By Craig Blignaut, Wi-Fi Product Manager at Vox
Meeting consumer expectations for accessible data has become increasingly complicated, leading to transformations in service delivery and innovation as we approach 2025.
In early 2024, one user recorded a staggering data consumption of 411.4 terabytes. According to MTN, the average data usage for contracted users now stands at about 21.9 gigabytes per month, reflecting a nearly 44% jump since 2023.
Research from Statista indicates that nearly 80% of South Africa's population is online, with mobile devices commanding an 80% share of the market.
The appetite for fast and affordable data continues to grow rapidly, prompting businesses to evolve their services and capabilities in response.
In the upcoming six to twelve months, advancements in data and connectivity are expected to take shape. The trends determining future data consumption will include demand, innovation, personalization, artificial intelligence, and increased competition.
Businesses that embrace speed, automation, personalization, and cost-effectiveness will set benchmarks for consumer engagement and data utilization by 2025.
Looking forward, four pivotal trends are set to influence consumer consumption in the remaining months of 2025.
Speed and Accessibility
Around 75% of consumers in South Africa engage with social media, with a staggering 13 million individuals dedicating over 20 hours weekly to these platforms.
Subscription-based streaming services are witnessing significant growth, with over eight million users already registered for platforms like Netflix, Showmax, and YouTube.
The rise of online shopping is also notable, fueled by the entry of global ecommerce players like Shein and Temu along with local innovations such as Checkers Sixty60.
Data from the Marketing All Product Survey (MAPS) underscores the deepening commitment of South Africans to online engagement, emphasizing the necessity for fast and readily accessible data.
Consumers demand swift delivery of information, fostering productivity, engagement, and connectivity.
Fulfilling this need for high-speed data that is user-friendly will become a key advantage for companies looking to stand out.
Businesses must adapt their offerings to align with customer expectations, prioritizing the creation of accessible products rather than convoluted services laden with restrictions.
Artificial Intelligence to Alleviate Information Overload
While consumers strive to stay connected, they simultaneously grapple with overwhelming amounts of information.
There's a growing demand for solutions that mitigate the barrage of messages across emails, instant messaging, SMS, and other communication avenues. Here, artificial intelligence (AI) can play a transformative role.
AI systems can consolidate notifications and chat interactions across multiple platforms, providing actionable insights that empower users without requiring them to sift through extensive correspondence. AI can streamline billing processes, facilitate service access, and enhance self-service capabilities.
Companies should focus on leveraging AI to simplify data accessibility, cut costs, and improve user experiences. Those that successfully innovate in this space are likely to gain market traction.
Free Connectivity as a Competitive Edge
The South African tourism industry is thriving, as evidenced by the SA Tourism Q4 report for 2023/2024, which recorded 2.4 million international visitors—an increase of 15.4% compared to the previous year.
Domestic travel is also rebounding, reaching R334.2 billion, surpassing pre-pandemic levels.
This growth necessitates enhanced experiences in the hospitality sector that entice visitors and encourage repeat visits. Research indicates that superior connectivity is a crucial factor in achieving this goal.
Travelers desire the ability to work, stream content, connect, create, and share from their devices, irrespective of their location. Thus, robust Wi-Fi has emerged as a differentiating factor in business success.
The next year is likely to see a transformation in guest Wi-Fi offerings and public Wi-Fi hotspots as businesses invest in meeting customer demands for connectivity.
This trend extends beyond hospitality, with cafes, restaurants, and various other establishments increasingly recognized for the quality of their connectivity alongside their service offerings.
Data Loyalty Programs Emerge
The final trend will revolve around establishing Wi-Fi connectivity frameworks for customers in tandem with developing agile and economical data solutions.
Businesses are likely to begin implementing loyalty programs within their data services, allowing customers to gain rewards from their purchases.
Reward initiatives can be seamlessly integrated using marketing data gathered during user logins to Wi-Fi networks. Many companies require email addresses and other relevant details prior to granting access to complimentary data. In compliance with POPIA or similar regulatory standards, this information can be utilized to create loyalty structures that boost sales and enhance customer retention.
When Wi-Fi and data are convenient to access in locations like airports, stadiums, parking lots, malls, or events, consumers are more inclined to share their information.
They are also more willing to invest in data or related solutions if they receive incentives for their loyalty.
The loyalty program ecosystem has the potential to significantly alter consumer perceptions regarding data purchases, transforming what is typically viewed as a necessary expense into a more engaging experience, while also enhancing customer-provider relationships.
The Data Demand Continues
The demand for data is set to rise continuously for the foreseeable future. As consumers increasingly rely on always-on connectivity for living, travelling, dining, and entertainment, data becomes a fundamental necessity.
Delivering this data in innovative ways that redefine costs and highlight tangible benefits for consumers will differentiate leading providers from the competition in 2025.
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