Households with 6-figure incomes are the fastest-growing Web demographic.
Affluent Americans make up the fastest-growing income group on the Web, and show the highest concentration of broadband use, according to a Nielsen//NetRatings study.
Online users with total household incomes of $150K have grown 31 percent since last March, the study says. Broadband users made up 69 percent of the total audience for those with incomes of $150K and above, compared with 31 percent using dial-up.
Those earning between $75K-100K jumped to 26.4 million in March 2004, compared with 20.7 million a year earlier. Internet users with upper incomes ranging from $100K-150K rose 24 percent since last March.
Table 1: Year-Over-Year Internet Access Growth by Income Level (US, Home) Income Level* Please view in a fixed-width font such as Courier.
 |
|
|
Income Level* |
Unique Audience
(000)
|
Yearly Percent
Growth (%) |
| |
03-Mar |
04-Mar |
|
| $ 150,000+ |
6,010 |
7,873 |
31% |
| $ 75,000 - 99,999 |
20,732 |
26,393 |
27% |
| $ 100,000 - 149,999 |
14,356 |
17,786 |
24% |
| $ 0 - 24,999 |
7,961 |
9,399 |
18% |
| $ 25,000 - 49,999 |
33,074 |
37.826 |
14% |
| $ 50,000 - 74,999 |
38,165 |
42.473 |
11% | |
|
|
Source: Nielsen//NetRatings, March 2004
*Income level based on combined total household annual earnings
Broadband use was highest among Internet users earning upper-level incomes -- 69 percent of those with incomes of $150K and above connect with broadband (see Table 2). Online users earning between $100K-$150K showed a 61/39 split favoring high speed, while Internet users with incomes between $75K-$100K posted an even split among narrowband and broadband users.
Middle and lower-income users posted much smaller broadband concentrations. Almost two-thirds of individuals with household earnings between $25K-50K go online through narrowband, with just 36 percent accessing through broadband. Broadband composition is even less for lower-income surfers earning between $0-25K, with just 25 percent going online through cable, DSL or other high speed.
"Cost plays a tremendous part in Internet access patterns," says Kenneth Cassar, director of strategic analysis, Nielsen//NetRatings. "While broadband has become much less expensive over the past few years, it's still a significant cost as compared to narrowband. Couple high-speed access with other utility expenses and households with tighter budgets simply would not be able to afford the luxury of having broadband."
Table 2: Broadband vs. Narrowband by Household Income March 2004 (U.S.,
Home)
|
|
Income Level
|
Narrowband |
Broadband |
| $ 150,000+ |
31% |
69% |
| $ 100,000 - 149,999 |
39% |
61% |
| $ 75,000 - 99,999 |
50% |
50% |
| $ 50,000 - 74,999 |
54% |
46% |
| $ 25,000 - 49,999 |
64% |
36% |
| $ 0 - 24,999 |
75% |
25% | |
|
|
Source: Nielsen//NetRatings, March 2004