Telsyte launches Australian Digital Consumer Study 2020

Flagship study provides detailed snapshot of Australians’ digital lifestyles

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SYDNEY, AUSTRALIA – Emerging technology analyst firm Telsyte has released its flagship study into the evolving digital lifestyles of Australians.  

Based on a 120-minute survey with a representative sample of over 1,000 Australians, The Telsyte Australian Digital Consumer Study 2020 brings together the collective knowledge of its dedicated industry analysts and proprietary databases to provide a detailed snapshot of the impact of technology in Australia.

Published annually since 2008, the study provides subscribers with insights on the state of technology adoption, digital demographics and reports on changing consumer lifestyles as a result of advances in computer and communications technologies.

Smartphone dominating the digital experience

Australian consumers have traditionally been early adopters of new technologies and at the end of 2019 several key milestones were reached.  

Telsyte’s research shows smartphones have now become the main digital device for more than half (51%) of Australians, with millions of Australians loyal to either their iPhones or Android smartphones.

This is driving an unprecedented boom in services and subscriptions based on mobile apps such as Streaming Video on Demand (SVOD), music, games, and eCommerce.

The study found the Internet became “the main source of entertainment” for more than half (52%) of Australians for the first time in 2019.

Additionally, the fast adoption of smart speakers and smartwatches is driving new customer engagements which are becoming important for businesses looking to target early adoptions.

Connected device numbers grow apace

This year’s study found Australian household had an average of 18.9 connected devices at the end of 2019, an increase from 17.0 in 2018.

Telsyte forecasts this to be greater than 30 devices by 2022 with growth being driven by Australians adopting energy and lighting smart devices, security devices such as cameras and other smart appliances such as smart speakers.

The study found the latest premium digital device adoption is being impacted by price rises, which is not being helped by the increasing cost of living in Australia.

“Longer product replacement cycles and rising prices are starting to dictate market trends with consumers looking for new features that justify the increases in costs,” says Telsyte Managing Director Foad Fadaghi

Cybercrime becoming a widespread problem

Australians cybersecurity concerns are growing due to the rapid adoption of connected technologies and the shift to digital lifestyles, according to the study.

More than 1 in 4 Australians experienced some form of cybercrime in 2019, including account hacks, phishing, ransomware, identity theft and cyberbullying.

The study also found there are growing concerns amongst parents over the online privacy and safety of children. Parents are also less confident they have the knowledge to help their children to navigate safely online.

Trust in media and government declining

Growing uncertainties are taking its toll on consumer trust, which in Australian society seems to be impacting attitudes toward media and government.

Nearly half (45%) of Australians agree to the statement "I trust less in the Australian government this year than previously".

The study covers awareness, adoption and attitudes toward various digital government services and initiatives across local, state and federal governments, such as digital driver licenses, myGovID and My Health Record.

Australians trust in the media has also been shaken, with 1 in 3 “very concerned” about “fake news”.

Social media influence becoming more pervasive

Social media has proven effective in influencing various aspects of Australians’ lifestyles and attitudes and some 22 per cent of Australian 16 years and older claiming they have purchased something in 2019 as a result of being influenced by a social media post or advertisement.

Nearly half (46%) have read politics related news on social media in 2019, and 21 per cent have posted about politics on platforms such as Facebook and Twitter.

 Changing buyer behaviour

The study found new models in eCommerce are shaping buyer behaviour with the adoption of ‘Buy Now, Pay Later’ (BNPL) services reaching new highs in 2019.

Nearly a quarter of adults in Australia have made purchases using BNPL in 2019, and the research found a list of product categories that favoured BNPL services. These include BNPL opportunities for smaller everyday items such as groceries and petrol.

The push towards subscription services amongst online marketplaces such as eBay and Amazon had some success in 2019, driving online search and purchases.  Australians are also showing they are receptive to emerging in-store shopping transformations such as Woolworths Scan & Go.

Gig economy incomes under pressure

As the cost of living increases and slow wage growth impacts household budgets, many are turning to technology-based ways to boost incomes.

The study found the number of gig-economy services (e.g. Uber) users and gig-workers both grew in 2019; however, the average income from gig-economy work decreased year-on-year as more individuals took on “gigs” to supplement their primary income.

The Telsyte Australian Digital Consumer Study 2020 is a 192-page comprehensive study which provides subscribers with:

  • Adoption and 4 year forecast of personal technologies (e.g. smartphones, smartwatches, tablets, 2-in-1s, computers, smart wristbands, etc)

  • Adoption and 4 year forecast of household technologies (e.g. smart speakers, smart TV, gaming consoles, 3D printers, Chromecast, Apple TV and other set top boxes, etc)

  • Adoption and 4 year forecast of services (e.g. broadband, SVOD, Pay TV, etc)

  • Post PC device preferences and intentions

  • Wearable technology preferences and intentions

  • nbn and broadband connectivity insights

  • Mobile services insights

  • Digital video, Pay TV, Streaming video and television (including broadcast video on demand)

  • Social media trends

  • Technology, social and online apps adoption amongst children and under 18s

  • Digital services and gig economy trends

  • Banking and eCommerce trends

  • Interactive games and cloud gaming insights

  • Consumer cloud and online security

  • AI & automation attitudes

  • Digital government services adoption and insights

  • Attitudes to lifestyle and technology

 In preparing this study, Telsyte used:

  • Telsyte’s annual Digital Consumer survey conducted in December 2019 with a representative sample of 1,005 Australians, 16 years and older.

  • Interviews conducted with executives from service providers, network operators, manufacturers, retailers, financial analysts and ecosystem participants.

  • Financial reports released by service providers, manufacturers and retailers.

  • On-going monitoring of local and global market and vendor trends.

 About Telsyte

Telsyte is Australia’s leading emerging technology analyst firm. Telsyte analysts deliver market research, insights and advisory into enterprise and consumer technologies. Telsyte is an independent business unit of DXC.technology. For more information visit www.telsyte.com.au

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