRA=1027, GER=1006, ITA=1006, USA=1000, JPN=1003, AUS=1000, ESP=1002, CHN=1010 Q.11 Which, if any, is your main source for the following information? Celebrity news / gossip
35
Figure 1.35
Type of mobile payment Description Selected examples
Banking apps Apps to access bank accounts and perform banking functions
BBVA Espana (Spain), CommBank App (Australia)
Digital wallets Service provides store of funds which can be used to make payments
mPesa (India), Zuum (Brazil), Vodafone Smartpass (UK, Germany, Netherlands, Spain), MTN Mobile Wallet (Nigeria), Google Wallet, PayPal
Integrated payments Payments integrated into digital platforms iTunes, Amazon (available in multiple comparator countries)
Mobile payment services Access to interbank payment system via mobile handset
Paym (UK), Zapp (UK-2015), PSP (Poland), FAST (Singapore)
Operator billing Goods and services charged to mobile bill DCMX Mini (Japan), public transport ticketing (France, Sweden)
Payments-enabled handsets Mobile handsets able to make contactless payments via NFC or authenticate payments via Bluetooth Low Energy
NFC handsets available in multiple countries. Some MNOs offer retrofit to non-NFC handsets e.g. SingTel NFC SIM Card (Singapore)
Examples of consumer-facing innovation in mobile payments
Source: Ofcom
36
Figure 1.36
16 14 15 18 14 15 13 12 11
30 26 27 22 17 22 22 16
23 22 17 17 20 17 17
58 57 65
010203040506070
Digital good/ service e.g. music/game download etc.
'Real life' service e.g. publictransport ticket, paying for car
parking etc.
'Physical good' e.g. cup ofcoffee/ item of clothing etc.
UK France Germany Italy USA Japan Australia Spain China
Proportion of respondents %
Source: Ofcom consumer research. Q: Mobile payments’ are purchases, bill payments, charitable donations, payments to another person, or any other payment. using a mobile phone. Which, if any, of the below methods of mobile payment have you ever personally used to buy each of these types of goods? Base: All respondents with a mobile phone/ smartphone. All respondents with a mobile phone/ smartphone, UK=827, FRA=797, GER=861, ITA=890, USA=748, JPN=801, AUS=869, ESP=866, CHN=853
Proportion of respondents who have ever made a mobile payment, by type of goods purchased
Figure 1.37
37
Source: Ofcom consumer research October 2014 Base: All respondents with a mobile phone/ smartphone, UK=827, FRA=797, GER=861, ITA=890, USA=748, JPN=801, AUS=869, ESP=866, CHN=853 Q.32 mobile payments’ are purchases, bill payments, charitable donations, payments to another person, or any other payment using a mobile phone. Which, if any, of the below methods of mobile payment have you ever personally used to buy each of these types of goods?
Type of mobile payment used for non-digital services
4 6 5 6 5 5 5 5 5 5 4 5 4 5 4
9 11 12 12
8 5
8 6
9 6
3 5 6
8 5 5
7 8 6 5 5
7 7 7 5
14
25 21
24
19
0
5
10
15
20
25
30
Mobile payment viasending a text
Mobile payment viaan app on my phone
Mobile payment viaa website accessedon my mobile phone
Mobile payment viatouching my phone
against a reader
Mobile payment viascanning a QR code
on my phoneagainst a reader
UKFRAGERITAUSAJPNAUSESPCHN
Proportion of respondents (%)
Figure 1.38
38
Source: Ofcom consumer research October 2014 Base: All respondents with a mobile phone/ smartphone, UK=827, FRA=797, GER=861, ITA=890, USA=748, JPN=801, AUS=869, ESP=866, CHN=853 Q.32 mobile payments’ are purchases, bill payments, charitable donations, payments to another person, or any other payment using a mobile phone. Which, if any, of the below methods of mobile payment have you ever personally used to buy each of these types of goods?
Type of mobile payment used for non-digital goods
3 6 7
3 4 2 6 4 3 3 2 4 3 3 3 4
10 10
3 6 4
11 7 5 6 4 6 8 9
4 2 7 7 5 3 3
6 7 3 3
11
36
28
9
17
05
10152025303540
Mobile payment viasending a text
Mobile payment viaan app on my phone
Mobile payment viaa website accessedon my mobile phone
Mobile payment viatouching my phone
against a reader
Mobile payment viascanning a QR code
on my phoneagainst a reader
UKFRAGERITAUSAJPNAUSESPCHN
Proportion of respondents (%)
39
Figure 1.39
UK FRA GER ITA USA JPN AUS ESP CHN It's easier to pay with cash or a credit/ debit card
44% 31% 42% 32% 38% 44% 42% 30% 28%
I'm concerned about the security of mobile payments
38% 36% 38% 28% 39% 22% 38% 39% 51%
I am concerned about privacy and control of my personal data
33% 26% 35% 20% 41% 18% 35% 31% 48%
I don't see any benefit from using mobile payments
35% 31% 37% 21% 36% 28% 34% 24% 6%
I don't trust the technology
29% 34% 32% 21% 30% 9% 27% 16% 21%
I don't have the necessary feature on my phone
28% 28% 25% 20% 34% 13% 27% 24% 13%
Source: Ofcom consumer research October 2014 Base: All respondents with a mobile phone/ smartphone who have never used mobile payments, UK=667, FRA=729, GER=729, ITA=560, USA=560, JPN=550, AUS=649, ESP=638, CHN=231 Q.33 Which, if any, of the below reasons explain why you have never used mobile payments?
Main (prompted) reasons for never using mobile payments
40
Figure 1.40
28
13 17
4
24
12 9
2
17
7 13
2
19 15
19
3
30
19 17
10 7 5 6
32
16 18
0
10
20
30
40
Access Bank Account Access Credit Cards Payments - MoneyTransfer
Payments PoS
UK France Germany Italy USA Japan Spain
Use of mobile financial services in the past three months
Proportion of mobile audience %
Source: comScore Mobilens, August 2014 (three-month average). Filter: Respondents aged 13+ Note: point of sales (PoS) data is not available for Japan or Spain
Figure 1.41
41
49 53
40
66
35 30
61 57 55
20 19 19
27
16 18
27 24 30
11 13 11
21 15
9
22 19 23
5 7 12 13
7 8 8 11
43
0
10
20
30
40
50
60
70
UK France Germany Italy USA Japan Australia Spain China
Desktop/laptop/notebook Tablet Mobile phone/Smartphone Games console attached to TV
Proportion of respondents %
Source: Ofcom consumer research October 2014 Base: All respondents with each device, UK = 905, 540, 318, 99, France = 953, 469, 270, 63, Germany = 949, 469, 270, 63, Italy = 902, 762, 384, 97, USA = 907, 443, 274, 131, Japan = 934, 566, 209, 103, Australia= 944, 579, 325, 87, Spain = 903, 742, 394, 116, China = 947, 808, 446, 67 Q.9a Which, if any, of the following internet activities do you use each of your devices for?
Devices used to access local/national government websites