Digital Trends Spring - UK - April 2017

OVERVIEW
What you need to know
Covered in this Report
EXECUTIVE SUMMARY
Mobile phones and smartwatches
Figure 1: Ownership of mobile phones and smartwatches, January 2012-December 2016
Computing and gaming
Figure 2: Household ownership of computers, January 2012-December 2016
In-home entertainment
Figure 3: Household ownership of HD and Ultra HD 4K televisions, July 2016-December 2016
Figure 4: Internet-connected and 3D TV ownership in TV households, July 2016-December 2016
Internet access and online activities
Figure 5: Online social & content creation activities performed in the past three months, December 2016
Figure 6: Online news & entertainment activities done in the past three months, December 2016
Figure 7: Brand/product-related online activities performed in the past three months, December 2016
Figure 8: Online retail, finance and information-related activities performed in the past three months, December 2016
Technology buying habits and attitudes
Figure 9: How recently consumer technology products were bought, December 2016
Figure 10: Attitudes towards new technology, December 2016
DATA OVERVIEW – CONSUMER TECHNOLOGY PRODUCTS
Household ownership of consumer technology products
Figure 11: Household ownership of consumer technology products, December 2016
Figure 12: Household ownership of consumer technology products (source data), December 2016
Personal ownership of consumer technology products
Figure 13: Personal ownership of consumer technology products, December 2016
Figure 14: Personal ownership of consumer technology products (source data), December 2016
Planned purchase or upgrade of consumer technology products
Figure 15: Plans to purchase or upgrade consumer technology products, by timescale, December 2016
Figure 16: Plans to purchase or upgrade consumer technology products, by timescale (source data), December 2016
MOBILE PHONES AND SMARTWATCHES – HEADLINE DATA
Ownership of mobile phones and smartwatches
Figure 17: Ownership of mobile phones and smartwatches, January 2012-December 2016
Purchase/upgrade plans for mobile phones and smartwatches
Figure 18: Plans to purchase or upgrade mobile phones and smartwatches in the next 12 months, December 2016
Source data
Figure 19: Ownership of mobile phones and smartwatches (source data), January 2012-December 2016
Figure 20: Plans to purchase or upgrade mobile phones and smartwatches in the next 12 months (source data), December 2016
MOBILE PHONES AND SMARTWATCHES – MARKET COMMENTARY
The challenge of smartphone innovation
Wireless on the charge?
Some major players dropping modular designs
Figure 21: Google’s discontinued Project Ara handset
Figure 22: Moto Mods for Moto Z handset, February 2016
Intelligent conversation
Foldable phones, finally?
Nokia pitches a back-to-basics approach
Smartwatch potential emerges as the purchase intention gap narrows
Figure 23: Garmin fenix 5 series
COMPUTING AND GAMING – HEADLINE DATA
Ownership of computers
Figure 24: Household ownership of computers, January 2012-December 2016
Ownership of games consoles
Figure 25: Ownership of static and portable games consoles, December 2013-December 2016
Purchase/upgrade plans for computers and games consoles
Figure 26: Plans to purchase or upgrade computers and games consoles in the next 12 months, April 2015-December 2016
Source data
Figure 27: Household ownership of computers (source data), January 2012-December 2016
Figure 28: Ownership of static and portable games consoles (source data), December 2013-December 2016
Figure 29: Plans to purchase or upgrade computers and games consoles in the next 12 months (source data), April 2015-December 2016
COMPUTING AND GAMING – MARKET COMMENTARY
Focus on hybrids is key as tablet sales plateau continues
Price still an issue – and Brexit isn’t helping
Figure 30: Dell XPS 13 2-in-1
Tablet mode proving a weighty issue
Can Android appeal to productivity users?
Figure 31: Lenovo Yoga A12 with haptic feedback keyboard
Under-25s unlikely to consider tablets their ‘main devices’
Figure 32: Important features when considering replacing main device, by demographics, June 2016
Nintendo aims to shake up the console market again
Figure 33: Nintendo Switch console
‘Mid-core’ mobile targets
IN-HOME ENTERTAINMENT – HEADLINE DATA
Ownership of TVs
Figure 34: Household ownership of HD and Ultra HD 4K televisions, July 2016-December 2016
Internet-connected and 3D TV ownership
Figure 35: Internet-connected and 3D TV ownership in TV households, July 2016-December 2016
Plans to purchase or upgrade TVs
Figure 36: Plans to purchase or upgrade televisions, by timescale, December 2016
Ownership of other in-home entertainment products
Figure 37: Household ownership of in-home entertainment products, January 2012-December 2016
Plans to purchase or upgrade other in-home entertainment products
Figure 38: Plans to purchase or upgrade in-home entertainment products in the next 12 months, April 2015-December 2016
Source data
Figure 39: Household ownership of HD and Ultra HD 4K televisions (source data), July 2016-December 2016
Figure 40: Internet-connected and 3D TV ownership in TV households (source data), July 2016-December 2016
Figure 41: Plans to purchase or upgrade televisions, by timescale (source data), December 2016
Figure 42: Household ownership of in-home entertainment products (source data), January 2012-December 2016
Figure 43: Plans to purchase or upgrade in-home entertainment products in the next 12 months (source data), April 2015-December 2016
IN-HOME ENTERTAINMENT – MARKET COMMENTARY
Ultra HD slowly but surely edging HD out of UK households…
…but companies have other screen technologies in their sights
Figure 44: Most important factors when buying new main TV set, June 2016
Screens can still get thinner
Figure 45: Purchasing Influences, August 2014
Voice control and the smart home present opportunities for TV and peripheral manufacturers
INTERNET ACCESS AND ONLINE ACTIVITIES – HEADLINE DATA
Internet access
Figure 46: Methods used to access the internet in the last three months, December 2016
Communication, sharing and content creation
Figure 47: Online social & content creation activities performed in the past three months, December 2016
Entertainment & news
Figure 48: Online news & entertainment activities done in the past three months, December 2016
Brand interactions, reviews and comparisons
Figure 49: Brand/product-related online activities performed in the past three months, December 2016
Retail, finance and information
Figure 50: Online retail, finance and information-related activities performed in the past three months, December 2016
Source data
Figure 51: Devices used to access the internet in the last three months (source data), December 2016
Figure 52: Online social & content creation activities performed in the past three months (source data), December 2016
Figure 53: Online news & entertainment activities done in the past three months (source data), December 2016
Figure 54: Brand/product-related online activities performed in the past three months (source data), December 2016
Figure 55: Online retail, finance and information-related activities performed in the past three months (source data), December 2016
INTERNET ACCESS AND ONLINE ACTIVITIES – MARKET COMMENTARY
Social media platforms focusing on live video
Figure 56: Mark Zuckerberg announces Facebook Live, April 2016
Brand followers likely to be most receptive to live streaming
Figure 57: Proportion of consumers who have watched streaming videos (eg YouTube, BBC iPlayer etc) AND liked or followed a brand on a social media website in the last three months, by age, December 2016
Ephemeral features designed to encourage more sharing
Looking to Generation Z
Spread of ‘fake news’ provides opportunities to push subscriptions
Chatbots have a strong appeal for a young, female audience
Mobile gaming driving app growth
Digital wallets continue to evolve
Figure 58: Managed finances (eg banking, investments, paying bills etc) in the last three months, by device, by age, December 2016
TECHNOLOGY BUYING HABITS AND ATTITUDES – HEADLINE DATA
How recently technology products were bought
Figure 59: How recently consumer technology products were bought, December 2016
Likelihood of buying new technology
Figure 60: Likelihood of buying new technology, December 2016
Attitudes towards new technology
Figure 61: Attitudes towards new technology, December 2016
Source data
Figure 62: How recently consumer technology products were bought (source data), December 2016
Figure 63: Likelihood of buying new technology (source data), December 2016
Figure 64: Attitudes towards new technology (source data), December 2016
TECHNOLOGY BUYING HABITS AND ATTITUDES – MARKET COMMENTARY
Contracts and hype cycles keep smartphone owners upgrading
Scope remains for innovation in tablets
Convertible laptops can appeal to tablet users too
Age and the replacement cycle
Men aged 16-24 most likely to have purchased a TV in the last year
Figure 65: How recently TVs were bought, by gender/age, December 2016
The most recent buyers of tablets are 35-44s…
…but under-25s the most likely to have bought laptops
Over-65s entering the smartphone market
Figure 66: How recently smartphones were bought, by age, December 2016
Age of children highlights opportunities in the family market
Young, male and affluent consumers keen to buy the latest tech straight away
Figure 67: Level of interest in new technologies: “Interested and would look to buy it within the first year it became available”, by gender/age, socio-economic group and gross annual household income, December 2016
It’s not just necessity that’s driving parents’ purchases
Some confusion exists even among enthusiasts
EUROPEAN COMPARISON DATA
Internet access
Figure 68: Methods used to access the internet in the last three months in France, Germany, Italy, Spain and the UK, January 2017
Ownership of consumer technology products
Televisions
Figure 69: Household ownership of televisions in France, Germany, Italy, Spain and the UK, January 2017
Computers, tablets and e-readers
Figure 70: Household ownership of computers in France, Germany, Italy, Spain and the UK, January 2017
Mobile phones and smartwatches
Figure 71: Personal ownership of mobile phones and smartwatches in France, Germany, Italy, Spain and the UK, January 2017
APPENDIX – DATA SOURCES, ABBREVIATIONS AND SUPPORTING INFORMATION
Data sources
Abbreviations