July 21, 2008

Benchmark 2008: Telcos Struggle To Retain Business From Generations X And Y

North American Consumer Technographics

This is the eighth document in the "State Of Consumers And Technology: Benchmark 2008" series.

by Sally M. Cohen

with Michelle de Lussanet, Remy Fiorentino, Dan Wilkos

Executive Summary (This is a document excerpt)

Traditional telephone companies face a daunting reality: Many consumers — especially Gen X and Gen Y — are forgoing traditional telephone landlines in favor of other voice technologies. For younger consumers, monthly spending on mobile service is nearly twice that of the home landline service, and only half of Gen Y consumers use a telco-provided landline, compared with 80% of Seniors. At the same time, consumers across the generations continue to shift their ARPU-boosting long-distance calls from telcos' copper networks to mobile operators' wireless services.

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