Affluent Americans Power Internet and Broadband Growth The latest findings from Nielsen//NetRatings show affluent Americans leading all income groups in year-over-year Internet growth.
Online surfers making total household incomes of $150K and above grew 31 percent since last March 2003, topping the list of fastest growing income groups. In addition, higher income Internet users
show greater adoption rates for broadband. Broadband surfers made up 69 percent of the total audience for those with incomes of $150K and above, as compared to 31 percent accessing via dial-up.
Year-Over-Year Internet Access Growth (US, Home)
HH Income Level | Unique Audience (000) Mar 2003 | Unique Audience (000) Mar 2004 | Yearly Percent Growth |
$ 150,000+ | 6,010 | 7,873 | 31%
|
$ 75,000 - 99,999 | 20,732 | 26,393 | 27% |
$ 100,000 -
149,999 | 14,356 | 17,786 | 24% |
$ 0 - 24,999 | 7,961 | 9,399 | 18% |
$ 25,000 - 49,999 | 33,074 | 37,826 | 14% |
$ 50,000 - 74,999 | 38,165 | 42,473 | 11% |
Source: Nielsen//NetRatings, March 2004
Internet users earning upper-level incomes have a higher concentration of broadband adopters. Broadband surfers made up 69 percent of the total
audience for those with incomes of $150K and above, as compared to 31 percent accessing via dial-up. Those earning between $100K-$150K showed a 61/39 split favoring high speed, while Internet users
with incomes between $75K-$100K posted an even split among narrowband and broadband users.
Middle and lower income surfers accessing the Internet via broadband posted much smaller
concentrations. Almost two-thirds of individuals with household earnings between $25K-50K log online via narrowband. Broadband composition is even less for lower income surfers earning between $0-25K,
with just 25 percent accessing via cable, DSL or other high speed.
"Cost plays a tremendous part in Internet access patterns," said Kenneth Cassar, director of strategic analysis,
Nielsen//NetRatings. "While broadband has become much less expensive over the past few years, it's still a significant cost as compared to narrowband. Couple high-speed access with other utility
expenses, and households with tighter budgets simply would not be able to afford the luxury of having broadband."
Broadband vs. Narrowband by Household Income March 2004 (U.S., Home)
Income Level | Narrowband | Broadband |
$ 150,000+ | 31% | 69% |
$ 100,000 -
149,999 | 39% | 61% |
$ 75,000 - 99,999 | 50% | 50% |
$ 50,000 - 74,999 | 54% | 46% |
$ 25,000 - 49,999 | 64% | 36% |
$ 0 - 24,999 | 75% | 25% |
Source: Nielsen//NetRatings, March
2004
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