- New Verizon Media study finds excitement spreading for 5G in the region
- Consumers looking forward to faster data transfer speeds, spectacular
video streaming - Advertisers waiting to explore more immersive ad formats, enhanced
content production
SINGAPORE – Media OutReach – 20 January 2020 – Verizon Media
today shared findings from its 5G Advertiser and Consumer Outlook Study SEA
2020*. The study conducted with
Publicis Media’s Data Science division, surveyed over 600 consumers and 140
marketing professionals from Singapore, Malaysia, Indonesia and the Philippines
— countries that are targeting to launch commercially viable 5G networks as
early as 2020.
The study examines
how both consumers and advertisers expect 5G to transform experiences in the
very near future. “Excitement about 5G is spreading across the region, both
among consumers and advertisers. This study shines light on what consumers are
most looking forward to in a 5G world and the emerging opportunities for
advertisers to leverage 5G in new and exciting ways to connect with audiences,”
said Francis Fung, Senior Insights
Manager, International Consumer Growth Marketing, Verizon Media.
Among the
respondents surveyed, 92% had heard about 5G, while 53% said they were
‘extremely excited’ about the technology. However, despite the awareness
surrounding 5G, the actual benefits it will bring still remains a mystery for
SEA’s consumers and marketers. Only 32% and 20% respectively indicated they
were ‘at least moderately familiar’ with the benefits of the technology.
What consumers
want most in a 5G world
Respondents had
clear expectations on what they would like to gain from the implementation of
5G.
Speed is a clear winner: Faster
data transfer speeds came out on top, with 78% of respondents citing it as the
benefit they are most looking forward to and with good reason — with 5G,
downloading a full HD movie will only take 4 seconds.
Other benefits
consumers are looking forward to include experiencing better, faster
connectivity for their wearable devices (62%) and better video streaming (59%).
Interestingly,
seeing the traditional network experience improve is a lower priority for
consumers here, with only about a third (29%) looking forward to fewer or no
dropped calls. Close to half (49%) of respondents said they were hotly
anticipating consistent mobile coverage.
Video rules: On how consumers
plan to use 5G’s blazingly fast speeds, video streaming came out on top. It was
followed by content downloading, music streaming, gaming and watching TV
rounding off the ‘top 5 activities’ will be enhanced with 5G.
Value in 5G: Pricing did not
emerge as a major concern for consumers, with only 14% of respondents feeling
that cost is a key concern. More than half (51%) said they were willing to pay
more for 5G’s promised speed. On average, most reported they were willing to
fork out US$10 more, indicating that consumers are open to paying for better
experiences.
Improvements and opportunities ahead for
advertisers with 5G
The study found
that while advertisers overall are looking forward to the opportunities with
5G, their ‘level of excitement’ varied
with the industry they serve. Advertisers across Electronics/ Tech, Financial
Services and Retail/ Ecommerce are ‘very excited’ about the arrival of 5G,
while marketers across healthcare and travel for instance, reported being
‘moderately excited.’
Slightly Excited | Moderately Excited | Very Excited |
FMCG | Healthcare | Electronics/Tech |
| Pharmaceutical | Financial Services |
| Travel | Retail/Ecommerce |
| Hospitality | Personal care |
|
| Cosmetics |
|
| Telecoms |
Big advantages ahead: 9 out of
10 advertisers believe 5G will lead to significant improvements across areas
like content production (88%), more immersive Ad formats (87%), better
targeting with more data (85%), and enhanced video streaming experiences (85%).
“With significantly
greater throughput and much lower latency, 5G will allow brands to power new
kinds of consumer experiences. Both volume and quality of content consumed will increase with 5G; that
includes not only video but also the more vivid immersive experiences like AR
and VR,” said Francis, adding,
“However, with only 20% of marketers already familiar with 5G, advertisers will
have to work strategically with the right partners to realise the opportunities
possible with the 5G revolution.”
Methodology
The Verizon Media 5G Advertiser
and Consumer Outlook Study SEA 2020 was developed based on first party research conducted over the course of
the fourth quarter of 2019. As part of the study, an online survey was
administered to 610 consumers and 144 marketing professionals across Singapore,
Malaysia, Indonesia and the Philippines.
Consumers surveyed were individuals between the ages
of 16 and 64, with access to the interview via mobile data or home broadband,
and played a part in deciding on their mobile/home broadband service provider.
Respondents include 152 in Singapore, 150 in Malaysia, 157 in Indonesia and 151
in the Philippines.
The marketing professionals surveyed were working in
a client-facing role and were at the time of the survey, currently working on a
client-based project. They possessed an average of 3 years of working
experience. Respondents include 35 in Singapore, 36 in Malaysia, 35 in
Indonesia, and 38 in Philippines.
About Verizon Media
Verizon Media, a division of Verizon Communications,
Inc., houses a trusted media ecosystem of premium brands like Yahoo, TechCrunch
and HuffPost to help people stay informed and entertained, communicate and
transact, while creating new ways for advertisers and media partners to
connect. From XR experiences to advertising and content technology, Verizon
Media is an incubator of innovation and is revolutionizing the next generation
of content creation in a 5G world.
