Tech enthusiasts, entrepreneurs, marketers and journalists always look forward to Mary Meeker’s annual Internet Trends report. Meeker, a partner at the venture capital firm Kleiner Perkins Caufield & Byers, uses the report to highlight Internet trends that reimagine the various aspects of people’s lives today.
While last year’s presentation pinpointed the emergence of the wearable technology, this year’s report underlines important shifts in mobile, social networking, sensors, and data mining and highlights China’s impressive share gains. Meeker’s report shows that tech and newcomers are once again disrupting many industries, reiterating the need for companies to use customer intelligence platforms to get closer to their customers as these changes take shape.
Here are 12 interesting stats from the KPCB Internet Trends 2014 report:
- Mobile data traffic is accelerating at 81%. Video is a strong driver.
- 30% of 5.2 billion mobile users now use smartphones. Mobile accounts for 25% of all web usage. In short, if you’re still doing business and research only on the web (or offline), you’re missing out.
- Tablet shipments have increased 52% in 2013, growing faster than PCs ever did.
- Mobile advertising grew 47% in 2013, but that only represents 11% of the total Internet advertising. Advertising on mobile has a lot of room to grow.
- App purchases make up 68% of money made on mobile. (The other 32% comes from mobile advertising.) It’s no wonder more companies are looking to launch branded apps.
- Global over-the-top messaging services—including Snapchat, WhatsApp, and Viber—have reached 1 billion users in less than 5 years. Social networking is moving from broadcast to private sharing.
- BuzzFeed attracted over 130 million unique monthly visitors in 2013, trumping established brands such as the New York Times. By reimagining content and innovating on content delivery (e.g. quizzes, lists, breaking news, etc.), Buzzfeed thrives in the digital age.
- For the first time ever, digital music sales fell (by 6%) in 2013, representing another shift in the music industry. This time, digital sales are declining because of streaming, which is up 32%. The difficult lesson for all businesses: the next disruption is just around the corner.
- We’re mining a huge amount of data, but it’s mostly unusable. Only 7% of all data are tagged and a mere 1% are analyzed. It’s no wonder big-data projects have had limited success.
- The second screen era is officially here: 66% of U.S. tablet owners and 49% of smartphone users surf the web while watching TV; 44% of tablet users and 24% of smartphone users are shopping.
- The Chinese economy now makes up 16% of the global GDP. But China’s rise is not just about the number of consumers in the country: it’s also a place of innovation, as 4 out top 10 Internet properties (in terms of traffic) are now Chinese companies. As international markets like China grow, companies need to consider multinational communities to understand the unique needs of these markets.
- The number of “microelectromechanical systems”— things like sensors and other components in mobile devices— shipped every year has increased more than sixfold over the last five years to 8 billion in 2013, an increase of 32% from 2012.
If you haven’t seen the presentation yet, here it is: