Over the past few years – especially in the last year – we have encountered many news stories and promises of technology making life easier. It seems that this promised world is increasingly connected to us because of the advances made, new innovations, and fortunes spent on developing new technologies.
In the modern world, technology and media play a key role in bringing about change. So what is the state of technology and media now, and what will it be in future years? That’s what you’ll find out in this article! And if you want more details, read the full report from Activate about Technology & Media Outlook 2023.
11 Top Insights on Technology and Media 2023
#1 Time and Attention
In the wake of the pandemic, user time spent with technology and media jumped by almost an hour, and that level has largely been maintained. As consumers spend more time online, new revenue opportunities will arise. What’s more, Americans spend over 13 hours using technology and media every day while multitasking, leading to a 32-hour workday.
Source: Activate Technology and Media Outlook 2023 report
#2 E-commerce and Marketplaces
By 2026, Activate predicts that 20% of retail sales in the U.S. will be conducted online. Both large eCommerce players and category-focused businesses across all consumer categories will drive the growth. Automobiles, jewelry, and furniture will all move online faster. Retail memberships, livestreaming, BNPL (Buy Now, Pay Later), and re-commerce will be growth accelerators in the coming years.
Source: Activate Technology and Media Outlook 2023 report
#3 Video
In addition to video, TikTok will also affect messaging, search, and eCommerce as well. The amount of time consumers spend watching streaming, and social video will surpass that spent watching television. To drive subscriber growth and profitability, the streaming wars will intensify, leading to bundled offerings of streaming services.
Source: Activate Technology and Media Outlook 2023 report
#4 Gaming and Esports
From habitual gamers to occasional gamers, video gaming is a mainstream behavior that attracts a variety of users. Because regular gamers already take advantage of immersive opportunities within games today, they will be the earliest adopters of the Metaverse.
Source: Activate Technology and Media Outlook 2023 report
#5 NFTs
There will be a shift away from speculative investments in NFTs to more tangible use cases centered around community, loyalty, and collecting. According to Activate, NFT revenues globally already exceeded $23B in 2022, and they anticipate continued growth.
Source: Activate Technology and Media Outlook 2023 report
#6 Metaverse
There are already many fundamental elements of the Metaverse in video games. More than 300M people spend a large part of their time in the virtual worlds of the Metaverse. Companies that participate in the ‘interoperability layer’ will have tremendous opportunities.
Super-users will be natives of the Metaverse, bringing players and non-gamers into the Metaverse. Activate predicts global sales of VR and AR headsets will reach 44M units by 2026, and the majority of the experience will be in 2D.
Source: Activate Technology and Media Outlook 2023 report
#7 Audio
With digital audio, people will spend more time and money on music, and podcasts will receive more advertising. The majority of people use multiple music services. Revenue from in-person live events will surpass pre-COVID-19 levels, and virtual live events are here to stay. Nearly 160M U.S. listeners will listen to podcasts, making it one of the fastest-growing user behaviors.
Source: Activate Technology and Media Outlook 2023 report
#8 Sports and Sports Betting
We are in a transitional period in sports fan consumption and engagement – a new generation is emerging, live sports are moving to stream, and sports betting is becoming more prevalent.
Source: Activate Technology and Media Outlook 2023 report
#9 Digital Fitness
Consumer adoption of digital fitness technologies has increased significantly. By 2026, Activate forecasts $30 billion in revenue, up from $23 billion today. Future digital fitness experiences in the Metaverse will be enhanced by virtual reality.
Source: Activate Technology and Media Outlook 2023 report
#10 Super Users
Technology and media companies must identify, reach, and serve Super Users, who account for 22% of the population and heavily inflate spending. More than 80% of Super Users have used the Metaverse platform within the last 12 months, making them ‘Metaverse Natives.’
#11 Technology and Media Revenues
As consumers continue to spend on technology and media despite economic uncertainty, Activate forecasts over $400B in global spending by 2026.
The Interest in Technology and Media Grows
There is a growing interest in technology and media. Activate forecasts significant growth in the global internet and media industry, with over $400 billion of growth between 2022 and 2026.
Source: Activate Technology and Media Outlook 2023 report
Also, over half of the growth will come from global advertising spending.
Source: Activate Technology and Media Outlook 2023 report
Additionally, subscriptions will add $146B to consumer spending, while single transactions will add $51B.
Source: Activate Technology and Media Outlook 2023 report
Despite economic uncertainty, most consumers anticipate maintaining and increasing their technology and media spending. Adults with household incomes above $100K are more likely to do so.
Source: Activate Technology and Media Outlook 2023 report
Over to You
Technology and media have no intention of stopping their development – on the contrary, they are getting further and further ahead. So if you haven’t yet observed the changes taking place in these areas, it’s high time to start!
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