Global Internet and Digital Market Trends: 2019 Insights

This detailed report provides an in-depth look at the key trends affecting the internet and digital markets worldwide in 2019, highlighting the challenges and opportunities in this evolving landscape.

This exhaustive report on global internet and digital market trends in 2019 offers a nuanced understanding of how the digital landscape is evolving. As the number of internet users surpasses 3.8 billion, marking over half of the world's population, this document identifies a significant shift in market dynamics. The decline in new smartphone shipments in 2018 signals a plateau in growth opportunities in mainstream markets.

The rise of e-commerce continues to reshape the retail sector, but its growth rate decelerates, presenting challenges for businesses accustomed to rapid expansion. Simultaneously, the internet advertising sector maintains robust growth, but concerns about the rising cost of customer acquisition loom large.

This analysis uncovers a landscape where innovation and competition are relentless, driving continual improvements in products and user experiences. It highlights the vital role of data in this transformation, pointing out how businesses are leveraging context-rich data to offer personalized products and services, thus enhancing customer satisfaction.

However, managing the deluge of data poses significant challenges for consumers, businesses, and regulators alike. This document explores these challenges in depth, offering insights into how entities can navigate this complex, data-saturated environment effectively. With a focus on diverse areas such as digital video, voice technology, and interactive gaming, the report provides a comprehensive understanding of the current state of the digital economy and its implications for future growth and innovation.

This year's internet trends report presents the following trends:

• More than half the world's population uses the internet now (3.8 billion people!) It appears that this market has reached mainstream so growth moving forward will be slow - smartphone shipments are already slowing in 2018
• E-Commerce continues its growth versus brick and mortar stores but this growth is also slowing
• Internet advertising growth is robust but customer acquisition costs are a cause for concerns in some sectors
• Product innovation - improvements, types, etc. - continues driven by user growth, especially in areas of digital video, voice,
  wearables, on-demand + local services & traditionally underserved markets
• Broad growth in image, interactive gaming as communications tools
• The fastest growth in the most successful companies is driven by their ability to analyze digital data
• Data deluge is both a challenge and opportunity for key participants - consumers, businesses, regulators etc.
• Internet usage, privacy, and problematic content are driving consumers to rely on tools to help mitigate this risk
• Social media amplification is causing both good and bad outcomes; caution for all participants especially regulators

1. Main Contents:
   • Global Internet User Growth: Analysis of the internet user base, which has reached over half of the world's population, emphasizing the slowing growth rate and its implications.
   • E-Commerce vs. Physical Retail: Examination of the shifting dynamics between e-commerce and physical retail, including the decelerating growth rate of e-commerce.
   • Internet Advertising Trends: Overview of the trends in internet advertising, highlighting solid growth but rising concerns over customer acquisition costs.
   • Innovation in Digital Technologies: Discussion on how global innovation and competition are driving advancements in digital video, voice technology, wearables, and interactive gaming.
   • Data-Driven Business Strategies: Exploration of the increasing importance of data in business strategy, focusing on personalized products and services and the challenges of data management.
2. Key Takeaways:
   • Market Saturation Challenges: The internet user market is reaching a saturation point, indicating a need for businesses to find new growth avenues.
   • Changing Retail Landscape: The e-commerce sector is still expanding but at a slower rate, suggesting a maturing market and the need for innovative retail strategies.
   • Costly Customer Acquisition: The rising cost in customer acquisition for internet advertising signals a potential need for more efficient marketing strategies.
   • Role of Data in Business Success: Context-rich data is increasingly crucial for business success, offering opportunities for personalized customer experiences but also presenting management challenges.
   • Importance of Innovation: Continuous innovation and adaptation in technology and services are key to staying competitive in the rapidly evolving digital market.

CIOs can leverage the insights from this global internet and digital market trends report to address real-world challenges in several ways:

1. Strategic Planning: By understanding the slowing growth rate of internet users, CIOs can recalibrate their digital strategies to focus on deepening engagement with existing users rather than just expanding their user base.
2. Innovation Focus: The report’s emphasis on the importance of innovation in areas like digital video, voice technology, and interactive gaming can guide CIOs in prioritizing investment in emerging technologies that are more likely to drive user engagement and business growth.
3. Data-Driven Decision Making: With the report highlighting the significance of data in driving business success, CIOs can strengthen their data analytics capabilities. This will enable more personalized customer experiences and improve decision-making processes.
4. Adapting to the E-Commerce Evolution: As the report shows a shift in the e-commerce landscape, CIOs can use this knowledge to adapt their IT strategies. This might include enhancing their e-commerce platforms to offer a more seamless user experience or integrating advanced technologies to streamline operations.
5. Cost-Efficient Marketing Strategies: Understanding the rising costs of customer acquisition in internet advertising can prompt CIOs to explore more cost-effective and targeted marketing strategies, possibly utilizing AI and machine learning for better ROI.
6. Data Management and Security: Given the challenges around data management highlighted in this report, CIOs can focus on strengthening their data governance frameworks and security measures, ensuring compliance and protecting customer data.

By applying these insights, CIOs can effectively navigate the complex digital landscape, optimize their IT strategies, and contribute significantly to their organization’s growth and adaptation in a rapidly evolving digital economy.

Read the full internet trends report (2019) for a detailed look at the trends shaping the internet, society, industry and businesses.