2. 1. Introduction
2. Access to the Internet, Speed etc.
3. Digital Devices used by audiences
4. How customers search for information (Which online channels do they use?)
5. What consumers buy online? (Product/services)
6. Online Video Consumption - How much changes the amount of
consummation of video content?
7. Consumer trends - How the consumers ‘use of technology has changed over
the past 3-5 years, reflecting on the area above?
8. Summary - overview of the key points and emphasise the impact of
3. 1. Introduction
Earlier days, the consumer could find Information in Magazines, Newspapers or on TV, before all of it
became accessible on the internet in Blogs, Google, Apps, Websites or Social Media.
Today, widespread use of Internet and powerful new technologies are having an enormous impact on
both buyers and marketers.
The Internet is connecting all types of people around the world. When someone recognises a want or
need, their search for the solution will often begin online. Most of the world’s businesses are carried out
over Digital networks that connect people and companies.
Internet usage and speed continues to grow steadily. 51% of the world's population is now on internet.
Mobile Devices are now the most common way of accessing the Internet. [D.Chaffey, Digital MArketing
Excellence] It makes it easier for the consumer to get the information quickly and to purchase products
and services. Amazon and Ebay are the most common shopping websites.
93 % of internet users are watching videos online each month. The impact of YouTube and Social Media
(Facebook, Instagram etc.) is increasing steadily.
4. 2. Access to the Internet
How to access the Internet?
You can have have access to the Internet via your mobile phone, Desktop Computer, Laptop, Tablet
and even with Smartwatches.
A computer or other device accessing the Internet would either be connected directly to a modem
that communicates with an Internet service provider (ISP) or the modem's Internet connection would
be shared via a Local Area Network (LAN) which provides access in a limited area such as a home,
school, computer laboratory, or office building.
Internet can be accessed using Wireless Broadband to provide both fixed and mobile Internet
access. Just about anything can be wired up, courtesy of the powerful combination of computer chips
and cordless or wireless technology, including higher speed data transfer protocols such as 4G and
Bluetooth for data transfer between mobile phones and other devices.
5. Global mobile data traffic grew 70 percent in the past year, while the average mobile connection
speed reached 10 Mbps or higher in 32 countries. [by Akamai, Q1 2017 State of the Internet /
Connectivity Report]
The global average Internet connection speed reached 7.2 Mbps,
while global broadband adoption above 10 Mbps was 45 percent.
6. Global Internet usage:
As of June 2017, 51% of the world's population is on internet. In 2015, the International
Telecommunication Union estimated about 3.2 billion people, or almost half of the world's population,
would be online by the end of the year. Of them, about 2 billion would be from developing countries,
including 89 million from least developed countries.
The first billion was reached in 2005. The second billion in 2010. The third billion in 2014.
8. 3. Digital Devices used by audiences
Mobile Devices are now the most common way of accessing the Internet:
Devices:
● Laptops and tablets
● Desktop Computers
● Streaming sticks
● Wearables and consoles (smartwatch, fitbit etc.)
● Interactive digital TV
On average, the typical digital consumer now owns 3.64 of them.
9. TV , Tablet, Mobile phone (left) - smartwatch
(right) - Laptop (left) + USB Stick (right) by
Pixabay
10. 4. How customers search for information (Which online channels do they
use?)
● Browser-based platforms: Google Chrome, Firefox, Apple Safari or Microsoft Explorer
● Search Engines: Google, Bing, Yahoo etc. (Google gets over 100 billion searches a
month. (Mashable, 2015)
● Desktop Apps: Chrome Apps (Google Play Store), Apple Apps (Apple IStore)
● Email: advertising, communication between prospects and clients
● Social media: feed-based and API data exchange platforms - Facebook, Twitter, RSS
feeds, Instagram, WhatsApp, SnapChat
● Blogs, Newsletter
● Video-marketing platforms: customer searching for information via YouTube, Vimeo,
Television (IPTV) or other video streaming platforms
11.
12. 5. What consumers buy online? (Product/services)
60 % of global Consumers prefer to buy books, music, movies and video
games online.
28 % of global shoppers purchased most of their clothing and footwear online
37 % prefer to purchase Health and cosmetic products online
43 % of global consumers are purchasing Jewellery & Watches online
Other: Toys, Video Games, Electronics, Groceries
PwC, 2017
13. Need: The consumer wants to purchase a particular Product or service
Search for information: consumer researches information in a browser
(Google, Yahoo) using specific keywords related to his needs or going
directly on websites
Evaluation of Alternatives: Consumer is comparing Prices and
Specifications of all products looking at reviews and information in blogs ,
Websites
Purchase Decision: After research of all information, facts, the consumer
makes his purchase decision
Underlying Consumer Buying Process
15. 6. Online Video Consumption - changes in the amount of video content
consumed
Now 6 in 10 adults who are uploading or sharing videos online, giving some context to the vast amount
of user-generated content available online and to the potential organic reach of online videos.
93 % of internet users are watching videos online each month.
Technology - has improved immensely over the years and new possibilities for viewing video content
had been created.
Youtube - is one the main reason Online video consumption has grown so much.
Facebook and Twitter - are heavily pushing Video and autoplay videos now in their news feed.
The rise of YouTube, the continuing spread of 4G coverage and the increasing focus of major social
networks on video functionality are major contributors to this trend. And with 30% of video sharers
watching branded videos, there’s a clear opportunity for brands to take advantage of this this engaged
audience. Instagram, Tumblr, Twitter and Snapchat have all been building out their video functionalities.
16.
17.
18. 7. Consumer trends (e.g. how consumers’ use of technology has changed over the
past 3-5 years, reflecting on the areas above)
Access Internet and Speed:
- 51 % of today’s world population have access to the Internet
- 5 years ago only 35 % of the world's population had access
Speed: Today's global average Internet connection speed reached 7.2 Mbps. 5 years ago it was 3.8 Mbps.
Higher speed data transfer protocols such as 4G and Bluetooth for data transfer between mobile phones
and other devices are Standard in big cities today
Digital Devices:
New technologies like ultrafast/powerful smartphones, Smart TV’s, Smart Watches, etc. are the choice of
going online today, rather than Desktop Computers a few years ago.
Mobile Devices are the most common way of accessing the Internet.
19. Search of Information:
Google is now the most powerful Search engine with a world Market Share of 79% ( Bing = 7 %; Others 14 %)
Google provides new and better services for searching online.
The use of Mobile Apps, Social Media (Facebook and Instagram) increased over the years as well to search for
products and services.
Buying/Shopping of Product/Services:
Purchases made online via a mobile device increased in the past years. 56 % of customers shop at amazon
first. ( Books, Media etc.) Social Media has more impact for businesses to get their products out and inspire
purchases.
Video/Audio - is dominating by far the internet data traffic consumption and increases with every year. GWI’s
research shows that practically all internet users are now watching video clips online on a monthly basis.
Volume of monthly consumers data traffic in 2013 from almost 20 000 Petabyte increased to over 40 000
Petabytes.
20. 8. Summary - overview of the key points and emphasise the impact of technology on
consumer lives
The web has fundamentally changed customers’ notions of convenience, speed, price, product
information and service. The Impact of Technology (Speed of Internet, Mobile Devices etc,) changed
consumer lives and plays a big role in the development of business.
In 2014, research found that 81% of shoppers conduct online research before making a
purchase.
As a result, businesses have had to change the way they market themselves and sell to take
advantage of the latest technology and consumers shopping habits.
Nowadays, it is hard to find a company that does not have a substantial Web presence. A website is
even cheaper in comparison, and allows businesses to reach more people and target their customers
even better with Ads, on Social Media or in Apps.
The consumer has online access to all product information, before purchasing products/services and
without leaving the house.
Internet is changing all the time. Two things, have marked its evolution immensely: the social web and
mobile technology. These two innovations have changed the way people use the Internet.
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Editor's Notes
SMITH, P. R. AND CHAFFEY, D.Digital marketing excellence In-text: (Smith and Chaffey, 2017)Your Bibliography: Smith, P. and Chaffey, D. (2017). Digital marketing excellence. 5th ed. p.5.
Anon, (2017). Page 19| Is video the future of everything?. [online] Available at: https://cdn2.hubspot.net/hubfs/304927/Downloads/Trends-17.pdf [Accessed 18 Sep. 2017].
https://themarketingpeople.com/how-the-internet-has-changed-marketing/
http://www.adweek.com/digital/81-shoppers-conduct-online-research-making-purchase-infographic/
"World Internet Users Statistics and 2016 World Population Stats".
"Internet used by 3.2 billion people in 2015". 26 May 2015 – via www.bbc.com.
http://www.itu.int/en/ITU-D/Statistics/Documents/facts/ICTFactsFigures2015.pdf
https://en.wikipedia.org/wiki/Internet_access#Speed 16/9
Digital marketing excellence, 2017 16/09
Tan, A. (2017). More than half of Google searches now come from mobile. [online] Mashable. Available at: http://mashable.com/2015/10/12/google-mobile-searches/#85dGedHpeuqg [Accessed 16 Sep. 2017].