Subscribe For Free

CCS Insight predictions: exploring the digital self

Megan Robinson
October 21, 2022

Day three of the event focused on the digital self, and how consumer trends are evolving

CCS Insight’s predictions concluded on October 20 by focusing on changing consumer behaviours and how purchasing decisions will change.

The event started with senior analyst, data and consumer research Parul Saxena who spoke about how the cost of living crisis is changing the way we spend money.

“We expect households to decrease their spending on connected devices, and look for ways to extend the life of their existing devices,” she said.

“However there is still significant intention to purchase devices, partly because consumers value devices highly and partly because they are tempted by devices they do not currently own.”

“The data from our connected consumer radar study shows that on average households own between three and four connected devices per person. We predict that by 2027, there will be an average of six connected devices per person in Western economies, however, not all these devices will be new.”

Parul Saxena,senior analyst data and consumer research

Emerging markets

Saxena also forecasts that in 2023, half of households in Western Europe will have at least one second hand connected device.

Manufacturers may soon have to make their devices last longer as a recently proposed EU regulation means that they would have to provide 15 different spare parts for at least five years after the launch of the product.

“In 2023, we predict that a major manufacturer will offer a multi servicing and repair plan for devices over a certain price. Instead of constantly trying to add new features, device manufacturers could differentiate their products by providing high quality, long lasting products and a better service and repair experience for consumers.”

James Manning Smith, senior analyst, forecasting extends Saxena’s point about the second hand market, as he says there is a growing interest in purchasing refurbished devices and that the shift in smartphone demand could move from Western China to more developing economies.

“We predict that in 2024, India will overtake China to become the world’s mobile phone market by sales volume,” he said.

“Additionally, second hand smartphone sales are soaring due to consumers looking for more environmentally friendly and affordable options. While the second hand market was helped by shortages of new mobile phones during the pandemic, we expect the market will expand from just over 200 million smartphone sales in 2019, to over 300 million forecast in 2022. 

“Second hand smartphone sales are forecast to reach 400 million in 2026 which will dampen demand for first hand smartphones, adding an additional element of competition to the market, particularly in the west.”

James Manning Smith, senior analyst forecasting

Other highlights

During the hour-long event, analysts forecasted that sales of wearables will grow in the next five years, as CCS Insight’s smartwatch survey highlighted that 66 per cent of non wearable device owners intend to buy one in the future.

VR headsets sales are expected to reach 60 million in 2026, with 30 million shipments for AR headsets predicted in the same year.

New applications will become ‘smart’ such as doorbells, robotic vacuum cleaners and some aspects of healthcare, with digital voice assistance forecasted to become the most logical way for users to interact with their devices. 

VP channel and supply chain Simon Bryant spoke about 5G and predicted that half of the countries in the world will have 5G by 2023 and that the number of 5G phone models will pass 1,000.

He said the eco system for 5G will also expand to vehicles, drones, robots, tv and wearables over the next few years.

An exclusive interview was also conducted with CCS Insight’s Ben Wood and Patrick Chomet, EVP and head of customer experience office at Mobile eXperience Business Samsung Electronics.

The pair discussed Samsung’s own innovations including its new foldable phones, as well as Chomet’s hopes and predictions for the future. 

All three days of predictions will available to watch soon, here

Share this article