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UK consumers spending less on media services

20 августа 2010

U.K. consumers are spending less on television, radio, telecom and online services, but are spending more time on a wider range of communication devices, according to U.K. communications regulator Ofcom.

U.K. household monthly spend on media communication services fell for the fifth successive year in 2009, dropping 9.4% to GBP91.24 as more people chose to buy services in discounted bundles, the regulator said in its annual report into the communications market.

U.K. television revenue also decreased for the first time since 2003, falling 0.4% to GBP11.1 billion.

But ownership of smartphones has surged 81% to 12.8 million in May this year from 7.2 million a year earlier, while 26.5% of people in the U.K. in June this year said they had a smartphone--more than double the figure two years ago.

Consumers are spending 45% of their time interacting with communication devices, including television and smartphones, Ofcom said.

Spend on communications accounted for 4.4% of total household expenditure in 2009, down from 4.6% in 2008, while overall household spend on telecom services has fallen by more than 17% in the last five years, it added.

Retail revenue for telecom operators fell 2.6% in 2009 to GBP30.4 billion, hit by the economic downturn and lower mobile voice revenue.

The popularity of online television has risen in the past year with 31% of U.K. households with internet access using computers to watch television online in the first quarter, up from 23% a year ago.

Online advertising revenue has also increased, rising 6% year-on-year to GBP3.5 billion, driven by search and display functions, Ofcom said.

Источник: Total Telecom

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