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Consumer tech spending to Reach $1.3-trillion in 2019

Purchases of traditional and emerging technologies will remain strong for next 3 years.

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Consumer spending on technology is forecast to reach $1.32 trillion in 2019, an increase of 3.5% over 2018. According to the inaugural Worldwide Semiannual Connected Consumer Spending Guide from International Data Corporation (IDC), consumer purchases of traditional and emerging technologies will remain strong over the 2018-2022 forecast period, reaching $1.43 trillion in 2022 with a five-year compound annual growth rate (CAGR) of 3.0%.

Tom Mainelli, group VP for devices and consumer research at IDC, said: “The new Connected Consumer Spending Guide leverages IDC’s long history of capturing consumer device shipments, combined with valuable insights from regular consumer surveys and channel discussions, to tell a comprehensive story about consumer spending. The Connected Consumer Spending Guide team has built out an initial set of consumer-focused use cases designed to deliver insights about spending across a wide range of device types, from smartphones to tablets, PCs to drones, and smart speakers to wearables. Over time, the team will continue to develop an ever-widening array of use cases, adding additional data about software and services, and eventually demographic-focused insights.”

Traditional technologies – personal computing devices, mobile phones, and mobile telecom services – will account for more than 96% of all consumer spending in 2019. Mobile telecom services will represent more than half of this amount throughout the forecast, followed by mobile phones. Spending growth for traditional technologies will be relatively slow with a CAGR of 2.4% over the forecast period.

In contrast, emerging technologies, including AR/VR headsets, drones, robotic systems, smart home devices, and wearables, will deliver strong growth with a five-year CAGR of 20.6%. By 2022, IDC expects more than 5% of all consumer spending will be for these emerging technologies. Smart home devices and smart wearables will account for more than 80% of the overall spending on emerging technologies in 2019. Smart home devices will also be the fastest growing technology category with a five-year CAGR of 38.0%.

“Connected technologies are transforming consumers’ activities and habits, becoming more and more integrated into their daily lives,” said Jessica Goepfert, program VP for customer insights and analysis at IDC. “This is fueling the consumer’s unquenchable thirst for content and immersive experiences delivered anytime, anywhere, via multiple formats and across a myriad of channels. As a result, we see the balance of power shifting in consumer-facing industries. Whereas once upon a time, the enterprise called the shots, more and more consumer demands and expectations are propelling innovation. What’s the next wave of consumer transformation? Even more widely adopted and mature activities such as listening to music and shopping are being disrupted by new technologies such as smart speakers. And disruption presents an opportunity.”

Communication will be the largest category of use cases for consumer technology, representing nearly half of all spending in 2019 and throughout the forecast. Most of this will go toward the traditional voice and messaging services, joined by social networking and video chat as notable use cases within this category. Entertainment will be the second largest category, accounting for nearly a quarter of all spending as consumers listen to music, edit and share photos and videos, download and play online games, and watch TV, videos, and movies. The use cases that will see the fastest spending growth over the forecast period are augmented reality games (82.9% CAGR) and home automation (59.8% CAGR).

“There’s an expectation among today’s consumers for a seamless consumer experience,” said Stacey Soohoo, research manager of customer insights and analysis at IDC. “The connected consumer is no longer a passive one; the connected business buyer is in control and it’s essential for technology providers to understand this if they want to continue to grow and gain market share in this digital age. As technology becomes more affordable and accessible, the connected consumer is expected to spend more as they leverage these platforms for entertainment, education, social networking, commerce, and other purposes. IDC’s Worldwide Semiannual Connected Consumer Spending Guide presents a comprehensive view of the consumer ecosystem and serves as a framework for how IDC organizes its consumer research and forecasts.”

The Worldwide Semiannual Connected Consumer Spending Guide quantifies consumer spending for eighteen technologies in nine categories across nine geographic regions. The guide also provides spending details for 24 consumer use cases. Unlike any other research in the industry, the Connected Consumer Spending Guide was designed to help business and IT decision makers to better understand the scope and direction of consumer investments in technology over the next five years.

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Appdate: No wallet? No problem?

In his app roundup, SEAN BACHER highlights VodaPay Masterpass, Charge Running, South African App Integrator Directory, uKheshe Health and LocTransie.

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VodaPay Masterpass

Digital mobility is now a way of life and most are using smartphones to pay bills. 

To meet this need Vodacom and Mastercard have launched VodaPay Masterpass, which enables Vodacom customers to load any bank card into a secure digital wallet, downloaded as an app on their smartphone. Once loaded, these cards and the secure credentials associated with them are safely stored, enabling customers to start transacting immediately without the hassle of entering card details each time they make a purchase.

Vodacom customers can buy prepaid data, airtime and SMS, or voice bundles, directly through the app. They can also select the Pay Bills menu option to settle their DStv accounts, pay a utility bill or take care of a traffic fine.

With the app’s Scan to Pay functionality, users can scan a QR code to pay for goods and services wherever Masterpass is accepted, including all SnapScan and Zapper merchants. Once a QR code is scanned, users select the card they wish to use, and enter their bank PIN number on their own device to complete the transaction.

Platform: Android and iOS

Expect to pay: A free download and users will not be charged for any transaction fees.

Stockists:  Download VodaPay Masterpass for iOS here and for Android here.

Charge Running

Most running apps track data like pace and distance and, in some cases play audio designed to motivate you, but don’t give you the push you get when you run with a friend. Charge Running is an app that lets you run alongside other runners, virtually, as well as giving live coaching to help you go the distance.

The app includes features such as:

·       Unlimited access to live running classes and virtual races  

·       The ability to compete with runners anywhere in the world in real-time

·       A live leaderboard that shows where you are in the pack to keep you pushing

·       Live, personalised feedback from professional trainers 

·       Group chats with coaches and fellow runners throughout the run

·       On-demand runs for times when you can’t join the live groups 

·       A choice of difficulty levels and race types 

Platform: Android and iOS

Expect to pay: A free seven-day trial; thereafter R150 per month

Stockists: Visit the Charge Running site here for downloading instructions.

South African App Integrator Directory

The South African App Integrator Directory from Xero is designed to solve the complexity of choosing apps for small business owners.

The directory is now available in South Africa with six partners, including Realm Digital, Radical Cloud Solutions, Nimacc, Insights, Iridium Business Solutions and Creative CFO. According to Xero, these are all organisations with a proven track record of successfully integrating marketplace apps into Xero businesses. There are also currently over 700 apps in Xero’s App Marketplace worldwide, 21 of which are South African born.

As small businesses become more tech-savvy, they need to know exactly which apps to install on their devices and how the apps will help them. They also need to be able to install these apps from a trusted integrator so they know for what they are paying. 

Platform: Any device with an up-to-date Internet browser.

Expect to pay: A one month trial version is offered, after which the App Integrator ranges from R125 to R245 per month, depending on the company’s needs.

Stockists: Visit Xero here for downloading instructions.

Click here to read about uKheshe Health and LocTransie.

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Prize offered for drone films

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DJI and SkyPixel, the world’s most popular aerial photography community, have announced the first short film contest inviting users to submit cinematic stories shot with camera and gimbal products. The 2019 SkyPixel Short Film Contest will accept entries until 14 October 2019. It welcomes submissions from all creators, ranging from hobbyists to social media users and professional videographers. around the globe.

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The 2019 SkyPixel Short Film Contest consists of three storytelling categories—‘Big Moments Start Small,’ ‘Make Your Move’ and ‘Adventure Starts With You.’ There is no restriction on the type or brand of equipment participants use, and they can submit as many videos as they wish.

A total of 100 winners can win a range of prizes totaling $48,600 USD in categories including Recommended Films, Best Editing, Best Story, Nominated Entries, People’s Choice Prize as well as This Week’s Most Popular, sponsored by the partner SanDisk and WD brand from Western Digital Corp. This year’s Best Short Video winners will each receive the new Ronin-SC Pro Combo, Osmo Action as well as WD 2TB My Passport Wireless SSD.

Winning entries will also be showcased on the SkyPixel website as well as to DJI’s millions of fans and followers across its social media platforms.

“DJI has redefined how people capture stable video for all of life’s moments. The compact size, portability and powerful imaging system of our Osmo and Ronin series have also made it possible for anyone to take their creativity and inspirations to the next level,” said Basile David, Director of Brand and Content Partnerships at DJI. “With this contest, we hope to encourage more people to embrace and share their own creative way of storytelling.”

Since 2014, the SkyPixel online community has attracted 16 million professional aerial photographers and content creators from more than 140 countries, growing into the largest aerial photography community today. Over the past five years, SkyPixel has received over 150,000 submissions, becoming a go-to platform for original aerial masterpieces and extraordinary footage powered by other gimbal products focusing on various themes.

Details of the 2019 SkyPixel Short Film Contest

The short film contest consists of three categories:

Big Moments Start Small: Create a video showcasing the small, lightweight design of your camera device and your best cinematic scenes. Users are recommended to include at least 10 seconds of behind-the-scenes clips of their product such as DJI Osmo Pocket or other devices.

Make Your Move: Create a video showcasing the stabilized footage from your device. Users are recommended to include at least 10 seconds of behind-the-scenes clips of their product such as DJI Osmo Series or other devices.

Adventure Starts With You: Create a short, cinematic narrative film to showcase your creative skills and visual effects. Users are recommended to include at least 10 seconds of behind-the-scenes clips of their product such as DJI Ronin Series or other devices.

*Video submissions should not be longer than three minutes in length.

Submission Details

Submission Start Date: August 15, 2019, 2:00 AM (EST)

Submission End Date: October 14, 2019, 2:00 AM (EST)

Award Announcement: October 31, 2019

Interested participants can visit the 2019 SkyPixel Short Film Contest website for more information on contest rules and guidelines. For more information, contact: Skypixel.campaign@dji.com

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