Consumer Demand For GPS Headed in the Right Direction

ARLINGTON, Va.-- Overall satisfaction among owners of Global Positioning System (GPS) devices is high, and consumer interest for the technology is exploding, according to a research report released today by the Consumer Electronics Association (CEA®). GPS - Exploring Ownership and Interest revealed an 80 percent owner satisfaction rate, which was strongly influenced by the ease of use and display quality of the devices, which are used primarily for navigation assistance in a vehicle.

“Convergence has spread GPS across multiple product segments resulting in greater consumer awareness and budding adoption of the technology,” said Steve Koenig, CEA’s senior manager of industry analysis. “The availability of new services like real-time traffic information will continue to drive this segment forward in the coming years.”

While GPS ownership is still relatively small at 18 percent of online consumers, CEA market research demonstrates growing consumer interest, with shipment revenues nearly tripling between 2005 and 2006. Nearly one-quarter (24 percent) of online consumers are planning to purchase a GPS device within the next year, spending an average of $410, which could result in sales reaching $4.1 billion in 2007.

The study shows that 33 percent of future GPS buyers are interested in owning a cell phone that has GPS/navigation capabilities, making navigation on-the-go even easier. In addition to in-car navigation, owners of portable or hand-held GPS devices cite other uses for the technology, such as hiking (18 percent), walking (16 percent), boating (14 percent), biking (7 percent), running (6 percent) and even flying (4 percent).

GPS - Exploring Ownership and Interest (April, 2007) was administered via Internet web form to an online national sample of 2,756 adults between December 21 and 29, 2006. It was designed and formulated by CEA Market Research, the most comprehensive source of sales data, forecasts, consumer research and historical trends for the consumer electronics industry. Please cite any information to the Consumer Electronics Association (CEA®). The complete study is available free to CEA member companies. Non-members may purchase the study for $599 at http://www.ebrain.org/crs/crs_all.asp.

About CEA:

The Consumer Electronics Association (CEA) is the preeminent trade association promoting growth in the consumer technology industry through technology policy, events, research, promotion and the fostering of business and strategic relationships. CEA represents more than 2,100 corporate members involved in the design, development, manufacturing, distribution and integration of audio, video, mobile electronics, wireless and landline communications, information technology, digital imaging, home networking, multimedia and accessory products, as well as related services that are sold through consumer channels. Combined, CEA's members account for more than $140 billion in annual sales. CEA's resources are available online at www.CE.org, the definitive source for information about the consumer electronics industry.

CEA also sponsors and manages the International CES – Defining Tomorrow’s Technology. All profits from CES are reinvested into industry services, including technical training and education, industry promotion, engineering standards development, market research and legislative advocacy.

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