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Adapting to Meet the Needs of the Future ConsumerTom MainelliGroup Vice President, Device & Consumer ResearchJanuary 2022
Today’s AgendaIntroduction to Future ConsumerThe Future of Devices: Moving Beyondthe PC and SmartphoneThe Gaming Lifestyle: The IncreasingImpact of Games on Real LifeUnderstanding the Massive ConsumerTAM ExpansionThe Future Consumer & Technology'sPervasive PresenceQ&A Panel
The Rise of the Future ConsumerFuture Consumer AgendaThought leadership program that looks to articulate a longterm view of the technology and society shifts inside theeight FC segments that will impact consumer and thecompanies, organizations, and governments that serve themConsumer Market ModelExtensive 55-country data set that maps to eight FC segmentsand includes five-year forecasts of consumer digital activityand spending across a wide range of technologiesBuyerView: Consumer PulsePrimary research program that surveys consumers in sevencountries to monitor attitudes, mindsets, spending, andbrand perceptions across the eight FC segments
The Eight Segments of Future ConsumerEntertainmentShoppingTechnology plays an increasingly impactful role across many types ofentertainment, from how people consume video content to how they listen tomusic to how they play games and socialize with friends and family.We've seen massive societal shifts in the way people shop due to thepandemic. We expect many of these shifts to become permanent, andtechnology will play a key role in how the future shopping experience evolves.WellbeingHousingWe define well-being as being comfortable, healthy, and happy. We expecttechnology to drive improved wellbeing through improvements in healthcare,communication, nutrition, education, social connectedness, and fitness.Shelter has always been a fundamental requirement, but as we progressthrough the 21st century, expectations around what constitutes a modernhome will continue to evolve to encompass more than just a place to live.Lifelong LearningPersonal MobilityEducation has become a lifelong endeavor, and consumers are interested inlearning about new things and acquiring new skills throughout their lifetime,leveraging a multitude of mediums and technologies.This category is about how consumers — in this case, passengers, drivers,pedestrians, cyclists, and so forth — will reach their destinations in the mostconvenient, affordable, safe, and environmentally sustainable manner.MoneyTravel & DiningThe technologies consumers use to purchase goods and services and to planfor future expenditures such as college or retirement continues to rapidlychange. From crypto to robo advisors, we’ll explore the evolution of money.A desire to travel the world and be served good food along the way has longbeen a fundamental element of the human experience. COVID-19 forced thecompanies that offer travel and dining services to radically rethink how theyoffer those services today and in the future.
IDC Devices & Consumer Research Team Linn Huang: PCs, Workstations, &Displays Frank Gillett: Future ConsumerAgenda Anthony Scarsella: Smart Phones &Secondary Market David Myhrer: BuyerViewConsumer Pulse Neha Mahajan: PCs & Tablets Archana Ramachandra: BuyerViewConsumer Pulse Kafil Merchant: PCs & Smartphones Ramon Llamas: Wearables & AR/VR Adam Wright: Smart Home & SmartOffice Lewis Ward: Gaming, eSports, &AR/VR Mehmet Kemal: BuyerViewConsumer Pulse Greg Ireland: OTT Video &Consumer Market Model Kelly Brown: Consumer MarketModel
The Future of DevicesMoving Beyond the PC and SmartphoneLinn HuangResearch Vice PresidentJanuary 2022
Agenda Market Data Market Trend Extrapolated What it Means for 2022 IDC 2
Consumer Compute Approaches Old Shipment RecordConsumer PCD Smartphone Shipments Rolling TabletPCMonitor1,800Millions IDC 3
Despite Significant Shortages & Long Lead TimesMassive semiconductorshortage affectingelectronics industrybroadly as well as othersectorsAlthough foundries areworking to increase chipproduction capacity,supply will continue tolag demandComponents at riskincludes: Power IC Audio IC Driver IC WLAN IC TCON ScalarIndustries with long leadtimes: Automotive PC, Tablet, Phone Gaming Consoles Solar Wind Mini LED IDC 4
hatters Prior Glass Records, ThoughConsumer PCD Smartphone Inches Shipped15109810765453210Inches ShippedInches/Unit IDC 5
#1 When Work Came Home, Consumers Went Large IDC 6
What to Expect from Consumer Compute in 2022Higher Ownership Density Keeps Demand Up Consumer notebooks projected toapproach 128M units shipped in 2022( 45% compared to 2019) Consumer desktops projected toapproach 30M ( 16%) Consumer monitors projected toeclipse 63M ( 32%) Consumer tablets projected toapproach 132M ( 13%) Consumer smartphones beat prepandemic volumes with 1,315M ( 1%)FOLDABLES LAUNCH IN EARNESTMORE 5G IN MORE DEVICESRIGS FOR GAMERS BOTH NEW AND OLDZOOM IN ON CREATORS IDC 7
#2 The Moat Needs an Update Same with the Castle. IDC 8
Broad Acceleration in Smart Home SpendingBillionsSmart Home Spending 300 250 200 150 127 132 139 147 160 169 179 188 197 204 210 217 226 225 228 237 247 261 276 285 100 50 -VideoSecuritySpeakerThermostatLightingOthers IDC 9
What to Expect from Smart Home in 20221234Increased activity around interoperability, both at platform and communicationslevels, will lead to more unified approach for the disparate ecosystems. Keep aneye on industry coalescing towards Matter protocol.Touchless tech will gain renewed interest in the face of the pandemic. Thismeans more integration with smart assistants, new capabilities of thoseplatforms, and emergence of applications such as gesture interfaces.Given the state of the pandemic, we expect big pushes, from both incumbentand new vendors, into the arena of connected health, as more consumers movetowards at-home fitness.Privacy will continue to be a touchstone topic, but the conversation will shift.Previously, vendors focused on customer protection. Conversation will shift togiving customers more control over their own privacy. IDC 10
#3 The Gym Was With You All Along IDC 11
Wearable Market Shifts to Higher GearMillionsConsumer Wearable Shipments600500400340361 372405439470500 512285300200100835 48282011 1563154135 14213112099 106 112949288791731982360EarWristOtherTotal IDC 12
What to Expect from Consumer Wearables in 2022EARThe market for earwear continues its upward trajectory and we’ll see plenty of newearwear launches. But as growth slows down, the market will turn towards morereplacements, leaving price to be one of the main decision-making factors.WRISTThis will be the year of refreshed Wear OS. Wear OS traditionallylagged Watch OS, Tizen, and Fitbit OS. Now that last two have beenincorporated into Wear, Google is in a much better competitive spot.EYEWith new vendors entering the fray, expect pricing to become muchmore mainstream. For now, expect features like spatial audio andimage capture, with more AR capabilities increasingly embedded. IDC 13
Consumer VR Spending Skyrockets but Remains NicheBillionsConsumer AR/VR Spending 4 3.1 3 2.4 2 1.3 1 1.5 1.7 1.7 1.5 1.7 1.4 0.7 0.2 0.2 0.1 0.0 0.0 0.1 1.3 1.3 1.1 1.2 1.4 1.4 1.3 1.2 1.1 1.9 0.9 0.4 0VRAR IDC 14
#4 Use Case Fits, but Category Maturity Lags IDC 15
What to Expect from Consumer AR/VR in 2022INTO THE METAVERSEBEYOND THE METAVERSE Metaverse is drivingsignificant hype towardsAR/VR Strong growth in VR contentand installed base Money-making VR games grewdramatically in 2021 Quest 2 brought significantspike to installed base AR still mostly commercialstory Conferencing andcollaboration use cases drivingstrong interest from IT Concerns about overpromising and underdelivering Interest and use cases arethere, but tech needs to bebake a bit longer IDC 16
For More InformationLinn c.com IDC
The Gaming Lifestyle: The Increasing Impact ofGames on Real LifeLewis WardResearch Director, Gaming and VR/ARJanuary 2022
What’s a Game and WhyDoes “Gamification” Matter? Game: a physical or mental sport or amusement,especially a competitive one, that's played according torules and the outcome of which is decided by skill,strength, or luck Gamification: applying game mechanics or principles tonongame environments and contexts to driveparticipation, engagement or collaboration – andpotentially change long-term behaviors GAMES ARE (GENERALLY) FUN because they engage player’s(and sometimes observer’s) hearts AND mindsSo gamified activities have rules and goals, and participantswho score highly or win associated contests get rewardedDigital games and gamified experiences may havetrackable points, a range of missions with achievements,and player/avatar progression with leaderboards IDC 2
Worldwide Video Game Market Revenue, 2021EIDC’s taxonomy for the gaming andesports market has two hardwaresegments and six software &subscription segments:1.2.3.4.5.6.7.8.Game console hardwarebundlesPackaged and digital gameconsole softwareDigital PC game softwarePC and console gamingaccessories / peripheralsDigital mobile game softwareDigital mobile in-game adsDigital esports revenueDigital stand-alone virtualreality (VR) and augmentedreality (AR) headset gamesoftwareTotal: 259.5B; year-over-year growth rate: 11.9%Esports(.6%)Stand-alone VR & ARsoftware & sub’s (.1%) 1.7B .3BHome & handheld consolehardware (9.3%) 24.3BMobile in-game ads(10.3%) 26.8BHome & handheldconsole software &sub’s (19.4%) 50.4BMobile gamesoftware & sub’s(37.4%)Digital PC gamesoftware & sub’s (14.7%) 96.9B 38.1BPC & console gamingaccessories / peripherals(8.1%) 21BSource: IDC #US47267721. IDC 3
Games Are a Huge and Growing Sliceof Entertainment 2.5 billion people now playmobile, PC or consolegames at least monthlyU.S. Gamer Survey Results, 3Q21Mean Age: 423%24%44% Do you play games or live witha gamer? About two-thirds of U.S.households contain at leastone gamerGender46%51%32%13-2425-44MaleFemaleNon-binary (LGBTQ) or other45 Mean hours played weekly12.09.910.210.8MobilePC/MacHome Console8.04.0-Source: IDC’s 3Q21 US Gamer Survey. IDC 4
IDC’s Future of Customers andConsumers Research PillarsAgenda: answer these questions:1. How is gamification impacting thepillars outside entertainment?2. Where is gamification headed andhow can tech vendors take furtheradvantage of this trend?3. Can we double-click on four ofthese research areas to identifybest practices and emergingopportunities? IDC 5
Travel and Dining Industries involved: travel, hospitality and restaurants How do you choose your vacation designations? If you gone to Orlando or LasVegas, there’s a chance gaming played a role in that choice How do you choose where you eat out? Game X in Atlanta has 12,000 squarefeet of space filled with 60 games, food and bars How do you decide what do in a new city? Stray Boots is a mobile app thatturns cities into scavenger hunt locations (see the sights while accomplishing agoal and, potentially, competing/winning; think CBS’ “The Amazing Race”) Deeper gamification connection: customer loyalty programs for airlines,preferred hotels/resorts, restaurant chains, credit cards, etc. The Waze mobile navigation app has a point system and if you rack up enoughpoints you become "Waze Royalty" or a "Waze Champ" and earn access tomap editing tools (shown: the MA public “leaderboard” for these highlytrusted users that approach non-paid employees) Tech vendor guidance: build up a differentiated customer loyalty programthat takes advantage of the “voice of super-users” by collecting theirfeedback and using it in product/service development processes IDC 6
Show Me the Money Involves how consumers buy goods/services, and access funds securelyLevel one connection to gaming: gambling and esports-related betting IDC prediction: Total legal consumer betting on esports contests will more thandouble from 2020 to 2024 to more than 15 billion worldwide, with much ofthat spend occurring on self-wagered games of skill Level two: Digital coupon tech from co’s like Mambo.IO or Groupon Level three: Robo-advisors in the investment space (algorithm-basedservices from co’s like SoFi), which allow users to set preferences and trackprogress toward goals while avoiding traditional brokerage fees IDC prediction: 20% of new Gen Z investors will turn to robo-advisors this year Deeper gamification connection: GameFi, which is the combo of gamingand decentralized finance; i.e., the (18 ) “play-to-earn” NFT game trend Beyond games: In Dec. 2021, Adidas sold all 30,000 adidasOriginals NFTson its e-commerce site (for 0.2 ETH each, or 800), with partners BoredApe Yacht Club, Punks Comic, and Gmoney; purchasers got “virtualwearables" for the blockchain-based gaming world The Sandbox and"physical products to match” are on the wayTech vendor guidance: Consider how the limited, social nature of GameFican be used to pry open your whales’ wallets and purses IDC’s FutureScape 2022 Predictions study: IDC #US48297921. IDC 7
Lifelong Learning Involves the education industry and the broader science and art ofteaching and learning at all ages Level one connection to gaming: use game mechanics to make learningfun for kids (i.e., ABCmouse.com, MLB’s and EVERFI’s free “SummerSlugger” STEM retention courses, Minecraft: Education Edition) In 3Q21, 17% of console gamers, 20% of mobile gamers, and 23% ofPC/Mac gamers in the U.S. reported playing at least one “Education orbrain training” title (i.e., Sudoku, Brainiversity, Luminosity games) Did you take a work-related training course in 2021 that had a built-inprogress bar or that gave you an instant “win/loss” score uponcompletion (and perhaps a valuable reward)? Deeper gamification connection: The Metaverse and the advent ofmassively social, live and interactive virtual experiences; Meta’s social VRcreation app, Horizon Worlds, is being used for teaching and trainingtoday, and it’s UGC modeling and scripting community is growing Tech vendor guidance: Numerous studies show that people of all agesretain learning better when emotions get involved, so make learningimmersive, interactive and social (i.e., flight sim’s vs reading manuals)Survey source: IDC’s 3Q21 US Gamer Survey. IDC 8
Wellbeing This is about living comfortably, healthily, and happily, and gets into thephysical and metal health and fitness industriesDo you have a good friend that you met through gaming? Mental wellbeing: Even before COVID-19, studies showed that games canbe mood stabilizers and stress/anxiety reducers; gaming’s sense of progressand completion, often in a social context, has helped millions cope duringthe pandemic In 3Q21, 4% of mobile gamers, 8% of PC/Mac gamers, and 11% of consolegamers in the U.S. reported playing at least one “Physical fitness & healthrelated” title (i.e., Zombies, Run!, Your Shape, Ring Fit Adventure, popularVR games like Supernatural and Beat Saber) Deeper gamification connection: Wearables and home fitness products Fitbit and new home fitness systems use progress meters, are social, etc. At CES 2022, Wondercize touted Wondercise Studio, which combines videochat, home fitness and live leaderboards (and can leverage trackers) The Razer X Fossil Gen 6 smartwatch was unveiled at CES 2022 ( 329); itsWellness app tracks steps, sleep quality, heart rate, and blood oxygen levelTech vendor guidance: Consider how gamification can be leveraged tohelp your customers lead happier, healthier, more productive livesSurvey source: IDC’s 3Q21 US Gamer Survey. IDC 9
Tech Vendor Guidance On Gamification1.2.3.4.Build up a differentiated customer loyalty program thattakes advantage of the “voice of super-users” by collectingtheir feedback and using it to enhance product/servicedevelopmentConsider how the limited, social nature of “GameFi” can beused to pry open your whales’ wallets and pursesMake educational, informational and sales-related contentas immersive, interactive and social as possibleConsider how gamification might be used to help yourcustomers lead happier, healthier, more productive lives IDC 10
For More InformationLewis mpany/idctwitter.com/idcblogs.idc.com IDC
Understanding the Massive Consumer TAMExpansionConsumer Market ModelKelly BrownSenior Research AnalystJanuary 13, 2022
IDC’s Consumer Market Model (CMM) quantifies the future consumer worldwide,in 8 regions and 51 countries by providing the following data andAccessDevicesUsed toAccess theInternetHours SpentOnlineInternetUser CMM will align its forecasts to the Future Consumer framework to paint a picture depicting who the future consumer is. IDC 2
Why is the Consumer Market Model Important and Useful to Your Business?Because it answers the following questions:How are demographic changes impactingtechnology adoption and consumer spendingacross countries and regions?Which online services are growing the fastestand in which countries?How is eCommerce continuing to evolve acrossour three dozen categories of activities?How do the eight future consumer categoriesplay out in other countries around the world? IDC 3
IDC 4
BroadbandAccess IDC 5
IDC 6
WW Personal Care Mobile Internet Buyers1.32 B1.2 B1.1 B900 M933 M1.32 Billion1.24 BMobile Buyersfor PersonalCare Items by2025!!!967 M48% CHANGE750 MFROM ‘17 TO ‘19608 M201720182019202020212022202320242025 IDC 7
IDC 8
WW Total Video Streaming Users3.8 B3.6 B4.5 BillionVideo 4.5 B4.2 B StreamingUsers by2025!!!3.3 B2.3 B201727% CHANGE2.5 BFROM ‘17TO ‘1920182.8 B20192.9 B202020212022202320242025 IDC 9
IDC 10
WW Total Spending on Music Streaming 13.7 B 12.7 B 11.2 B 8.8 B2017 11.5 B 15.5 BillionDollars spent 15.5 B 14.6 Bon MusicStreaming by2025!!! 11.7 B27% CHANGE 9.8 BFROM ‘17 TO ‘1920182019202020212022202320242025 IDC 11
Future Opportunities IDC 12
Peer-to-Peer Lending Users ForecastChart Title657 M657 MILLION 591USERSBY 2025!!!!!!M525 M461 M2022202320242025 IDC 13
Peer-to-Peer Lending eCommerce Spending Forecast 25 BILLION IN SPENDING BY2025!!!!!! 25 B 22 B 18 B 15 B2022202320242025 IDC 14
2025CONSUMER MARKET MODELBIG PICTURE NUMBERS 6.5 Billion Internet Users Worldwide 6 Billion Digital Experience andService Buyers Worldwide 1 Trillion Hours Spent Online PerMonth 11 Trillion in eCommerce SpendingWorldwide IDC 15
Kelly nkedin.com/company/idctwitter.com/idcblogs.idc.com IDC
The Future Consumer & Technology’sPervasive PresenceThe Rise of the Future ConsumerDavid MyhrerResearch VP, Consumer StrategiesJanuary 2022
COVID-19 Provoked Unprecedented Digital TransformationUsageDid for the First Time in 2020New AdoptionSpendOrdered groceries onlineShoppingHad a consultation with my doctor online(with video)Wellbeing32%27%Ordered a meal online (via website/app)Travel & DiningOrdered something from online retailerother than AmazonShoppingOrdered something from AmazonShoppingHad a consultation with my doctor online(without video)WellbeingBought a PC, tablet, smartphone, or othertech device onlineShopping0%5%19%17%15%14%11%10% 15% 20% 25% 30% 35% 40%n 4,058 US consumers ages 18-75.Source: US Consumer Tech Segmentation Study, July/August 2021. IDC 2
Consumers Spent Even More in 2021 than in Pandemic-fueled 2020Self-reported (survey)Indexed US Consumer Tech Spend(April 100)140120100109117115 7.8%128 11.3%102105 3.4%806040200Total SpendDevices2020Services2021n 9,000 US consumer heads of household ages 18-75 for 2021; 2020: n 6,750 Source: US Consumer Tech Purchase Index, 2020 and 2021 IDC 3
Future Consumer Tech Spend – What are the Implications?Example for Illustrative Purposes Only202120252030Boomers GenZOlderMillennialsBoomers Gen XBoomers GenZGenAlphaGenZYoungerMillennialsGen XYoungerMillennialsGen XOlderMillennialsOlderMillennials IDC 4
Gen Z is Differentiated by its Pleasure & Achievement MotivationsPersonal ValuesGen Z (18-24)PowerPleasureYounger Millennials (25-29)StimulationConformityOlder Millennials (30-39)Achievement UniversalismGen X (40-55)TraditionBaby Boomers (56 )Self-directionSecurityBenevolencen 4,058 US consumers ages 18-75.Source: US Consumer Tech Segmentation Study, July/August 2021. IDC 5
Future Consumer IDC 6
Entertainment & “Media Habits” IDC 7
Gen Z is Very Different – A Sharp Break from the Existing PatternDevice Share of Video Screen Time (%) - 2021Baby Boomers (56 )65Gen X (40-55)58Older Millennials Gen Z (18-24)91851Younger Millennials (25-29)TV1030Laptop computer184050Desktop computer60Tablet6869107068058906100Othern 3,933 US consumers who watch video contentSource: US Consumer Tech Purchase Index, 2020 and 2021 IDC 8
Video Streaming Services, YouTube & Other Social Dominate for Gen Z% of Viewing Time by Content Type454035302520151050TotalGen Z(18-24)Video Streaming ServicePay TV 0-39)Streaming Live TV ServiceYouTubeGen X(40-55)FacebookBoomers (56 )Other SocialOthern 3,933 US consumers who watch video content; Gen Z: 253, Younger Millennials: 266, Older Millennials: 797, Gen X: 1,187, Boomers : 1,430.Source: US Consumer Tech Purchase Index, 2020 and 2021 IDC 9
Gen Z & Young Millennials are Gamers and Content Creators“Which of the following best describes you?” Select oneHardcore gamer (20 or more hours a week)Enthusiast gamer (10 to 20 hours a week)Casual gamer (5 to 10 hours a week)Dabbler (1 to 5 hours a week)Non-gamer (0 hours a week)Creative professional - One whose job is inthe creation of digital contentProsumer - Doesn't work in digital contentcreation primarily but takes craft seriouslyinvests in professional-grade equipmentHobbyist Creator - Frequently shares owncontent on social platforms and makes dowith what's availableCasual Creator - Occasionally shares owncontent on social platforms and makes dowith what's availableConsumer - Doesn't create content for massconsumption IDC 10
Gen Z are 3 times more Likely to be Hardcore Gamers thanConsumers in GeneralGamer ContinuumBaby Boomers (56 )Gen X (40-55)1%54%5%10%Older Millennials (30-39)23%12%Younger Millennials (25-29)21%18%Gen Z (18-24)Total32%17%6%0%37%10%Hardcore gamer20%30%Enthusiast gamer40%50%Casual gamer60%Dabbler70%80%90%100%Non-gamern 4,058 US consumers ages 18-75. Gen Z: 253, Younger Millennials: 269, Older Millennials: 799, Gen X: 1,202, Boomers : 1,535.Source: US Consumer Tech Segmentation Study, July/August 2021. IDC 11
Gen Z and Younger Millennials have a High Creator Mix (notprofessionals)Creator ContinuumBaby Boomers (56 )75%Gen X (40-55)60%Older Millennials (30-39)51%Younger Millennials (25-29)47%Gen Z (18-24)46%Total62%0%10%Creative professional20%Prosumer30%40%50%Hobbyist Creator60%70%Casual Creator80%90%100%Consumern 4,058 US consumers ages 18-75. Gen Z: 253, Younger Millennials: 269, Older Millennials: 799, Gen X: 1,202, Boomers : 1,535.Source: US Consumer Tech Segmentation Study, July/August 2021. IDC 12
Gamers & Creators Spend More on Tech than Typical ConsumersIndexed Tech SpendIndexed Tech Spendby Creator Segmentby Gamer 39119100113101898060604040202000n 4,058 US consumers ages 18-75.Source: US Consumer Tech Segmentation Study, July/August 2021. IDC 13
Gen Z and Millennials Interact Far More with Streaming Gameplay% of Gamers who Interacted with Streaming Gameplay via.YouTube90%84%80%60%72%61%55%51%50%40%Facebook Gaming82%68%70%Twitch36%40%33%46%32%50%30% 32%30%29%20%20%11%10%0%TotalGen 30-39)Gen X(40-55)Baby Boomers (56 )n 2,571 US consumer gamers; Gen Z: 211, Younger Millennials: 216, Older Millennials: 617, Gen X: 821, Boomers : 706.Source: US Consumer Tech Segmentation Study, July/August 2021. IDC 14
Housing & Connectivity IDC 15
Opportunity: Who Will Win the Battle to Provide Main Internet Access?% with Traditional broadband(Cable modem/fiber/DSL)% Alternatives toTraditional Broadband90%Fixed wireless her26%61%60%Via my mobile %13%8%10%7%5%3%0%TotalGen Z(18-24)YoungerOlderMillennials Millennials(25-29)(30-39)Gen X(40-55)BabyBoomers (56 )TotalGen Z(18-24)YoungerOlderMillennials Millennials(25-29)(30-39)Gen X(40-55)BabyBoomers (56 )n 4,058 US consumers ages 18-75. Gen Z: 253, Younger Millennials: 269, Older Millennials: 799, Gen X: 1,202, Boomers : 1,535.Source: US Consumer Tech Segmentation Study, July/August 2021. IDC 16
Implications for Advertising & Business ModelsGen Z / Young Millennials Their viewing habits make them harder to reach (including ad blocker, VPN) Much of the content they consume is user-generated and/or free Monetization is a challenge Need to engage them where they are (in-game ads, social media) YouTube, Tik Tok, Twitter, Reddit Gen Z largely consume Standalone services Challenge to generate higher revenue per user by bundling Need alternative approaches (ex. different bundles catered to their needs) IDC 17
Lifelong Learning IDC 18
IDC’s Future Consumer – Lifelong Learning TaxonomyLifelongLearningBroad OnlineLearningGeneralInterestEducationServices that allowconsumers to takeclasses or gainknowledge outsidethe scope oftraditional academia(ex. Udemy,Coursera, Masterclass, Great Courses,Khan Academy, etc.)Life SkillsServices thatallowconsumers todevelopknowledge inlife skills (ex.parenting, howto play aninstrument,how to cook,etc.)CareerDevelopmentSpecific TaskInstructionWebsites andapplications thatoffer instructionsfor specific tasks(car repair, homeimprovementtasks, etc.)Learning /EducationToolsTech Learning/TrainingStudy ToolsBusinessTest PrepScience,Engineering,and MathReading, Math,and vices IDC 19
The Pandemic Expanded the Reach of a Blossoming IndustryCategory Usage80%66%70%60%50%45%40%7The Average UserParticipates in 7Subcategories of Learning30%20%10%0%Prior to Last YearIncluding Last Year IDC 20
Consumers are Internally Motivated, Interested in Continued GrowthReasons for Doing Online Learning in the Last Year64%I wanted to learn something new48%I needed to upgrade my skills41%I developed new interestsI had been wanting to do it for some time29%I try to balance entertainment with learning in my free time28%23%I was forced to be at home because of COVIDTrue for loyallearners andfirst-timers22%I had time on my hands with nothing to do / boredom17%I stumbled upon sites13%You can only watch so much Netflix12%My boss told me I should8%You can only game so much0%10%20%30%40%50%60%70%n 1,312 adult consumers who did some type of Online Learning in the past year.Source: US Consumer Pulse on Lifelong Learning, December 2021. IDC 21
Online Learning is Versatile With Much of it Free; Lots of OptionsPrimary Benefits of Online LearningCan do it anywhereMost Important Features39%Lots of free options31%Ability to search find new thingsContinuous improvement30%VideoThere's always something newthat's worth learning26%Satisfying interests26%Easy to do13%No tests32%Practical applications / case studies31%20%16%Hybrid learning (at least some)13%Live classes13%9%Global reach/exposure/content6%0%35%On-demand viewing23%Less dependent on others for tasks45%Online tutorials for tests25%Career development / growth61%Free5%Completion postable to LinkedIn40%60%80%0%20%40%60%80%n 1,645 adult consumers who are planning to continue to use online learning or who plan to use it in the next yearSource: US Consumer Pulse on Lifelong Learning, December 2021. IDC 22
Usage does Not Necessarily Mean Spend% of US Population Aged 18 Did Any Online Learning Last YearPaid, 24%66%Free only,42%n 2,009 adult consumersSource: US Consumer Pulse on Lifelong Learning, December 2021. IDC 23
Use of YouTube is One Reason Why There’s So Much “Free"Used YouTubeSpecific task instruction72%Learning life skils55%Learning/education tools38%Career development34%0%10%20%30%40%50%60%70%80%90%n Learning / education tools: 271; Learning life skills:614; Career development: 307; Specific task instruction: 334.Source: US Consumer Pulse on Lifelong Learning, December 2021. IDC 24
Segment DefinitionsUsed inlast yearUsedpreviouslyFutureUseLoyal Online Learning UsersYesYesYesFirst-time Committed Online Learning UsersYesNoYesRecent Online Learning DefectorsYesYesNoNo“1 and Done” (Tried it but won’t stick with it)YesNoNoNoFuture BoomerangsNoYesYes1st-time ProspectsNoNoYesLonger-term former usersNoYesNoComplete “virgins”NoNoNoOnline Learning Meta-category SegmentsFutureInterest IDC 25
Loyalty among Users is 90 %Segments for the Category and by dSpecifictaskinstruct.CareerdevelopmentLearning& educ.tools63%27%24%27%29%21%3%5%4%3%4%4%Recent Defectors1%2%2
console software 3. Digital PC game software 4. PC and console gaming accessories / peripherals 5. Digital mobile game software 6. Digital mobile in-game ads 7. Digital esports revenue 8. Digital stand-alone virtual reality (VR) and augmented reality (AR) headset game software Worldwide Video Game Market Revenue, 2021E
