New research from Parks Associates claims that 29% of all US households (31 million homes) do not have access and do not intend to subscribe to an internet service over the next 12 months.
The
National Technology Scan found that the main cause for non-subscribers is not economic but rather a perceived low value of the internet.
It found that of these households 44% say that they are not interested in anything on the internet, and just 22% say they cannot afford a computer or the cost of internet service.
The report also found that in 2006, broadband penetration increased from 42% to 52%, with roughly one half of new subscribers being converted dial-up users and the other half households that previously had no access.
John Barrett, director of research at Parks Associates, said: “The industry continues to chip away at the core of non-subscribers but has a ways to go.
“Entertainment applications will be the key. If anything will pull in the holdouts, it’s going to be applications that make the Internet more akin to pay TV.”
A recent report from eMarketer said that US marketers will continue to shift their spending into online advertising in 2007 (see US Marketers Will Continue To Move Online).
Meanwhile, a report from TNS Media Intelligence showed that total US advertising expenditures in 2006 increased 4.1% to $149.6 billion as compared to 2005 (see US Advertising Expenditures Show 2006 Increase).
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