MobileMonday Global

^{More money for devices and services} Smartphones users are more satisfied

As smartphones and feature-rich mobile phones continue to grow in popularity, U.S. customer satisfaction with wireless phones has increased, despite higher costs for handsets and service, according to the J.D. Power and Associates 2008 U.S. Wireless Mobile Phone Evaluation Study.

The study finds that the average reported purchase price for a wireless handset has increased substantially to USD 107, up USD 15 from 2007.

The increase in the average purchase price can be partially attributed to the recent surge in popularity of smartphone devices, such as the RIM BlackBerry, Palm Treo and Apple iPhone, as well as music-enabled handsets and messaging phones, all of which typically are more expensive. Customers also report spending more on their wireless service-an average of USD 80 per month (including federal and state taxes)-as they are more inclined to purchase data plans, text messaging packages and downloads.

Despite this increased spending, the study finds that overall satisfaction with mobile phones has improved significantly to 719 on a 1,000-point scale, a 9-point increase from six months ago.

"Customers are increasingly integrating feature-rich phones into their daily routines and finding it rewarding," said Kirk Parsons, senior director of wireless services at J.D. Power and Associates, in the company press release.

"The ability to communicate by sending instant messages and e-mails, access the Internet or get directions via GPS are just some of the many features that handset owners are growing progressively more inclined to utilize."

The study also finds that satisfaction levels are higher among younger handset owners, as they are more inclined to own feature-rich phones. The overall satisfaction score among 18- to 24-year-olds is 750, compared with 709 among customers between 45 and 64 years old.

The study measures customer satisfaction with wireless handsets by examining five key factors. In order of importance, they are: physical design (24%); operation (22%); features (20%); handset durability (19%); and battery function (15%).

Sony Ericsson ranks highest in overall wireless customer satisfaction for a third consecutive time with a score of 739, performing particularly well in features and battery function. LG (733) and Samsung (724) follow in the rankings. Nokia, Motorola, Kyocera and Sanyo are all far behind the leaders.

The study also found that thirty percent of customers indicate they would like to have GPS software on their next phone, while 25 percent said they would like a touch screen. The most frequently reported reasons customers give for selecting their current cell phone include: pleasing design style (43%); received for free (25%); easy to use (25%); discounted/reduced price (23%); digital camera features (20%); and variety of features offered (19%).

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