Cell Phone Bill Survey

National letstalk survey reveals consumer spending still strong on cell phones and plans – among findings, 75 percent rank paying cell phone bill above utilities, auto and rent

San Francisco, Calif., October, 2008 – Recent economic hardships may have consumers scrambling even more to stay out of debt, but Americans won’t let the wireless payment slip. According to a recent Consumer Spending Behavior survey sponsored by LetsTalk.com, more than half of cell phone owners are willing to pay increased cell phone bills this year compared to last year. Surprisingly, over 75 percent of respondents report never being late on their wireless bill, but close to 90 percent admit delaying their utilities bill, ISP bill, landline telephone service bill, credit card payment, or rent/mortgage payment. When asked the primary motivation for prioritizing their wireless bill, over 63 percent agree that their mobile phone is essential to staying connected with families and friends. LetsTalk initiated the survey to better understand customer rationale behind increased spending when economic indicators are not favorable.

“The cellphone is a lifeline that keeps people connected not only to friends and family but to employers and potential new employees. Today, even in the midst of our economic downturn, bills that were once seen as a priority take a backseat to our cell phone bills,” said Delly Tamer, CEO and Founder of LetsTalk.com. “The survey confirms to us what we’ve known for quite some time: cell phones, or more specifically, smartphones, have become an essential component of our everyday lives. We would rather risk our electricity shut off than our cell phones disconnected.”

Conducted last month, the LetsTalk Smartphone Consumer Spending Behavior survey canvassed over 500 LetsTalk customers, ages 18 and over. Additional survey highlights are detailed below.

Consumers are willing to spend more money on new cell phone features.

• Forty-five percent of respondents attribute an increase in their cell phone bill to additional services (needed on recently purchased phone).
• The third most popular response when asked why respondents’cell phone bills are higher is text message usage increase.

Smartphones have become the norm
According to the survey, a little over 50 percent of consumers own a smartphone, for instance, a Blackberry or Treo.

• The top reasons for owning a smartphone are: to use mobile email, surf the Internet and add addresses to each contact.
• The majority of respondents acquired their smartphones from an outside source, which could indicate that smartphones are being reimbursed by employers or family / friends are providing smartphones to loved ones to stay in touch.

See full results: http://www.letstalk.com/CellPhoneBillSurvey.pdf"

About LetsTalk
LetsTalk is a leading online retailer of cell phones, wireless devices and service plans. LetsTalk helps consumers research, compare and purchase cell phones and service plans in a user-friendly environment free from bias and sales pressure. LetsTalk was founded July 1999, and is based in San Francisco.