Business guru Mary Meeker published her 2017 Internet Trends report on the last day of May. We’ve had some time to sift through the data and have a few takeaways of our own. The actual report is a hefty 355 pages, so, if you don’t have the time, check out our takeaways of the immense but fruitful document.
- Smartphone sales are slowing down
- Global smartphone shipments grew only 3 percent this year, as opposed to 10 percent the previous year
- Global internet user growth stays the same
- Total internet users grew by 10 percent this year, which is the same as it did last year
- Smartphones are hitting the Saturation point
- smartphone shipment growth has dramatically declined to just 3 percent this year (has been on the decline since 2014) – indicating that pretty much everyone who wants one, has one
- Mobile Internet Use Grows
- Adults in the US spend over 5.6 hours per day on the internet – and over 3 hours of that is spent on mobile, compared to 1 in 2011 – yet, desktop usage has only declined slightly. This indicates it’s more of an ADDITION of mobile, rather than a SHIFT to mobile.
Online Ads Aren’t Going Anywhere
- Ad $ online will surpass on TV
- Within six months, it’s projected that dollars spent on internet ads will overtake dollars spent on television.
- It’s all about Google and Facebook (not surprisingly)
- 85% of online ad growth is controlled by Google and Facebook
- Local Ads Drive Foot Traffic
- Google, Nextdoor, Foursquare and Uber’s location-aware advertisements that appear when users are near a store location can and are effectively influencing purchases
Shift in Media Consumption
- Streaming FTW
- Streaming music surpassed physical music sales, resulting in recorded music seeing its first revenue growth in 16 years
- E-Sports over Real Sports
- e-sports viewing time is up 40 percent year over year, while 43 million people watched the League of Legends finals. Prize money for these competitions continues to grow.
- Cable TV on the Decline
- The high cost of cable television subscription and the affordability of prevalent online streaming platforms is causing people to say goodbye to their cable provider. Thanks Netflix.
- YouTube loses ground in the realm of Mobile Video
- Social media apps like Facebook and snapchat, with their convenient and short form content are driving mobile video growth over longer form youtube videos.
- Shift to Chat
- there is a dramatic rise in the percentage of customer service conversations occurring via real-time in online chat platforms instead of the more traditional phone calls.
- Design is Key
- The ratio of designers to developers at enterprise companies like IBM and LinkedIn is increasing as people demand better interfaces
- Tech Improves Healthcare
- inputs like 3D scans and data monitoring, as well as a willingness to share health data and new heath apps, and a rise in medical research indicates that heath care accuracy will improve.
Overall, the trend report from this year was both enlightening and reaffirming. Hopefully our takeaways are beneficial, and we urge you to take a look at the original document as well for some more interesting and helpful statistics.