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Are consumers really networked? And, if they are, should you care? Jim Jansen Senior Fellow Pew Internet & American Life Project (they are and you should)

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Presentation on theme: "Are consumers really networked? And, if they are, should you care? Jim Jansen Senior Fellow Pew Internet & American Life Project (they are and you should)"— Presentation transcript:

1 Are consumers really networked? And, if they are, should you care? Jim Jansen Senior Fellow Pew Internet & American Life Project (they are and you should)

2 Thanks! Great to be here!

3 Who’s Jim Jansen? Senior Fellow at the Pew Research Center (Pew Internet & American Life Project) - http://www.pewinternet.org Associate professor at College of Information Sciences and Technology, The Pennsylvania State University, USA Active research and teaching efforts in the web area - New book, Understanding Sponsored Search (Cambridge University Press) … theory of keyword advertising Recent Pew Internet reports focusing on purchasing digital content, income effect on internet usage, online product research. Forthcoming report, the religious and their technologies

4 What is Pew Internet? Part of the Pew Research Center A nonpartisan ‘fact tank’ based in Washington, DC Provide quality and objective data to thought leaders and policy makers Pew Internet & American Life is one project of the Center All findings are based on nationally representative telephone surveys … – U.S. adults age 18+ or U.S. teens ages 12- 17 – Drawn from dual-frame (landline/cell phone) samples – English or English and Spanish Study how technology is shaping society and individuals

5 Are consumers really networked? Yes, they are …

6 In fact, …. 71% of online adults now use video-sharing sites (e.g., YouTube) 65% of online adults use social networking sites (e.g., Facebook, LinkedIn) 58% of Americans with smart phones use mobile and social location-based services (e.g., FourSquare)  the networked consumer is engaged, via technology, with the ‘offline’ world (getting harder to separate offline from online)

7 Is this important? Yes, it is …

8 In fact, …. 95% of those earning $75,000 or more a year use the internet at least occasionally, compared with 70% for those earning less than $75,000. 88% of those earning $75,000 or more a year conduct online product research compared to 58% for the overall internet population There is a positive correlation between income and …  use of the web, use of the internet, and ownership of electronic devices. The more income = more networked. Many other reasons on why the networked consumer is important. Income is just one example.

9 Before we look at the details, … Let’s examine the context in which this is occurring. There are three on-going revolutions in technology and access …

10 10 #1 Internet and Broadband Revolution

11 Has stabilized Probably slow growth for years ahead Pulling down the average Check out these usage rates!

12 70% 66% Broadband access at home transformational, internet becomes a central hub for: information communication entertainment More importantly, made efficient ecommerce a reality! Changed the commercial landscape!

13 13 #2 Wireless Connectivity Revolution

14 Cell phone owners: 85% of adults 96% 90% 85% 58% Cell phone ownership has outpaced or is on par with internet access for all age groups! Near 100% marketshare for many age groups

15 Mobile internet connectors: 57% of adults 62% 59% 55% Mobile internet connectivity with: Cell phone – 39% Laptop, etc. – 87% Always on! – access anytime and anywhere! … and at increasingly significant bandwidth (ex. 4G wireless is exponentially faster than a T1 line) Highest among non-white demographics

16 16 #3 Social Networking Revolution

17 48% of American adults use social networking sites. The fastest growing is the 50+ age cohort! Amazing growth in 6 years!

18 And, folks aren’t using just one SNS! If trends continue, the majority of American adult internet users will have profiles on multiple social network sites. Currently, a majority of social networking site users already do (52%). Changing social roles, workforce, culture, politics, news sources, community, participation, and commerce

19 The impact on information … Dramatic effects on people’s relationship to information, communication, and commerce

20 So, what does this mean for networked consumer? This is what we are seeing …

21 Snapshot of the networked consumer 79% of American adults use the internet Nearly half of adults (47%) or 59% of internet users, say they use at least one social network site (92% use Facebook) Half of all adult cell owners (51%) use their phone to access information 92% of smart phone users send or receive text messages

22 The networked consumer: cell phones What’s left? Interesting tidbit: 82% of American adult cell phones owners have bumped into another person or an object because they were distracted by talking or texting on their phones. Visual communication Get/Share information EntertainmentTransactingMiscellaneous

23 Take Aways Technology and access is changing (has changed) the value, dissemination, and relationship attributes of information The networked consumer is leveraging technology, especially social, to engage with the physical world. Near majorities of American adults are now (or soon will be) networked consumers. For some networked activities and consumer demographic groups, near saturation levels.

24 Follow-on Discussion Happy to chat (either today or contact me) Email LinkedIn Twitter jimjansenjimjansen

25 Use of the internet in higher-income households Online product research Generations and their gadgets Adults and cell phone distractions Distractions/Major-Findings/5-Bumping-into-people-and-objects.aspx Distractions/Major-Findings/5-Bumping-into-people-and-objects.aspx Generations 2010 Related Reports Available at Pew Internet Pew Interest uses a ‘freemium’ model. All reports, surveys, and data are available and free. Material from 2000 to the present!

26 Thanks! (welcome questions!) Consumers are increasingly networked … and you should care! Jim Jansen Senior Fellow Pew Internet & American Life Project

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