Bay Area Leads USA On Technology Issues: Market Segmentation Survey By PSB

7/28/2019 Bay Area Leads USA On Technology Issues: Market Segmentation Survey By PSB

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NEW YORK WASHINGTON DENVER SEATTLE LOS ANGELES SAN FRANCISCO AUSTIN LONDON HONG KONG BEIJING DUBAI

TECHNOLOGY BY THE BAY

05.25.2010

PEN N , SC H O EN & BER LAN D ASSO C IAT ES, LLC .

VIEWS ON THE FUTURE OF TECH


2/17

METHODOLOGY

1

Objectives: To assess Bay Area residents understanding of techinnovations and expectations for the future of technology,

compared and contrasted to those of other Americans.

Methodology: Penn, Schoen & Berland Associates (PSB) conducted

501 online interviews from May 10-13, 2010.

Audience: 251 Bay Area residents (living in or within 20 miles of San

Francisco, Oakland or San Jose) and 250 Americans not

from the Bay Area.

Margin of Error: Overall, the margin of error is +/- 4.38%. The margin of

error for the US and Bay Area subgroups is +/-6.2%. Allnumbers shown in percentages unless otherwise noted.

If numbers do not add up to 100, it may be due to

rounding, inclusion of multiple responses or exclusion of

dont knows.


3/17

BAY AREA LEADS THE UNITED STATES ON

TECHNOLOGY ISSUES

Bay Area residents are more excited by

technology they want to know whats nextand have the newest tech toys.

However, Americans are almost as inclined tobe early adopters and have the same urgentneed to be able to access tech.

2

Thinking about yourself and your personalopinions / habits, how much do you agree or

disagree with each of the following statements? Agree Agree

I am excited to see what technology companies

and groups come out with next67 78

I like to have the newest and greatest technology

available 50 60

I consider myself an early adopter of technology 49 51

I feel alone when I do not have complete access

to technology49 53

I want to be involved in making new technologies

possible and accessible 49 57


4/17

BAY AREA RESIDENTS USE A WIDER RANGE OF

TECH TOOLS AT HOMEThey use a broader variety of web browsers, do moredetailed social networking, are more productive at home,

and use their home tech setup more for entertainment

3

Which of the following applications do you currently use at home? Please

select all that apply.

Internet Explorer 74 68

Google Search 67 73

Facebook 52 62

Windows Media Player 50 53

Microsoft Office (e.g. Excel, PowerPoint, Word) 49 67

Mozilla Firefox 29 45

Microsoft Outlook 28 31

Bing 26 30

Gmail / Gchat 20 39

Twitter 20 17

iTunes 18 44

Google Chrome 16 24

Pandora 9 11

Google Docs 7 17

LinkedIn 5 18

iWork (e.g. Pages, Numbers, Keynote) 2 6

iLife (e.g. iPhoto, iMovie, GarageBand, iWeb, iDVD) 2 7


5/17

ADVANCEMENT OF TECHNOLOGY IS KEY TO IMPROVING JOB

CREATION, EDUCATION AND THE ECONOMY

The top three issues in America

today are job creation, theeconomy and education.

6 in 10 Americans think theadvancement of technology is veryimpor tantto improving each ofthese in the future.

4

How important do you think the

advancement of technology is in

terms of improving each of the

following? Important Important

Job creation / unemployment 92 89Education 91 88

The economy 90 90

Terrorism / homeland security 86 86

The environment / energy policy 82 86

Immigration 68 69


6/17

TECHOLOGY EXPECTED TO OVERCOME

HUMAN LIMITATIONS

Nationwide, many expect fully functional prosthetics(49%), hearing aids for the fully deaf (38%) and visionassists for the blind (31%) to be available in the nextdecade

Interestingly, Bay Area respondents were much moreoptimistic about health-related and biotechinnovations. 27% even believe human cloning is withinreach over that time (versus 15% other US).

5

What other technology do you think will become reality by the

year 2020? All

Fully functional prosthetics 49 51 48

Alternate light sources 48 47 49

Hearing aids for the fully deaf 45 40 50

Sight aides for the fully blind 40 37 44

A cure for cancer 33 29 37

Personal servant / assistance robots 28 24 31

Human cloning 21 15 27

Vehicles that hover rather than using tires that touch the ground 20 19 20

Personal flight devices / jetpacks 12 12 12

Cities on other planets / moons 10 12 8


7/17

THE DEVICES WE USE ARE CHANGINGIn five years, computers are expected to be more important to daily life than

televisions. But technologies that were cutting edge just 10 years ago are fading. 1 in 4 think that traditional cell phones will be obsolete within 5 years

But TVs are not expected to go anywhere -- only 2% expect them to become obsolete

6

Which of these do you expect to be obsolete or no longer

used in five years? Please select all that apply.

Cellular phone (primarily used for voice and / or text messaging) 26 23

Desktop computer 25 26

Video game console (hand held) 18 11

Digital book readers (e-reader) 15 18

Portable digital media player (e.g. iPod, Zune) 13 6

Cable / Satellite TV receiver 11 9

Video game console (in-home) 10 13

DVR / TiVo 10 12

Digital video camera/ Camcorder 9 8

Tablet computer (e.g. iPad, Slate) 9 8

Home speaker system 9 73D TV 8 10

DVD / Blu-Ray player 7 11

Netbook computer 7 9

Blu-Ray player 5 9

GPS navigation device 5 4

Digital camera 4 5

Laptop computer 3 5

Flat Panel / Screen Television 2 2

Smartphone 2 2


8/17

WE WANT FUNCTIONALITY TO CONVERGE ON

OUR DEVICES

54% of both groups want one device that does

everything they need, versus 35% who prefer tohave multiple so they can choose the best one

for each need.

Virtually identical percentages of people want to

use their device to make a phone call (26%) as to

read a book (28%) or watch TV (23%)

7

Which of the following is closer to your view? All

I want one device that does everything I need 54 54 54

I want multiple devices so I can choose the best one foreach need

35 34 37

Dont know 11 12 9


9/17

MANY EVEN WANT THEIR HOME APPLIANCES

TO CONNECT

About two-thirds expect their security system,

lighting and thermostat to be networked together inthe near future.

34% expect their alarm clock to be included in that home

network!

8

What home appliances do you expect to become

networked or wirelessly connected to other devices

in the near future? Please select all that apply. All

Security system 72 66 78

Lighting 61 53 68

Thermostat (heating & air conditioning) 60 55 65

Alarm clock 34 33 34

Refrigerator 28 23 32Coffee maker 27 22 32

Fitness equipment 15 13 17

Electric toothbrush 9 8 11

Dont know 8 11 6

None of these 3 5 2

Other 2 2 1


10/17

BUT MANY RESPONDENTS DO PREFER SEPARATE

DEVICES FOR WORK AND PERSONAL USE

Even as we move towards single, all-powerful

devices, not everyone is convinced on whether theywant work and play to converge: 51% would preferhaving separate devices for their work and personalactivities.

Bay Area residents are split, but more receptive thanother Americans: 41% prefer one device for bothhome and work, 43% want to keep them separate.

9

Which of the following is closer to your view? All

I would prefer having separate devices for my work

and personal activities 47 51 43

I would prefer having a single device for both my work

and personal activities 37 32 41

Dont know 17 17 17


11/17

10

BAY AREA RESIDENTS EXPECT CONSUMERELECTRONICS TO FOCUS ON MOBILE DEVICES

Computers are great, they say but the real action is in phones, which are

getting smaller and faster and including touch technology Some brave souls are even looking forward to implants!

What do you think will be the next big breakthrough in consumer

electronics products?

US Bay Area


12/17

CONFUSION SURROUNDS THE CLOUD

Only 18% of Americans can accuratelydescribe or define the online Cloud.

Though 23% if Bay Area residents knowwhat it is.

11

Which of these do you think most accurately describes

the Cloud in terms of online and internet use?

Storage and applications based on the internet 18 23

A brief outage or blockage in internet connectivity 11 6

An online security setting that helps prevent identify theft 11 6

A social networking group that creates a fad / trend and then

disbands 7 9

A new type of hard drive that does not use a spinning disc 2 7

None of these accurately describe the cloud 10 11

Dont know 41 39


13/17

THE CORE CONCEPT OF THE CLOUD IS MORE

APPEALING TO BAY AREA RESIDENTS

Despite low understanding of the terminology, once

briefed on what the Cloud is 8 in 10 Bay Arearesidents are interested in using it for storage,

syncing and apps.

Indicating an opportunity for a company who can

clearly and accessibly communicate these

benefits to consumers.

- Other PSB research on Cloud computing revealsthat concerns about the security of these

technologies have not been effectively ameliorated.

12

How interested would you be in using the Cloud

for each of the following? (responses given once

briefed on proper definition) Interested Interested

Using web-based programs / applications 65 81

Backing up your computer or phones hard drive 64 72

Storing and syncing digital content (e.g. photos,

music, documents, contacts)60 65

Collaborating on shared documents with others 51 66


14/17

AND CLOUD USES LIKE STREAMING ONLINE

VIDEO HAVE GONE MAINSTREAM

Online video is preferred over physical

discs (i.e. DVD, Blu-Ray). 32% of Bay Area residents would prefer

to get all of their video by stream or

download vs. 18% opting for a disc.

13

If you had to choose one of these to get all of your

videos and moviesfrom now on, which would you

prefer?

Stream online (e.g. Netflix, YouTube, Hulu) 27 32

Physical disc (e.g. DVD, Blu-Ray) 21 18

Download a video file (e.g. iTunes, Xbox Live) 13 14

Mail delivery service (e.g. Netflix) 12 15

Video store (e.g. Blockbuster, Hollywood) 11 9


15/17

Consumers prefer to download music, butstream movies. Possibly because of:

Download requirements for larger movie files

Storage needs for these files

Mobility movies tend to be a sedentary activity

compared to music

14

If you had to choose one of these to get all of

yourmusicfrom now on, which would you

prefer?

AM/FM Radio 23 21

Download an audio file (e.g. mp3, iTunes, Zune) 22 33

Physical disc (e.g. CD) 18 11

Satellite Radio 17 18

Stream online (e.g. Pandora, GrooveShark) 11 8

OUR CONSUMPTION PREFERENCES FOR MOVIES

VERSUS AUDIO ARE VERY DIFFERENT


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BAY AREA RESIDENTS EXPECT ENTERTAINMENT

TECH BREAKTHROUGHS ONSCREEN

15

Bay Area residents identify the computer and phone as key venues for thefuture of entertainment in addition to the TV

And theyre noticing the rush to 3D taking place in Hollywood.

What do you think will be the next big breakthrough in entertainment technology?

US Bay Area


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NEW YORK WASHINGTON DENVER SEATTLE LOS ANGELES SAN FRANCISCO AUSTIN LONDON HONG KONG BEIJING DUBAI

THANK YOU!

PEN N , SC H O EN & BER LAN D ASSO C IAT ES, LLC .

Documents

Bay Area Leads USA On Technology Issues: Market Segmentation Survey By PSB