The Digital Consumer and 15 growing statistical trends

It is no surprise that the use of smartphones, and varying social media platforms has drastically increased over the past few years, but a recent study by Nielson puts real numbers to the growing phenomenon of Cell phone and social media usage. The data is compiled from over a year period form 2012-2013 and throughout the report are many astonishing findings that may have an effect on your marketing strategies going forward. According to the report adults spend an average of 34 hours a month using mobile internet compared to 27 hours on PC’s. Of the 34 hours spent on mobile devices 86% of it is spent using apps, with only 14% coming from actual smartphone browsers. Here are some in depth numbers from the report

  1. 64% of overall social media users use social media sites daily via computer while 47% of smartphone users visit social media sites daily
  2. Consumers are connected with screens throughout the day and engage with various media content for over 60 hours a week
  3. Percentage of homes that own smartphones has skyrocketed since 2009 with 19% to 44% in 2011, to 65% in 2013.
  4. ¼ Americans plan on buying a smartphone in the next 6 months
  5. Video consumption is up by 157% over the past 5 years with mobile users spending 59% more time watching video on devices
  6. Roughly 7 hours is spent a month watching video on websites, and 6 hours a month are spent watching video through their mobile devices
  7. The US Hispanic makes up the fastest growing population segment with a projected 60% population growth rate over the next 3 years
  8. Data usage is 16% higher among Hispanics compared to the national average
  9. 72% of Hispanics own a smartphone which is higher than the national average
  10. 84% of smartphone/tablet users use their devices as seconds screens while watching TV at the same time
  11. 7% of by a product or service being advertised from tv through smartphone, while 14% make purchases with their tablets
  12. 39% of adults access social media while at the work space
  13. 21% of respondents use social sites while in the restroom
  14. 48% of moms with children under 13 use social media while driving vs. 31% overall
  15. 492 million tweets were sent last year regarding sporting events, account for nearly 50% of most tweeted program type of 2013

Nielson Report

What stands out most is the 84% of smartphone/tablet users who use their devices while watching television. This number can be alarming for those advertising through television, as the viewer simply may be distracted by their devices to notice advertisements being displayed on TV. With the television advertisement spending an estimated 40% of the 532 Billion dollars advertisement industry 2013, to think that 87% of the target audience is not paying attention to these ads because they are focused on their devices is negatively affecting ROI rates for TV Ad space. Furthermore, the data represents the importance for advertisements in device applications, and on websites, as over 60 hours of weekly time is spent in front a pc, or phone screen respectively.

The growth rate of the Hispanic population in correlation to their use of mobile devices is the largest of any demographic, and how they receive their daily content. This demographic which has higher percentages of mobile interaction over all other demographics can be expected to see an increase in targeted advertisement in an attempt to capitalize on this phenomenon. The most alarming statistic is 48% of mothers with children who use their mobile devices while driving, hopefully this number declines before years end.

What are your takes on these statistics listed, and how can businesses more effectively target mobile users?

 

 

Facebook to update right column advertisements in your news feed

Facebook is taking the next step in providing a superior Desktop advertisement service. Along with the recent change of the news feed, Facebook will be updating the way sponsored Ads appear on home pages. Facebook’s announcement yesterday will look to revamp how Ads are viewed on the right hand column of the Facebook news feed, making them more in line with the new look Facebook. With a revamped Ad system for right side columns, Facebook will allow advertisers a more streamlined experience from the larger news feed ads, to the smaller, cheaper right side column Ad.

The intention is to generate higher engagement rates, and more effective visual marketing. Facebook will make the new Ads on the right side column larger than they currently are, and also lower the amount that is being seen at a time. As it stands now, up to 7 Ads at a time can be viewed on the right column, no official word yet on what the new number will be, but we guess that the new limit could be up to 4. Larger Ads, and less Ad clutter means prime real estate going forward for sponsored advertisements, as there will be less competition visually to steal attention. The updated Ads will mirror those that are placed directly in your news feed, meaning that you can use the same image for both, making your Ad campaigns visually simplistic and linear.

Facebook new Ad design

The move by facebook is on paper the smart move, and one must wonder if the update to the news feed was ultimately to update the Ad sections available on the site. Right column Ads have accounted for nearly all of Facebook’s revenue leading up to 2012, and since have accounted for 53% of Ad revenue as of end of July 2013. Facebook claims that in early tests, engagement for the new right side Ads have increased by 300%. This is great news for smaller budget minded advertising campaigns not willing to shell out larger cash for a full news feed Ad.  Currently right column Ads cost roughly $0.30 per 1,000 viewers vs. $5 for news feed Ads, although costs for the new Ad style are expected to increase.The new Ads are not available to all advertisers at this time, yet by the end of the 2014 year it will be 100% available to all agencies and those wishing to utilize the service.

While this presents a great opportunity to update its online desktop Ad revenue sales, we at DataChamp24 are not entirely sure they are tackling this issue in the right way. With 68% of traffic going to Facebook through mobile devices, mobile users will have zero chance of seeing these new revamped right side Ads. Facebook mobile Ad revenue accounted for 53% of its 2.34 Billion dollar Ad sales in the fourth quarter of 2013, and both mobile connectivity and mobile Ad revenue numbers are expected to continue growing over the coming years for the company. Facebook would be better served off a stronger news feed experience for advertisers, or implementing the right side Ads into the mobile  Facebook displays allowing for maximum reach potential.

What are your thoughts on Facebook’s news Advertising model? it is a significant change, or will its lack of availability on mobile devices ultimately render them obsolete.

 

Facebook and Whatsapp. Attempting to recapture mobile usage dominance

We are all guilty of it at some point during the week. Wake up, check our mobile devices, see who liked our Facebook posts, check Instagram to see what people are having for breakfast, and reply back to any Whatsapp messages we received through the night. This whole process can take only 5 minutes to […]