tag:econsultancy.com,2008:/topics/mobile Latest Mobile content from Econsultancy 2018-04-23T13:39:00+01:00 tag:econsultancy.com,2008:Report/3008 2018-04-23T13:39:00+01:00 2018-04-23T13:39:00+01:00 Internet Statistics Compendium Econsultancy <p>Econsultancy’s <strong>Internet Statistics Compendium</strong> is a collection of the most recent statistics and market data publicly available on online marketing, ecommerce, the internet and related digital media. </p> <p><strong>The compendium is available as 11 main reports across the following topics:</strong></p> <ul> <li><strong><a href="http://econsultancy.com/reports/advertising-media-statistics">Advertising</a></strong></li> <li><strong><a href="http://econsultancy.com/reports/content-statistics">Content</a></strong></li> <li><strong><a href="http://econsultancy.com/reports/customer-experience-statistics">Customer Experience</a></strong></li> <li><strong><a href="http://econsultancy.com/reports/web-analytics-statistics">Data and Analytics</a></strong></li> <li><strong><a href="http://econsultancy.com/reports/demographics-technology-adoption">Demographics and Technology Adoption</a></strong></li> <li><strong><a href="http://econsultancy.com/uk/reports/ecommerce-statistics">Ecommerce</a></strong></li> <li><strong><a href="http://econsultancy.com/reports/email-ecrm-statistics">Email and eCRM</a></strong></li> <li><strong><a href="http://econsultancy.com/reports/mobile-statistics">Mobile</a></strong></li> <li><strong><a href="http://econsultancy.com/reports/search-marketing-statistics">Search</a></strong></li> <li><strong><a href="http://econsultancy.com/reports/social-media-statistics">Social</a></strong></li> <li><strong><a href="http://econsultancy.com/reports/strategy-and-operations-statistics">Strategy and Operations</a></strong></li> </ul> <p>Updated monthly, each document is a comprehensive compilation of internet statistics and digital market research with data, facts, charts and figures. The reports have been collated from information available to the public, which we have aggregated together in one place to help you quickly find the internet statistics you need - a huge time-saver for presentations and reports.</p> <p>There are all sorts of internet statistics which you can slot into your next presentation, report or client pitch.</p> <p><strong>Sector-specific data and reports are also available:</strong></p> <ul> <li><strong><a title="B2B Internet Statistics Compendium" href="http://econsultancy.com/reports/b2b-internet-statistics-compendium">B2B</a><br></strong></li> <li><strong><strong><a title="Financial Services and Insurance Internet Statistics Compendium" href="https://econsultancy.com/reports/financial-services-and-insurance-internet-statistics-compendium/">Financial Services and Insurance</a></strong></strong></li> <li> <strong><a title="Healthcare and Pharmaceuticals Internet Statistics Compendium" href="https://econsultancy.com/reports/healthcare-and-pharmaceuticals-internet-statistics-compendium/">Healthcare and Pharmaceuticals</a></strong><strong> </strong> </li> <li><strong><a title="Retail Statistics Compendium" href="https://econsultancy.com/reports/retail-statistics-compendium/" target="_self">Retail</a></strong></li> <li><strong><a title="Travel Statistics Compendium" href="https://econsultancy.com/reports/travel-statistics-compendium/" target="_self">Travel</a></strong></li> </ul> <p><strong>Regions covered in each document (where data is available) are:</strong></p> <ul> <li><strong>Global</strong></li> <li><strong>UK</strong></li> <li><strong>North America</strong></li> <li><strong>Asia</strong></li> <li><strong>Australia and New Zealand</strong></li> <li><strong>Europe</strong></li> <li><strong>Latin America</strong></li> <li><strong>MENA</strong></li> </ul> <p>A sample of the Internet Statistics Compendium is available for free, with various statistics included and a full table of contents, to show you what you're missing.</p> tag:econsultancy.com,2008:Report/4760 2018-04-03T10:11:11+01:00 2018-04-03T10:11:11+01:00 Lessons from Black Friday Best Practice Guide <p>The new <strong>Lessons from Black Friday</strong> report will consider the latest trends and statistics from Black Friday 2017 and highlight the key challenges that retailers should be aware of for 2018.</p> <p>The shifts in shopping behaviour, the dominance of mobile and the promotions strategy behind the shopping event will all be discussed in the report.</p> <p>This guide features insights from a team of industry experts including:</p> <p>·         <strong>Dave Anderson</strong>, Digital Performance Expert, Dynatrace</p> <p>·         <strong>Melissa Campanelli</strong>, Editor in Chief, Total Retail</p> <p>·         <strong>Matt Curry</strong>, Head of Ecommerce, Lovehoney</p> <p>·         <strong>Sarah Dawson</strong>, Head of Marketing and Ecommerce, Astrid &amp; Miyu</p> <p>·         <strong>Al Keck</strong>, Managing Director, Infinity Nation</p> <p>·         <strong>Peter Markey</strong>, Marketing Director, TSB</p> <p>·         <strong>Stuart McMillan</strong>, Deputy Head of Ecommerce, Schuh</p> <p>·         <strong>Patrick Munden</strong>, Global Head of Retail and Marketing, Salmon</p> <p>·         <strong>Dominic Starkey</strong>, UK Marketing Director, AO.com</p> <p>·         <strong>Bhavesh Unadkat</strong>, Principal Retail Consultant, Capgemini Consulting</p> <p>·         <strong>James Webster</strong>, Head of Managed Services, Salmon</p> <p>·         <strong>Paul Winsor</strong>, Director of Market Development, Retail and Services, Qlik</p> tag:econsultancy.com,2008:BlogPost/69908 2018-04-01T10:22:00+01:00 2018-04-01T10:22:00+01:00 Google's mobile-first indexing is finally rolling out: Here's what you need to know Patricio Robles <h3>Mobile-first indexing is...</h3> <p>First things first. What is mobile indexing? As the name suggests, mobile-first indexing is an indexing system under which Google will "predominantly" look at a mobile version of a site's content for indexing and ranking. The rationale for this is simple: most Google users now access the search engine through a smartphone so, where appropriate, Google should prioritize the content that mobile users see when it crawls sites.</p> <h3>Google will still have one index</h3> <p>It's important to note that Google has not created a separate index for the content it crawls using mobile-first indexing. The company will continue to maintain a single index. Mobile-first indexing is merely a change to the way Google adds content to that index.</p> <h3>A lot of sites won't be affected</h3> <p>Mobile-first indexing is an important development, but many sites won't be affected by it. Most notably, sites that use a responsive design won't be subject to mobile-first indexing because their content is the same on desktop and mobile. Also not impacted: sites that only have a desktop version and canonical AMP pages.</p> <p>The sites that will be affected by mobile-first indexing are those that use separate URLs for desktop and mobile users, and those that serve content dynamically based on device type.</p> <h3>Those affected will want to heed Google's best practices</h3> <p>Sites that will experience mobile-first indexing should take care to review and implement <a href="https://developers.google.com/search/mobile-sites/mobile-first-indexing#best-practices">the best practices Google has published</a>.</p> <h3>Search Console is being used for notifications</h3> <p>Google will be letting site owners know that mobile-first indexing has rolled out to their sites via notifications in Search Console.</p> <p><img src="https://assets.econsultancy.com/images/resized/0009/3213/hurray-mfi-party-blog-flyer.png" alt="" width="470" height="220"></p> <h3>Crawl rates from the Smartphone Googlebot will increase</h3> <p>Google says that sites subject to mobile-first indexing will see increased crawl rates from the Smartphone Googlebot, so it's a good time to check that robots.txt directives are appropriate for mobile sites and to ensure that there's enough capacity to handle higher crawler traffic.</p> <h3>Mobile-first indexing doesn't affect ranking</h3> <p>As noted above, mobile-first indexing changes the way Google adds content to its index. It does not change the way that Google ranks pages. </p> <p>As Fan Zhang, a Google software engineer, <a href="https://webmasters.googleblog.com/2018/03/rolling-out-mobile-first-indexing.html">explained</a>, "Content gathered by mobile-first indexing has no ranking advantage over mobile content that’s not yet gathered this way or desktop content." He did, however, stress the importance of mobile-friendly content, adding, "We do evaluate all content in our index -- whether it is desktop or mobile -- to determine how mobile-friendly it is. Since 2015, this measure can help mobile-friendly content perform better for those who are searching on mobile."</p> <h3>Desktop content will continue to be indexed</h3> <p>While it's increasingly difficult for companies to avoid offering a mobile-friendly site, those that still only have a desktop site need not worry: Google isn't doing away with the indexing of desktop content.</p> <h3>Mobile-first indexing extends to the SERPs and Google cache</h3> <p>Because it alters the way Google adds content to its index, it's no surprise that sites affected will have their mobile pages displayed in search results, as well as in the Google cache, a reminder of the importance of making sure that mobile pages have the same content, including metadata and structured data, as desktop pages.</p> <p><em><strong>Further reading:</strong></em></p> <ul> <li><a href="https://econsultancy.com/reports/seo-in-2018-industry-experts-tell-marketers-what-they-need-to-know">SEO in 2018: Industry Experts Tell Marketers What They Need to Know</a></li> </ul> <p><a href="https://econsultancy.com/reports/seo-best-practice-guide"><img src="https://assets.econsultancy.com/images/0009/3235/SEO_Best_Practice_Widget.png" alt="seo best practice guide (subscriber only)" width="615" height="243"></a></p> tag:econsultancy.com,2008:BlogPost/69887 2018-03-22T14:00:00+00:00 2018-03-22T14:00:00+00:00 Chinese marketing trends in 2018: What Western brands need to know Ashley Galina Dudarenok <p>In this piece, I will talk about emerging trends and share tips for all Western brands who want to do marketing in China in 2018.</p> <h3>1. Consider China’s hottest cities</h3> <p>In order to enter and penetrate the market, it’s important to build a strong presence in first and second-tier cities. However, as internet use in the first-tier cities reaches saturation, brands may also begin reaching customers in the third- and fourth-tier cities.</p> <p>According to Morgan Stanley, the smaller urban cities could become the larger driver of growth and consumer spending in the coming decade. Lower-tier cities will be bigger, wealthier and more eager to spend.</p> <h3>2. Mobile is the channel you can’t do without</h3> <p>According to the <a href="https://cnnic.com.cn/IDR/ReportDownloads/">China Statistical Report on Internet Development</a> published in August 2017, China has an online population of 751 million and over 95% are using mobile devices to access the internet.</p> <p>Meanwhile, Chinese people spend an average of three hours a day on their smartphones, mainly for social media and ecommerce. For brands that are marketing to Chinese consumers, a strong mobile presence is crucial.</p> <h3>3. The twin pillars of China’s social media </h3> <p>Social commerce is one of the major driving forces of consumption in China. However, its social media landscape is complex and highly segmented. As a foreign brand, establishing a presence on the two major social media platforms – WeChat and Weibo – is a key step.</p> <p>WeChat is a multi-purpose message platform developed by Tencent with 980 million monthly active users by Q3 2017. Weibo is a microblogging site (Alibaba is a major shareholder) with 376 million monthly active users as of Q3 2017.</p> <p>These two platforms are both good channels to communicate with, acquire and retain Chinese customers.</p> <p><img src="https://assets.econsultancy.com/images/0009/3124/weibo.jpg" alt="weibo" width="615" height="313"></p> <p><em>Weibo app</em></p> <h3>4. Expand and diversify with emerging platforms</h3> <p>Apart from localizing on the BAT (Baidu, Alibaba and Tencent) platforms, which already dominate the market, brands should also pay attention to niche channels in order to capture fragmented users and include them as an integral part of their China digital marketing strategy.</p> <p>The social media landscape in China is moves at a fast pace and new social platforms are constantly emerging. There are several rising platforms that are popular among the young, such as Kuaishou (a GIF-making and photo-sharing app) and <a href="https://jingdaily.com/douyin-luxury-brands/">Douyin</a> (a music video social network app for video creation, messaging, and live broadcasting, similar to music.ly).</p> <h3>5. Content is king, but context is god</h3> <p>Content marketing is vital in China and the trend is expected to continue. As Chinese consumers are very much content driven, brands should not just translate their western content, but should focus on creating new content that emphasizes a brand story that sets it apart.</p> <p>Communicating the right values and creating unique experiences are the best tactics to retain your followers and keep them engaged. The concept that “content is king, but context is god” applies to this market. In the past, emotional content tended to resonate more with users but now Chinese people are more interested in content that’s entertaining and fun.</p> <h3>6. Get good at short videos, you’ll need them</h3> <p>Videos, in particular short videos of six to 15 seconds, are rising quickly and will be more widely used on social media and ecommerce sites for marketing purposes. With short videos, brands can convey their brand messages and engage with an audience more easily.</p> <p>In the past two years, Tencent, Alibaba and Toutiao have made a huge investment to support short video production. For example, Tencent <a href="https://uk.reuters.com/article/us-kuaishou-fundraising/chinas-kuaishou-in-1-billion-tencent-led-funding-round-eyes-ipo-sources-idUKKBN1FE11D">invested in Kuaishou</a>, while Alibaba has put billions into transforming Tudou into a short video community.</p> <p><img src="https://assets.econsultancy.com/images/0009/3125/kuaishou.jpg" alt="kuaishou app" width="300"></p> <p><em>Kuaishou app </em></p> <h3>7. Score a hit on mobile video </h3> <p>Mobile video advertising is becoming more popular as it can be promoted on various mobile apps. As of Q3 2017, China's mobile video advertising market reached 8.657 billion RMB, accounting for 64.4% of the total video advertising market.</p> <p>Popular music video community Douyin demonstrated the importance of mobile when it launched “vertical screen” video ads. Brands such as Airbnb, Chevrolet, Harbin Beer have published short video ads on this platform. Each of the videos has accumulated over 5 million views and more than 30,000 likes.</p> <h3>8. KOLs are powerful</h3> <p>Key Opinion Leaders (KOL) have powerful promotional impact. In China, KOLs appear to have a stronger influence on society than in the West. Whether you’re localizing your brand, building awareness or driving sales, promotion with KOLs is always a good option.</p> <p>During Alipay’s 12.12 “Shopping Holiday”, Taobao invited famous KOL Ms Yeah (办公室小野) to do a series of short video programs in which she interviewed eight different KOLs and recommended various products to the audience. The videos have been played more than 200 million times and the program’s hashtag on Weibo got mentioned more than 100 million times.</p> <p>In recent years, micro-influencers have started entering the market. They have more niche audiences and usually have higher engagement with their followers. In addition to WeChat and Weibo, they can be found on platforms such as Xiaohongshu (小紅書), Bilibili (哔哩哔哩), Ximalaya FM (喜马拉雅FM). They are a good option for brands to amplify content without a huge promotion budget.</p> <h3>9. Live streaming and real-time interaction promotion</h3> <p>Since 2015, <a href="https://econsultancy.com/blog/69137-livestreaming-in-china-everything-you-need-to-know">live streaming</a> has grown rapidly and become a major trend in China. According to Deloitte’s <a href="https://www2.deloitte.com/cn/en/pages/technology-media-and-telecommunications/articles/tmt-predictions-2018.html">TMT Predictions Report</a>, China's live-streaming market is estimated to reach $4.4 billion in revenue this year, up 32% over 2017.</p> <p>Through live streaming with popular KOLs, brands can easily promote their products to target audience. Live streaming also facilitates e-commerce with the ‘See Now, Buy Now’ function.</p> <p>Victoria’s Secret is one of the brands that <a href="http://www.alizila.com/17264-2/">took advantage of China’s live streaming culture</a> to reach out to customers. The brand launched a live stream on Youku during its annual runway show in Shanghai. While users were watching the show, they could purchase the featured products in real-time by clicking the links to the brand’s e-commerce sites.</p> <p><img src="https://assets.econsultancy.com/images/0009/3131/youku.jpg" alt="youku vs" width="615" height="343"></p> <h3>10. Stay on trend but be flexible</h3> <p>China has a fast-changing digital marketing landscape, so brands need to be flexible and adapt to new features and upcoming trends. For Western brands that are marketing in China, going digital is still one of the most effective approaches to reach out to and communicate with their target audience.</p> <p>Through 2018 and beyond, marketers should pay attention to various areas, such as targeting audiences in lower-tier cities, establishing an all-round social media presence, emphasizing short video content creation, promoting with KOLs and launching live stream campaigns.</p> <p>The new generation of Chinese digital consumers is presenting many opportunities. Western brands that understand how to enter this complex market will definitely have the advantage in winning Chinese hearts.</p> <p><em><strong>Further reading:</strong></em></p> <ul> <li><a href="https://www.econsultancy.com/reports/understanding-wechat-an-overview-of-china-s-social-payment-and-messaging-giant">Understanding WeChat: An Overview of China’s Social, Payment and Messaging Giant</a></li> <li><a href="https://econsultancy.com/blog/69639-china-tips-for-marketers-taking-a-new-digital-role-in-the-country">China: Tips for marketers taking a new digital role in the country</a></li> <li><a href="https://www.econsultancy.com/blog/69781-five-things-all-marketers-should-know-about-china-in-2018">Five things all marketers should know about China in 2018</a></li> </ul> tag:econsultancy.com,2008:Report/4744 2018-03-22T10:00:00+00:00 2018-03-22T10:00:00+00:00 Digital Intelligence Briefing: 2018 Digital Trends in IT <p>The <strong>2018 Digital Trends in IT </strong>report, based on the eighth annual trends survey conducted by Econsultancy and <a title="Adobe" href="http://www.adobe.com/marketing-cloud.html">Adobe</a>, explores the digitally-driven opportunities and challenges facing organisations from the perspective of IT professionals, looking at both internal business factors and external technological and consumer trends.</p> <p>The research is based on a sample of almost 400 senior IT leaders (manager level or above) who were among around 13,000 digital professionals taking part in the annual Digital Trends survey carried out at the end of 2017 and start of 2018.</p> <h3>The following sections are featured in the report:</h3> <ul> <li>The need for scalable, enterprise digital experience platforms</li> <li>The internal focus: digital transformation and workflows</li> <li>Managing the existential threat… and embracing the opportunities</li> <li>Actionable tips to help future-proof your IT function</li> </ul> <h3>Findings include:</h3> <ul> <li> <strong>IT executives preoccupied by need to keep up with customer expectations.</strong> The high proportion (39%) of IT respondents that cite <em>keeping up with changing customer expectations and behaviour</em> as one of their top external challenges demonstrates the increased customer centricity of a new breed of CIO.</li> <li> <strong>Security is still the biggest headache for IT professionals.</strong> As was the case last year, security is the main preoccupation for IT executives in terms of external threats, with respondents most likely to cite the <em>threat of security breaches and cyber-risk threats</em> as a challenge (42% compared to 41% in 2017).</li> <li> <strong>Legacy systems are the greatest obstacle to digital transformation.</strong> The most significant in-company barrier to driving digital transformation is the integration of legacy systems with new technology, cited as a top-three challenge by 45% of respondents, up from 41% last year.</li> <li> <strong>Enterprise CIOs identify requirement for extensible digital platforms.</strong> Extensible digital platforms are the top priority for IT executives at larger organisations, with well over half (57%) ranking this as a top-three priority for 2018. This compares to 42% for <em>security of data</em>, and the same percentage for <em>joining up data to achieve a single view of the customer</em>.</li> <li> <strong>Companies struggle to master workflow capabilities.</strong> Fewer organisations than last year are taking a range of initiatives to improve workflows against the backdrop of tighter security and compliance requirements that companies are typically working towards. Just under half (48%) of respondents say they are <em>switching to paperless, digital end-to-end workflows</em>, compared to exactly half last year.</li> <li> <strong>IT executives focus on real-time personalised experiences, AI and the Internet of Things as exciting opportunities. </strong>IT professionals are most likely to see the delivery of personalised experiences in real time as the most exciting prospect in three years’ time, ahead of other technological innovations such as the Internet of Things, artificial intelligence, virtual or augmented reality, voice interfaces and payment technologies.</li> </ul> <p><strong>Econsultancy's Digital Intelligence Briefings, sponsored by <a title="Adobe" href="http://www.adobe.com/marketing-cloud.html">Adobe</a>, look at some of the most important trends affecting the marketing landscape. </strong><strong>You can access the other reports in this series <a title="Econsultancy / Adobe Quarterly Digital Intelligence Briefings" href="http://econsultancy.com/reports/quarterly-digital-intelligence-briefing">here</a>.</strong></p> tag:econsultancy.com,2008:BlogPost/69877 2018-03-19T13:30:00+00:00 2018-03-19T13:30:00+00:00 Mobile retail apps are beating out mobile websites Patricio Robles <p><img src="https://assets.econsultancy.com/images/0009/2985/criteo_report.png" alt="" width="800"></p> <p>All told, mobile apps account now for 44% of ecommerce transactions in North America as compared to 33% and 23% for desktop and mobile web, respectively. On a global basis, year-over-year, mobile apps have seen their share of transactions grow by nearly 50%.</p> <p>The implication: retailers that don't have a mobile app are at a growing disadvantage.</p> <p>In reality, however, it's probably not exactly that simple. For one, some retail subcategories, such as a sporting goods, fashion/luxury and health/beauty, have much higher shares of mobile sales. Retailers in subcategories in which mobile sales make up a lower percentage of overall sales might not be as affected if they don't have a mobile app.</p> <p>Criteo also found that retailers with low mobile sales derive more of their sales from cross-device transactions, leading it to suggest that “combining cross-device data helps make up for a below-average share of sales on mobile.”</p> <p>Even so, if the trends Criteo identified continue, it would appear that shunning mobile apps is something that many retailers will find increasingly difficult to do.</p> <h3>Challenges remain</h3> <p>Of course, mobile apps are not a 'if you build it, they will use it' proposition. Getting users to install mobile apps can be costly, and many users don't even open all the apps they install. Of those who do, retention can be a brutally challenging exercise. </p> <p>That means retailers launching mobile apps need to deliver great user experiences and be savvy about how they engage their mobile users. For instance, research from mobile app commerce SaaS provider Poq <a href="http://poqcommerce.com/app-commerce/2016/07/poq-app-retention-report/">found that</a> mobile app users who make a purchase within seven weeks of downloading an app have double the retention, suggesting that retailers might want to consider employing special incentives to engage new app users.</p> <h3>A piece of the puzzle</h3> <p>It's important for retailers to remember that apps are just one piece of the omnichannel puzzle.</p> <p>Criteo found that 26% of all desktop transactions are preceded by a click on a mobile device. Retailers that are able to match intent see an average uplift of 17% in average order values compared to unmatched shoppers. And although omnichannel shoppers only represent 7% of all shoppers, they are responsible for over a quarter (27%) of sales.</p> <p>What's more, Criteo says that “omnichannel retailers that can combine their offline and online data can apply over four times as much sales data to optimize their marketing efforts.” </p> <p>So while mobile retail apps are clearly increasingly important, other channels still have the potential to play a key role. Put simply, the whole of all channels is greater than the sum of their parts.</p> tag:econsultancy.com,2008:BlogPost/69879 2018-03-16T13:21:37+00:00 2018-03-16T13:21:37+00:00 The best digital marketing stats we’ve seen this week Nikki Gilliland <p>Now, let's hop to it.</p> <h3>Marketers say 26% of their budget will be wasted in 2018</h3> <p>A <a href="https://rakutenmarketing.com/en-uk/what-marketers-want-2018" target="_blank">new study</a> by Rakuten - which is taken from a survey of over 1,000 marketers from the US, UK, France, Germany and Asia-Pacific (APAC) regions - has revealed that marketers will waste on average 26% of their budget in 2018 on the wrong channels or strategies.</p> <p>From its analysis, Rakuten has also identified four key profiles of UK marketers. First, 12% of marketers are defined as ‘architects’ - experienced data analysts who predict 18% of total budget will be wasted. In contrast, 49% of UK marketers are known as ‘advancers’ – this group chases new channels and outlets for campaigns, with 36% actively looking to invest in voice and 28% pursuing VR.</p> <p>Meanwhile, Rakuten suggests that 31% of UK marketers are ‘advocates’ - old school networkers, of which 56% are planning investment in video but just 5% have still have faith in influencers. Lastly, 9% of UK marketers are ‘adapters’ – marketing optimisation specialists, who strive to keep campaigns constant throughout the year.</p> <p><img src="https://assets.econsultancy.com/images/0009/2999/Rakuten.JPG" alt="" width="780" height="316"></p> <h3>Mobile devices responsible for 60% of all video views worldwide</h3> <p>According to Ooyala’s latest <a href="https://www.businesswire.com/news/home/20180314005323/en/Ooyala-Finds-People-Click-%E2%80%9CPlay%E2%80%9D-Mobile-Video" target="_blank">Global Video Index Report</a>, mobile video plays reached 60% globally for the first time in the fourth quarter of 2017, garnering a 60.3% share of all video starts.</p> <p>The report also states that Europe, Middle East and Africa (EMEA) saw the greatest level of engagement at 63.5%. Meanwhile, North America saw 57.6% engagement, despite also seeing mobile video jump 11% from Q4 2016.</p> <p>Alongside this increase in mobile video viewing, there has also been a significant growth in mobile advertising. Ooyala also states that smartphones topped PCs for the percentage of pre-roll ad impressions shown on broadcaster platforms (55% vs. 36%). </p> <p><img src="https://assets.econsultancy.com/images/0009/3005/mobile_video.jpg" alt="" width="550" height="343"></p> <p><strong>More on video trends:</strong></p> <ul> <li><a href="https://econsultancy.com/blog/69094-five-examples-of-brands-using-interactive-video" target="_blank">Five examples of brands using interactive video</a></li> <li><a href="https://www.econsultancy.com/blog/69387-six-ways-boring-b2b-brands-stole-a-social-video-from-b2c" target="_blank">Six ways ‘boring’ B2B brands stole A+ social video from B2C</a></li> <li><a href="https://www.econsultancy.com/blog/69417-four-ways-marketers-can-increase-conversions-from-social-video" target="_blank">Four ways marketers can increase conversions from social video</a></li> </ul> <h3>Snapchat users 300% more likely to shop on mobile</h3> <p>Criteo’s <a href="https://www.criteo.com/wp-content/uploads/2018/03/Criteo-UK-Commerce-Marketing-Forum.pdf" target="_blank">latest report</a> has revealed a link between social media platforms and consumers’ willingness to shop via mobile. </p> <p>From a survey of 2,000 UK consumers, it found that Snapchat users are up to 300% more likely to buy items on their phone compared to the average Brit. That’s not all, as they are also said to spend more – 33% of Snapchat users say they are happy to spend over £100 when shopping on mobile.</p> <p>Perhaps it’s more to do with Snapchat’s younger demographic rather than any direct link to the platform itself. The report also suggests that one in five 25 to 34 year olds are happy to spend more than £250 on their smartphone. Meanwhile, 6% of the population overall prefer shopping on their smartphone.</p> <p>Lastly, it appears younger consumers are even more spend-happy. Criteo states that one in ten 18 to 24-year olds would purchase a car on their smartphone, while one in ten 18 to 34 year olds prefer to book flights on their mobile rather than desktop. </p> <p><img src="https://assets.econsultancy.com/images/0009/2998/Criteo.JPG" alt=""></p> <p><strong>More on mobile commerce:</strong></p> <ul> <li><a href="https://econsultancy.com/blog/69858-a-ux-review-of-etsy-the-most-user-friendly-mobile-website-according-to-google/" target="_blank">A UX review of Etsy, the most user-friendly mobile website according to Google</a></li> <li><a href="https://econsultancy.com/blog/69589-are-retail-brands-ditching-mobile-apps-a-look-at-some-stats-case-studies/" target="_blank">Are retail brands ditching mobile apps? A look at some stats &amp; case studies</a></li> </ul> <h3>B2B marketers still unprepared for GDPR</h3> <p>It seems a day can’t go by without another GDPR-related survey (of course, Econsultancy has the definitive <a href="https://www.econsultancy.com/reports/a-marketer-s-guide-to-the-general-data-protection-regulation-gdpr">guide for marketers</a>). This one comes from Forrester, which surveyed 66 US marketing professionals for its <a href="https://www.forrester.com/report/The+GDPR+And+The+B2B+Marketer/-/E-RES142171?utm_source=blog&amp;utm_campaign=research_social&amp;utm_content=wizdo_142171" target="_blank">latest report</a> on the topic.</p> <p>The poll revealed that just 15% of B2B marketers believe they are fully compliant with the new regulations, while 18% are still unsure what needs to be done. </p> <p>Even though GDPR applies to any global marketer that collects data from EU citizens, many are still wrongly under the impression that the new rules do not apply to businesses with headquarters outside of Europe. </p> <p>It’s not all doom and gloom, however. Forrester also found that 39% of US marketers plan to be compliant within 12 months, while another 23% are at least partially compliant already.</p> <p><img src="https://assets.econsultancy.com/images/0009/3006/GDPR.jpg" alt="" width="550" height="366"></p> <p><strong>You'll find all the GDPR information you need <a href="https://www.econsultancy.com/blog/69825-all-the-gdpr-resources-marketers-need-in-one-place" target="_blank">right here</a>.</strong></p> <h3>Data protection is the key to consumer trust</h3> <p>In other data news, a report by the MRS Delphi group has revealed that data security is the first and most important <a href="https://www.mrs.org.uk/campaign/video/greatexpectations?MKTG=TRUST" target="_blank">driver of trust</a> in brands. </p> <p>From a survey of over 1,000 UK consumers, it found that respondents placed data security at number one for trust in six of seven sectors. Meanwhile, good customer service was ranked as the third biggest driver of trust, and brands “doing what they say” was ranked second. In all, three of the top five trust-drivers were related to data.</p> <p>Interestingly, respondents cited Amazon as their number one trusted brand, despite the retailer heavily relying on consumer data. However, its level of transparency, and the value exchange it provides is clearly enough to reassure customers and inspire loyalty.</p> <p><strong>More on consumer trust:</strong></p> <ul> <li><a href="https://www.econsultancy.com/blog/69446-how-can-brands-combat-a-lack-of-consumer-trust" target="_blank">How can brands combat a lack of consumer trust?</a></li> <li><a href="https://www.econsultancy.com/blog/69489-the-changing-face-of-consumer-trust-and-the-implications-for-marketers" target="_blank">The changing face of consumer trust and the implications for marketers</a></li> <li><a href="https://econsultancy.com/blog/69643-four-key-traits-of-human-brands" target="_blank">Four key traits of ‘human’ brands</a></li> </ul> <h3>Digital ads found to raise brand awareness</h3> <p>In a bid to understand the level of effectiveness of digital display advertising campaigns, IAB UK studied the results of 675 individual campaigns from 2008 through to 2017.</p> <p>It measured the effectiveness for four main marketing objectives – awareness, brand perception, education, and sales intent across each campaign. </p> <p>Analysis proved that digital display advertising is effective across all metrics, raising brand awareness by up to 12%, positively shifting brand perceptions by 2%, educating people about a brand by 2%, and driving purchase intent by 3%. </p> <p>Interestingly, some campaigns were found to increase brand metrics by as much as 55%, showing the huge opportunity digital display ads can provide. </p> <p><strong>More on digital ads:</strong></p> <ul> <li><a href="https://www.econsultancy.com/blog/69531-direct-ad-buys-are-back-in-fashion-as-programmatic-declines" target="_blank">Direct ad buys are back in fashion as programmatic declines</a></li> <li><a href="https://econsultancy.com/blog/68901-top-tips-to-drive-more-engagement-with-data-driven-native-ads" target="_blank">Top tips to drive more engagement with data-driven native ads</a></li> </ul> tag:econsultancy.com,2008:BlogPost/69858 2018-03-13T09:07:50+00:00 2018-03-13T09:07:50+00:00 A UX review of Etsy, the most user-friendly mobile website according to Google Nikki Gilliland <p>Google <a href="https://www.thinkwithgoogle.com/intl/en-gb/consumer-insights/top-mobile-user-friendly-sites-2018/">recently analysed</a> some of the most visited global websites in a bid to identify what it calls the ‘mobile masters’ in verticals including travel and finance. In the retail category, Etsy was named as the number one brand in the UK, coming out on top in terms of mobile experience overall. </p> <p>So, what makes it so great? Here’s a look at its mobile design, and what we can learn from it.</p> <h3>Intuitive search and filter</h3> <p>According to Google’s study, the top-performing retailers for mobile have improved their search functionality from previous years. </p> <p>This definitely seems to be the case with Etsy. First to note is the search bar’s prominence on the homepage, which makes it impossible for users to miss - there’s no need to click on anything or hunt around. The <a href="https://econsultancy.com/blog/69847-15-marvellous-microcopy-examples-and-how-they-improve-ux/" target="_blank">microcopy</a> also subtly reminds users of the brand’s marketplace element, meaning it is home to a range of ‘shops’ rather than own-brand items.</p> <p>With mobile shoppers searching on the go, it’s important for search to be quick and predictive. Etsy impresses on both counts, rapidly returning possible search terms from just a few letters. Its predictive nature is also handy as this gives users a good indication of the range of items the site sells.</p> <p><img src="https://assets.econsultancy.com/images/0009/2814/search.JPG" alt="" width="300" height="467"></p> <p>Moving on, I am particularly impressed with the site's mobile filter options. While many retailers simply allow users to filter by price or relevance, Etsy includes multiple options such as whether the item comes with free shipping, plus other information like shop locations, sale items and gift wrapping. </p> <p><img src="https://assets.econsultancy.com/images/0009/2815/filter_2.JPG" alt="" width="300" height="462"></p> <h3>Slick navigation</h3> <p>Etsy’s mobile navigation is also pretty decent. While some people argue against <a href="https://econsultancy.com/blog/65511-hamburger-menus-for-mobile-navigation-do-they-work" target="_blank">hamburger menus</a> – specifically that they harm discoverability - I think they can be an intuitive and neat design choice. The categories in the menu are well-labelled, allowing users to quickly understand how to get where they want.</p> <p><img src="https://assets.econsultancy.com/images/0009/2816/navigation.JPG" alt="" width="300" height="456"></p> <p>My only bugbear might be that the menu is layered, meaning it takes quite a few clicks until the user actually arrives at a product listings page.</p> <p>In fairness, this is down to the vast array of items found on Etsy, meaning sub-categories are required to aid discovery. </p> <p><img src="https://assets.econsultancy.com/images/0009/2817/navigation_3.JPG" alt="" width="300" height="463"></p> <h3>Super-fast checkout</h3> <p>As well as browsing on-the-go, mobile sites need to make it as easy as possible for users to complete a purchase. Customers are said to be more likely to abandon a purchase on mobile sites and apps than on desktop anyway, so complicated sign-ins and long forms will only increase the chances of this happening. </p> <p>Pleasingly, Etsy allows for a guest checkout, which reduces the amount of steps new customers need to take. </p> <p><img src="https://assets.econsultancy.com/images/0009/2818/checkout.JPG" alt="" width="300" height="455"></p> <p>There’s also the option of registering via Facebook or Google, which makes things even more handy.</p> <p>From there, it’s a simple three stage checkout, which is nicely emphasised at the top of the screen. It’s also worth mentioning that before users even click to checkout, Etsy highlights payment options (i.e. card or Paypal), which is a nice prompt.</p> <p><img src="https://assets.econsultancy.com/images/0009/2819/checkout_2.JPG" alt="" width="300" height="460"></p> <h3>Content and commerce</h3> <p>Another effective part of Etsy’s mobile site is how it balances editorial content and commerce. </p> <p>Etsy is not the kind of retail site that you head to for specific items – it’s more aligned to search and discovery rather than quick buys. Consequently, the gift guides are likely to appeal to customers even on mobile, as well as help to guide them along the path to purchase. </p> <p><img src="https://assets.econsultancy.com/images/0009/2820/gift_guide.JPG" alt="" width="300" height="477"></p> <p>The current Mother’s Day gift guide is effectively promoted at the top of the homepage. Other content is nicely highlighted too, with blog articles containing a good proportion of product or shop promotion. This doesn’t feel overly-salesy either, as articles are both in-depth and informative, with Etsy placing a particularly strong focus on value for both sellers and customers. </p> <p>Happily, editorial content is also very easy to read on mobile, with pages loading impressively fast considering the amount of imagery included on the page.</p> <p><img src="https://assets.econsultancy.com/images/0009/2821/blog.JPG" alt="" width="300" height="476"></p> <h3>Other features to appreciate</h3> <p>As I was exploring the Etsy mobile site, I noticed there were lots of little details that generally help to elevate the UX from good to really great. Here’s a run-down of some of them.</p> <h3>Reassurance</h3> <p>Etsy reassures mobile users wherever possible, mainly via reminders of its brand values as well as site safety. The ‘Etsy Keeps You Safe’ pop-up instantly soothes any worries and reinforces its stance on customer service. </p> <p><img src="https://assets.econsultancy.com/images/0009/2810/reassurance.JPG" alt="" width="300" height="475"></p> <p>Meanwhile, alongside reviews from ‘happy people’ on the homepage, Etsy also makes reviews a prominent feature on product pages. </p> <p><img src="https://assets.econsultancy.com/images/0009/2811/Reviews.JPG" alt="" width="300" height="460"></p> <h3>Urgency</h3> <p>Most mobile product pages tend to be quite basic in design, but Etsy includes nice extras such as telling customers how many other people have the item in their basket (and how many of the item are still available to buy). This urgency also continues in the checkout, prompting customers to carry on before they potentially lose out. </p> <p><img src="https://assets.econsultancy.com/images/0009/2809/urgency.JPG" alt="" width="300" height="463"></p> <h3>Easy contact</h3> <p>Etsy also makes it easy for customers to get in contact with shop owners, including links for contact on product pages and cart summaries. This also leads to a simple message interface, which makes communication easy and natural.</p> <p><img src="https://assets.econsultancy.com/images/0009/2813/contact_shop.JPG" alt="" width="300" height="471"></p> <h3>Wishlist</h3> <p>Finally, signed-in customers can easily save items to a wishlist by clicking on the heart icon on an item. I like how there’s no unnecessary copy or fuss here, leaving users to naturally search, discover, and save. It also gives mobile users a good reason to return again at a later date.</p> <p><img src="https://assets.econsultancy.com/images/0009/2807/Wishlist.JPG" alt="" width="300" height="459"></p> <p><em><strong>Related reading:</strong></em></p> <ul> <li><a href="https://econsultancy.com/reports/user-experience-and-interaction-design-for-mobile-and-web"><em>User Experience and Interaction Design for Mobile and Web</em></a></li> <li><em><a href="https://econsultancy.com/blog/67768-how-to-gear-towards-mobile-commerce-success">How to gear towards mobile commerce success</a></em></li> <li><em><a href="https://www.econsultancy.com/blog/69036-six-ways-aldo-s-new-mobile-site-streamlines-the-shopping-experience">Six ways Aldo’s new mobile site streamlines the shopping experience</a></em></li> <li><em><a href="https://econsultancy.com/blog/69589-are-retail-brands-ditching-mobile-apps-a-look-at-some-stats-case-studies">Are retail brands ditching mobile apps? A look at some stats &amp; case studies</a></em></li> </ul> <p><strong><em>Related training:</em></strong></p> <ul> <li><em><a href="https://www.econsultancy.com/training/courses/usability-user-experience">Usability and UX in Successful Web Design</a> </em></li> </ul> tag:econsultancy.com,2008:BlogPost/69842 2018-03-02T15:02:25+00:00 2018-03-02T15:02:25+00:00 The best digital marketing stats we’ve seen this week Nikki Gilliland <h3>Nearly 90% of consumers willing to give up personal data</h3> <p style="font-weight: 400;">An Episerver survey of over 4,000 global consumers has revealed that 87% of people are willing to give up their personal data in exchange for a better online experience.</p> <p style="font-weight: 400;">However, it seems there is still a disconnect between these expectations and the digital capabilities of brands. Interestingly, over a third of respondents reported feeling that brands simply don’t care about personalising their online shopping experience, with incorrect or incomplete content having dissuaded 95% of online shoppers from completing a purchase in the past.</p> <p style="font-weight: 400;">Episerver also found that consumers are increasingly open to new technologies, with over a third of shoppers previously trying functions like smart mirrors and drone delivery, and nearly 90% saying they would do so again. </p> <p style="font-weight: 400;"><strong>More on personalisation and data privacy:</strong></p> <ul style="font-weight: 400;"> <li><a href="https://econsultancy.com/blog/69360-how-to-build-a-personalisation-strategy-for-your-content-website">How to build a personalisation strategy for your content website</a></li> <li><a href="https://econsultancy.com/blog/69112-what-s-the-difference-between-ai-powered-personalisation-and-more-basic-segmentation">What's the difference between AI-powered personalisation and more basic segmentation?</a></li> <li><a href="https://econsultancy.com/hello/gdpr-for-marketers/">GDPR resources</a></li> <li><a href="https://econsultancy.com/training/courses/general-data-protection-regulation-gdpr-online">GDPR online training</a></li> </ul> <h3>Disparity on YouTube looms large</h3> <p style="font-weight: 400;">A <a href="https://www.dropbox.com/s/0cq4wtxm83s95t2/10.1177%401354856517736979.pdf?dl=0" target="_blank">new study</a> for Bloomberg News has highlighted inequality on YouTube, revealing that the majority of creators will fail to make a living from the platform. Analysis by Mathias Bärtl found that the top 1% of creators generated between 2.2m and 42.2m views a month in 2016, guaranteeing significant ad revenue and supporting other earnings such as brand sponsorship deals.</p> <p style="font-weight: 400;">However, in stark contrast, the top 3% (which correlates to over 1.4m monthly views) will draw an advertising income of around $16,800 a year. This means that even creators with large audiences and substantial views are still required to work full-time jobs in order to support themselves.</p> <p style="font-weight: 400;">With social media and the role of ‘influencers’ becoming desirable career options for youngsters, the study shines an interesting light on the reality of YouTube.</p> <p style="font-weight: 400;"><img src="https://assets.econsultancy.com/images/0009/2604/iStock-458554929.jpg" alt="" width="500" height="331"></p> <p style="font-weight: 400;"><strong>More on influencers:</strong></p> <ul style="font-weight: 400;"> <li><a href="https://www.econsultancy.com/blog/69801-are-virtual-stars-the-next-step-for-influencer-marketing">Are virtual stars the next step for influencer marketing?</a></li> <li><a href="https://www.econsultancy.com/blog/69697-is-the-influencer-marketing-bubble-set-to-burst">Is the influencer marketing bubble set to burst?</a></li> <li><a href="https://www.econsultancy.com/blog/69503-five-brands-putting-employees-at-the-heart-of-their-influencer-strategy">Five brands putting employees at the heart of their influencer strategy</a></li> </ul> <h3>Time spent with ad-supported media declines in the US</h3> <p style="font-weight: 400;">PQ Media’s Global Consumer Media Usage Forecast has revealed that – while US consumer media usage and exposure rose in 2017 – time spent with <a href="http://www.pqmedia.com/gcmuef2017.html" target="_blank">ad-supported media declined</a>.</p> <p style="font-weight: 400;">Digital media usage and exposure accounted for 37.4% of all consumer time spent with media, with mobile audio being the fastest-growing digital channel. Time spent with mobile audio (i.e. listening to streaming services like Spotify) increased by a whopping 30% throughout the year. </p> <p style="font-weight: 400;">Despite this rise, the share of time spent with ad-supported media declined – falling to 44.4%. On the back of this, PQ Media expects this to deteriorate even further to 42.5% by 2021.</p> <h3>Social is the most popular method of paid advertising for UK travel sector</h3> <p style="font-weight: 400;">According to the latest benchmark report from Marin, social has now overtaken search as the most popular method of paid advertising within the travel sector.</p> <p style="font-weight: 400;">From a survey, it found that UK travel advertisers anticipate spending 42% of their paid social budget on Facebook in 2018. Meanwhile, 53% of UK respondents cited the performance of social compared to other forms of advertising as their greatest challenge this year.</p> <p style="font-weight: 400;">Lastly, it also revealed that travel advertisers are not particularly fazed by the threat of <a href="https://econsultancy.com/blog/69517-is-amazon-s-ad-business-the-new-slotting-fee">Amazon’s digital ad options</a>, with 47% of travel advertisers seeing it as a ‘channel that won’t impact their business’ in 2018.</p> <p style="font-weight: 400;"><img src="https://assets.econsultancy.com/images/0009/2605/marin.png" alt="" width="749" height="283"></p> <p style="font-weight: 400;"><strong>More on the travel sector:</strong></p> <ul style="font-weight: 400;"> <li><a href="https://www.econsultancy.com/blog/69307-eight-examples-of-top-notch-copywriting-from-travel-brands">Eight examples of top-notch copywriting from travel brands</a></li> <li><a href="https://www.econsultancy.com/blog/69414-four-big-digital-trends-impacting-travel-tourism-marketing">Four big digital trends impacting travel &amp; tourism marketing</a></li> </ul> <h3>Open Banking expected to contribute over £1 billion annually to UK economy</h3> <p>Trustpilot has revealed the results of a new study that suggests Open Banking could unlock over £1 billion for the UK on an annual basis, supporting approximately 17,000 new jobs for the economy.</p> <p>This is because the new regulations will increase competition as an excess of new fintech companies are able to access the data necessary to provide new services.</p> <p>That being said, other research from Accenture suggests that this all depends on consumer trust, as 69% of people may not consent to share their banking data with third-parties. As a result, values such transparency will become even more critical to winning the trust of customers. </p> <p><strong>More on Open Banking:</strong></p> <ul> <li><a href="https://www.econsultancy.com/blog/69779-how-will-open-banking-affect-ux">How will Open Banking affect UX?</a></li> <li><a href="https://econsultancy.com/blog/69680-fintechs-and-banks-to-partner-in-2018-thanks-to-open-banking" target="_blank">Fintechs and banks to partner in 2018 thanks to Open Banking</a></li> <li><a href="https://www.econsultancy.com/blog/69828-banks-set-to-release-money-management-apps-as-ux-change-spurred-by-open-banking">Banks set to release money management apps as UX change spurred by Open Banking</a></li> </ul> <h3>Marketers are failing to recognise the impact of dark social</h3> <p>Econsultancy’s Marketing in the Dark report suggest that the majority of marketers are failing to take dark social seriously, with just 4% regarding it as a top-three challenge for 2018.</p> <p>Elsewhere, the report also highlights how 39% of leading companies agree that they can attribute value to dark social compared to just 21% of mainstream companies. This proves that marketers who do not recognise the impact of dark social run the risk of lagging behind.</p> <p><img src="https://assets.econsultancy.com/images/0009/2602/Dark_social.JPG" alt="" width="590" height="465"></p> <p><strong>Subscribers can access the <a href="https://econsultancy.com/reports/marketing-in-the-dark-dark-social/" target="_blank">full report here.</a> Econsultancy also <a href="https://econsultancy.com/training/courses/topics/social/">offers online social media training</a>.</strong></p> <h3>Mobile ads have greater sales impact on video-on-demand users</h3> <p>Ads that are viewed on mobile devices generate an overall positive sales impact for brands, according to <a href="https://thinktv.com.au/news/media-releases/benchmark-series-video-advertising-mobile/" target="_blank">new research</a> for ThinkTV. This comes from a comparison of the attention generated by video ads on different channels, on over 2,500 consumers in Australia.</p> <p>It found that the impact on users of BVOD (broadcaster video-on-demand services) on mobile devices is 33% higher than Facebook and 17.5% higher than YouTube. </p> <p>As well as greater sales impact, BVOD also generated greater levels of attention. From a score out of 100 (based on eye-tracking technology), BVOD scored 63 points, compared to 54 for Facebook and 19 for YouTube. This suggests that on-demand streaming platforms are now second to television in terms of the opportunity for consumer reach.</p> <p><img src="https://assets.econsultancy.com/images/0009/2603/mobile_ads.JPG" alt="" width="600" height="277"></p> tag:econsultancy.com,2008:BlogPost/69828 2018-02-28T11:11:29+00:00 2018-02-28T11:11:29+00:00 Banks set to release money management apps as UX change spurred by Open Banking Patricio Robles <p>As <a href="https://www.cnbc.com/amp/2018/02/26/reuters-america-britains-big-banks-play-catch-up-with-fintech-with-new-apps.html">reported by</a> Reuters, HSBC, Lloyds and RBS “are at various stages of producing cutting-edge apps that will allow customers to pull data from different accounts, even those at rival lenders, on their mobile devices and home computers.”</p> <p>The goal: position themselves to better compete with fintech upstarts like mobile-only bank Monzo, which already offers such an app.</p> <p>In just nine months, Monzo's app saw its user base grow 300%, to 450,000, reflecting demand among tech-savvy consumers, particularly those coveted millennials.</p> <p>According to Jeremy Light, the managing director of Accenture Payment Services for Europe, Africa and Latin America, money management apps that aggregate data from multiple institutions will be a bare necessity for banks thanks to Open Banking rules. </p> <p>“You will have to have them, because if you don't you're out of the game,” he told Reuters. “It's really all of the other services that you then start offering.”</p> <p>Big banks seem to get that. </p> <p>HSBC, for instance, has allocated $2bn for technology investments and is about to launch a new app that contains features that are present in Monzo's app. These include a tool that calculates disposable income and sends notifications to users when certain events, such as the exceeding of a set spending threshold, occur.</p> <p>Interestingly, HSBC's app will eventually become available to customers of other banks, demonstrating just how far some banks are willing to take their embrace of the new landscape Open Banking is creating.</p> <h3>Is brand and functional parity enough?</h3> <p>The big question for incumbent banks launching money management apps is whether the strength of their brands and apps that offer functional parity with the apps offered by fintechs will be enough to make up lost ground.</p> <p>On one hand, big banks don't have the best reputations, but when it comes to trust, there is anecdotal evidence suggesting that established banks are seen as more trustworthy than upstarts that haven't been around for very long.</p> <p>As for functionality, given that banks like Lloyds and HSBC are investing billions in digital, there's a strong argument to be made that they shouldn't be aiming to match fintechs feature for feature. Instead, they should seek to take a leadership role when it comes to innovation, using their scale and the vast data that comes with it to identify unmet customer needs and deliver solutions that differentiate them entirely from upstarts that don't have the same scale.</p> <h3>Fintechs increasingly want to collaborate, not compete</h3> <p>As incumbent banks embrace digital, they will also likely find that they have ample opportunity to take advantage of fintechs' weaknesses.</p> <p>While funding for fintechs has been significant and many have, profitability has proven elusive for many fintechs. In fact, only one of the U.K.'s digital banks, Revolut, has apparently <a href="https://www.investing.com/news/technology-news/fintech-revolut-britains-first-digital-bank-to-break-even-1309832">achieved a break-even month</a>. </p> <p>Profitability challenges might explain why the World FinTech Report 2018 recently published by Capgemini and LinkedIn <a href="https://www.bloomberg.com/news/articles/2018-02-27/fintech-startups-need-industry-partners-to-thrive-report-says">found that</a> more than three-quarters of fintech executives surveyed indicated that they now want to collaborate with established institutions, not compete with them.</p> <p>For the U.K.'s big banks, which <a href="https://econsultancy.com/blog/69680-fintechs-and-banks-to-partner-in-2018-thanks-to-open-banking">were already expected to grow their fintech partnerships in 2018 as a result of Open Banking</a>, this dynamic could prove quite favorable for those that move quickly on their own digital initiatives and prove adept at finding ways to seamlessly integrate partner services.</p> <p>With this in mind, it's interesting to note that, according to Reuters, only one major U.K. bank, HSBC, has so far demonstrated an interest in a marketplace model under which their customers can discover and acquire services from partner providers. Look for this to change as Open Banking initiatives launch in earnest.</p> <p><em><strong>More on financial services:</strong></em></p> <ul> <li><a href="https://econsultancy.com/blog/69824-how-can-financial-services-companies-win-featured-snippets-in-search-an-investigation/">How can financial services companies win featured snippets in search? An investigation</a></li> </ul>