January 21, 2010 Last Updated 11:50 am

e-Readers increase media consumption by 44% according L.E.K. Consulting study

L.E.K. Consulting released a study today that shows that e-reader owners outpace other device owners in their increase of new media.

The report, “Hidden Opportunities in New Media Survey”, reveals that 44% of e-reader owners increased their new media usage in the last year, as compared to 16% of “iPod Nation” and 19% of “Facebook Fanatics”.  The report, co-authored by Dan Schechter and Bret Masterson, Vice Presidents within L.E.K.’s Media & Entertainment Practice, also documented that “one of every ten consumers who are online now owns an e-reader.” 
“The fact that Amazon sold more Kindle books than printed books on Christmas Day 2009 speaks volumes. We’ve dubbed the 10% of consumers who own an e-reader as the ‘E-reader Republic,’ and think that it is a potential goldmine for content providers and advertisers alike,” said Dan Schechter of L.E.K. Consulting.

The consulting company’s study claims to have uncovered five emerging opportunities for publishers looking to boost profits and engage with their customers:

  1. The “E-reader Republic” is driving growth in the book and magazine market and has a voracious appetite for new media. While iPod owners consumed about nine hours per week of new media, e-reader owners consumed more than 18 hours a week. 
  2. Consumers are willing to pay cable providers for access to online video content. Up to 38% of consumers reported they would definitely or probably pay a $19 fee on top of their cable bill to gain access to their cable content online and on their mobile phones.
  3. Consumers are rampantly multi-tasking while online. One out of every three consumers spending time online is simultaneously watching television, and one in five is simultaneously listening to music.
  4. Internet radio is finally becoming relevant. 32% of respondents used Internet radio services, logging an average of 5.8 hours weekly per user — eclipsing satellite radio in popularity.
  5. If they are online, older people (ages 50 to 64) spend significantly more time there than younger people (ages 25 and 39). Online activities among these age groups differ, with older people spending more time e-mailing whereas younger people spend a higher percentage of their online time on social networking sites.

“As new types of media and new consumer demographics move to the forefront, media companies and advertisers that understand and act on these changes can emerge as the winners,” concluded the study’s co-author Schechter.

Fun BBC 5 program (sorry programme) hosted by Richard Bacon that talks about e-Readers from a UK perspective. e-Reader talk starts at about 1:35 or so.

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