Thursday, 5 January 2012

Text messaging is declining Y-o-Y in Finland and Hong Kong

"One of the pioneering text-messaging markets of late Nineties showed substantial declines in text-messaging during the key Christmas period. Customers of Finland’s dominant mobile carrier, Sonera, sent 8.5 Million text messages during the Christmas Eve of 2011. This is a surprisingly steep tumble from the 10.9 Million text messages sent during the Christmas Eve of 2010. The more youth-oriented operator called DNA witnessed a decline to 5.6 Million text messages from 5.9 Million text messages. Christmas Eve text messages traditionally form the biggest or second biggest SMS day of the year in many markets (eclipsed by New Year in some regions). A major winter storm hitting Scandinavia triggered YoY SMS growth on Christmas Day, demonstrating how national disasters still drive consumers towards old school text-messaging.
Signs of consumers moving on from text-messaging to social media, email and IP-based messaging systems started cropping up in 2011 in advanced SMS markets like Netherlands and Philippines. What we seem to be witnessing is a situation where those countries where SMS took off first during Nineties are now the first ones to see a steep decline in SMS usage.
In Hong Kong. the Christmas Day text message decline was nearly 14%. It does seem as though the SMS erosion rates in countries that originally pioneered the service are higher than most observers anticipated in early 2011. Possibly because new services such as mobile Facebook and Twitter are now widely adopted in the same markets where SMS took off after 1995."

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