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UK Mobile User Numbers Shows Market Growth in Data

Mobile phone carriers in the United Kingdom can learn much about user growth in the “UK Mobile Market” statistical handbook. The number of marketable mobile phone users seems to be realistically capped at about 82% of the population or 43 million. These numbers show the unique number of owners versus the number of accounts. The remaining 18% seems to represent a market of diminishing returns. To maintain and increase revenues, the strategy deems to target existing users by focusing on data services. Presently 20-29 year olds spend the most on contracts and data services.

As in other technology markets, the cost of hardware keeps dropping, giving more users access to the mobile phone market. In that arena, data embodies a bit over a fifth of revenues (21.3%) in 2004, expected to grow 3.9% to 22.3% in 2007. Since unit prices have fallen, messaging and data increasingly becomes a way of offering more for the same amount. Because of this dynamic, messaging, on-the-go music services and online gaming promise the greatest growth for UK mobile phone companies ($335 million and $40 million, respectively, for the last two in 2006).

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