Source: DTTL, 2010
Deloitte recently produced their 2011 Predictions for Technology, Media & Telecommunications. I’ve combed through these predictions for you to highlight the ones that marketers need to know:
- Rise of Tablet Computers. Deloitte predicts that more than 25% of all tablet computers in 2011 will be bought by enterprises, and that figure is expected to rise in 2012 and beyond. The retail, manufacturing and healthcare industries are presumed to become early adopters. This means that marketers need to pay attention to how their online communications come across in tablets (in addition to other mobile devices).
- Tipping Point for Non-PCs. Correlating with the first point on the rise of table computers, the era of the PC is coming to a close. While traditional PCs (desktops, laptops, netbooks) will still be the main platform for 2011 and immediate years to come, the landscape is changing rapidly with the increase of tablets and smartphones. Along with the increase in non-PCs has come the growth of the application industry which is only in its infancy. The industry is expected to grow 60% in 2011 to over $10 billion.
- Operating System Diversity. While the adoption of non-PCs is rising, no dominant operating system (OS) has yet to emerge, which means that there is no defacto standard. In a fragmented OS world, it means that no one app developed for a single platform can address the entire market. Marketers will need to understand that developing customized apps or versions for each OS requires time and money (between $5,000 – $500,000, depending on complexity) so they will need to pick and choose the markets they want to target wisely.
- Social Networking Advertising Continues to Grow. While social network advertising revenues are still less than 1% of the global advertising spend, the potential for this channel is huge. Deloitte predicts that 2011 will see over one billion unique social network members and a 40% year over year growth in advertising revenues. In addition to advertising revenues, other forms of revenue for social networks include serving as a payment platform for apps and e-commerce. A blended e-commerce store model may be one where networks charge for online retail space and earn a commission on any sales. What is certain is that marketers need to expand their use of social media to protect their image and reputation in online networks as people overwhelmingly trust peer recommendations (78%) over advertisements (14%).
More Canadians than ever are shopping and researching purchases online according to a new report by Statistics Canada. Almost 40% of Canadians aged 16 and over used the Internet to place more than 95 million orders in 2009. This was up from 32% and the 70 million orders placed in 2007.
Key findings from the report include:
- - 51% of Canadians aged 16 to 34 purchased a product online. Men (42%) were more likely than women (37%) to have made an online purchase.
- - While more Canadians are shopping online, the average value per order declined from $183 in 2007 to $158 in 2009.
- - The most popular online orders are travel services, entertainment products (concert tickets, books, magazines), clothing, jewellery and accessories.
- - Younger consumers were more likely to make smaller ticket purchases like clothing and accessories, while older consumers were more likely to buy bigger ticket items like travel services.
- - The majority of Canadians (52%) are now researching and browsing products online. Of those browsing online, 69% reported making a purchase directly in stores.
Advertising spending has started to rebound this year after last year’s slide, according to a recent article in Marketing Magazine. Canadian advertising spending has rebounded more quickly than U.S. post-recession ad spending with Canadian ad spending expected to grow 5.4% in 2010, compared with 1.1% in the U.S.
Year over Year Total Advertising Expenditures in Canada:
2008: $10.2 billion
2009: $9.3 billion; down 8.4%
2010 (projected): $9.84 billion
2011 (projected): $10.2 billion
2012 (projected): $10.6 billion
Fueling the rebound is spending in Internet Advertising as it continues to climb and will soon become the 2nd most popular medium in 2011. Internet advertising spending is projected to rise 13% this year and 12.7% next year to $2.2 billion, when it will pass newspaper advertising as the second most popular medium in the country behind only TV.
Other key findings from the report include:
- Paid search made up 50.2% of all Internet spending in 2009 and expectations are that it will get to 52.6% by 2012.
- Display’s contribution to total internet spend fell from 32.9% in 2008 to 31.9% in 2009.
- New formats such as web video, mobile and social media are expected to help display stabilize this year and increase its share of internet spend to 32% in 2012.
- In 2009, about $18 million was spent on mobile advertising, rising to $30 million this year, $55 million in 2011 and $92 million the year after that.
Do your consumers/clients trust your advertising and website claims more than conversations or word of mouth? Ever wonder what sources your consumers/clients are using to gain information on your organization? And which of those sources they view as credible? Take a look at this article from Ipsos to learn more. For more of the Marketing research you should know, take a look at the articles below.
The Best Day/Time to Send an Email
3 Ways to Make the Most of a Corporate Blog
How to Socialize a Marketing Campaign in 3 Months
How to Encourage Employees to become Brand Ambassadors
