iPod owners any easy target for Zune

Stuart Corner
Thursday, 02 November 2006 12:07

Business IT - Technology

According to ABI research iPod owners demonstrate little of the fierce brand loyalty of Apple computer owners and are very likely to make their next MP3 player a Zune.

ABI Research says that, based on a survey it has undertaken, many prospective MP3 player buyers, "even owners of iPods," would be likely to choose Microsoft's Zune player.

1725 teenage and adult US residents were asked whether they planned to buy an MP3 player in the next 12 months. Of those responding that they were likely to do so, 58 percent of those identifying themselves as existing iPod owners and 59 percent of those who owned other brands said they would be "somewhat likely" or " extremely likely" to choose a Microsoft Zune player over an iPod or another brand of MP3 player.

"Our conclusion is that iPod users don't display the same passionate loyalty to iPods that Macintosh users have historically shown for their Apple products." ABI principal analyst, Steve Wilson, said. Only 15 percent of iPod owners said they were "not very likely" or " not at all likely" to choose Zune.

ABI Research says it believes that a critical factor in Zune emulating the huge success of the iPod will be whether or not Microsoft can differentiate the Zune from competing products in some meaningful way. One differentiator, Zune's Wi-Fi peer-to-peer sharing, which Microsoft is playing up heavily, "isn't all that compelling, at least not now," says Wilson. "There's a lot more you could do with that capability."

ABI Research says Apple will need to make some big announcements in 2007 if it is to maintain its edge in the industry.

ABI says the results were derived from a Web-based survey among a nationally-balanced and demographically-representative sample of 1,725 online consumers (age 18 and older), conducted in October 2006. Respondents were provided a photo and description of the Microsoft Zune device before being asked about their likelihood to choose it over a competitive MP3 player.