Visualizing Social Media Use by Generation
Our world has never been more connected than it is today.
Nearly two-thirds of the world’s population is plugged into the matrix, with over 4.4 billion internet users across multiple device types. We use these devices for work and for play—and social media has altered the way we interact both online and offline.
Today’s infographic from Global Web Index compares key generational and regional differences of social media use based on data from nearly 114,000 internet users, highlighting how pervasive social media has become in our lives.
Note: China is excluded from the usage data regarding specific social networks and apps.
From Age to Age: Social Media by Generation
How does the use of social media vary by generation?
Boomers currently rank last in nearly every category and metric when it comes to technology and social media use. This generation didn’t grow up inundated with technology in the way today’s youth are.
However, Boomers are showing the greatest increase in activity on social media platforms. For example, usage of Instagram and WhatsApp is up 59% and 44% respectively for this group since 2016, which is more than double the global average.
Also known as the ‘MTV Generation’, the Gen X group was the last generation to grow up before the Internet truly took off. The early years of this group were marked by a burst of new technologies, from wireless phones to personal computers.
On average, Gen Xers spend nearly two hours on social media per day—less than Millennials and Gen Z, but more than Boomers.
Perhaps surprisingly, Millennials show a slow down in the time spent on social media. From 2017-2018, screen time for Millennials on social media decreased by one minute, to 2 hours 38 minutes per day. This trend points to Millennials seeking real-life experiences and better engagement from the brands they interact with online, rather than passive scrolling.
Other factors also play a role in this evolution─nearly 50% of Millennials admit that their activity on social media has caused them to overspend to impress their networks.
Gen Z is the first group in history that has never known a world without the Internet. Immersed in the online world since birth, Gen Z surpasses Millennials in daily activity on social media with 2 hours 55 minutes spent per day.
North American, Latin American, and European Generation Z-ers lead in the number of social accounts they’re actively using. Many are also moving away from platforms like Facebook in favor of multimedia-heavy sites such as YouTube and Instagram.
Social Media by the Numbers
Social media sites measure the number of unique users on the platform each month as a metric of success. Below is a snapshot of the five major social media sites shown in today’s graphic and their active user count.
Monthly Active Users (MAU) as of July 2019
- Facebook: 2.4 billion
- YouTube: 2 billion
- WhatsApp: 1.6 billion
- Instagram: 1 billion
- Twitter: 330 million
Even more striking is what happens in a social media minute:
- 41.6 million messages sent over Facebook Messenger and WhatsApp
- 347,222 people are scrolling Instagram
- 87,500 people posting to Twitter
- 4.5 million videos on YouTube being watched
Social Media’s Role in Retail
Social media has evolved from simply keeping us connected to our friends. Users can now access career tools, engage with their favorite companies, stay current with global events, and find love.
Across all regions and generations, social media has propelled e-commerce into the limelight. More than ever before, social media sites are being used for product research, brand engagement, and online purchases. For example, Instagram now offers one-click shop features that allow users to buy what they see immediately, with a simple tap on their screens.
The greatest growth in e-commerce, however, has been the influencer industry. These star-studded internet personalities boast massive online followings from a wide range of demographics—and companies are taking notice.
In 2018, 72% of major brands stated that they were outsourcing a significant portion of their marketing resources to online influencers. Followers feel as though they’re getting a product recommendation from a friend, making them more likely to buy quickly.
Social Media Growth
Despite the rate of social media growth slowing down, social media use is still growing. From 2017 to 2018, the average person increased usage by three minutes per day, while becoming a new user of 0.8 social media accounts.
Social media is a broad, multi-faceted, and complex industry that appeals to a wide range of cultures, age groups, and personalities. While growth in social media activity may be slowing down, a growing global population may mean we’ll see more opportunities to stay connected.
Visualizing the Size of Amazon, the World’s Most Valuable Retailer
Amazon’s valuation has grown by 2,830% over the last decade, and the tech giant is now worth more than the other 9 largest U.S. retailers, combined.
Visualizing the Size of the World’s Most Valuable Retailer
As brick-and-mortar chains teeter in the face of the pandemic, Amazon continues to gain ground.
The retail juggernaut is valued at no less than $1.4 trillion—roughly four times what it was in late 2016 when its market cap hovered around $350 billion. Last year, the Jeff Bezos-led company shipped 2 billion packages around the world.
Today’s infographic shows how Amazon’s market cap alone is bigger than the nine biggest U.S. retailers put together, highlighting the palpable presence of the once modest online bookstore.
The New Normal
COVID-19’s sudden shift has rendered many retail outfits obsolete.
Neiman Marcus, JCPenney, and J.Crew have all filed for bankruptcy as consumer spending has migrated online. This, coupled with heavy debt loads across many retail chains, is only compounding the demise of brick-and-mortar. In fact, one estimate projects that at least 25,000 U.S. stores will fold over the next year.
Still, as safety and supply chain challenges mount—with COVID-19 related costs in the billions—Amazon remains at the top. It surpasses its next closest competitor, Walmart, by $1 trillion in market valuation.
How does Amazon compare to the largest retailers in the U.S.?
|10 Largest Public US Retailers*||Market Value July 1, 2020||Market Value July 1, 2010||Normalized % Change 2010-2020||Retail Revenue|
|The Kroger Co.||$26B||$13B||107%||$118Be|
|Walgreens Boots Alliance||$36B||$26B||38%||$111B|
|The Home Depot||$267B||$47B||466%||$108B|
|Combined value of retailers (without Amazon)||$1,071B|
Source: Deloitte, YCharts
*Largest public US retailers based on their retail revenue as of fiscal years ending through June 30, 2019, e=estimated
With nearly a 39% share of U.S. e-commerce retail sales, Amazon’s market cap has grown 2,830% over the last decade. Its business model, which aggressively pursues market dominance instead of focusing on short-term profits, is one factor behinds the rise.
By the same token, one recent estimate by The Economist pegged Amazon’s retail operating margins at -1% last year. Another analyst has suggested that the company purposefully sells retail goods at a loss.
How Amazon makes up for this operating shortfall is through its cash-generating cloud service, Amazon Web Services (AWS), and through a collection of diversified enterprise-focused services. AWS, with estimated operating margins of 26%, brought in $9.2 billion in profits in 2019—more than half of Amazon’s total.
Amazon’s Basket of Eggs
Unlike many of its retail competitors, Amazon has rapidly diversified its acquisitions since it originated in 1994.
Take the $1.2 billion acquisition of Zoox. Amazon plans to operate self-driving taxi fleets, all of which are designed without steering wheels. It is the company’s third largest since the $13.7 billion acquisition of organic grocer Whole Foods, followed by Zappos.
Accounting for the lion’s share of Amazon-owned physical stores, Whole Foods has 508 stores across the U.S., UK, and Canada. While Amazon doesn’t outline revenues across its physical retail segments—which include Amazon Books stores, Amazon Go stores, and others—physical store sales tipped over $17 billion in 2019.
Meanwhile, Amazon also owns gaming streaming platform Twitch, which it acquired for $970 million in 2017. Currently, Twitch makes up 73% of the streaming market and brought in an estimated $300 million in ad revenues in 2019.
Despite the flood of online orders due to quarantines and social distancing requirements, Amazon’s bottom line has suffered. In the second quarter of 2020 alone, it is expected to rack up $4 billion in pandemic-related costs.
Yet, at the same time, its customer-obsessed business model appears to thrive under current market conditions. As of July 1, its stock price has spiked over 51% year-to-date. On an annualized basis, that’s roughly 100% in returns.
As margins get squeezed and expenses grow, is Amazon’s growth sustainable in the long-term? Or, are the company’s strategic acquisitions and revenue streams providing the catalysts (and cash) for only more short-term success?
10 Types of Innovation: The Art of Discovering a Breakthrough Product
How do companies like Amazon and Apple consistently make game-changing products? Here are 10 types of innovation, and the tactics that lead to big breakthroughs.
The Art of Discovering Breakthrough Products
As venture capitalist Peter Thiel once put it, “competition is for losers”.
It’s inevitable that every company must be out there battling for market share, but you don’t really want to be in a situation where the competition is so stiff that any potential upside is eroded away in the process—―a scenario known as perfect competition in economics.
To avoid perfect competition, companies must strive to build an economic moat that gives them a sustainable competitive advantage over time. While these protective moats can arise from a number of different sources, in today’s information economy they most often arise from the power of innovation.
But where does innovation come from, and is there a universal framework that can be applied to help consistently make big breakthroughs?
The 10 Types of Innovation
In today’s infographic, we showcase the culmination of years of in-depth research from Doblin, an innovation-focused firm now owned by Deloitte.
After examining over 2,000 business innovations throughout history, Doblin uncovered that most breakthroughs don’t necessarily stem from engineering inventions or rare discoveries.
Instead, they observed that innovations can be categorized within a range of 10 distinct dimensions—and anyone can use the resulting strategic framework to analyze the competition, to stress test for product weaknesses, or to find new opportunities for their products.
Here are the 10 types of innovation:
|1.||Profit Model||How you make money|
|2.||Network||Connections with others to create value|
|3.||Structure||Alignment of your talent and assets|
|4.||Process||Signature of superior methods for doing your work|
|5.||Product Performance||Distinguishing features and functionality|
|6.||Product System||Complementary products and services|
|7.||Service||Support and enhancements that surround your offerings|
|8.||Channel||How your offerings are delivered to customers and users|
|9.||Brand||Representation of your offerings and business|
|10.||Customer Engagement||Distinctive interactions you foster|
From Theory to Practice
What does innovation look like in practice?
Let’s see how well-known businesses have leveraged each of these 10 types of innovation in the past, while also diving into the tactics that modern businesses can use to consistently make new product breakthroughs:.
Innovation Types #1-4: “Configuration”
According to Doblin, the first four types of innovation center around the configuration of the company, and all the work that happens “behind the scenes”.
Although innovation types in this category are not directly customer-facing, as you can see in the examples below, they can still have an important impact on the customer experience. How your company and products are organized can have a crucial downstream effect, even enabling innovations in other categories.
Two of the most interesting examples here are Google and McDonald’s. Both companies made internal innovations that empowered their people to make important advancements further on downstream.
In the case of McDonald’s, the franchisee insight that led to the introduction of the Egg McMuffin spearheaded the company’s entire breakfast offering, which now accounts for 25% of revenues. Breakfast is also now the company’s most profitable segment.
Innovation Types #5-6: “Offering”
When most people think of innovation, it’s likely the offering category that comes to mind.
Making improvements to product performance is an obvious but difficult type of innovation, and unless it’s accompanied by a deeply ingrained company culture towards technical innovation, such advancements may only create a temporary advantage against the competition.
This is the part of the reason that Doblin recommends that companies focus on combining multiple areas of innovation together—it creates a much more stable economic moat.
Apple has a reputation for innovation, but the product ecosystem highlighted above is an underappreciated piece of the company’s strategy. By putting thought into the ecosystem of products—and ensuring they work together flawlessly—additional utility is created, while also making it harder for customers to switch away from Apple products.
Innovation Types #7-10: “Experience”
These types of innovation are the most customer-facing, but this also makes them the most subject to interpretation.
While other innovations tend to occur upstream, innovations in experience all get trialed in the hands of customers. For this reason, intense care is needed in rolling out these ideas.
In the early days of the internet, online shipping was precarious at best—but Amazon’s introduction of Amazon Prime and free expedited shipping for all members has been a game-changer for e-commerce.
Executing on such a promise was no small task, but today there are 150 million users of Prime worldwide, including some in metro areas who can get items in as little as two hours.
Making Innovations Happen in Your Organization
How can organizations approach the 10 types of innovation from a more tactical perspective?
One useful resource is Doblin’s free public list of over 100 tactics that correspond with the aforementioned framework.
The one-pager PDF provides a range of typical dimensions for approaching each type of innovation. In essence, these are all different ways you could consider when trying to differentiate your product or service—and at the very least, it provides a useful thought experiment for managers and marketers.
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