In the extensive look at the number of internet trends expected in 2017, Mary Meeker, Kleiner Perkins venture partner, took on the task of condensing the informative research in the technology industry into an impressive 355 page slide deck. Here are some helpful highlights:
Internet usage continues to grow at a steady rate with the current adult averaging about 5.6 hours per day. This has over doubled since 2008 when adults were averaging around 2.7 hours a day. Interestingly, but not surprisingly, this increase lends itself to the simultaneous increase in the use of mobile, while desktop has remained at a consistent level over the past few years.
Furthermore, Meeker asserted that there should be more ad spend on mobile. This makes sense considering people spend 28% of their media time on mobile, however only 21% of a company’s ad spend is dedicated to mobile outlets. So, what does this mean? This means there is a $16 billion opportunity just for increasing mobile ad spend!
Continuing along with the digital/mobile trends, it is expected that within 6 months the budget spent on internet ads will surpass that spent on television ads.
The advertising giants, Facebook and Google, or better referred to as the Ad Duopoly, control 85% of the total growth for online ads in 2017. This gives competitors a daunting task since the Ad Duopoly is able to constantly improve their targeting due to their ability to continually attain data and impressions.
User-Generated-Content has proven itself to be more effective than company or brand created content. This means that online word of mouth is an integral component to the engagement that is occurring between consumers and their purchasing decisions. In fact, effective UGC can generate up to 6.9 times higher engagement than brand generated content.
To read even further into this report check out Meeker’s entire slide deck!