RIM to launch BlackBerry tablet, but customer loyalty falling

Hot on the heels of Apple’s widely successful iPad release, rival Research In Motion is rumoured to be gearing up for a product launch in November for a new BlackBerry tablet computer, with the company keen to take advantage of the iPad-inspired hype.

But while RIM might have hopes for widespread success, they better act quickly – new Nielsen figures show only 42% of BlackBerry users intend to keep using the company’s products.

As reported by Bloomberg, Canadian manufacturer RIM will launch a tablet device in November, about the same size of the iPad, focussed mostly towards the enterprise sector.

This comes as the company prepares to launch a new touchscreen phone this week, according to various reports, in order to bank on the success of the latest iPhone 4. Its previous touchscreen model, the Storm, failed to gain many buyers.

The gadget has a tentative title of the “Blackpad”, and will have a 9.7-inch screen, contain Wi-Fi and BlueTooth technology which will allow tethering with BlackBerry handsets. It will cost about $US499, keeping in line with the cheapest iPad models.

But in a drawback, the gadget won’t have 3G connectivity – a major advantage of the iPad. But unlike Apple’s tablet, the Blackpad will have both front and rear cameras for videoconferencing.

The gadget will also have access to the BlackBerry App World, but this could actually be a drawback. RIM’s app development community trails well behind the Apple App Store, with only about 6,000 apps compared to Apple’s 225,000-plus.

The pricing structure is also a problem. BlackBerry apps are expensive, averaging around the $US8 mark, so users are missing out on the cheap impulse buys that fill the App Store.

RIM has been struggling to keep up with Apple in general. It only held about 19.4% of shipments in the first quarter, representing a 1% decline according to IDC figures, while Apple gained over 5% of shipments in the same period.

According to the new reports, the gadget will put a heavy emphasis on integration with existing BlackBerry smartphones, so users will be able to switch between the two devices without too much work.
However, new Nielsen figures show that might not be the best plan. The company’s latest survey shows brand loyalty is faltering, with 29% of BlackBerry owners considering making the switch to an iPhone. Overall loyalty remains fairly low, with only 42% of users saying they will keep using BlackBerry gadgets.

On the other hand, Apple continues to enjoy strong brand loyalty, with a massive 90% of iPhone users intending to stay on with the company for their next handset.