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"Youth Market Is Dead"

Major New Segmentation Model Unravels The Mysteries Of Connected Lifestyle Behavior

Boston, MA - September 11, 2006 - Marketing Concepts such as "youth market" and "baby boomers" are redundant in the world of connected digital lifestyles, according to "Goodbye Youth, Hello Technosumers: Effective Segmentation For The Digital Connected Lifestyle", the latest research from the Digital Consumer Practice at Strategy Analytics. The report identifies six distinct Connected Consumer market segments, ranging from "Affluent Technostyles" to "Practical Mainstreamers", and provides in-depth profiles of each group according to the group?s adoption of and interest in digital products and services. This research presents new insights on why some consumers are both late technology adopters and heavy Internet users ; and why people from different age and income groups can behave in exactly the same way.

Noteworthy findings include:

    - "Prudent Nesters" are late adopters but view the Internet as a vital communications tool

    - "Connected Aspirers" have the strongest interest in technology but adopt products at an average rate

    - "Affluent Technostyles", while making up only 10% of households, have twice the ownership and usage rates for many digital products compared with the average consumer

    - "Technosumers" own many digital products but have little interest in the Internet

"Companies that pigeonhole consumers according to age and income are failing to understand the subtleties that determine their customers' behavior," says David Mercer, VP, Digital Consumer Practice. "New segmentation approaches that take into account the strategic role of consumers' attitudes and behaviors towards the web are critical for businesses wishing to maximize their growth and profit potential."

Report author, Harvey Cohen, President of Strategy Analytics and the report's author, notes: "Our segmentation approach clearly resolves significant differences in buying behavior for technology products, usage behaviors for web-based services, and approaches for incorporating consumer technology in the home."

The segmentation research is based on a survey of 2000 Internet users across 8 countries in Europe and the US. The proportion of the market accounted for by each segment is shown in the chart, "Global Segmentation: Percentage of Total Sample".

Undisplayed Graphic

Source: Strategy Analytics Broadband Consumer Surveys, 2006


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