Supply & Demand Issues Stall Google Nexus 7 Growth
— Tablet’s Web Usage, Previously at Near-Unprecedented Growth Rates, Falters in Recent Weeks —
Google is a newcomer to the cutthroat tablet industry, but its introductory effort, the Nexus 7, has made a major impact on the market since its debut in late June. The fact that Google had to temporarily suspend sales of the popular 16GB Nexus 7 because the tablet was selling too fast for the company to keep up with demand, gives you an idea just how popular this device is.
In our previous investigation of Nexus 7’s Web presence , the Chitika Insights team discovered that the Nexus 7’s traffic had spiked nearly 1000% a few weeks following its unveiling. This impressive jump out of the gate really caught our attention, and so we decided to follow up on this development. Our latest study, which sampled hundreds of millions of impressions from our ad network and spanned a three week time frame from July 16th until August 6th, depicts how Nexus 7’s Web usage has changed now that the “honeymoon” phase has ended.
While Nexus 7 Web traffic has still risen steadily after July 21st, with some fluctuation, its growth hasn’t exactly reflected how popular it is judging by the expected sales numbers. Our initial estimate was for the Nexus 7 to surpass the Motorola Xoom and the Kindle Fire in usage share by early August, but in light of the more recent numbers, it seems the Nexus 7 will have to wait a little longer. It currently accounts for 0.35 impressions per every 100 iPad impressions, only a 0.5% increase from a week and a half ago. More recently, Nexus 7’s traffic dropped nearly 40%, a surprising regression from a tablet that only recently was introduced to the market. This type of drop is something typical of a device that has already been on the market for at least a few months.
Although Nexus 7 experienced a huge initial surge in both sales and Web traffic, users don’t seem to be surfing as much as one might expect them to. However, a reason for this drop could be Google only recently ended their Nexus 7 hold last week. As such, these numbers are most likely from users who got the Nexus 7 in the first round of shipments. As the novelty of a new tablet wears off, so does the user’s desire to surf the Web as extensively as they had initially. Since shipments have only recently restarted, we may begin to see another rise in Nexus 7 Web usage in the near future.
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About Chitika Insights
Chitika Insights was the research arm of online advertising network Chitika. Insights used Chitika's unique data to monitor and report on Internet trends - search engines, clickthrough rates, the mobile war, and more.
Additionally, the Chitika Insights team monitored the day's tech news closely, and provided an in-depth, data-driven commentary on the latest breaking news. Our studies and data have been featured prominently in major publications, such as The New York Times, Forbes, Barrons and about 3000+ respected publications.
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