Internet Statistics Compendium, 2008 Internet Statistics Compendium E-consultancy Last updated : Monday 20 th October, 2008 Stats you need that are missing? Want to contribute for our version updates? Email Linus, [email protected] Copyright © 2008 E-consultancy.com Ltd Page 1 Internet Statistics Compendium, 2008 Table of Contents Table of Contents .................................................................................................................... 2 About this report ..................................................................................................................... 5 1. Usage and Demographics ................................................................................................... 6 1.1 Global Reach / Penetration of Interactive Services ........................................................... 6 1.2. UK Reach / Penetration of Interactive Services ............................................................... 8 1.3 Media Consumption Figures – Internet and Other Media ................................................ 10 1.3.1 Consumption time by medium ................................................................................ 10 1.4 Broadband Adoption ...................................................................................................... 12 1.4.1 Levels of connectivity and broadband penetration ................................................... 12 1.4.2 Broadband’s effect on E-commerce ........................................................................ 14 1.5 Usage Patterns by Location of Usage ............................................................................ 15 1.5.1 Home ..................................................................................................................... 15 1.5.2 Work / Business ..................................................................................................... 16 1.6 Age and Gender Usage Variations ................................................................................. 16 1.7 What Users are Doing and Looking at Online ................................................................. 21 1.7.1 What European users are going online for .............................................................. 23 1.7.2 What UK users are going online for ........................................................................ 26 1.7.3 What US users are going online for ........................................................................ 32 1.7.4 What Asian users are going online for .................................................................... 37 1.7.5 Downloading music ................................................................................................ 37 1.7.6 Online Radio .......................................................................................................... 40 1.7.7 Instant Messaging (IM) ........................................................................................... 40 1.7.8 Voice over Internet Protocol (VoIP) ......................................................................... 40 1.7.9 IPTV / Television on demand / PVR/ Video on demand........................................... 42 1.7.10 Use of streaming .................................................................................................. 44 1.8 Social Media .................................................................................................................. 45 1.8.1 Social networking ................................................................................................... 45 1.8.2 Blogging ................................................................................................................. 53 1.8.3 Online video and Video-sharing .............................................................................. 59 1.8.4 Ratings and Reviews .............................................................................................. 65 1.8.5 User generated content .......................................................................................... 70 1.8.6 Widgets .................................................................................................................. 72 1.8.7 Online PR & Reputation Monitoring ........................................................................ 73 1.9 Accessibility ................................................................................................................... 73 2. E-commerce ....................................................................................................................... 74 2.1 Market Values and Trends ............................................................................................. 75 2.1.1 UK market .............................................................................................................. 75 2.1.2 European Market.................................................................................................... 81 2.1.3 United States market .............................................................................................. 82 2.1.3.1 US Merchants survey .......................................................................................... 85 2.1.4 Worldwide .............................................................................................................. 86 2.1.5. User Buying and Activity Patterns .......................................................................... 87 2.1.6. Online Banking ...................................................................................................... 89 2.2 Shopping Comparison Sites........................................................................................... 90 2.3 Travel Price Comparison and Vertical Search ................................................................ 93 2.4 Conversion Rates .......................................................................................................... 94 2.4.1 Site search ............................................................................................................. 97 2.4.2 Merchandising ........................................................................................................ 97 2.4.3 Shopping carts / drop out rates ............................................................................... 98 2.4.4 Site content optimisation ...................................................................................... 100 2.4.5 Usability ............................................................................................................... 100 2.4.6 Ratings, Reviews and Recommendations ............................................................. 102 2.5 Average Order Values ................................................................................................. 102 2.6 Christmas .................................................................................................................... 102 2.7 SMEs .......................................................................................................................... 110 2.8 B2B E-commerce ........................................................................................................ 110 Stats you need that are missing? Want to contribute for our version updates? Email Linus, [email protected] Copyright © 2008 E-consultancy.com Ltd Page 2 Internet Statistics Compendium, 2008 2.9 Security and Fraud ...................................................................................................... 111 2.10 Fulfilment and Delivery .............................................................................................. 114 2.11 Online Customer Service ........................................................................................... 116 2.12 Customer Experience and Customer Engagement ..................................................... 119 3. Online Marketing ............................................................................................................. 121 3.1 Search Engine Marketing ............................................................................................. 122 3.1.1 Overall market figures .......................................................................................... 122 3.1.2 Search trends ....................................................................................................... 125 3.1.3 Search outside the UK.......................................................................................... 133 3.1.4 Natural Search/SEO/Organic search .................................................................... 137 3.1.5 Paid Search / Pay per click (PPC) ........................................................................ 139 3.1.6 Search Conversion rates ...................................................................................... 142 3.1.7 Click fraud ............................................................................................................ 143 3.1.8 Pay-per-Call ......................................................................................................... 144 3.1.9 Vertical Search ..................................................................................................... 145 3.2 Email Marketing ........................................................................................................... 146 3.2.1 Market size and trends ......................................................................................... 146