SMARTPHONE INSIGHTS · • Attitudes towards marketers use of mobile; and • Participation in, and attitudes towards, m-commerce. Methodology & Sample The Smartphones Study was conducted

Simplified Understanding

J u n e 2 0 1 4

SMARTPHONE INSIGHTS

Table of Contents

INTRODUCTION 3

KEY INSIGHTS 5

DETAILED FINDINGS 7

–  Smartphone Ownership & Usage 8

–  M-commerce 16

–  Smartphones & the Workplace 20

–  Smartphone Attitudes & Opinions 24

–  Smartphone “Pet Peeves” 28

RESPONDENT DEMOGRAPHICS 32

2


INTRODUCTION

Background, Objectives, & Methodology

4

Background & Objectives iamota and Insights West partnered to conduct a 2nd wave of our study on Smartphone use among British Columbians. The specific objectives of the study were to measure: •  Overall Smartphone use and behavior; •  Smartphone attitudes and relationship; •  Device techno-graphic information; •  Attitudes towards marketers use of mobile; and •  Participation in, and attitudes towards, m-commerce.

Methodology & Sample

The Smartphones Study was conducted online with Your Insights panelists from April 3rd to 10th, 2014. •  A total of 1,072 residents of BC, aged 18+ participated in the study

o  A sample of this size has a margin of error of +/-3.0%, 19 times out of 20. •  860 Smartphone owners were included among the respondents.

o  A sample of this size has a margin of error of +/-3.3%, 19 times out of 20. The data has been statistically weighted according to Canadian census figures for BC for age, gender, and region.


KEY INSIGHTS

Top 10 Findings

6

1)  Smartphone usage has grown considerably and has become the tech toy choice of a generation: penetration has now reached 68% - nearly as high as landlines. Among 18-34’s, device usage is nearly universal—93%, and 74% for 35-54’s.

6)  Concerns about personal security/privacy are ‘through the roof’ on smartphones: Three quarters+ concerned about safety of apps, cc & websites on smartphones.

2)  The Smartphone is becoming a dominant medium: Phone usage has increased 14% over last year - and is now at 13.7 hrs. per week (17.9 for 18-34’s), which is nearly as high as self-reported television viewing.

7)  Smartphones have revolutionized workplace communications: 56% use it for work—68% say more so than a couple years ago, 66% say it has fundamentally changed how they communicate.

3)  Smartphone owners use their devices for a wide range of various activities: 71% say they are doing more on their phone than last year.

8)  The negative impact of smartphones on our personal life is growing: 19% of us say we are addicted to them, 44% agree there’s a blurring of work/personal, 43% can’t escape work.

4)  Mobile commerce has arrived: 47% are past three month purchasers (70% 18-34s), up x% from last year, but so far, purchases are limited to coffee, parking, movies.

9)  Pet peeves of rude/inappropriate smartphone use on the rise: Top one is texting while driving, and using phones during movies, talking loudly in public places or at a restaurant.

5)  Equally important to m-commerce is pre-purchase decision-making: 42% do research on purchases weekly, 24% check prices weekly.

10)  Mobile presence impacts overall brand image – 54% are more likely to do business with those who have high quality mobile sites and apps and 48% think less of brands with poor mobile sites.


DETAILED FINDINGS


Smartphone Ownership & Usage

Smartphone ownership is near universal among 18-34 years; only half of this group have a landline

Device Ownership

9

Base: All respondents (n=1,310) M1. Which of the following do you currently own?

Statistically significantly higher than comparison group(s) Statistically significantly lower than comparison group(s)

2013 Total

(n=849)

2014 x Age 18 to 34

(n=213) 35 to 54

(n=523) 55+

(n=565)

Home phone/landline 71% 49% 76% 89%

Smartphone 64% 93% 73% 44%

PVR 52% 53% 60% 55%

iPad/tablet computer 42% 63% 56% 47%

Other wireless/cellphone 32% 20% 28% 46%

None of these 1% 1% <1% <1%

74%

68%

56%

55%

33%

<1%

At least Weekly

2014 Total

2014 x Age 18 to 34

(n=198) 35 to 54

(n=405) 55+

(n=256)

As a telephone 88% 91% 90% 84%

Taking pictures 61% 79% 66% 44%

Texting 84% 96% 89% 71%

Viewing photos 63% 81% 67% 47%

Sending/reading email 75% 88% 82% 60%

As a GPS/searching for maps/directions 36% 60% 35% 19%

Accessing social media 62% 85% 64% 42%

Reading online news 50% 68% 53% 33%

Playing games 43% 54% 52% 26%

Researching products/services 42% 62% 46% 23%

Recording video 20% 29% 23% 11%

Sending/receiving IM 59% 82% 60% 40%

Listening to music 41% 58% 47% 21%

Communications and taking/viewing photos top Smartphone activities

Top Smartphone Activities

10

Base: Smartphone owners (n=860) M5. How often do you use your Smartphone for each of the following?

Multiple times/day Multiple times/week At least weekly Multiple times/month At least monthly Less than monthly

44%

18%

58%

20%

48%

41%

20%

18%

35%

14%

32%

27%

18%

26%

18%

15%

12%

19%

18%

8%

8%

15%

15%

10%

17%

6

17%

7

14%

8%

11%

8%

14%

10%

7%

10%

7

18%

6

11%

15%

9%

8%

14%

9%

8%

10%

16%

6

9%

14%

9%

6%

6

12%

97%

96%

96%

92%

88%

81%

77%

74%

73%

73%

72%

73%

68%


At least Weekly

2014 Total

2014 x Age 18 to 34

(n=198) 35 to 54

(n=405) 55+

(n=256)

Online banking 31% 48% 34% 16% Reading product/service reviews/

ratings while in store 21% 35% 22% 10%

Checking product/service prices 24% 38% 24% 14%

Reading sports news/scores 33% 48% 34% 22%

Video chat 15% 20% 16% 11%

Scanning QR Codes 8% 11% 7% 7%

Using a sports team app 22% 35% 21% 14%

Using fitness based trackers 16% 30% 14% 8%

Watching TV 11% 20% 11% 5%

Watching movies 13% 23% 14% 5%

Augmented reality 5% 9% 6% 2%

Using dating apps 7% 15% 6% 3%

Using iBeacon 4% 7% 3% 2%

More than half use Smartphones to check product or service reviews while shopping

Other Smartphone Activities

11

Base: Smartphone owners (n=860) M5. How often do you use your Smartphone for each of the following?

Multiple times/day Multiple times/week At least weekly Multiple times/month At least monthly Less than monthly

6

13%

7%

7%

16%

11%

11%

9%

11%

8%

11%

11%

7

7

11%

7

7

6

8%

16%

11%

9%

15%

23%

6

9%

11%

10%

57%

57%

57%

54%

48%

43%

38%

32%

32%

31%

17%

15%

8%


2013 Total

(n=540)

2014 x Age 18 to 34

(n=198) 35 to 54

(n=405) 55+

(n=256)

28 hours or more 11% 17% 12% 7%

21 to less than 28 hours 5% 12% 5% 2%




0 hours 1% 1% 1% 5%

2+ hours/day 27% 60% 42% 24%

Base: Smartphone owners (n=860) M10. In an average week, how many hours do you spend actively using your Smartphone?

Estimated Smartphone use significantly increased in past year

Average Weekly Smartphone Use

12

12%

6%

23%

23%

35%

2%

More than 14 hours/week (2 + hours/day):

41%

55+


Average hours/week: 2014: 13.7 (2/day) 2013: 12.0 (1.7/day)

28 hours or more

21 to <28 hours

14 to <21 hours

7 to <14 hours

1 to <7 hours

0 hours

13%

7%

25%

22%

21%

12%

12%

6%

23%

23%

35%

2%

15%

4%

13%

14%

27%

27%

21%

4%

9%

11%

19%

37%

2%

2%

7%

15%

33%

42%

Weekly Smartphone usage follows closely behind TV viewing

Average Weekly Use of Technology

13

Base: Smartphone owners (n=860) M13. In an average week, how many hours do you spend actively using each of the following?

Smartphone

Laptop Computer

iPad/tablet

46%

41%

32%

24%

10% Desktop Computer

TV (cable)

Two + hours/day


Smartphone

Laptop Computer

iPad/tablet

14.2

13.7

11.7

12.5

4.5

Average/week

Desktop Computer

TV (cable)

More than half check their Smartphone at least once an hour

Frequency of Daily Smartphone Checking

14

Base: Smartphone owners (n=860) M14. During an average day, how frequently do you check your Smartphone?

Every 5 to 9 minutes




Every hour

Every couple of hours

Less often

Don’t know

6%

6%

12%

19%

14%

23%

17%

4%

At least once an hour 56%

Smartphone

Laptop computer

Desktop computer

iPad or other tablet

Smartphone

Laptop computer

Desktop computer

iPad or other tablet

Smartphones the most common device for all social media but LinkedIn and Pinterest

Device Used Most Often Among Social Media Users

15

Base: Smartphone owners who use social media type (n=varies) M6. Which one device do you use most often for accessing each of the following social media sites? If you don’t use any for these sites, please choose “don’t use” for all.

35%

30%

21%

15%

72%

11%

8%

9%

22%

33%

28%

17%

18%

38%

40%

5%

54%

27%

8%

10%

50%

23%

17%

9%


M-commerce

2013 Total

(n=540)

2014 x Age 18 to 34

(n=198) 35 to 54

(n=405) 55+

(n=256)

Parking (through call in or an app) 18% 29% 25% 13%

Coffee or tea etc. (through a Starbucks or other coffee shop app) 15% 34% 21% 9%

Items from a website viewed on your mobile phone 20% 30% 17% 10%

Movie tickets (through a Cineplex Scene or other theater app) 14% 33% 18% 6%

Food/beverage items from a restaurant 11% 6% 3%

Snack items from a vending machine 3% <1% 1%

Other 3% 3% 2% 1%

None 59% 30% 50% 73%

22%

20%

18%

17%

6%

1%

2%

53%

Just under half (47%) have used their Smartphone to make a purchase in the past 3 months, a significant increase from 2013

Smartphone Purchases in Past 3 Months

17

Base: Smartphone owners (n=860) M8a. In the past three months, which of the following have you bought directly using your Smartphone?

Made purchase 47%


2014 x Age 18 to 34

(n=198) 35 to 54

(n=405) 55+

(n=256)

PayPal 38% 24% 8%

Website accessed through Smartphone 30% 19% 9%

App with authorized credit card connection 25% 13% 10%

Store card saved somewhere Smartphone 20% 13% 6%

Bank card app 20% 8% 5% Calling in/providing credit card

via automated answering service 13% 7% 3%

Apple Passbook 14% 6% 2%

Credit card app 10% 8% 1%

Google Wallet 9% 2% –

Other apps 2% 2% 1%

Bitcoin Wallet 1% <1% –

Other 1% <1% <1%

None 26% 52% 74%

Don’t know 2% 1% 2%

Use of all payment methods more common among 18 to 34 years

Use of Smartphone for Payment

18

Base: Smartphone owners (n=860) M7. Which of the following have you ever used to pay for a purchase using your Smartphone?

22%

18%

15%

12%

10%

7%

7%

6%

3%

2%

1%

1%

53%

2%


Very/Somewhat Concerned 2014 x Age

18 to 34 (n=198)

35 to 54 (n=405)

55+ (n=256)

Smartphone app with authorized connection to your credit card 80% 80% 84%

Credit card app on you Smartphone 79% 79% 84%

Bank card app on your Smartphone 73% 80% 83%

Processing of your credit card/bank card using a card reader on a restaurant/retailer’s Smartphone

73% 78% 79%

Website accessed through your Smartphone 67% 69% 73%

Personal computer/laptop 57% 56% 55%

Concerns about financial transactions on Smartphones are greater than for PCs or laptops

Concern About Financial Transactions Via Different Online Methods

19

Base: Smartphone owners (n=860) M9. How concerned are you about the security of financial transactions (purchases or other money transfers) using each of the following?

Very concerned Somewhat concerned

Not at all concerned Not very concerned

Concerned Not Concerned

48%

46%

45%

40%

35%

23%

81%

81%

79%

77%

70%

55%

9%

9%

11%

9%

12%

17%

18%

19%

21%

23%

30%

45%

35-54

35-54



Smartphones & the Workplace

2014 x Age 18 to 34

(n=198) 35 to 54

(n=405) 55+

(n=256)

I use my own personal Smartphone 47% 38% 20%

I am self-employed and provide my own Smartphone 13% 9% 14%

My employer provides me with a Smartphone 7% 16% 6%

I do not use a Smartphone for work/I am not

currently employed 33% 36% 59%

Other – – 1%

Over half use their Smartphone for work, usually their own device

Description of Smartphone Used for Work

21

Base: Smartphone owners (n=860) M12a . Which of the following best describes the Smartphone you use for work purposes?

34%

12%

10%

44%

<1%

Use Smartphone for work

56%


2014 x Age 18 to 34

(n=124) 35 to 54

(n=256) 55+

(n=98)*

100% – 1% –

75%-<100% 5% 12% 19%

50%-75% 14% 13% 13%

25%-50% 15% 14% 10%

<25% 56% 52% 37%

0% 10% 9% 20%

One-quarter estimate that at least half of their Smartphone use is for work purposes

Percentage of Smartphone Use for Work

22

*Small base size, interpret with caution. Base: Smartphone owners using for work (n=478) M12b. Thinking again about the amount of time you spend actively using your Smartphone in an average week, what percentage of that use is for work purposes?

1%

12%

13%

13%

50%

<1%

At least half: 26%


Strongly/Somewhat Agree 2014 x Age

Don’t know

18 to 34 (n=124)

35 to 54 (n=256)

55+ (n=97)*

3% I use currently use my Smartphone

for work a lot more than I did a couple of years ago

75% 68% 58%

7% The integration of Smartphones into my workplace has fundamentally

changed how we work 67% 67% 64%

8% I could do a better job of integrating

Smartphone technology into my work processes

62% 54% 49%

5% My Smartphone use makes it hard

to differentiate between “work time” and “non-work time”

53% 44% 34%

4% Because I always have my

Smartphone with me, I feel like can’t escape from work

49% 43% 38%

16%

14%

16%

28%

28%

29%

27%

36%

51%

52%

39%

33%

19%

17%

15%

68%

66%

55%

44%

43%

Use of Smartphones for work is increasing and impacting how work is conducted; but there is still room for improvement in incorporating the technology

Agreement with Statements about Use of Smartphones for Work

23

*Small base size, interpret with caution. Base: Smartphone owners using for work (n=478) M12c. How much do you personally agree or disagree with the following statements about your use of your Smartphone for work?

Strongly agree Somewhat agree

Strongly disagree Somewhat disagree

Agree Disagree

55+


55+

55+


Smartphone Attitudes & Opinions

Reviews of businesses utilization of mobile are positive, but have room for improvement

Agreement with Smartphone Statements

25

Base: Smartphone owners (n=860) M15. How much do you agree or disagree with the following statements about Smartphones?


18 to 34 (n=198)

35 to 54 (n=405)

55+ (n=256)

I am using and doing more on my Smartphone than last

year 82% 76% 59%

For the most part, I feel that businesses are adopting to and leveraging mobile well

to meet customer needs 72% 69% 60%

My financial institution does a great job of making

banking services accessible through my Smartphone

70% 60% 49%

I am more likely to do business with brands and

companies with high quality mobile websites & apps

63% 59% 43%

32%

12%

25%

17%

71%

67%

59%

54%

Agree Disagree

11%

4%

5%

17%

25%

18%

12%

36%




Impressions of brands’ mobile accessibility impact overall brand opinions

Agreement with Smartphone Statements (continued)

26


18 to 34 (n=198)

35 to 54 (n=405)

55+ (n=256)

I should spend less time on my Smartphone 72% 51% 29%

I think less of brands with websites that are poor on my

mobile device 56% 53% 38%

I trust that my data and other private information is secure

on my Smartphone 53% 50% 38%

I have purposely clicked on a mobile banner either on a mobile website or in an app

23% 24% 14%

17%

13%

6%

5%

49%

48%

46%

20%

Agree Disagree

16%

13%

17%

43%

46%

38%

48%

64%



Base: Smartphone owners (n=860) M15. How much do you agree or disagree with the following statements about Smartphones?


2014 x Age 18 to 34

(n=198) 35 to 54

(n=405) 55+

(n=256)

An unhealthy addiction 6% 3% 1%

A strong addition, but manageable 24% 19% 5%

Not addicted, but its very important in my life 46% 42% 29%

It’s a useful device, but I’m not attached to it 21% 30% 51%

I could do with or without it 4% 7% 14%

Don’t know <1% <1% –

Addicted: 29% 21% 6% Base: Smartphone owners (n=860) M16. How would you characterize your relationship with your Smartphone?

Over one-quarter (28%) of 18 to 34 years consider themselves “addicted” to their Smartphone

Characterization of Smartphone Relationship

27

3%

15%

37%

34%

10%

<1%

Addicted 19%



Smartphone “Pet Peeves”

Use of Smartphones during inappropriate times top device “pet peeves”

Top Smartphone “Pet Peeves”

29

Base: Smartphone owners (n=860) M17. There are a number of Smartphone activities that some people consider pet peeves. How much do you personally dislike it when other people…?

Neither like nor dislike

Use their Smartphone (talking, texting, or data) while driving 4%

Use their Smartphone (talking, texting, or data) during a movie 5%

Talk loudly on their phone in public places 7%

Use their Smartphone during a meal with others 10%

Use their Smartphone (texting or data) during a meeting, class, or presentation 13%

87%

78%

67%

56%

59%

95%

94%

92%

85%

83%

Strongly dislike Somewhat dislike Don’t dislike at all Don’t really dislike

Dislike Don’t Dislike

1%

2%

1%

5%

4%

Strong majority dislike it when others are always “on” their Smartphone

Other Smartphone “Pet Peeves”

30

Base: Smartphone owners (n=860) M17. There are a number of Smartphone activities that some people consider pet peeves. How much do you personally dislike it when other people…?

Neither like nor dislike

Seem to always be “on” their Smartphone 16%

Take excessive “selfies” 25%

Use their Smartphone (talking, texting, or data) at a public restaurant 24%

Take pictures of their food at a public restaurant 35%

“Checking-in” when they arrive at a destination 42%

48%

46%

36%

23%

19%

81%

68%

66%

45%

40%

Strongly dislike Somewhat dislike Don’t dislike at all Don’t really dislike

Dislike Don’t Dislike

10%

8%

4%

6%

10%

20%

18%

2014 x Age 18 to 34

(n=198) 35 to 54

(n=405) 55+

(n=256)

Using Smartphone (talking, texting, or data) at a public restaurant 40% 33% 17%

Using Smartphone during a meal with others 40% 27% 10%

“Checking in” when you arrive at a destination 17% 19% 15%

Using Smartphone (talking, texting, or data) while driving 23% 21% 8%

Using your Smartphone (texting or data) during a meeting, class, or presentation 29% 20% 6%

Taking pictures of food at a public restaurant 17% 14% 7%

Always being “on” your Smartphone 19% 12% 2%

Talking loudly in public places 9% 4% 2%

Using Smartphone (talking, texting, or data) during a movie 7% 4% <1%

Taking excessive “selfies” 2% 2% –

None of the above 28% 35% 61%

Majority admit to being “guilty” of participating in one or more Smartphone “pet peeves”

Personal Participation in Smartphone “Pet Peeves”

31

Base: Smartphone owners (n=860) M18. Thinking of your own Smartphone behavior, which of the following activities have you personally been “guilty” of in the past week?

29%

24%

17%

17%

17%

12%

10%

4%

3%

1%

42%



Respondent Demographics

Respondent Demographics: Smartphone Owners

33

Base: Smartphone owners (n=860)

27%

36%

37%

65%

16%

19%

Gender

Age

49%

51%

Region

18-34

35-54

55+

Fraser Valley

Metro Vancouver

Rest of BC

Documents

SMARTPHONE INSIGHTS · • Attitudes towards marketers use of mobile; and • Participation in, and attitudes towards, m-commerce. Methodology & Sample The Smartphones Study was conducted