It’s a digital world.
Business Insiders Intelligence, estimates that today nearly 43 percent of the world is connected to the Internet, allowing us to talk, share life moments, and conduct business all around the world from the palm of our hand.
In a newly released presentation, The Top 5 Digital Trends of 2016, John Greenough identifies the key digital trends in the following areas including Mobile, E-Commerce, Digital Media, Digital Financial Services and the Internet of Things.
- In Mobile: messaging apps are the new OS
The top four messaging apps in the world have nearly 3 billion monthly active users and are opened almost five times as much as regular apps, according to the report. Facebook owns the global message app market, owning the top two most used around the world— WhatsApp and Facebook Messenger. Not only are message apps a popular tool to connect with friends, companies are starting to use them to connect with their customers. Greenough anticipates more companies to use the apps to sell goods, promote products, offer customer service, and more.
- In Digital Media: programmatic advertising has exploded in recent years
The digital shift has led to an increase in programmatic advertising—the automatic buying and selling of ad impressions. But Greenough says that the rise of programmatic ads has led to a massive ad fraud problem in which traffic bots are “penetrating the ecosystem, mimicking human behavior, and siphoning billions from the digital media industry.”
According to BI, only 52 percent of online traffic last year came from actual humans. While 20 percent of ‘bad bot’ traffic that imitates user behavior to boost website audience numbers, generate revenue for the host website, or steal revenue from the advertiser, cost advertisers $6.3 Billion in 2015.
- In Payments: mobile wallets may be the story to watch in 2016
Some in-store payments market drivers include:
- Mobile wallet solutions by tech companies, such as Apple, Samsung, and Google, have been made available on the vast majority of smartphones.
- Consumers seem to be catching on. BI expects 65% of the US population will make a mobile payment at least once in 2019, up from 8% in 2015. Incentives, including store-loyalty cards, could be the primary driver for consumer adoption.
- In E-Commerce: deliveries and shipping are drastically changing as more online shopping overwhelms shipping companies.
Mega-retailers are creating their own shipping solutions, as a result of overwhelmed shipping companies are raising their rates. For example Amazon Same-Day shipping $8.99 compared to UPS Ground Next-Day $12.92.
- In IoT: Business are using Internet of Things to lower their operating costs.
Over the next five years, BI expects enterprises investments in the IoT solutions to total over $3 trillion. They estimate those investments in IoT solutions will generate a nearly $8 trillion ROI by 2020. The driving force behind this surge is businesses in almost every industry are realizing how they can leverage IoT devices to lower operating costs, increase productivity, and expand to new markets.
Here are the top industries according to BIs research being transformed by IoT:
- Oil, gas and mining
- Food services