By Adam Fraser
It’s that time of the year again. LinkedIn and Twitter shares come at every angle as one of the tech industry’s most eagerly awaited powerpoint decks – the 2017 Internet trends report from Mary Meeker – is released.
At 355 slides (no typo – three hundred and fifty-five…) it is a deep dive into a number of uber internet trends. It’s not for the faint hearted looking for a quick sound bite and headline – think more encyclopedia than break through analysis – but it truly is a fantastic (free) resource for anyone performing analysis in the tech sector.
I would encourage everyone to take the time to review the detailed deck, but if you don’t have the time here are 10 key takeaways:
- Global internet users continue to grow (now 3.4bn), with the rate of growth flat on prior year at 10%; global internet users have more than doubled since 2009
- Growth in global smartphone shipments slowed significantly to 3%, from 28% growth in 2014 and 10% growth in 2015; this suggests smartphone penetration is approaching maturity (2.8bn users)
- The time spent with digital media per adult in the USA continued its steady consistent growth over recent years, up 4% to 5.6 hours/day (as comparison this was 4.3 hours/day in 2012 and 3.0 hours/day in 2009) with the majority of this time now spent on a mobile device
- Voice was identified as an increasingly important means of communicating with devices, with 20% of mobile searches on Google now made via Voice and Google’s machine learning voice accuracy now exceeding 95%; in addition, the Amazon Echo install base in the USA now exceeds 10m.
- Social customer service (“easier access to online support channels”) was identified by 60% of survey respondents to be an area brands could most improve their customer service offering
- Internet advertising in the USA grew to $73bn in 2016 from $60bn in 2015 and $50bn in 2014, driven by mobile and largely Facebook and Google (these two companies comprised 85% of internet advertising growth); mobile advertising now exceeds desktop advertising
- Print spend is overweight and mobile advertising spend underweight vs proportion of consumer time spent on media platforms; Print (4% time spent, 12% ad spend), Radio (9% time spent, 9% ad spend), TV (38% time spent, 38% ad spend), Internet (20% time spent, 20% ad spend), Mobile (28% time spent, 21% ad spend); based on current trends digital advertising spend will exceed TV ad spend in 2017
- Ad blocking is growing at an exponential rate, with almost 250m desktop ad blocking users, and approaching 400m mobile ad blocking users.
- Online retail sales in the USA hit almost $400bn, growing 15% on the prior year. Walmart – the world’s largest retailer – is aggressively growing its online channel and Amazon is now becoming a force in own brand products for basic categories such as batteries (market leading 31% share of market) and baby wipes (16% share of the market)
- The market cap of the top 20 tech companies globally is 3.8 trillion dollars; tech companies represent 40% of the world’s top 20 most valuable companies, and 100% of the top 5 (Apple, Google, Microsoft, Amazon, Facebook)
Other sections of the report covered healthcare, gaming, the Cloud, China, and India in some detail.
There are many more fascinating insights in the report; well worth the time for a full review, and an excellent reference point for reliable and trustworthy data points that may be useful in a range of other content analytics use cases.