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Consumers Continue to Spend More Time Online
How has the increasing use of the Internet affected the world we live in? Britons are spending more time online. Most people are spending 30 hours a week online, according to a report from uswitch.com.
The report showed that we spend an average of 2 hours online at work and 3 hours at leisure every day and about 3 hours a day on weekends for entertainment. The use of the Internet increases in the younger age group who are 18 – 24 years old spend 45 hours a week on the Internet.
The way we access the internet is also changing. The growth of mobile internet, thanks to the high quality 3G phones, is increasing the amount of time spent on the internet. Users have other ways to access the Internet from mobile devices wherever they are.
Faster speed and broadband coverage in Britain means that the use of home buttons continues to rise. Ofcom’s survey of broadband speeds in Britain found that the average broadband speed in the UK in April 2009 was 4.1Mbit/s and that 70% of broadband users received speeds of over 2Mbit/s. Increased connection speed results in faster load times and better streaming capabilities such as HD videos.
About Advertising Marketing
The increase in time spent online affects where advertisers spend their advertising dollars. Internet advertising is now destroying TV. More and more, mainstream marketers are realizing the potential of the Internet as a means of reaching the masses.
Big brands like Kellogg’s are waking up to the possibility of online delivery. Kellogg spent £58 million on TV advertising from August 2008 to July 2009 and spent just over £300k online. But this is about to change with the selection of a dedicated digital space to come up with the 2010 strategy. This shows that major advertisers are now looking at the benefits of online communication with customers can bring to the brand.
The seemingly late adoption of online advertising by Kellogg’s is not surprising as FMCG brands struggle to adapt to the digital landscape. This is because they have failed to understand how it fits into their overall marketing strategy. But the introduction of the majority of the UK’s internet traffic means that advertisers need to be where the audience is.
Internet and TV connection
More and more people in the UK are using TV online. Catch-up TV became popular in 2008, thanks to BBC iPlayer and 4OD. Figures from Ofcom’s latest annual Communications Market Report show 23% of households say they watch programs online. This rises to 33% among 15-24 year olds.
There are two ways to watch TV online through streaming or downloading. If you’re streaming you’re watching directly from the station, just like traditional TV. Programs can be stopped and restarted (unless they are “live”), but they are not saved on your computer. Downloaded programs are stored on your computer’s hard drive, and can be viewed whenever you want, although many have digital security (DRM) that locks them after a while and prevents you from viewing them again.
Is the TV usage limited to the Internet? This may happen in the future if most programs are broadcast online unless England’s World Cup match against Ukraine which, for the first time at the beginning of October 2009 was broadcast online without TV. The price to watch the game started at £4.99 before 8 October rising to £11.99 until the day of the game.
The majority of feedback from consumers was that this was too expensive for a single game and disrupted viewers and fans with slow internet connections. But there will undoubtedly be many events in the future that are not broadcast on TV and are only shown online.
The development of social networks
Social media is huge in the UK with Facebook the clear market leader accounting for 1 in every 7 websites in the UK. Facebook is the second most visited website in the UK after Google but is the clear leader in terms of website views due to having more website views than Google, eBay UK and YouTube combined.
The success of Facebook is surprising with an 86% increase in visits in the last 12 months. Although Twitter has lost media coverage recently, it is still the most popular social network with almost half of all online activities that take place on the Internet, with no signs of growth. . Social media is not for young audiences the fastest growth occurred among the 35-54 year olds, in Q1 of this year.
Children and their time on the Internet
Many children are comfortable using the internet as they do not know the world without it. A report by the London School of Economics revealed the following about 9-19 year olds who use the internet. Children are more comfortable using the internet and 40% use the internet every day. Although the time spent online is shorter than that of adults 19% spend up to 10% while 48% spend between 10 minutes and an hour. Popularity-driven online activities include:
- Get more information about things other than schoolwork (94%)
- Help with homework (90%)
- Send and receive emails (72%)
- Play games online (70%)
- Send and receive instant messages (55%)
- Download music (45%)
- Find out more about jobs and higher education (44%)
- Browse and shop online (40%)
- Read articles (26%)
- Social media (21%)
I have no doubt in the long run internet usage will continue to grow. Our children use it from an early age, creating a generation of people who are comfortable doing a variety of activities online from entertainment to shopping. Advances in Internet access are lowering barriers to entry, and the growing number of technologies that use the Internet to make certain services easier and faster will all contribute to the continued expansion of the Internet.
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