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Are consumers really networked? And, if they are, should you care?

Are consumers really networked? And, if they are, should you care?



Senior Fellow Jim Jansen is speaking at Advance 2011: Rediscovering the consumer, on September 21st in San Diego.

Senior Fellow Jim Jansen is speaking at Advance 2011: Rediscovering the consumer, on September 21st in San Diego.



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  • Rise of broadband at home was transformative – internet becomes a central info and communications hub in the home after the switch from dial-up. People do more stuff online; privilege the internet over other info sources in many cases; report better outcomes from internet use, and, most importantly become content creators. Two thirds of adults and 80% of teens are content creators. This is the big change the internet has introduced to media landscape. Probably take a minute to say this.
  • Quick rundown of growth of cell ownership – 30 seconds
  • Rundown of mobile connectivity Cell phones – 39% of cell owners Laptops – 87% of laptop ownersOverall that adds up to 57% of adults
  • Quick rundown of our data on rise of social networking. This amplifies long term trends dating to 20th century in technology, new social roles, workforce structure, politics and culture. Right now, 48% of American adults use social networking sites and fastest growth is taking place in the 50+ age cohort

Are consumers really networked? And, if they are, should you care? Are consumers really networked? And, if they are, should you care? Presentation Transcript

  • Are consumers really networked? And, if they are, should you care?
    Jim JansenSenior Fellow
    Pew Internet & American Life Project
    (they are and you should)
  • Thanks!
    Great to be here!
  • Who’s Jim Jansen?
    Senior Fellow at the Pew Research Center (Pew Internet & American Life Project) - http://www.pewinternet.org
    Associate professor at College of Information Sciences and Technology, The Pennsylvania State University, USA
    Active research and teaching efforts in the web area - http://ist.psu.edu/faculty_pages/jjansen/
    New book, Understanding Sponsored Search (Cambridge University Press) … theory of keyword advertising
    Recent Pew Internet reports focusing on purchasing digital content, income effect on internet usage, online product research.
    Forthcoming report, the religious and their technologies
  • What is Pew Internet?
    Part of the Pew Research Center
    A nonpartisan ‘fact tank’ based in Washington, DC
    Provide quality and objective data to thought leaders and policy makers
    Pew Internet & American Life is one project of the Center
    All findings are based on nationally representative telephone surveys …
    U.S. adults age 18+ or U.S. teens ages 12-17
    Drawn from dual-frame (landline/cell phone) samples
    English or English and Spanish
    Study how technology is shaping society and individuals
  • Are consumers really networked?
    Yes, they are …
  • In fact, ….
    71% of online adults now use video-sharing sites(e.g., YouTube)
    65% of online adults use social networking sites(e.g., Facebook, LinkedIn)
    58%of Americans with smart phones use mobile and social location-based services (e.g., FourSquare)
     the networked consumer is engaged, via technology, with the ‘offline’ world (getting harder to separate offline from online)
  • Is this important?
    Yes, it is …
  • In fact, ….
    95% of those earning $75,000 or more a year use the internet at least occasionally, compared with 70%for those earning less than $75,000.
    88% of those earning $75,000 or more a year conduct online product research compared to 58% for the overall internet population
    Many other reasons on why the networked consumer is important. Income is just one example.
    There is a positive correlation between incomeand …  use of the web, use of the internet,and ownership of electronic devices.
    The more income =more networked.
  • Before we look at the details, …
    Let’s examine the contextin which this is occurring.
    There are three on-going revolutionsin technologyand access …
  • #1 Internet and Broadband Revolution
  • Check out these usage rates!
    Probably slow growth for years ahead
    Has stabilized
    Pulling downthe average
  • 70%
    Broadband access at home transformational, internet becomes a central hub for:
    • information
    • communication
    • entertainment
    Changed the commercial landscape!
    More importantly, made efficient ecommerce a reality!
  • #2 Wireless Connectivity Revolution
  • Cell phone owners: 85% of adults
    Cell phone ownership has outpaced or is on par with internet access for all age groups!
    Near 100% marketshare for many age groups
  • Mobile internet connectors: 57% of adults
    Mobile internet connectivity with:
    • Cell phone – 39%
    • Laptop, etc. – 87%
    Highest among non-white demographics
    Always on!–accessanytime and anywhere!
    … and at increasingly significant bandwidth (ex. 4G wireless isexponentially faster than a T1 line)
  • #3 Social Networking Revolution
  • Amazing growth in 6 years!
    48% of American adults use social networking sites. The fastest growing is the 50+ age cohort!
  • And, folks aren’t using just one SNS!
    If trends continue, the majority of American adult internet users will have profiles on multiple social network sites.
    Currently, a majority of social networking site users already do (52%).
    Changing social roles, workforce, culture, politics, news sources, community, participation, and commerce
  • The impact on information …
    Dramatic effects on people’s relationship to information, communication, and commerce
  • So, what does this mean for networked consumer?
    This is what we are seeing …
  • Snapshot of the networked consumer
    79% of American adults use the internet
    Nearly half of adults (47%) or 59% of internet users, say they use at least one social network site (92% use Facebook)
    Half of all adult cell owners (51%) use their phone to access information
    92% of smart phone users send or receive text messages
  • The networked consumer: cell phones
    Interesting tidbit: 82% of American adult cell phones owners have bumped into another person or an object because they were distracted by talking or texting on their phones.
    What’s left?
    Visual communication
    Get/Share information
  • Take Aways
    Technology and access is changing (has changed) the value, dissemination, and relationshipattributes of information
    The networked consumer is leveraging technology, especially social, to engagewith the physical world.
    Near majorities of American adults are now (or soon will be) networked consumers. For some networked activities and consumer demographic groups, near saturation levels.
  • Follow-on Discussion
    Happy to chat (either today or contact me)
    Email jjansen@acm.org
    LinkedIn http://www.linkedin.com/in/jjansen
    Twitter jimjansen
  • Related Reports Available at Pew Internet
    Use of the internet in higher-income households
    Online product research
    Generations and their gadgets
    Adults and cell phone distractions
    Generations 2010
    Pew Interest uses a ‘freemium’ model. All reports, surveys, and data are available and free. Material from 2000 to the present!
  • Thanks!
    (welcome questions!)
    Consumers are increasingly networked… and you shouldcare!
    Jim JansenSenior Fellow
    Pew Internet & American Life Project