UK Consumers Embrace Digital Age – 2024 – Update
Since our original report in February 2023, UK consumers have continued to solidify their place in the digital age.
The latest Ofcom Online Nation Report, published in November 2023, confirms this trend, revealing an even deeper integration of online experiences into daily life.
Digital Consumption Habits
According to the Ofcom report, UK adults now spend an average of 4 hours and 24 minutes online daily, an increase of almost 30 minutes since the 2022 report.
As predicted, smartphones remain the dominant access point, with 85% of users relying on them for internet access. Laptops and tablets follow behind, but the gap continues to narrow.
Evolving Digital Trends
- Social Commerce (38% of online adults using it): Platforms like Instagram and TikTok are increasingly integrating shopping features, allowing users to discover and purchase products seamlessly within the social media app. This trend is likely to gain further traction, especially among younger demographics.
- Mobile Payments (51% of adults using contactless payments regularly): Contactless payments and mobile wallets like Apple Pay and Google Pay are experiencing significant growth, driven by convenience and security. This shift towards mobile wallets highlights a consumer preference for faster and more secure payment methods.
- Omnichannel Experience: Consumers expect a seamless integration between online and offline shopping experiences. Businesses that provide a consistent brand message and offerings across all channels (website, physical store, mobile app) will gain a competitive edge.
The Importance of E-commerce
While the Ofcom report doesn’t offer total e-commerce figures, it confirms the trend with 88% of adults now shopping online at least monthly.
This highlights the crucial role of e-commerce in the retail landscape. For specific figures and growth projections, look to the latest reports from the Office for National Statistics (ONS) or eMarketer.
Businesses that haven’t embraced online sales are missing out on a significant portion of the market. The pandemic’s impact on the shift to online shopping is undeniable, as the Ofcom report suggests. Businesses that successfully integrate digital channels are reaping the benefits.
However, the report also indicates a concern – 22% of adults have encountered issues with online customer service in the past year. This highlights the need for businesses to prioritise a seamless and positive online customer experience.
Conclusion
A robust digital presence remains paramount for business success in the UK.
As the Ofcom report underlines, consumer behaviour is rapidly evolving. Businesses must stay informed about trends like social commerce, mobile payments and omnichannel selling.
By meeting customers where they are online and providing a seamless omnichannel experience with excellent customer service, businesses can thrive in the ever-changing digital landscape.
Citations
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Original 2023 Article
It is clear that UK consumers are embracing the digital age, with the role of online platforms and eCommerce becoming increasingly important in the customer journey.
The most recent Ofcom Online Nation Report 2022 reveals that UK adult internet users now spend up to four hours a day online. With 73% using a smartphone as their first choice to access the internet, followed by laptops and tablets.
Apps such as Meta’s Facebook, Instagram and WhatsApp continue to be some of the most widely used platforms. Google is still the most widely used search engine with around 98% of all UK searches made on its platform.
The report also shows that online sales accounted for £129 bn in revenue for the UK in 2021, up from £115 bn in 2020. Pre-pandemic the growth had been steady and consistent, climbing from £47 bn in 2015 to £78 bn in 2019.
The pandemic had a major impact on how businesses operate and engage with customers, with many having to quickly set up digital channels to ensure they could continue trading.
For some businesses, this has been a great success and they have been able to integrate these new methods into their online strategy. However, for others, the transition to digital has been more challenging, with many reverting to their pre-pandemic ways. This has left customers feeling confused and let down by the lack of online customer service.
It is clear digital is now the way forward for businesses that want to succeed. To build a successful brand online, you need to have a good digital marketing strategy and meet your customers where they expect you to be, online!
Having an excellent online presence and digital strategy can help your business build its digital brand, give excellent customer service and generate additional revenue.
*figures and statistics are taken from the Ofcom Online Nation Report 2022.