Every week, MEF Minute find the latest industry stats and reports from across the global mobile industry.
Here we present a round up of all the reports and sources from throughout the month by sector.
Mobile commerce and payments
- Banks no longer consumers’ first choice for mobile wallets – New stats from Javelin reveal that PayPal and Visa have surpassed the primary bank as mobile wallet providers. For the past two years, banks have topped Javelin’s customer survey. Now, PayPal (63 per cent) and Visa (56 per cent) are preferred to the primary bank (51 per cent).
- Fintech investment could hit $150 billion in five years – Established banks are preparing for a quarter of their existing business to be wiped out by fintech disrupters, says a new report by PwC. It says investment in fintech companies could hit $150 billion over the next five years.
- $550 billion could be transacted over WeChat this year – Tencent disclosed that WeChat had 697 million monthly active users at the end of December. And Reuters concluded that in January the company paid over 300 million yuan in fees. On that basis, WeChat will handle $556 billion in transactions this year.
- Spending on contactless cards in the UK hit £7.75 billion in 2015 – The UK Cards Association. It says contactless spending in 2015 reached £7.75 billion, which was more than double the preceding seven years combined.
- Visa Europe: “50 per cent of our transactions will be mobile by 2020” – Card network Visa expects that, by 2020, one in five consumers will make a mobile payment every day, and that half of all Visa transactions will come from a phone.
- 1.61bn people will make person-to-person mobile money transfers by 2019 – Telco analyst Ovum says the global mobile P2P user base will increase from 192.66 million users in 2014 to 1.61 billion in three years time. This rise will increase transaction value from $15.22bn in 2014 to $270.93bn in 2019..
- GSMA: 411m people have a mobile money account – More than 1bn mobile payment transactions were processed in December 2015. Trade body GSMA says there are 271 services in 93 countries.
- Venmo handles $1 billion in a single month – US P2P payments app Venmo says users sent and received $1 billion during January. That’s more than 2.5 times the payments volume the company handled in Jan 2015.
- Three billion loyalty cards will go mobile by 2020 – A new study from Juniper Research reveals that more than three billion loyalty cards will either become mobile-only or be integrated into mobile apps within four years. In 2015, the total stood at 1.4 billion.
- UK Paym mobile payment scheme has 3.25 registered users – Britain’s ‘pay a mobile contact’ service Paym has nearly doubled its transaction volumes over the past six months. It now has 3.25 million mobile phone numbers.
- Americans will spend $23 billion by mobile in-store this year – The combined efforts of PayPal, Android Pay, Apple Pay and Starbucks will drive in-store mobile payments in the US up 54 per cent his year. In total, $23 billion will be transacted at physical retail from mobile wallets, says Packaged Facts.
- European mobile wallet revenue to pass 1 billion euros in five years – The combined impact of Apple Pay, https://mobileecosystemforum.com/wp-content/uploads/2022/07/MEF-Day-One-104-Large-1.pngsung Pay, Android Pay and Google Wallet will grow the European mobile payments market by 50 per cent a year, says Smart Insights.
- mPOS shipments expected to reach 245.21 million units by 2022 – The market for mobile POS card readers continues to boom – it will grow 20x between 2014 and 2022, says Transparency Market Research.
- Mobile payments to generate $620 billion this year – The systems launched by Apple and https://mobileecosystemforum.com/wp-content/uploads/2022/07/MEF-Day-One-104-Large-1.pngsung will grow the mobile payment market by 37 per cent this year, says TrendForce. Its new report says the sector generated $450 billion in 2015, and will gross $620 billion this year.
- Mobile key to global ad spend rising 4.4 per cent this year – Advertisers will spent $90 billion on mobile-specific ads in 2017 – that’s 44 per cent of all online ad investment. The buoyant channel is helping global ad spend to hit $561 billion this year, despite economic uncertainty and cooling interest in desktop and traditional sectors. These are the key findings of analyst WARC.
- China’s mobile ad spend set to rise and reach $25.5bn in 2016 – Never mind the economic slowdown, China’s digital economy is on a path to double by 2020. New stats from eMarketer says digital ad spend will reach $40.42 billion in 2016, then climb to $83.59 billion in four years. Within this, spending on display and search ads delivered to mobile devices will hit $14.54 billion and $10.96 billion – around $25.5 billion overall.
- Digital advertising and marketing spend will equal ‘traditional’ for the first time in 2016 – Annual spending on advertising and marketing will reach $473 billion this year, with $228 billion of it on digital. According to Outsell’s Annual Advertising and Marketing Study 2016, the market overall will grow 4.7 per cent, while digital will grow 12.5 per cent.
- Instagram now has 200,000 advertisers – A year ago, Instagram didn’t have any advertisers. Now it has 200,000 after owner Facebook decided to open up the image sharing site to brands. Instagram advertisers can plug into Facebook’s sophisticated and successful ad back end. This lets them devise campaigns targeted to specific demographic groups.
- App economy could be worth $101 billion in four years – There was barely any such thing as an app ecosystem before 2008. Now, it’s on its way to being a $100 billion industry. A new report by App Annie contents that the total app economy could double in size to $101 billion by 2020.
- Mobile added $43 billion to Australia’s economy in 2015 – Australians are using mobile to work faster and more efficiently – and that’s adding huge sums to the economy, says a new report by Deloitte. It found that Australia’s economy was $42.9 billion larger in 2015 than it would otherwise have been.
- IoT at retail to generate $53.75 billion by 2022 – The retail sector is preparing for huge changes in its supply chain, customer experience and sales channels – all driven by IoT tech. And the overall impact, says Grand View Research, will generate $53.75 billion in sales within six years.
- GSMA’s ‘sign in with mobile’ service now available to 2bn – Mobile Connect is the operators’ project to encourage consumers to use their mobiles to log in for third party services. Now, it can reach 2bn people. The GSMA says 34 network operators in 21 countries have launched.
- Global mobile data traffic up 400x in 15 years – In 2001 there was barely any such thing as mobile data. Now, traffic is at 3.7 exabytes a month. That’s the headline finding of Cisco’s Visual Networking Index.
- Four in ten smartphone owners regular use voice recognition – Parks Associates’ 360 View: Mobility and the App Economy report says 38 per cent of smartphone owners are now using voice recognition apps, and among the 18-24 age group it’s 48 per cent.
- 934 million people check their Facebook apps every day – Facebook’s financials reveal nearly all of its users access the social network on their phones. In the last quarter, 1.04 billion consumers checked their Facebook accounts on a typical day – and 934 million of them did so via a mobile app.
Handsets & Wearables
- Shipments of wearables set to grow 38.2 per cent this year – More devices, more form factors and more awareness will drive the wearable market to shipments of 237.1 million by 2020. The numbers come from IDC, which says this year’s figure will be 110m.
- Sales of wearables set for 18.4 per cent jump – Vendors will sell 274.59 million smartwatches, fitness bands and other wearable devices this year, says Gartner. The sales will generate $28.7 billion. This represents an 18 per cent jump on 2015.
- Oppo sold 50m smartphones last year – Chinese phone maker Oppo has broken into the world’s top ten after posting year-on-year growth of 67 per cent last year. The company sold 50m smartphones, enough to move it into the top ten smartphone brands worldwide, according to researcher TrendForce.
- Apple controls two thirds of the world’s smartwatch shipments – New numbers from Canalys reveal Apple as the major force in smartwatches – though Fitbit leads the wearable sector as a whole.
- iPhone sales have flatlined at 75m a year – For the first time ever, Apple has failed to increase its iPhone shipments. Its latest financials show device sales stalled at 75m for the year. In spite of this, Apple still posted record quarterly revenue of $75.9 billion.
- Windows Phone sales now at 4.5m a quarter – Microsoft’s latest financials reveal that it sold 4.5 million Lumia phones during the fourth quarter. That’s down 57 percent on the 10.5 million sold a year ago. However, the Surface tablet posted all-time high revenue of $1.35 billion.
- Five million people have a Google Cardboard VR set – While the early adopters wait for Oculus Rift and Vive, Google’s ultra-cheap Cardboard VR headset has gathered 5m users.
- Spotify has 30 million paid subscribers – Spotify CEO Daniel Ek has just tweeted that Spotify had passed the 30m milestone – less than a year after the music streaming firm confirmed 20m.
- Apple Music 11 million paying subscribers; Spotify is closing in on 30m – The senior VPs behind Apple Music, Craig Federighi and Eddy Cue, have confirmed that the streaming service has now passed 11m registered users. Apple Music was launched in June and chalked up its first 10m subscribers a month ago.
- Just 1.9 per cent of gamers make in-app purchases – Mobile gaming is more dependent than ever on a small cohort of gamers who spend big. Swrve’s 2016 Mobile Monetization Report says just 0.19 per cent of all players account for 48 per cent of all revenue.
- One million gamers download Nintendo’s first mobile app – Nintendo was very late into mobile phone gaming, but its debut launch Miitomo already looks set to be a substantial hit. After just three days, it was downloaded by more than one million registered users in Japan.
- China’s mobile gaming industry grossed $7.8 billion in 2015 – A new report by DataEye and Niko Partners says China’s mobile games industry is as big as the US’s, and grew by around 75 per cent last year. It was worth $4.4 billion in 2014.
- PC gaming still outgrosses mobile – The digital gaming market grew eight per cent in 2015, with PC bringing in most of the revenue. A new study by research firm Superdata says the market generated $61m in 2015.
- Gamers who make an in-app purchase in one game 6x more likely to pay in another – Publishers should focus hard on their paying customers, says a study by analytics company Soomla. Its new report says users that pay for in-app items are six times more likely to buy again than any random player.
- 39.8 million Tanzanians have a mobile connection – The number of phone subscribers in Tanzania rose by 25 per cent in 2015 to 39.8 million, said the country’s industry regulator. It also confirmed that the number of Internet users rose 52 per cent to 17.26 million last year from 2014.
- 14.3 per cent of Brazil’s e-commerce is mobile – Mobile commerce in Brazil went up by 47 per cent in 2015, according to research from consulting firm E-bit. The rise meant that m-commerce now accounts for 14.3 per cent of online shopping, up from 9.7 per cent in 2014.
- India will have 371 million mobile internet users by June – The tumbling cost of mobile data is set to increase India’s mobile internet population by nearly 70m in six months. A new report by the Internet and Mobile Association of India (IAMAI) says the connected base will hit 371 million by June.
Trust and Security
- Digital banking tops list of ‘most risky’ online activity – Online banking worries people more than any other activity when it comes to having personal data hacked. So says The Future of Cybersecurity report by IEEE, the Institute of Electrical and Electronics Engineers.
- Malware affected 370m phones last yearChinese security software provider Qihoo 360 says 370 million mobile phone users receiving malicious programs in 2015 – and that the number is rising. Its new study revealed users paid out 50.04 million yuan as a result.
- Encrypted IM service Telegram powers to 100m users – Russia’s security-first messaging app Telegram is now sending 15 billion messages a day. It has surpassed 100 million users.