Marketing research and insights news and information. This issue's keywords: mobile retail; smartphones; online streaming; Millennials; U.K. marketers
Physical goods are now the most common mobile purchases, making up 51 percent, compared to games (38 percent), music (38 percent) and apps (37 percent), according to a study by Pleasanton, Calif., strategic insights firm Javelin. Twenty-six percent of mobile users now make mobile online retail purchases and the total volume of mobile online retail payments has more than tripled over the past two years. It is projected to grow from $75.8 billion to $217.4 billion.
Seventy-six percent of airlines plan major programs to deliver passenger services through smartphones in the next three years and 67 percent of airlines will offer a personalized smartphone booking experience, shows a survey by Geneva air transport communications company SITA. During that time, 22 percent of airlines expect to offer flyers the option to download content like books and movies for a flight using a kiosk. The study also found that 9 percent of passengers now use mobile check-in, twice as many from the previous year, and an estimated 24 percent will use it by 2018. The survey also shows only 10 percent of airlines keep passengers up to date with the location of their baggage but this number is expected to rise to 70 percent by 2018.
Among the three major streaming firms – Netflix, Hulu and Amazon Prime Instant Video – Netflix remains the most popular, shows a brand study released by consumer insights firm iModerate, backed by social data from Luminoso. The study shows nearly 40 percent of households are now subscribing to Netflix and 20 percent of participants believe Netflix can wholly replace other entertainment options. Respondents cited the Netflix selection of televisions shows, movies and original series as the reason they preferred it over the other two companies as well as the ability to binge-watch television shows. Consumers say that they used Hulu to primarily watch television shows but not necessarily movies and cited the ability to watch a TV show after it airs as the main benefit of Hulu's services. However, 14 percent of respondents couldn't name a single benefit. Consumers overwhelmingly cited ads as the downside of Hulu's services, with many expressing irritation and disdain toward the presence of ads. Many consumers say Amazon Prime Instant Video lacks defining characteristics or value and many aren't differentiating Amazon's Prime streaming service and its two-day shipping service, with 23 percent of respondents referring to the shipping instead. Those who were familiar with it said it was slow, annoying and short on value, something they wouldn't pay for if it weren't free.
A report by online small business service directory Manta shows that 85 percent of small businesses say they are not specifically seeking out Millennials with their campaigns, with 42 percent saying they don't target the demographic because they aren't the primary audience and 23 percent saying they don't know how to market to Millennials. Those who do attempt to target Millennials focus on social media (54 percent) or Web sites and blogs (15 percent). Of those who use social media, 63 percent use Facebook while 18 percent market via LinkedIn, but fewer than 10 percent are using Twitter or Instagram to target Millennials. Of the SMBs that have reached and engaged with Millennials, 80 percent say the results were positive for their business. Sixty-five percent of small business owners believe Millennials will lead additional SMB entrepreneurship and 29 percent say they plan to change their approach to begin catering to the demographic.
A new report from Adobe shows that 48 percent of U.K. marketers voiced concerns about keeping their skills relevant as technology continues to change. Seventy-three percent believe they are expected to adapt to technological advancements to keep pace with the industry but only 19 percent of marketers describe themselves as tech-savvy and 40 percent feel they don't have the necessary skills to perform their job successfully. Marketers cited lack of resources (41 percent) and training in new marketing skills (30 percent) as top barriers to success.
These reports were compiled from recent issues of the Daily News Queue, a free e-newsletter digest of marketing research and insights news and information delivered each business morning. Not already in the Queue? Sign up here!