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How consumers use of technology and its impact

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How consumers use of technology and its impact

  1. 1. How Consumers use Technology and its impact on their lives
  2. 2. Introduction
  3. 3. 3 million advertisers now use Facebook. 93% purchases made by online shoppers are influenced by social media. 90% of online consumers read reviews before even visiting a business. 77% read online reviews before purchasing. The rise of the online shopper
  4. 4. Ecommerce has changes how businesses sell to their customers and how people purchase goods and services. Ecommerce sales in the US alone topped $25 trillion on 2017.
  5. 5. “Just putting stuff on shelves no longer cuts it.” Harvey Finkelstein, COO of Shopify, 2018.
  6. 6. Quality Service and Fast Delivery are now the minimum expectation. Amazon Prime
  7. 7. Instead of..
  8. 8. People are now… People are now…
  9. 9. Changes in Global Internet Access
  10. 10. Humankind is now almost entirely connected. Dec. 1995 16 million people had internet access or 0.4% of the global populace. Dec. 2005 By December 2005 this had risen to 1018 million or 15.7%. Dec. 2017 As at December 2017 this was 4157 million or 54.4% 2020 By 2020 this is expected to be 4.1 billion.
  11. 11. The Techy bit • From the early days of “dial up” Broadband speeds are expected to hit 47.7 megabytes per second by 2020 up from 24.7 mbps in 2015.
  12. 12. The evolution of film downloads. What took 36 days in 1991 now takes under 5 minutes.
  13. 13. Changes in Devices used to Access the Internet
  14. 14. Exponential rise in devices in the last decade • Smartphones • Smart TVs • Desktops • Games Controllers • 4.92 billion global mobile users by 2017
  15. 15. Global Digital Use in 2018
  16. 16. The rise of smartphones 2015 71% of all Internet traffic is expected to be from non-PC devices such as tablets and smartphones by 2020 versus 47% in 2015. 2020 Smartphones will be responsible for 30% of all IP traffic by 2020.
  17. 17. Predicted Ecommerce Spending 2015 - 2020
  18. 18. Wearable Gadgets Collect health data. Predicted to be $25 billion annual industry by 2019 With Apple watches and Smart watches holding 60% of the Market Value.
  19. 19. Forecast for 2020 10 Billion new devices and connections. 26.3 Billion devices Worldwide by 2020. In 2015 we averaged 2.2 devices per person – this will rise to 3.4 per person by 2020. In 2015 there were 57 Million home wifi networks Worldwide, this is expected to reach 423 Million by 2020. 8.4 Billion Connected Devices by 2020
  20. 20. How Customers Search for Information
  21. 21. In the 90s… There was much more limited choice for the 255 million global Internet users. IP Traffic was dominated by: Amazon Ebay PayPal Google Napster
  22. 22. The Early 2000s saw the rise of Social Media namely: Youtube Myspace Facebook Twitter
  23. 23. By the late noughties.. Blogging sites such as Tumblr and Wordpress which allowed people to have their own page became increasingly popular – there were 1 billion internet users by 2007.
  24. 24. The Consumer had become more: Informed Connected Empowered
  25. 25. Social Networking Surpassed Email in November 2007 in time spent by user.
  26. 26. Consumers became prosumers, and started to have active dialogue with companies. Digitial Influencers began to make or break products.
  27. 27. Furthermore by 2017..
  28. 28. As well as looking to social media platforms for inspiration and recommendations.
  29. 29. Accessibility changes • In the search for information and options customers now have a constantly moving target. The basic process however has not changed.
  30. 30. Changes in what Consumers buy online
  31. 31. The move towards autonomy Professional Development Mobile self organisation Convenience Elimination of the middle man between seller and buyer Any time of day To any location Sites such as Amazon and eBay allow users to sell to each other
  32. 32. Rise of eproducts and eServices • Ebooks • Digital Music files and software • Website supply • Webinars • The rise of the Digital Nomad
  33. 33. Netflix and Youtube have essentially revolutionised television.
  34. 34. Kickstarting… • Moreover via online learning and sites such as Kickstarter people can start their own business from home more easily than ever.
  35. 35. The rise of ecommerce has meant that..
  36. 36. The rise and rise of online video consumption
  37. 37. First some statistics, by 2020.. Video consumption will account for 79% of IP traffic. This is equivalent to.. 3 Trillion minutes per month Or 5 Million years per month. Or 1 Million minutes every second.
  38. 38. The average online user in the US currently spends 5 hours 31 minutes a day watching video content including: Ebooks Blogs Webinars Podcasts Videos
  39. 39. The current status quo..
  40. 40. To conclude 2/3 of the population of the US now spend 5 ½ hours a day watching videos online.
  41. 41. Which is further evidence that online video marketing is pivotal to success..
  42. 42. How Consumers use of technology has changed over the last 3-5 years
  43. 43. The rise of the mobile phone.. 2017 65% of Black Monday sales on Shopify were carried out on mobile phones in 2017. 2017 35% of Total ecommerce purchases made on mobile phones in 2017. 2018 Predicted to be 40% for 2018.
  44. 44. This is due to: • Mobile Friendly sites • Better phones • Reduced barriers. • The increase of facial and voice recognition software, and with it voice commerce such as Alexa as developed by Amazon.
  45. 45. Personalisation and Optimisation The rise of Algorithims has optimised the user experience leading to greater sales. Inevitably, as the user experience has improved revenue has increased. Better content, the rise of apps, slicker websites, and targeted digital analytics have also driven online sales.
  46. 46. Because..
  47. 47. Similarly, service expectations have been raised • Free and 1 day delivery shopping, 1 Click purchasing, and easier online returns are all now expected as standard.
  48. 48. The increase in use of Price Comparison websites has also been significant
  49. 49. Social shopping and the “Impluse buy” are now facilitated better via in app purchasing.. On Facebook, Instagram and Pinteret.
  50. 50. Friction has been removed as far as possible from the entire buying journey.. 26% of desktop users now use Ad blockers. 80% are aware of them.
  51. 51. In short, we are just more connected..
  52. 52. In Summary – How technology has impacted people’s lives
  53. 53. The Key Points: • The recent rise of online networking, both professional and social. • Individuation – There has been a shift from mass media communication to mass individualised and focussed communication. • The rise of the culture of autonomy in the form of online learning, and a vastly increased amount of websites and blogs. • A decline of community in terms of normal, physical space – applicable to work, consumerism, and family to an extent.
  54. 54. Simplification of Digital Marketing and online purchasing: One click purchasing, and generally far fewer steps Vastly increased purchasing power with stores available online 24/7. The methods of interaction with favourite brands have been multiplied.
  55. 55. The consumer’s first action if in need of something is now to go online rather than to the shops or telephone: • Carry out research if even curious about a product. • Read online reviews. • Watch online videos and demonstrations. • Have the item delivered in a day.
  56. 56. And all this can now be done via a smartphone, 24 hours a day, 7 days a week, 365 days a year.
  57. 57. References 1. Finkelstein, H (2018). 5 Trends That Will Change The Way Your Customers Shop in 2018. www.forbes.com. 10 January 2018. Available at: https://www.forbes.com/forbes/welcome/?toURL=https://www.forbes.com/sites/harleyfinkelstein/2018/01/10/5- trends-that-will-change-the-way-your-customers-shop-in- 2018/&refURL=https://www.google.co.uk/&referrer=https://www.google.co.uk/. (Accessed 12 May 2018). 2. Internet Growth Statistics. Today’s road to e-Commerce and Global Trade Internet Technology reports. Available at: https://www.internetworldstats.com/emarketing.htm. (Accessed 12 May 2018). 3. Castells, M (2014). The Impact of the Internet on Society: A Global Perspective. www.technologyreview.com. 8 September 2014. Available at: https://www.technologyreview.com/s/530566/the-impact-of-the-internet-on-society-a- global-perspective/ (Accessed 12 May 2018). 4. Heitzman, A (2017). How Digital Marketing Transformed the Consumer Buying Process. www.inc.com. 19 January 2017. Available at: https://www.inc.com/adam-heitzman/how-digital-marketing-transformed-the-consumer-buying- process.html. (Accessed 12 May 2018). 5. Claveria, K (2017). 4 examples of how technology is changing consumer behaviour. www.visioncritical.com. 3 February 2017. Available at: https://www.visioncritical.com/4-examples-how-technology-changing-consumer-behavior-1/. (Accessed 12 May 2018).
  58. 58. References 6. Baumgartner, J (2015). Cisco: Video to Consume 79% of Internet Traffic by 2020. www.multichannel.com Available at: https://www.multichannel.com/news/cisco-video-consume-79-internet-traffic-2020-405454 . (Accessed 12 May 2018). 7. British Digital Marketing Online Learning Centre Course Materials. January 2018. Available at https://www.britishdigitalmarketing.co.uk/students/view_content.php (Accessed 12 May 2018). Slide References 3. Heitzman, A (2017). How Digital Marketing Transformed the Consumer Buying Process. www.inc.com. 19 January 2017. Available at: https://www.inc.com/adam-heitzman/how-digital-marketing-transformed-the-consumer-buying- process.html. (Accessed 12 May 2018). 4. British Digital Marketing Online Learning Centre Course Materials. January 2018. Available at https://www.britishdigitalmarketing.co.uk/students/view_content.php (Accessed 12 May 2018). 5. Finkelstein, H (2018). 5 Trends That Will Change The Way Your Customers Shop in 2018. www.forbes.com. 10 January 2018. Available at: https://www.forbes.com/forbes/welcome/?toURL=https://www.forbes.com/sites/harleyfinkelstein/2018/01/10/5- trends-that-will-change-the-way-your-customers-shop-in- 2018/&refURL=https://www.google.co.uk/&referrer=https://www.google.co.uk/. (Accessed 12 May 2018).
  59. 59. Slide References Continued. 6. (Uploaded by) Watson, H (2016). Amazon Prime Free Same Delivery. Available at http://www.herkentucky.com/blog1/amazon-prime (Accessed 12 May 2018). 7. (Uploaded by) Baggs, M (2013). Busy HMV Store. Available at: https://www.gigwise.com/news/78839/hmv-demise- blamed-on-failure-to-move-to-digital-sales . (Accessed 12 May 2018). 8. Syda Productions. Smiling Woman Shopping Online using a Laptop. Available at https://www.dreamstime.com/stock- illustration-smiling-woman-laptop-shopping-online-home-fashion-sale-people-technology-concept-computer- image52410750 (Accessed 12 May 2018). 10. Internet Growth Statistics. Today’s road to e-Commerce and Global Trade Internet Technology reports. Available at: https://www.internetworldstats.com/emarketing.htm. (Accessed 12 May 2018). 11. (Image) Cox Communications (2014). Evolution of broadband Speeds. www.prnewswire.com. Available at: https://www.prnewswire.com/news-releases/cox-communications-delivers-first-gigabit-speed-connections-to-southern- california-residents-300006275.html 11. (Text) Baumgartner, J (2015). Cisco: Video to Consume 79% of Internet Traffic by 2020. www.multichannel.com Available at: https://www.multichannel.com/news/cisco-video-consume-79-internet-traffic-2020-405454 . (Accessed 12 May 2018).
  60. 60. Slides References Continued 12. (Uploaded by) Hunter, S (2017). A Brief History of Internet and Download Speeds in SA. www.2oceansvibe.com. Available at: http://www.2oceansvibe.com/2017/10/27/a-brief-history-of-the-internet-and-download-speeds-in-sa/. (Accessed 12 May 2-17). 14. British Digital Marketing Online Learning Centre Course Materials. January 2018. Available at https://www.britishdigitalmarketing.co.uk/students/view_content.php (Accessed 12 May 2018). 15. “Ricki” (2018). Digital Around the World in 2018. www.campaignbrief.com . Available at: http://www.campaignbrief.com/2018/01/latest-global-digital-in-2018.html (Accessed 12 May 2018). 16. Baumgartner, J (2015). Cisco: Video to Consume 79% of Internet Traffic by 2020. www.multichannel.com Available at: https://www.multichannel.com/news/cisco-video-consume-79-internet-traffic-2020-405454 . (Accessed 12 May 2018). 17. Javelin (2016). 1 in 2 every 2 Dollars spent online will be from mobile devices by 2020. www.businesswire.com Available at: https://www.businesswire.com/news/home/20160714005381/en/Internet-Things-IoT-Triggers-New-Impulse-E- Commerce (Accessed 12 May 2018). 18. Claveria, K (2017). 4 examples of how technology is changing consumer behaviour. www.visioncritical.com. 3 February 2017. Available at: https://www.visioncritical.com/4-examples-how-technology-changing-consumer-behavior-1/. (Accessed 12 May 2018).
  61. 61. Slide References Continued 19. Baumgartner, J (2015). Cisco: Video to Consume 79% of Internet Traffic by 2020. www.multichannel.com Available at: https://www.multichannel.com/news/cisco-video-consume-79-internet-traffic-2020-405454 . (Accessed 12 May 2018). 21. British Digital Marketing Online Learning Centre Course Materials. January 2018. Available at https://www.britishdigitalmarketing.co.uk/students/view_content.php (Accessed 12 May 2018). 22. British Digital Marketing Online Learning Centre Course Materials. January 2018. Available at https://www.britishdigitalmarketing.co.uk/students/view_content.php (Accessed 12 May 2018). 23. British Digital Marketing Online Learning Centre Course Materials. January 2018. Available at https://www.britishdigitalmarketing.co.uk/students/view_content.php (Accessed 12 May 2018). 24. British Digital Marketing Online Learning Centre Course Materials. January 2018. Available at https://www.britishdigitalmarketing.co.uk/students/view_content.php (Accessed 12 May 2018). 25. (Text) Castells, M (2014). The Impact of the Internet on Society: A Global Perspective. www.technologyreview.com. 8 September 2014. Available at: https://www.technologyreview.com/s/530566/the-impact-of-the-internet-on-society-a-global-perspective/ (Accessed 12 May 2018). 25. (Image). (Uploaded by) Fernandez, M (2016). Social Media overtakes Email. www.optinmonster.com. Available at: https://optinmonster.com/email-marketing-vs-social-media-performance-2016-2019-statistics/ (Accessed 13 May 2018). 26. (Text) British Digital Marketing Online Learning Centre Course Materials. January 2018. Available at https://www.britishdigitalmarketing.co.uk/students/view_content.php (Accessed 12 May 2018).
  62. 62. Slide References Continued 26. (image). Fatah, S (2016). Influencers and the New Celebrity. www.mediaincanada.com. Available at: http://mediaincanada.com/2016/03/21/launching-the-inf-influencer-agency/ (Accessed 13 May 2018). 27. Bhargava, V (2017). 90% of Consumers read online reviews. www.blog.exitbee.com. Available at: http://blog.exitbee.com/why-customer-reviews-are-your-ticket-to-more-sales-and-how-to-get-them/ ( Accessed 13 May 2018). 28. (Text). British Digital Marketing Online Learning Centre Course Materials. January 2018. Available at https://www.britishdigitalmarketing.co.uk/students/view_content.php (Accessed 12 May 2018). 28. (Image). Various Social Media icons. www.g2gmedia.com Available at http://www.g2gmedia.com/digital-media/ (Accessed 13 May). 29. (Text). Heitzman, A (2017). How Digital Marketing Transformed the Consumer Buying Process. www.inc.com. 19 January 2017. Available at: https://www.inc.com/adam-heitzman/how-digital-marketing-transformed-the-consumer-buying- process.html. (Accessed 12 May 2018). 29. (Image). Consumer Purchase Process (2018). www.learnmarketing.net . Available at: http://www.learnmarketing.net/consumer.htm (Accessed 13 May).
  63. 63. Slide References Continued 31. British Digital Marketing Online Learning Centre Course Materials. January 2018. Available at: https://www.britishdigitalmarketing.co.uk/students/view_content.php (Accessed 12 May 2018). 32. (Text) British Digital Marketing Online Learning Centre Course Materials. January 2018. Available at: https://www.britishdigitalmarketing.co.uk/students/view_content.php (Accessed 12 May 2018). 32. (Image) Trouble, K (2016). The Pitfalls of being a Digital Nomad. www.returnofkings.com. Available at: http://www.returnofkings.com/98199/the-pitfalls-of-being-a-digital-nomad (Accessed 20 May 2018). 33. Pino, N & Chacksfield, M (2018). Best Shows on Netflix 2018. www.techradar.com. Available at: https://www.techradar.com/news/television/best-netflix-series-25-great-netflix-tv-shows-1288230 . (Accessed 20 May 2018). 34. (Text) Baumgartner, J (2015). Cisco: Video to Consume 79% of Internet Traffic by 2020. www.multichannel.com Available at: https://www.multichannel.com/news/cisco-video-consume-79-internet-traffic-2020-405454 . (Accessed 12 May 2018). 34. (Image) Wolf, C (2017). Kickstarter wants to Crowdfund the Future of Menswear. www.gq.com . Available at: https://www.gq.com/story/kickstarter-romphim-crowdfunding-menswear . (Accessed 20 May 2018).
  64. 64. Slide References Continued 37. Baumgartner, J (2015). Cisco: Video to Consume 79% of Internet Traffic by 2020. www.multichannel.com Available at: https://www.multichannel.com/news/cisco-video-consume-79-internet-traffic-2020-405454 . (Accessed 12 May 2018). 38. British Digital Marketing Online Learning Centre Course Materials. January 2018. Available at https://www.britishdigitalmarketing.co.uk/students/view_content.php (Accessed 12 May 2018). 39. Dixon C, (2017). Two Thirds of US Consumers watch mobile video daily. www.nscreenmedia.com. Available at: http://www.nscreenmedia.com/live-mobile-video-drives-ad-dollar-shift/ . (Accessed 20 May 2018). 40. www.emarketer.com US Digitial Video Viewers 2013-2018. Available at: http://trends.e-strategyblog.com/2014/12/03/us-online-video-viewers-2013-2018/22612 . (Accessed 20 May 2018). 41. Aguiar, J (2016). Think about it, people remember…. www.twitter.com . Available at: https://twitter.com/johnaguiar/status/732605788846460928 . (Accessed 20 May 2018). 43. Finkelstein, H (2018). 5 Trends That Will Change The Way Your Customers Shop in 2018. www.forbes.com. 10 January 2018. Available at: https://www.forbes.com/forbes/welcome/?toURL=https://www.forbes.com/sites/harleyfinkelstein/2018/01/10/5-trends- that-will-change-the-way-your-customers-shop-in- 2018/&refURL=https://www.google.co.uk/&referrer=https://www.google.co.uk/. (Accessed 12 May 2018).
  65. 65. Slide References Continued 44. (Text). Finkelstein, H (2018). 5 Trends That Will Change The Way Your Customers Shop in 2018. www.forbes.com. 10 January 2018. Available at: https://www.forbes.com/forbes/welcome/?toURL=https://www.forbes.com/sites/harleyfinkelstein/2018/01/10/5-trends- that-will-change-the-way-your-customers-shop-in- 2018/&refURL=https://www.google.co.uk/&referrer=https://www.google.co.uk/. (Accessed 12 May 2018). 44. (Image). Petroff, A (2016). Mastercard Take a Selfie to Authenticate. www.money.cnn.com. Available at: http://money.cnn.com/2016/02/22/technology/mastercard-selfie-pay-fingerprint-payments/index.html . (Accessed 20 May 2018). 45. British Digital Marketing Online Learning Centre Course Materials. January 2018. Available at https://www.britishdigitalmarketing.co.uk/students/view_content.php (Accessed 12 May 2018). 46. DPPixwelworks (2015). Personalisation relates to Customer Experience. www.thepixelworks.uk . Available at: https://www.thepixelworks.uk/2015/02/05/why-the-future-of-marketing-is-already-here/ . (Accessed 20 May 2018). 47. Hildebrand, V Dr. (2016). If Personalisation is done right it doesn’t look like marketing. www.slideshare.net. Available at: https://www.slideshare.net/saphybris/argyle-cmo-forum-rethinking-personalization-with-sap-hybris (Accessed 20 May 2018).
  66. 66. Slide References Continued 48. (Text) Claveria, K (2017). 4 examples of how technology is changing consumer behaviour. www.visioncritical.com. 3 February 2017. Available at: https://www.visioncritical.com/4-examples-how-technology-changing-consumer-behavior-1/. (Accessed 12 May 2018). 48. (Image). www.sparksolutions.co (2017). Amazon 1 Click Checkout. Available at: https://sparksolutions.co/2017/10/amazons-1-click-purchase-for-everyone/. (Accessed 20 May 2018). 49. Tiwari, A (2015). Online Price Comparison. www.techstory.in. Available at: https://techstory.in/compareraja-survey/ . (Accessed 20 May 2018). 50. (Text). (Text). Finkelstein, H (2018). 5 Trends That Will Change The Way Your Customers Shop in 2018. www.forbes.com. 10 January 2018. Available at: https://www.forbes.com/forbes/welcome/?toURL=https://www.forbes.com/sites/harleyfinkelstein/2018/01/10/5-trends- that-will-change-the-way-your-customers-shop-in- 2018/&refURL=https://www.google.co.uk/&referrer=https://www.google.co.uk/. (Accessed 12 May 2018). 50. (Image) (Uploaded by) Woollaston, V (2014). Confirm you in app purchase. www.dailymail.co.uk. Available at: http://www.dailymail.co.uk/sciencetech/article-2588889/Apple-offer-free-refunds-youve-stung-app-purchases-live-U-S.html . (Accessed 20 May 2018).
  67. 67. Slide References Continued 51. Claveria, K (2017). 4 examples of how technology is changing consumer behaviour. www.visioncritical.com. 3 February 2017. Available at: https://www.visioncritical.com/4-examples-how-technology-changing-consumer-behavior-1/. (Accessed 12 May 2018). 52. IHS, IoT platforms: Enabling the Internet of Things, (2017). Global Market of Installed and Connected Devices. www.valuewalk.com. Available at: https://www.valuewalk.com/2017/04/what-the-future-might-hold-for-the-internet-of- things/ . (Accessed 20 May 2018).

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