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Smartwatches Fall Short

February 17, 2016

Smartwatch take-up has been pretty sluggish to date, and three-quarters of consumers surveyed by Kentico say the high price of such wearable technology is a turn-off, while one-third say there is no real reason to actually buy one of these devices. However, 87% of respondents do say they would like to test drive a smartwatch to experience it for themselves.

What kinds of capabilities are consumers actually looking for in a smartwatch? Close to half of like the idea of being able to email and text without having to pull out their mobile phones, one-third favour making voice and video calls, while the same proportion warm to the idea of getting directions, tracking diet and fitness, voice activated searches, and real-time alerts from an airline, bank or social network.

“Smartwatch makers are going to have to do a much better job in selling the technology and convincing people of the utility and convenience of owning one,” says Kentico CEO Petr Palas. “Too many people simply don’t have a compelling reason to go out and buy a smartwatch today.”

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Maybe it’s not quite time for the smartwatch

February 11, 2016

Smartwatches were billed as the next big thing, but it hasn’t quite turned out that way.

The digital devices haven’t caught on as analysts predicted, and cost appears to be a major reason.

Interest in smartwatches remains solid, with 60 percent of internet users saying they’d like to eventually own one, according to a survey conducted by Kentico Software, including 36 percent who want to own one within the next year.

Still, high costs and lack of knowledge may be limiting the burgeoning industry.

Among those surveyed, 75 percent blamed high cost as the reason why they don’t already have a smartwatch, while a third said there’s no compelling reason to buy one.

Also, just 23 percent of respondents said they know a lot about the devices.

For advertisers, there is promise if people ever start to buy them.

The survey found that 71 percent believe they will be fine with at least some advertising on smartwatches. Another 23 percent said they’d prefer to limit messages to a list of pre-approved advertisers, and 10 percent are open to location-based advertising.

As for the most compelling reasons for owning a smartwatch, 46 percent said the ability to check email and text messages without having to pull out their cell phone, while 38 percent said making voice and video calls.

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Why Consumers Aren't Purchasing a Smart Watch Still, health and fitness is driving adoption of wearables

February 11, 2016

Usage of wearables, like smart watches, will grow by nearly two-thirds this year, per an eMarketer forecast. Still, cost is holding many consumers back from purchasing a device, according to December 2015 research. Kentico surveyed 1,000 internet users, ages 18 and older. More than two-thirds of internet users worldwide said that cost was one of the top reasons for not purchasing a smart watch.

Additionally, 38% of respondents said that another reason for not purchasing a smart watch was because there was not enough reasons to use it. This is likely because many smart watch capabilities, like sending and receiving emails or texts, as well as placing and receiving phone and video calls, can be done via a smartphone. In fact, 14% of internet users said they were dependent on their smartphone, and that was a reason for not purchasing a smart watch.

The style of smart watches, as well as their size and thickness, was another reason that respondents had for not purchasing one.

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Consumer Interest In Smartwatches As Lifestyle Devices High In Australia

February 08, 2016

 

A survey of over 1,000 people shows consumer interest in smartwatches in Australia is high, with 51.8 per cent indicating they would like to own one in the future, although 71.4 per cent of Australians were concerned about the current cost of devices, which could delay their purchase.

Posted bySARAH PARK

Alarmingly for marketers considering smartwatches as a new platform to further brand, or raise product awareness, 61.2 per cent of Australians state they would like to block (be that selectively or entirely) any advertisements that could appear on their smartwatch; although 13.3 per cent of people would be open to proximity / location based offers from local merchants. This aversion to receiving advertisements on their smartwatches contrasts with American survey respondents where 71 per cent of people would be open to at least some form of advertising on their device.

The survey, undertaken by Kentico Software, provider of an all-in-one CMS, E-Commerce, and Online Marketing Platform, showed of those Australians interested in purchasing a smartwatch, 74.1 per cent of people plan on using a Smartwatch for personal, not business use – with only 2.3 per cent of people indicating they would use a Smartwatch primarily for business purposes.

The second most popular smartwatch feature for Australian consumers, after ‘sending and receiving email and texts’ was actually ‘tracking diet and exercise’ with 36.9 per cent of all survey participants saying this feature was of most interest to them. This compared to only 18.9 per cent of Europeans saying the diet and exercise functions were key to their interest in smartwatches.

“That ‘tracking diet and exercise’ is perceived to be one of the most popular smartwatch features to Australians, and interest in using the devices for businesses purposes is so low, shows how local consumers view the smartwatches as a lifestyle tool with different capabilities and advantages compared to other advanced communication tools like smartphones,” said Wayne Jasek, director of APAC Operations for Kentico Software.

“Businesses looking to market themselves to consumers via smartwatches will also need to ensure their activities are targeted and meaningful given the reluctance of Australians to receive adverts on these devices.”

Key smartwatch features of interest to Australian consumers were:

Sending and receiving email, texts: 42.4 per cent
Tracking diet and exercise: 36.9 per cent
Placing and receiving phone and video calls: 35.3 per cent
Getting walking, driving, or mass transit directions: 32.9 per cent
Real-time alerts such as those from your airline or bank: 24.3 per cent
Safety monitoring (Senior citizens, children, pets): 21.2 per cent

Surprisingly, the survey also showed that despite mass awareness of, and some direct exposure to, smartwatches – 34.1 per cent of Australians know someone that owns one – only 8.2 per cent of Australians say they have a good understanding of a smartwatch’s uses; compared to 23.2 per cent of Americans who said that they knew ‘a lot’ about a smartwatch’s features.

“While Australians are renowned for being early adopters of new technologies, it is surprising that only 8.2 per cent of people say that they have a good understanding of a smartwatch’s uses. This shows that manufacturers and retailers need to refine their own marketing efforts to better educate the public around what makes a smartwatch an essential technology,” added Jasek.

*255 Australian Internet Users 18 years old and over (and 1,015 people globally) participated in Kentico’s Smartwatch Survey 

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Survey: Americans wants smartwatches; Europe, not so much

February 05, 2016

Wondering if smartwatches will ever become a viable marketing platform? A new survey from Kentico Software suggests that U.S. consumers will lead adoption: While consumer interest in smartwatches is high in the US (nearly 60% would like to eventually own one—36% within the next year), the figures for Europe and the UK are more conservative (under one third of brits want to own one—22% in the next year). Cost and reasons for ownership are serious barriers to adoption. But what about the device’s viability as a marketing platform?

The eventual mass adoption of smartwatches presents digital marketers with yet another way to provide content, however attitudes to opt-in and privacy vary. 48% of Brits believe they will be okay with at least some advertising served up on the smartwatch (against 71% in US). While the majority of British, 52%, would prefer to totally block ads (against 29% in US). 100.0.27.225 This article is copyright 2016 TheWiseMarketer.com.

A total of 1,000 US, UK, Australian, German, Dutch, and French Internet users 18 years old and over participated in Kentico’s Smartwatch Survey, conducted online during the month of December 2015. Other key findings from the survey:

Europeans are open to a smartwatch test drive. In a more positive show of consumer interest, 75% of Europeans express being possibly open to test driving a smartwatch to experience it for themselves. Surprisingly, 78% believe their use of the smartwatch will mostly be limited to personal matters, while 19% believe it could assist them both personally and professionally. Only 3% view the smartwatch as a work-only device.
Awareness of smartwatches is much lower in Europe. Half as many Europeans than Americans know friends or colleagues with a smartwatch (22% in Europe, 44% in the US). Similarly, just 41% of Brits consider themselves early tech adopters, against 65% in the US. One reason for these large differences can be explained by lack of education and/or knowledge. When asked how much they know about smartwatch functionality, only 38% of Europeans said ‘a lot’ or ‘moderate’ amount, against 55% in the US.
Cost is the biggest barrier to adoption. While 75% of people in the US and 60% of Europeans blame cost, the next biggest purchase barrier is lack of compelling reason to buy – one third in the US and 44% in Europe. Although many experts predict an increase in adoption as more consumers identify the need.
Communication leads smartwatch capabilities. When presented with a list of possible smartwatch capabilities, 46% of Europeans cited the ability to email and text without having to pull out their phone as the most intriguing, while 37% favoured getting directions. The next most popular features are Voice and video calling (32%), Safety monitoring (27%), Real-time alerts such as those from an airline, bank or social network (24%) and Tracking diet and exercise (21%).

The Bullet Point: Much like mobile payments, smart watch technology has often seemed like a solution in search of a problem. While the Kentico survey reveals some pent-up interest—particularly in the US—the lack of a compelling narrative for why consumers need another device means that smartwatches will remain a niche play for affluent consumers with plenty of disposable income.

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13 unmissable digital marketing stats from the past week

February 05, 2016

‘Every accomplishment starts with the decision to read the weekly Econsultancy digital marketing stats round-up,’ is probably my favourite quote of all time.

It should be yours, too, if you want to be the next Bill Gates or Mark Zuckerberg. 

This week we’ve got some delightful digital marketing stats for you, from content marketing salaries to the rise of video, to poor ad viewability, shunned smartwatches, Six Nations rugby and much more.

And we’ve only snuck one tiny Valentine’s Day stat in there so don’t worry if you’re not yet feeling the love.

Let’s begin, shall we?