Study: Home Broadband Users Produce More Online Sales

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Though they account for only 19 percent of online adults, Americans with broadband access at home accounted for 31 percent, or about $15 billion, of consumer sales online last year, according to Scarborough Research.


Also, the nation's 23 million broadband users are twice as likely as all Internet users -- defined as anyone who accessed the Internet in the past 30 days, including broadband users -- to have spent $2,500 or more online in the past 12 months, the company said in a report released yesterday.


Moreover, at-home broadband users are 39 percent more likely to buy jewelry online; 64 percent more likely to buy toys and games; and 64 percent more likely to buy cars, trucks and SUVs, Scarborough Research said.


Broadband users are more likely to use the Internet to view traditional media content than other Internet users, the joint venture between Arbitron Inc. and VNU Marketing Information Inc. reported.


In other findings, broadband users are 68 percent more likely than the Internet population as a whole to have read a magazine online, and 40 percent more likely to have read a newspaper online in the past 30 days. Twenty percent of broadband users listened to the radio online in the past 30 days, making them 72 percent more likely than the overall Internet population to do so, Scarborough reported.


Broadband users are 42 percent more likely to have visited a broadcast television network Web site in the past 30 days, and 33 percent more likely to have logged onto a local television station Web site, the market research firm said. Broadband users are also reportedly 45 percent more likely to have accessed Internet yellow pages in the past 30 days.


"Traditional media Web sites, which have often been perceived mostly as extensions of their broadcast or print counterparts, are able to provide richer online experiences to those with broadband connections and offer rich content like streaming audio and video, interactive games and sophisticated graphics and downloads," Gary Meo, senior vice president, Internet and print sales at Scarborough Research, said in a statement. "Their ability to integrate traditional content with rich media also allows online marketers to present advertising in new and exciting formats. The continued adoption of broadband is one of the key drivers of the advertising growth that online companies have been experiencing this year."


Honolulu is the top-ranked broadband market, as 40 percent of Honolulu adults who accessed the Internet in the past 30 days have a broadband connection at home, Scarborough reported. San Diego is second highest with 34 percent, followed by Rochester, NY, at 32 percent. Markets with the lowest broadband penetration include Spokane, WA, at 9 percent; Albuquerque/Santa Fe, NM, at 8 percent; and Roanoke/Lynchburg, VA, at 6 percent.


Broadband users are 12 percent more likely than all adults accessing the Internet to hold a college degree and 17 percent more likely to have a postgraduate degree, the report said. They are 32 percent more likely than total Internet users to have household incomes of $75,000 or more. Twenty-six percent of broadband users are ages 35-44, and 49 percent have one or more children in the household.


Scarborough Research claims to interview 200,000 adults annually.


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