Understanding the Changing Mobile User

Mobile communications today is virtually indistinguishable from the first mobile call that was made four decades ago.  We have gone from monster handsets to pocket-sized portable computers.  Mobile communications has become an essential part of our daily lives.  For mobile operators and other companies operating in this space it is essential to know the facts about the mobile market and how the mobile user is changing.

The recent video by Cisco “Understanding the Changing Mobile User” provides key insights for SPs into how mobile users are using LTE, Wi-Fi and their changing mobile behavior.  The video identifies options for operators to be successful in the changing mobile world.

The video highlights the results of Cisco’s recent mobile consumer research study.  The complete results and white paper can be found at “Service Provider Wi-Fi and Small Cells:  Discover What Consumers Want from Wi-Fi and Mobile”

Read the bog on Cisco.com

Understanding the Changing Mobile User: Gain Insights from Cisco’s Mobile Consumer Research

Video highlighting the results and interests of our mobile consumer research.

View here

A World of Wi-Fi Opportunities

An article that I recently published in Mobilize Magazine

A World of Wi-Fi Opportunities

New research reveals substantial business opportunity within Wi-Fi services.

Cisco recently conducted an online survey of 620 U.S. mobile users to better understand their needs and behaviors, current and future use of public hotspots, and unmet demands. The results were clear:

·    Consumers increasingly rely on and prefer Wi-Fi for connecting their devices to the Internet.  In fact, the Cisco research reveals that the average smartphone user employs Wi-Fi 44 percent of the time. This is a significant increase from just one year ago, when one-third of the total smartphone data usage was through a Wi-Fi connection, rather than a mobile network.

·    A remarkable 70 percent of mobile users are now using public Wi-Fi hotspots. According to the survey, close to six out of ten public Wi-Fi users now connect to a hotspot at least weekly, and one-third connect more than once a week. Users spend an average of 44 minutes connected to these hotspots. 

What does this mean for consumer-focused companies, service providers, and other businesses? Opportunity. And lots of it.

 “Many innovative companies are discovering new ways to make money by unlocking the inherent business value of Wi-Fi,” says Stuart Taylor, Director of the Service Provider Transformation Group at Cisco. “They can create localized and personalized mobile services, for example, which improve the customer experience and provide a vast amount of business intelligence.”                        

Taylor highlights three business models that are ripe with opportunity: 

1.   Enhanced Retail Experience. Imagine a service that would enhance your in-store retail shopping experience on your own Wi-Fi-enabled mobile device at a large retailer. The service could include such things as product information, an in-store location finder, integrated shopping lists, coupons for special offers, and automated checkout.  

2.   Enhanced Airport Experience. Imagine a service that would enhance your experience when you are in an airport. The service could include such things as airport information, mobile check-in, maps and directions, coupons for special offers at shops and food outlets, and flight and gate alerts. 

3.   Enhanced Public Venue Experience. Imagine a service that would enhance your experience on your own Wi-Fi-enabled mobile device while you were in a large public venue, such as a shopping mall, amusement park, sports stadium, or resort. The service could include such things as venue information, maps and directions, coupons for special offers at shops and food outlets, and information on upcoming events.  

The Cisco research reveals consumers are eager to embrace such services to enhance their experiences in retail locations, airports, hotels and resorts, stadiums, and shopping malls. And while many consumers are concerned about who will have access to their data and how it will be used, most recognize that they will have to relinquish some of their personal information to get a better mobile experience.  

Taylor offers several pieces of advice for businesses seeking to capitalize on the emerging prospects of Wi-Fi services: 

·    Actively pursue new Wi-Fi monetization opportunities. Develop new offers that enhance the customer experience and deliver new sources of revenue.

·    Take advantage of technical and business capabilities. Combine the inherent capabilities of Wi-Fi with personal metadata and customer relationship management (CRM) data to create compelling new localized offers.

·    Develop proactive personal data strategies and communications. Undertake extensive customer research to formulate comprehensive data policies and strategies to allay customers’ concerns.

·    Actively communicate privacy policies. Make customers aware of privacy policies and the value delivered from the localized services.

“If your business isn’t providing Wi-Fi access to customers then it better be the number one item on your agenda,” Taylor suggests. “Customers expect it now almost everyplace they do business, and if they don’t find it they are voting with their feet.”

Five Predictions for the Future of Wi-Fi and Mobile

New devices, changes in customer behaviors, and technological advances are rapidly changing the mobile market and consumers’ expectations of mobility.  A recent Cisco study of mobile consumers reveals how much, and how quickly the world of mobility is changing.  The survey uncovers some startling revelations about what consumers are doing on their mobile devices, how and where they are using them, and how they are connecting them to the Internet.  Highlights of the research are revealed in my recent blog Discover What Consumers Want from Wi-Fi and Mobile.
The majority of devices are now Wi-Fi-enabled, and the fastest-growing category is “nomadic” devices like tablets and eReaders.  We now need to speak of the “mobile home,” as the home is by far the most popular location for consumers to use their mobile devices. Surprisingly, Wi-Fi is the network connection of choice for most consumers for all of their devices.  Public Wi-Fi is now a big part of mobile life.

Consumers are generally satisfied with their public Wi-Fi experience, but they want it to be faster, more secure, better quality, and most of all, available in more places.  Consumers are anxious for enhanced personal mobile experiences that can be delivered by unlocking the inherent business value hidden in the Wi-Fi infrastructure.  

While it is never easy to foresee the future, we are making five predictions for key changes in the

mobile industry over the next two years based on insights from the Cisco mobile consumer research:

5 Predictions for the Future

1. Mobile devices will become even more home-based.

In the next two years, daily use of mobile devices in the home will equal the use of TVs (average 5 hours)

2. Wi-Fi will become the predominant access technology for smartphones.

Within the next two years:

Ø  Close to 100 percent of smartphones will use Wi-Fi.

Ø  Smartphone owners will use Wi-Fi at least 50 percent of the time to connect to the Internet.

3. Public Wi-Fi use will continue to grow.

Within the next two years:

Ø  Eighty percent of all mobile consumers will use public Wi-Fi.

Ø  Seventy-five percent of all public Wi-Fi users will use this technology at least weekly in some locations.

4. Public Wi-Fi will be used more often, in more places.

      In the next two years, 40 to 50 percent of all public Wi-Fi users will use Wi-Fi at least weekly in restaurants, coffee shops, retail and outdoor locations.

5. Public Wi-Fi will become mainstream for delivering mobile entertainment.

In the next two years:

Ø  Sixty percent of public Wi-Fi users will access social media

Ø  Forty percent of public Wi-Fi users will stream music or video.

 
Full results of the survey can be found at Discover What Consumers Want from Wi-Fi and Mobile

Read the blog on Cisco.com

Discover What Consumers Want from Wi-Fi and Mobile

Consumers have a true love of mobile devices, as evidenced by recent Cisco mobile consumer research.  Significant percentages of respondents reported using everything from laptops, smartphones, and tablets to eReaders and mobile gaming devices. Americans now own an average of three mobile devices each, up from 2.6 devices in the 2012 Cisco mobile consumer study.  Perhaps more significant, our findings show that the number of smartphone users has grown by 21 percent in just one year, now reaching 68 percent of the population, at the expense of basic phones. Most remarkable is that the number of tablet owners has expanded by over 90 percent in just one year, with close to four out of ten consumers possessing one of these new devices.

The insatiable demand for mobile devices and new applications that use large amounts of bandwidth is generating staggering volumes of mobile data. In parallel, the use of Wi-Fi for Internet access is exploding, as more mobile devices are Wi-Fi enabled, the number of public hotspots expands, and user acceptance grows. Most mobile operators now realize that offloading data traffic to Wi-Fi can, and must, play a significant role in helping them avoid clogged networks and unhappy customers. Many service providers are now constructing extensive networks of public Wi-Fi hotspots for use by their mobile or home broadband customers. The networks allow mobile offload and help enhance and differentiate their offerings. In addition, service providers are struggling to understand new business models for making money from Wi-Fi.  However, very little is currently known about how consumers are actually using public Wi-Fi and how they view the overall experience. Nor is there much information about mobile users’ appetite for these new services, their willingness to use them, or their privacy or security concerns surrounding these data-based services.

To learn more, Cisco conducted a survey of 620 U.S. mobile users to understand their needs and behaviors, use of devices, applications and mobile access technologies, and how they have changed since our 2012 mobile consumer study.

Top 10 Research Findings

 

1.    It’s all about the home.

2.    Wi-Fi is the connection of choice for all mobile users.

3.    LTE is a complement to Wi-Fi, not a substitute

4.    Public Wi-Fi is now a big part of the mobile life.

5.    Consumers are communicating and surfing at established hotspots.

6.    Public Wi-Fi needs to be faster, more secure, and in more locations.

7.    Users are generally satisfied with public Wi-Fi, but have concerns with some locations.

8.    Mobile users are interested in localized, personalized, and enhanced experiences when using Wi-Fi.

9.    Consumers are willing to surrender personal data for a better experience.  But they want control.

10.  Small cells provide an opportunity to improve mobile quality and coverage and reduce churn.

The complete results can be found at Discover What Consumers Want from Wi-Fi and Mobile.

Cisco mobile consumer research clearly demonstrates that consumers are using a greater number of mobile devices to do a greater number of things. As demand for mobile devices and network connectivity continues to grow, Wi-Fi, small cells, and traditional macro mobile networks will all be critical to meeting the needs of mobility-enabled consumers. Service providers are in the enviable position of being able to successfully integrate these networks and deliver new sources of value.

This white paper is part of a series presenting 2013 Cisco mobile consumer research findings.  Previous blogs and white papers have highlighted What Mobile Consumers Want from Public Wi-Fi, Understanding the Changing Mobile User and Unlocking Wi-Fi Enabled Value-Added Services.  

 

Read the blog on Cisco.com

Understanding the Changing Mobile User

The mobile market continues to evolve at a blindingly fast pace. It seems that new faster, sleeker, and more powerful mobile devices are launched every day, with new device categories created almost overnight. The number of available applications to run on these revolutionary new devices is staggering, numbering in the millions. Now you can do everything, from banking and controlling your home thermostat to shopping, entertainment, and printing a boarding pass, all from the palm of your hand. In addition, we now have faster ways to connect these devices to the Internet using 4G/LTE or Wi-Fi technologies.

While service providers are clearly benefiting from the rise of mobility and all the innovations in devices applications they are constantly trying to understand how consumers are using mobility and where the mobile market is heading. To continue to derive business value from mobility, service providers need to better understand mobility from the users’ perspective and translate what they discover into new sources of business value.

To learn more, Cisco conducted a survey of 620 U.S. mobile users to understand their needs and behaviors, use of devices, applications and mobile access technologies, and how they have changed since our 2012 mobile consumer survey.

The study revealed that Americans now own an average of three mobile devices each, up from 2.6 devices in the 2012 Cisco mobile consumer study. Our findings show that the number of smartphone users has grown by 21 percent in just one year to reach 68 percent of the population, at the expense of basic phones. Most remarkable is that the number of tablet owners has expanded by over 90 percent in just one year, with close to four out of ten consumers possessing one of these new devices.  Eighty percent of smartphone owners now use some Wi-Fi to connect to the Internet. In fact, the average smartphone user uses Wi-Fi 44 percent of the time to connect a device to the Internet – a remarkable increase from just one year ago, when one-third of the total smartphone data usage was through a Wi-Fi connection, rather than a mobile network.  Almost all consumers use their mobile devices at home, averaging more than 3.8 hours of usage in a typical day, almost double the time they spend using them at work.  Our research also indicates that LTE and Wi-Fi are not competitive, but that the two access technologies actually appear to be complementary and synergistic. A significant number of LTE smartphone users have actually increased both their total data usage and Wi-Fi usage, after they make the transition to LTE.   Thirty-six percent of LTE smartphone users reported that their total data usage across all devices increased, to some extent or significantly, after they moved to LTE.

The research findings are important, because they can help service providers better understand the rapid changes and emerging trends in the mobile market, identify new business opportunities, and develop robust strategies for winning in mobility.

The complete results can be found at “Understanding the Changing Mobile User?”

This white paper is part of a series presenting 2013 Cisco mobile consumer research findings.  Previous blogs and white papers have highlighted what mobile consumers want from public Wi-Fi.  Future blogs will present insights into opportunities to provide in new localized mobile services.

I look forward to learning more about the changing mobile user and the new world of mobile at the Wireless Broadband Alliance Global Congress in Beijing, November 18^th or 21^st.  Look out for my blog report from the conference.

Read my blog on Cisco.com

What Do Customers Want From Public Wi-Fi?

It seems that the iconic “Wi-Fi Here” badge is turning up everywhere these days. Once found on coffee shop windows to indicate that patrons could connect their mobile devices to the Internet, the symbol can now be seen in countless public venues. Wi-Fi can now be found everywhere from retail stores and hotels to airports, doctor’s offices, and even airplanes.

For many businesses and public locations, providing Wi-Fi to customers has almost become like electricity or water, a cost of doing business. Many service providers are now constructing extensive networks of public Wi-Fi hotspots for use by their mobile or home broadband customers. The intention is to enhance and differentiate their offering, with the goal of retaining their customers’ business. However, very little knowledge is currently available about how consumers are actually using public Wi-Fi and how they view the overall experience.

To learn more, Cisco conducted a survey of 620 U.S. mobile users to understand their needs and behaviors, current and future use of public hotspots, and unmet demands.

The study revealed that 70 percent of mobile users are now using public hotspots, with 57 percent of those users accessing one at least weekly – a significant increase from our 2012 mobile consumer survey.  Smartphones are the predominant mobile device used in public Wi-Fi hotspots.  Almost one-third of smartphone owners are connecting to hotspots in retail stores, outdoors, or other public locations, such as libraries or doctor offices, at least weekly.  Not only do consumers want more hotspots in the traditional public Wi-Fi locations, but they also expect hotspots to be available wherever they spend their lives outside the home, work, or school.  In general, mobile users are satisfied with public Wi-Fi but there is room for improvement in the areas of speed, security, and, of course availability.  Consumers also see room for improvement in the Wi-Fi offered in public outdoors and retail locations. 

The research findings are important, because they can help businesses and service providers understand the size of the opportunity, develop winning strategies, and optimize their Wi-Fi offerings and network deployments to derive greater business value.

The complete results can be found at “What Do Consumers Want fromPublic Wi-Fi?”

This white paper is part of a series presenting 2013 Cisco mobile consumer research findings.  Future blogs will present insights regarding changing mobile usage and consumer behavior, as well as opportunities in new localized mobile services.
 
View blog on Cisco.com

The Next Generation of the Internet Is Mobile

No one could have imagined the fundamental impact the Internet would have on both society and the economy—changing our lives forever. The Internet has already transformed the way we work, live, play, and learn. And, this is only the beginning.

The extraordinary growth and transformation of the Internet is unprecedented, but what does the future of technology hold, and where is the Internet heading? Business executives, technologists, and policymakers are not only asking these questions—they also are looking for a map of the future that will help them assess changes in the Internet, and possible out-comes and implications of those changes for business, national policy, and regulation.

Recent research by Cisco IBSG has identified 10 major technology trends that we believe are shaping the direction of the Internet today and, most certainly, will change its direction in the future.

1.    A World Gone Mobile

2.    Cloud: A New Way of Delivering Technology

3.    Everything Can Be Delivered Over-the-Top

4.    Big Data: The New Oil

5.    A Global Village: Connecting the Unconnected

6.    Powerful Devices: The World in the Palm of Your Hand

7.    Bring Your Own Device: The Consumerization of IT

8.    The Internet of Things Is Already Evolving

9.    The New Mobile

10.  Converged Networks: A New Platform Architecture

Mobility is core to each and every one of these trends.  Whether it is the access, the devices that we are constantly carrying or the cloud services and big data that power our applications and experience, mobility is at its heart.  Mobility is redefining network architectures, and allowing both people and things around the world to achieve a level of connectivity that is unfathomable in a non-mobile world.  So, no matter how the Next Generation of Internet evolves one thing is certain: it will have mobility at its core.

Cisco IBSG has developed a plausible scenario for how these 10 disruptive technology trends might come together to shape the future of the Internet. We call this the “New Digital Explosion.” Why “new”? Changes in devices, networks, applications, delivery models, user behaviors, and mobility will create a step change in demand for and reliance on the Internet. 

The New Digital Explosion is not just about technology; it covers all aspects of consumers, the information and communications (ICT) industry, and global/national economies. One thing is certain: the New Digital Explosion will change the ICT industry, impacting all players across the value chain: There will be greater competition, redefined value chains/business models, and new strategies, resulting in both new challenges and business opportunities. Furthermore, the role of government will need to evolve to create an environment that encourages business and technology innovation, and investment and competition to the greater benefit of their societies.

Cisco IBSG’s recent point of view, The Next Generation of the Internet: Revolutionizing the Way We Work, Live, Play, and Learn, provides details on the 10 major technology trends, maps out the future of the Internet, and discusses the implications and opportunities for Internet businesses and governments in this new hyper-connected world.

Read the blog on Cisco.com

The Road to Mobile World Congress

Mobile World Congress 2013 promises to be bigger and better than ever. The new venue will attract even more members of the mobile industry to Barcelona this year to celebrate the industry’s success and catch a glimpse of its potential future. The recently released Cisco Visual Networking Index (VNI) indicates that this will be a rosy future indeed. The study predicts that global mobile data traffic will increase 13-fold from 2012 to 2017, reaching 11.2 exabytes per month. But the numbers don’t tell the whole story. 

Once again, all of the players in the mobile industry ecosystem are convening in one spot, promising excellent insights into the challenges, opportunities, and potential future of the mobile industry. I will be meeting with customers, analysts, and partners throughout the show, and, of course, wearing out my shoes walking the floor.

Here are some of the key themes and pressing questions that I expect to see, hear, and explore:

·         Next-Generation LTE—What is the status of LTE deployment?  What has been the record of success?  How has LTE changed the mobile world? Where to next for LTE? Is there life beyond LTE?

·         M2M—The Internet of Everything and pervasive, fast, mobile connectivity are finally creating a real market for machine-to-machine mobile communications.  What are those applications?  What are the new business models?

·         The Great Indoors—Many countries now have pretty good outdoor mobile coverage. But how do we extend that coverage indoors?  Especially given that new devices and applications are creating more “nomadic,” rather than mobile, usage patterns amongst users.

·         Wi-Fi—Wi-Fi really came out of the hidden corners at last year’s show to be on the agenda of every mobile operator. I think that this will be the year of Wi-Fi monetization. How do I make money from Wi-Fi? (Look for my blog during the week of MWC where I will share my thoughts on the answer to this question).

·         Small Cells—Small Cells and Wi-Fi are fraternal twins. They both provide excellent wireless access with their own unique attributes. How will licensed small cells and Wi-Fi coexist and complement each other? What are the new business models for small cells? Check out some of the insights from me and my fellow Big Thinkers in Small Cells.

·         Enterprise Mobility—Workers can now readily access email, calendars, and business information from anywhere. However, research by Cisco IBSG reveals that mobile business users expect much more. And enterprises are trying to understand how they can really use mobility to transform their businesses and their industries. What is the future for Enterprise Mobility? Who will be the big winners?

·         Big Data—The growing conventional wisdom is that mobile operators will need to learn how to carefully mine and analyze, and act upon, their terabytes of meaningful customer and network data to make their business more profitable. I will be looking for interesting startups in this space and case studies of operators who are really executing on this.

Of course, I can’t wait to get my hands on all of those sexy, new mobile devices that will be everywhere.  It will be interesting to witness how the Apple versus Samsung battle is evolving.  Do the interesting new devices from Nokia and Blackberry have any chance of challenging this battle of titans?  No doubt, the relationship between the over-the-top services (OTTs) and the mobile operators will be the topic of heated discussions. As will the topic of spectrum.

There is definitely a lot to look forward to and a lot to learn from this year’s Mobile World Congress. As in previous years, I will blog about the highlights and my key takeaways following the show. 
Please stop by to say hello and see some really cool things at the Cisco both, located at 3C54.

Also posted on cisco.com

May I Borrow A Cup of Wi-Fi?

When was the last time a guest in your home asked if he or she could “borrow” your home network to connect his or her smartphone, tablet, laptop, or other new mobile device to the Internet? Most likely: today. 

U.S. consumers carry an average of 2.6 mobile devices, according to recent research by the Cisco® Internet Business Solutions Group (IBSG). Not only do they expect their devices to connect to the Internet—they also expect their friends and neighbors to have home Wi-Fi, just as they have electricity and running water.

The value of “community Wi-Fi” is being recognized by a number of organizations. One is Fon, who has created a shared open-source network of more than 7 million hotspots around the world that community members can use for free. Another is BT, who has incorporated the Fon application and model into its home broadband service. This approach enables BT to provide broadband customers free access to the global Fon network, while expanding its U.K. hotspot network to more than 4 million sites—so, now friends and family members who are also BT customers can seamlessly authenticate and join the host’s home network.

To learn more about the value of community Wi-Fi and the business benefits to SPs, Cisco IBSG conducted a survey of 1,060 Canadian mobile users to understand their needs and behaviors, their current and future mobile usage, and the average profile of community Wi-Fi users. The study revealed that approximately 40 percent of mobile device owners are “community” users. Compared with other mobile users, community users are technically advanced, own more sophisticated devices, and use these devices up to twice as often as do average mobile users. The community segment is also significant to SPs: this group is younger, wealthier, and willing to spend more money on mobile services.

These and other research findings from the survey can help SPs understand the size of the opportunity, develop strategies for success, acquire new customers and retain existing ones, and differentiate their community Wi-Fi offerings and initiatives from those of their competitors, extracting a premium for their service.  

Download the Paper

What Do Mobile Business Users Want from Wi-Fi?

Once the exclusive domain of senior executives, mobile devices are now indispensable to most employees for conducting both their business and personal lives. The insatiable demand for smartphones, tablets, and other connected devices is generating staggering amounts of mobile data. In parallel, the use of Wi-Fi for Internet access is exploding as more mobile devices are Wi-Fi enabled, the number of public hotspots expands, and user acceptance grows. Once shunned by corporate IT departments, Wi-Fi has increasingly made its way into most businesses.

 

Business users are the most valuable customer segment for mobile operators. Changes in mobile behavior and usage, particularly with regard to Wi-Fi, could have a significant impact on service providers’ (SPs) bottom line. However, there is little research on how mobile business users are actually using Wi-Fi, how they want to employ it in the future, and, more specifically, what is driving them to connect their devices to the Internet using Wi-Fi.

To learn more, the Cisco® Internet Business Solutions Group (IBSG) conducted a survey of 540 U.S. mobile business users to understand their needs and behaviors, current and future mobile usage, and level of interest in Wi-Fi, as well as new forms of monetization.  The study revealed some interesting findings, including home being the most popular location where business users use mobile devices, far surpassing the office or other place of work as a preferred location. Business users own an average of three mobile devices each, one-third more than consumers. And, close to 30 percent of them own a table. Business users prefer Wi-Fi to mobile to connect all of their mobile devices. In fact, more than one-half of business users take advantage of  a public hotspot  weekly to access the Internet.

The research findings are important because they help SPs understand the size of the opportunity, develop strategies for success, and differentiate their Wi-Fi business offerings and initiatives to become more competitive.

Download the paper