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How do consumers use technology?

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How do consumers use technology?

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Presentation exploring how consumers use technology. Useful for digital marketers to use to understand the most appropriate platforms and tools for an effective digital marketing strategy.

Presentation exploring how consumers use technology. Useful for digital marketers to use to understand the most appropriate platforms and tools for an effective digital marketing strategy.

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How do consumers use technology?

  1. 1. HOW DO CONSUMERS USE TECHNOLOGY?
  2. 2. Introduction 2 The number of consumers accessing the internet via digital devices has multiplied excessively since the creation of the World Wide Web and the reduction in cost of digital devices. Technology is now integrated into our daily lives through the promotion of social media, e-commerce and 24/7 access. With this rise of the internet there has been a huge shift in power from companies to the consumers, as consumers can now utilise the internet to browse a vast array of choices, exchange reviews with friends about products and services and buy commodities online. For companies to stay competitive in this growing digital world, they must understand the different digital channels consumers use, when they use them and how they use them. Any company that does not adopt an effective digital strategy will fall behind.
  3. 3. Access to the Internet: A history 3 1969:%Internet'was'created' but'only'government'officials' and'researchers'could' access'it.' Next%10%years:%cost'of' digital'devices'decreased' making'them'more' accessible'to'consumers.' 1991:%Introduction'of'the'World' Wide'Web.''Everyone'now'has' access'to'the'internet,'opening' the'gateway'to'social'media,'e> commerce'and'online' platforms.. 2000s:%%Social'media'sites' launch,'such'as'Facebook,' YouTube'and'MySpace,' which'encourages'even' more'people'to'use'the' internet.. Access'to'the'internet' meant'that'music'and'films' were'now'streamed'as' opposed'to'bought'on'CD' which'evokes'creative' destruction'in'the'music' industry.' 2007:%The'creation'of'the' smart'phone'meant'that' internet'access'was' portable'and'available'24/7' for'consumers.'
  4. 4. 4 97% of Denmark’s population use the internet 0.06% of North Korea’s population use the internet 4% of Nigeria’s population use the internet Not all consumers have the same amount of access to the internet (Hootsuite, 2018)
  5. 5. BIG DATA processes 40,000 searches every second 5 (Marr, 2018)
  6. 6. 6 Digital devices used by consumers On average (Chaffey, 2018) 46% global consumers access the internet via multiple devices 30% use their mobiles only 24% use their desktops only
  7. 7. 7 48 24 15 9 0 0 1 S M A R TP H O N E LA P TO P TA B LE T D E S K TO P G A M E S 0C O N S O LE E 2R E A D E R TV 0S E T WHICH0DIGITAL0DEVICES0DO0YOU0USE0TO0 ACCESS0THE0INTERNET0IN0%? Statistica,02018
  8. 8. Where do consumers find their information about products? 8 80% millenials use pinterest (Coschedule blog, cited by hubspot,2018) 60% use retail sites (Criterio, 2016) 46% use their mobile first (Google cited by hubspot, 2018) 64% more likely to buy a product after watching a video (Forbes cited by Hupspot 2018) 29% speak to salespeople (hubspot, 2018) 96% of mobile traffic from google (Jody Nimetz Co., cited by hubspot, 2018) 47% tend to view 3- 5 pieces of content before speaking to a sales rep (Demand Gen report cited by Hubspot 2018)
  9. 9. What do consumers buy online? Entertainment 1 in 4 online purchases made for entertainment in the UK (Peachey, 2017) Financial services 27% of transactions online have been associated with financial services (Peachey, 2017) 9
  10. 10. 10 Food and Drink 41% of purchases made on food and drink in store rather than 7% online (Peachey, 2017) 70% of online baskets are abandoned (Pure 360, 2018)
  11. 11. Online video consumption 11 Consumers spend 64 minutes a day watching videos (Tran, 2018) Growth of 17% of smart phone video consumption from 2017-2018 (emarketer, 2018) 65.1% of global digital users watch videos due to streaming on demand options (emarketer, 2018)
  12. 12. Consumer trends (last 3-5 years) ! AI# ! Internet#of#Things# ! Voice#automation 12
  13. 13. AI The rise of AI has occurred in response to the explosion of data generation. For consumers, AI helps sort through enormous amounts of data so that we can find the information and products we want. 13
  14. 14. Voice automation Rise%of%the%mobile-first%world%has% prompted%a%culture%of%'I%want%things% NOW'%and%voice%automation%helps% use%get%our%information%and% products%fast%and%easily%because% we%no%longer%have%to%pause%to%look% at%our%screens.%This%has%also% created%a%need%for%SEOs%to%be%able% to%understand%longer%sentences,% which%AI%helps%with. 14
  15. 15. Internet of Things As we become multiplatform users, consumer desire to have easily connected devices that combine resources to meet our needs. This connectivity also contributes to the need for AI as IoT real-time activity will constitute 95% of data by 2025 (information/age, 2017) 15
  16. 16. SUMMARY Demographic dependent: 16 Even though more consumers use technology in their lives than ever before, there are still discrepancies between demographics as to how much it is used. This means that companies should do market research to assess where they should focus their finite resources. Countries with limited internet access due to economic or political restrictions would be less fruitful for companies than countries without these restrictions
  17. 17. SUMMARY Mobile-first world: 17 Increasing numbers of consumers are turning to their mobiles first to both to buy products and search for information. This means companies have to adapt websites so they are mobile friendly. Companies that take advantage of the mobile first world and track consumer mobile interactions to personalise the consumer experience will find themselves ahead of their competitors.
  18. 18. SUMMARY Prioritise visual stimuluses: 18 The growth of video consumption and use of social media platforms, such as pinterest, indicates that companies need to incorporate visual stimulus's such as tutorials and webinars into their websites and marketing strategies. Consumers find these easier to watch on the go because they provide concise and visually interesting information. Videos are also extremely useful for conversion however, companies must ensure they are mobile@friendly videos and photos to reap the benefits from these tools.
  19. 19. SUMMARY 'I want it now' culture: 19 The rise of the mobile first world and the interconnectivity of devices through IoT means that consumers expect to get personalised solutions straight away from companies. Access to the internet means that consumers can jump from one company to the next if they don't think that their needs are being met. This is evident from the fact that 70% of online baskets are left. Companies that does not offer fast, user friendly, personalised online experiences will fall behind. However, not every retailer needs to prioritise a digital strategy. Food and drink, for instance, is still largely bought instore. Therefore, it is clear that companies must understand the personal needs of their consumers and how their shopping habits work to allocate marketing resources in a way that gains the highest conversion rates.
  20. 20. References 20 Ismail, N. (2017). The value of data: forecast to grow 10-fold by 2025.Available: https://www.information-age.com/data-forecast-grow-10-fold-2025- 123465538/. Last accessed 11th November 2018Kemp, S. (2018). DIGITAL IN 2018: WORLD’S INTERNET USERS PASS THE 4 BILLION MARK. Available: https://wearesocial.com/blog/2018/01/global-digital-report-2018. Last accessed 11 November 2018. . Chaffey,*D.*(2018). Mobile'Marketing'Statistics'compilation. Available:*https://www.smartinsights.com/mobileB marketing/mobileBmarketingBanalytics/mobileBmarketingBstatistics/.*Last*accessed*11th*November*2018. Criterio. (2016). Browsing & Buying Behaviour 2016. Available: https://www.criteo.com/wpB content/uploads/2018/01/BrowsingBBuyingBBehaviourB2016BUK.pdf. Last accessed 11th November 2018. Emarketer editors. (2018). eMarketer Releases Latest Global Digital Video Viewer Estimates Expanding mobile usage and improving broadband connections fuel growth. Available: https://www.emarketer.com/content/emarketer-releases-latest-global-digital-video-viewer-estimates. Last accessed 11th November 2018. Hootsuite. (2018). Internet penetration by region. Available: https://wearesocialBnet.s3.amazonaws.com/wpB content/uploads/2018/01/DIGITALBINB2018B003BINTERNETBPENETRATIONBMAPBV1.00.png. Last accessed 11th November 2018. Hubspot. (2018). Ultimate list of marketing statistics 2018. Available: https://www.hubspot.com/marketingBstatistics. Last accessed 11th November 2018.
  21. 21. 21 Marr,'B.'(2018). How$Much$Data$Do$We$Create$Every$Day?$The$Mind8Blowing$Stats$ Everyone$Should$Read. Available:' https://www.forbes.com/sites/bernardmarr/2018/05/21/howBmuchBdataBdoBweBcreateBeveryB dayBtheBmindBblowingBstatsBeveryoneBshouldBread/#30a4c1c960ba.'Last'accessed'11th' November'2018. Peachey,'K.'(2017). UK's$online$shoppers$top$global$spending$survey.Available:' https://www.bbc.co.uk/news/businessB39655039.'Last'accessed'11th'November'2018. Small'business.com.'(2016). How$Your$Customers$Use$Different$Digital$Devices$ Throughout$the$Day. Available:'https://smallbusiness.com/tech/digitalBdeviceBdailyBusage/.' Last'accessed'11th'November'2018. Statcounter.'(2018). Desktop$vs$Mobile$vs$Tablet$Market$Share$Worldwide. Available:' http://gs.statcounter.com/platformBmarketBshare/desktopBmobileBtablet.'Last'accessed'11th' November'2018. https://unsplash.com/

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