Growth in home broadband access catches a second wind, study says

There’s good news for online retailers with merchandising and marketing strategies that depend on broadband web access: Home adoption of broadband is showing strong growth this year after leveling off in 2008, the Pew Research Center reports.

63% of U.S. adults lived in homes with broadband Internet connections in April 2009, up from 55% in May 2008, Pew says. That compares to home broadband penetration that grew from 54% to 57% from December 2007 to December 2008, it adds.

The sharpest growth in home broadband adoption has been among population groups with below-average usage rates. Among these groups, with their home broadband adoption growth rates from May 2008 to April 2009, are:

• Senior citizens 65 and older, 19% to 30%
  
• Adults 50-64, 50% to 61%
  
• High school graduates, 40% to 52%
  
• Rural residents, 38% to 46%
  
• Low-income residents with annual household income of $20,000 or less, 25% to 35%; residents with household incomes from $20,000 to $30,000, 42% to 53%
  

Population groups with above-average broadband adoption rates showed more modest growth rates from May 2008 to April 2009:

• Upper-income residents with household incomes of more than $75,000, 84% to 85%
• College graduates, 79% to 83%
• African-Americans, 43% to 46%

The Pew report also notes that home broadband access had fewer cancellations than cable TV or mobile phone service during the economic downturn. In April, 9% of Internet users said they had either cut back or cancelled Internet access, compared to 22% for cable TV service and 22% for mobile phone service.