The International Data Corporation (IDC) Indonesia has been studying how consumers have been adopting mobile devices and the trends that have been occurring. Our recently published article discussed how Indonesian consumers were now starting to trend toward becoming “smarter” adopters of these devices, and were starting to be more fussed about the specific features that cater to their needs rather than to be swung by novelty.The device evolution has been somewhat extraordinary in Indonesia, where BlackBerry was once dominant, and over the past two years has become an Android-focused, application-hungry consumer nation. But, with that, the past two years have also seen how commoditized the model phone market has become, with cheaper phones emerging not just from unknown makers, but prominent phone makers marking down their prices in a bid to continue being competitive and relevant in a consumer-driven landscape. Laptops have performed no better, as while the notion of “first-time buyers” continues to be prevalent, the uptake has been somewhat diminished by consumers satisfied with utilizing their cell phone as a premier device, and tablets have been on a somewhat upswing but are still seen as a complementary device to everything else. One cannot help but wonder if device fatigue is indeed setting in for a nation that while once upon a time was “device hungry”, has now grown used to their country being treated to a bevy of product launches every quarter. The glitter of these launches has slowly started to wane, and more products are now being launched in a quieter fashion, with lesser fanfare and lines. The question we have now put out into the market is whether these devices have now become more functional to Indonesian users, rather than a stylish, “must-have”, trendy device that once was weighed as a key motivating factor to own it.Has the world truly run out of innovative ideas for these devices, that nothing truly surprises the consumer anymore? In revisiting our consumer survey results, a large group of “mobile adopters” and “technophiles” were identified in Indonesia — and this indicates that a more tech savvy group of users has started to take control of the market place. The notion of syncing up once own mini ecosystem of devices has now become a more compelling discussion for consumers looking to maximize the potential of their device without having to always keep up with new product launches. The sophistication of most devices now offers you the potential to setup your own private ecosystem for less than US$500. Smartphone shipments continue to grow, and the IDC projects close to 4 million units are shipped into the country on a quarterly basis, while tablet and PCs account for a total of close to 2 million units on a quarterly basis. Not surprisingly, smartphones continue to drive the device market in a country where the easiest access for any sociodemographic to an “IT universe” will be via a smartphone device. However, competition has brought things to a fore where top device competitors have begun to rally their products at the $200 mark. All this leads well for a consumer looking at scoring a bargain, but it does leave many vendors in the cold in terms of understanding their best strategy forward.Now in exemplifying my point, my question to the readers here would be to truly ask yourself if the existing mobile device you possess — whether a smartphone, tablet or laptop — is adequate for your needs right now. Do you find yourself revisiting the reason you bought your device after the novelty of a certain feature wore off? In seriously analyzing those questions above, you can probably guess the direction of your next hardware purchase, and the amount you are willing to put out for it. Our research is slowly starting to see the beginnings of “device fatigue” setting in within the country. The notion of “device fatigue” is driven by the over provisioning and choice of devices available in the market that has put consumers into a “spoiled” pattern of choice. The lack of innovation from device to device, and similarities of features have also contributed to this “fatigue” — with only design now playing a key differentiating factor from one another. Our survey of Indonesian consumers has shown that more than 24 percent of them today have declared that “all brands are the same” to them. With the exception of fan boys and fan girls of certain brands, are you one of those today?The proliferation of cheaper mobile devices has definitely benefitted a country eager for communication and technology, and has helped to connect the nation. It has helped with the penetration of smartphones against the population, and it essentially is doing what its name suggests — making the population “smart”. However, as mobile device penetration — not inclusive of feature phones — still ranks squarely below the 25 percent mark of penetration against the population, one cannot help but wonder what a large segment of population is left to penetrate. But with major cities showing slight fatigue, second tier ones opting for cheaper no frills devices, and the glitz and glamour of these devices have now eroded — perhaps the time is right now for consumers to truly ask themselves what they are looking for from their mobile devices in serving into their needs and enhancing the quality of their lives.
Analysis: Is Indonesia facing device fatigue?
The International Data Corporation (IDC) Indonesia has been studying how consumers have been adopting mobile devices and the trends that have been occurring. Our recently published article discussed how Indonesian consumers were now starting to trend toward becoming “smarter” adopters of these devices, and were starting to be more fussed about the specific features that cater to their needs rather than to be swung by novelty.The device evolution has been somewhat extraordinary in Indonesia, where BlackBerry was once dominant, and over the past two years has become an Android-focused, application-hungry consumer nation. But, with that, the past two years have also seen how commoditized the model phone market has become, with cheaper phones emerging not just from unknown makers, but prominent phone makers marking down their prices in a bid to continue being competitive and relevant in a consumer-driven landscape. Laptops have performed no better, as while the notion of “first-time buyers” continues to be prevalent, the uptake has been somewhat diminished by consumers satisfied with utilizing their cell phone as a premier device, and tablets have been on a somewhat upswing but are still seen as a complementary device to everything else. One cannot help but wonder if device fatigue is indeed setting in for a nation that while once upon a time was “device hungry”, has now grown used to their country being treated to a bevy of product launches every quarter. The glitter of these launches has slowly started to wane, and more products are now being launched in a quieter fashion, with lesser fanfare and lines. The question we have now put out into the market is whether these devices have now become more functional to Indonesian users, rather than a stylish, “must-have”, trendy device that once was weighed as a key motivating factor to own it.Has the world truly run out of innovative ideas for these devices, that nothing truly surprises the consumer anymore? In revisiting our consumer survey results, a large group of “mobile adopters” and “technophiles” were identified in Indonesia — and this indicates that a more tech savvy group of users has started to take control of the market place. The notion of syncing up once own mini ecosystem of devices has now become a more compelling discussion for consumers looking to maximize the potential of their device without having to always keep up with new product launches. The sophistication of most devices now offers you the potential to setup your own private ecosystem for less than US$500. Smartphone shipments continue to grow, and the IDC projects close to 4 million units are shipped into the country on a quarterly basis, while tablet and PCs account for a total of close to 2 million units on a quarterly basis. Not surprisingly, smartphones continue to drive the device market in a country where the easiest access for any sociodemographic to an “IT universe” will be via a smartphone device. However, competition has brought things to a fore where top device competitors have begun to rally their products at the $200 mark. All this leads well for a consumer looking at scoring a bargain, but it does leave many vendors in the cold in terms of understanding their best strategy forward.Now in exemplifying my point, my question to the readers here would be to truly ask yourself if the existing mobile device you possess — whether a smartphone, tablet or laptop — is adequate for your needs right now. Do you find yourself revisiting the reason you bought your device after the novelty of a certain feature wore off? In seriously analyzing those questions above, you can probably guess the direction of your next hardware purchase, and the amount you are willing to put out for it. Our research is slowly starting to see the beginnings of “device fatigue” setting in within the country. The notion of “device fatigue” is driven by the over provisioning and choice of devices available in the market that has put consumers into a “spoiled” pattern of choice. The lack of innovation from device to device, and similarities of features have also contributed to this “fatigue” — with only design now playing a key differentiating factor from one another. Our survey of Indonesian consumers has shown that more than 24 percent of them today have declared that “all brands are the same” to them. With the exception of fan boys and fan girls of certain brands, are you one of those today?The proliferation of cheaper mobile devices has definitely benefitted a country eager for communication and technology, and has helped to connect the nation. It has helped with the penetration of smartphones against the population, and it essentially is doing what its name suggests — making the population “smart”. However, as mobile device penetration — not inclusive of feature phones — still ranks squarely below the 25 percent mark of penetration against the population, one cannot help but wonder what a large segment of population is left to penetrate. But with major cities showing slight fatigue, second tier ones opting for cheaper no frills devices, and the glitz and glamour of these devices have now eroded — perhaps the time is right now for consumers to truly ask themselves what they are looking for from their mobile devices in serving into their needs and enhancing the quality of their lives.