The Predictive Power of Early Morning App Usage

Juan Salazar

Hello! As a new data science analyst at Forrester, I am thrilled to lead analysis of and insights from Forrester’s Mobile Audience Data (MAD). Although my expertise covers most areas of data science, I have a distinct passion for network and text analytics and custom algorithms that unlock the stories behind the data. I most recently worked in the multilateral development space, where I used data science to map the connections of internal and external communications in order to help guide country and sector strategies. I am incredibly excited to use the power and creativity of data science with our clients at Forrester.

My first report analyzes consumers’ reliance on smartphones in their daily routines. Look back over your past week or, better yet, your past month. Can you remember a single morning when you did not look at your smartphone during the first few minutes after waking up? I can’t. Smartphones’ omnipresence in our morning routines means that we can learn a lot from our use of our mobile devices during these early hours of the day. Because we are creatures of habit, we tend to access the same apps and websites in the morning, day in and day out.

For example, look at the most popular apps that US consumers access first thing in the morning. The most-used apps allow consumers to wake up and check on their social lives: 15% of the time, US consumers wake up and check their email. In fact, the clock, email, messaging, and Facebook account for 40% of all early-morning device behaviors.

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The Data Digest: Forrester's Consumer Privacy Segmentation

Gina Fleming

Earlier this year, researchers at York University conducted an experiment to see how many people respond to privacy policies when signing up to a fictitious social networking service. During the experiment most participants just accepted the terms - unknowing they just agreed to give up their first-born child. When asking people directly, Forrester’s Consumer Technographics data reveals that just under a third of US online adults agree they usually read a company's privacy policy before completing an online transaction or downloading an app.

Forrester’s Consumer Privacy Segmentation defines four groups of consumers based on their attention to privacy policies and practices, as well as behaviors around safeguarding data, willingness to share personal information, level of trust in a firm's data practices, and overall tech-savviness. In the Age of the Customer, this framework helps firms understand their customers’ privacy behaviors and attitudes to ensure that they’re not jeopardizing customer trust. 

 

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The Data Digest: The Year Of Empathy

Anjali Lai

Happy 2017! Settling in to the New Year often renews hope and excitement for the future, and rekindles anticipation for the brands, products, and experiences on the horizon. This year, it’s hard to think about imminent innovations without considering a modern imperative that is rapidly moving to the forefront of conversation: customer empathy.

We are barely three weeks into 2017 and already the cry for customer empathy – and brands’ responses to it – are popping up frequently. At the Consumer Electronics Show, the “insanely cute” Kuri personal robot stole consumers’ hearts, and took the notion of “tech love” to a whole other level. The progression of Artificial Intelligence is sparking public debate about the role of compassion in human connection. And people find themselves seeking meaning, purpose, and understanding over happiness.

The need for empathy affects how customers evaluate brands too: Consumers increasingly prefer companies that resonate with shoppers’ personal values. Forrester’s Consumer Technographics® social listening data shows that consumer buzz about company values is on the rise:

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The Data Digest: A Year Of Goodbyes (And Hellos)

Reineke Reitsma

As a music lover, this has been a year of goodbyes for me, with many of my teenage heroes like David Bowie, Prince, and earlier this week, George Michael, passing away. It makes you realize how fast time moves on, and nothing lasts forever. As I’ve shared before, I love this time of year: Thinking about what has been, and having a world of opportunities in front of us. And I can’t wait to see what next year will bring.

This year, there were a number of surprises and new developments that nobody predicted. And 2016 was the year of Pokémon. As my colleague Anjali Lai shared in an earlier blog post about this phenomenon: “The Pokémon Go phenomenon is not only about adopting technology or using new, cutting-edge features; it is also about designing a sticky experience that is enabled by the ways customers are changing.”

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The Data Digest: It's The Most Emotional Time Of The Year

Anjali Lai

The holidays have a way of bringing people together in more ways than one – and every holiday season I’m reminded of just how universal the power of human emotion is. Regardless of lifestyle, background, and world view, people everywhere are truly emotional beings, moved by fundamental feelings of joy and sadness, hope and fear, love and loss. And anyone who has observed frantic shoppers careening through store aisles or the unbearable anticipation of children on Christmas morning can see that, at this time of year, emotions are at their peak.

Advertisers know holiday shopper emotions better than anyone; they have perfected the art of tugging at heart strings or prompting tears to spur a purchase. But as consumers wear their hearts on their sleeve, retailers broadly must be in tune with – and responsive to – customer sentiments. For example, when passionate shoppers turn to social channels, retailers mustn’t dismiss their cheering or venting. In fact, Forrester’s Customer Experience Index (CX Index™) data shows that consumers often experience their most positive brand interactions on social media – and remember them more favorably than engagements on websites, over email, through phone conversations, and even in person:

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The Data Digest: For Men And Women's Clothing Purchases, Timing Is Everything

Anjali Lai

Here in Boston, we are at a precious moment in the year: The early onset of cool, dark evenings sets the stage for the imminent holiday season — but doesn’t eclipse the warmth of the autumn sun quite yet. As the seasons change, we have a few rare days of mild weather that I can’t pass up, so, like my fellow city-dwellers, I make a little extra time to walk and window-shop.

Except — I hardly ever return with empty hands. Especially when I spot a sale at my favorite clothing retailer, it doesn’t take long before my intended walk turns into a shopping spree. Fortunately, our data shows that I’m not the only one who falls for the spontaneous clothing purchase. Forrester’s Consumer Technographics® data reveals that women in particular buy apparel on impulse:

In fact, our data shows that 43% of women don’t research clothing at all prior to making a purchase, compared with only 36% of men. And those women who do research apparel predominantly count the in-store browsing experience as their product research, while men often use both online and offline tools.

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The Data Digest: What Millennials Need From Your Loyalty Program

Anjali Lai

If you follow my blog regularly, you already know that I love to travel. And while I’ve had my fair share of travel hiccups (missed flight connections, last-minute assignments to the dreaded middle seat, lost luggage – you name it), I’ve always glossed over these snafus and accepted the fact that traveling inevitably comes with a few small challenges.

Until this year, when I hit executive traveler status on a major airline thanks to the loyalty points I amassed during my trips. Suddenly, my tolerable travel experiences became overwhelmingly enjoyable ones, and I quickly came to love (a word I don’t use loosely!) flying with this airline because of the VIP treatment. My reaction isn’t unique. In fact, it’s characteristic of my generation: Forrester’s Consumer Technographics® data shows that Millennials highly value loyalty programs that reward customers with enhanced customer service and special status, as Millennials cherish this sense of validation and exclusivity.

Specifically, our data shows that the loyalty program reward tactics that work for middle-aged and older consumers are not enough to satisfy Millennials. While customers of every generation want discounts, Millennials also expect loyalty programs to offer a premium customer experience. And what’s more, younger consumers want the flexibility of applying loyalty points to a variety of benefits – from travel upgrades to digital media content to charitable donations – while their older counterparts are happy using their points to get cash back.

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The Data Digest: Metropolitan Chinese And Metropolitan Indian Customers Lead The Demand For Business Transformation

Anjali Lai

Consumers in Asia Pacific are in the midst of a digital transformation. Within the past decade, online penetration in China grew from 8% to 54%, while mobile internet access grew more than sevenfold. Today, the rate of customer evolution is gaining speed, as consumers are increasingly willing to experiment with new products, rely on devices, demand seamless digital experiences, consume large volumes of information, and are committed to seeking out the best experiences for themselves.

Forrester’s Empowered Customer Segmentation measures these key shifts in customer behaviors and attitudes and anticipates how consumers both respond to digital innovation and demand it. An analysis of our Consumer Technographics® data for Asia Pacific shows that the most rapidly evolving customers dominate in metropolitan China and metropolitan India:

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Showrooming drives online sales in Europe

Michael O'Grady

Retailers are increasingly reconfiguring their physical stores to support the multichannel shopper. Our Forrester Data: Showrooming Forecast, 2016 to 2021(EU-7) shows that three-quarters of EU-7 online sales, worth 126 billion euros in 2015 are impacted by offline research. Reverse-showrooming, where shoppers buy at a physical store following online research, is even more commonplace. Price is the overriding factor that drives showrooming behaviour. Our report analyses the factors that contribute to offline influence and its implications for multi-channel retailers:

  • Offline influence dominates the retail landscape. In 2015, more than 95% of retail sales in EU-7 either occurred offline or occurred online and were influenced by offline research. This figure is more than double the share of sales that occurred online or that occurred offline and were influenced by online research.
  • Declining foot traffic and high-street spending threatens in-store influence. In-store visits and sales advice from an in-store sales associate are key drivers of offline influence. In 2015, foot traffic in physical stores fell across UK, Germany and France and visits to UK high-street stores declined.
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Making Sense Of Round One In The eCommerce War During The Festive Sales Season In India

Satish Meena

The first week of October witnessed the start of the holiday sales season in India as the big three online retailers — Flipkart, Amazon, and Snapdeal — launched high-profile sales. Originally started by Flipkart in 2014 as Big Billions day, this week witnessed a discount-driven war among the top three players.

Online retail in India has witnessed significant growth during the past five years, powered by highly funded online retail companies that bought growth through discounts. This gross market value (GMV)-led growth led to very high valuations and burn rates for retailers, leading some investors to question their long-term profitability. This has led to a slowdown in funding as well as cost cutting by online retailers in the past six months. Before the start of the festive season, Flipkart was looking to maintain its market share; Amazon was looking to take market share from Flipkart, Snapdeal, and smaller players; and Snapdeal was looking to find a place in the changing dynamics of India’s online retail market. 

Here are some of the key lessons from this festive sales season for the key players in the online retail market in India.

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