The topic everyone is talking about is the next generation of the internet, 5G. Every company is aligning its strategies to 5G’s requirements, benefits of 5G and to its impacts on marketing trends & campaigns.
Every
company in the US and an increasing number of those around the world have
realized the need of Digital Marketing. Especially after the pandemic which
has affected the lives of billions of people around the world.
Consumers now prefer to make their transactions from home. The revolutionary technology, 5G, will make targeting those digital consumers easy with digital marketing campaigns. This increases the need of digital marketing activities by companies.
Let’s first discuss what is 5G, what does it stands for, and why it is such a big deal.
what does 'g' stands for in 5g
The 'g' in 5g simply means generation.
Forest Interactive predict that by 2025, 5G networks will have more than 1.7 billion subscribers worldwide. A 268.75% increase from that in 2021.
What will 5G
bring which its predecessors have not brought? It brings faster speed and more
latency. This will set the foundation for advance uses which allows faster
downloads for videos, games, and music
Cisco published its Forecasts in internet traffic from 2017 to 2021. It estimates that by 2022, mobile connections with 5G will support 8 billion mobile devices and 4 billion IoT connections. These stats are almost double from what it were in 2017. Cisco notes that the world had 5 billion mobile users in 2017.
How fast is 5G::
When it
comes to speed, 5G will be 10 to 20 times faster than its predecessor 4G LTE
networks. The highest speed we by the 4G LTE network was around 20 Mbps. In
comparison, 5G network will with 1.5 Gbps.
 |
Global devices and connections growth
Those were a few of the benefits 5G brings, now we will know how it will affect Digital
Marketing landscape in this post.
5G Impact on video advertising:
The fifth generation of internet, 5G, will affect media and entertainment. Videos are trusted method to increase brand awareness. Visual media, thus, is a reliable way of increasing customer engagement. In addition, the brand message enjoys more exposure if communicated with videos.
The new
technology brings lightning fast speed this implies videos will lack lagging
and buffering will become history. We’ll miss the wait!. Reduced buffering
means more video consumption and greater change to give brand messages.
The 5G
technology comes with more data transfer. The new technology could easily
transfer Ultra High-Definitioln (UHD) or 4K videos. Cisco estimates that the
use of Flat Panel TV sets with UHD will surpass 60% (62%) in 2022 from 23% in
2017.
Increasing video definitions by 2022
Dramatic increase of videos in mobiles
More speed
with less to no buffering will result in more use of mobile phones. Cisco
estimates that the total Internet traffic from mobile phone will increase to
50%. Video will have greater share in that traffic.
Global IP traffic by devices
In simple
words, this means that, by 2022, people will prefer to use videos in their
mobile phones rather in PCs.
ؒlet's dig deeper into how the new technoloty will impacct Marketing and advertising.
Personalization
A factor which
will make differences will be customer experience. It will become easier for
business to personalize customer experience with the 5G technology.
Retailers
could offer discounts to customers who refuse to purchase their products. For
example, a California-based startup Adroit Worldwide Media (AWM) Smart Shelf
is working on a system which will personalize customer experience in stores
based on whether and what they pick. If a customer picks up a product but changes
his mind and puts it back, the system will recognize that behavior and the
retailer could offer a discount beneath that item for future buyers.
“It is taking the personalization and that customization that you would have by shopping online and applying that to brick and mortar,” said co founder & SVP AWS smart Shelf, Kurtis Van Horn
Targeted consumers
Advertisers
could offer products based on the gender, race, and mood of customers. Nokia, a
Finland-based mobile-phone manufacturer plans to target 4G customers with 5Gupgrade software.
Acceleration in mobile ecommerce
The trend
push companies to offer robust experiences. With 5G, companies could make
offering based on consumers’ personalized profiles.
By 2022,
more people will have access to a smartphone. People are increasingly willing
to spend more time on shopping with their mobile-phones. This behavior is
expected to accelerate with the use of 5G.
AR and VR
5G Networks
rely on two things to applications. Augmented Reality and Virtual Reality
technologies include those essential things: fast data transfer and reduced
latency.
Latency is
the time a packet of data takes to reach from point A to B. AR and VR need
Latency in a single digit which 4G LTE cannot offer, it’s just impossible for
it!
Latency on
5G network is 1ms. In comparison, that on 4G LTE was noted to be between 48.6ms
and 56.1ms in the US by Opensignal.
With AR and
VR users can visualize the product will look like in their home before deciding
to buy that item.
Says Prince, “Imagine a product like a full-size couch in hyper detail that you can place in your room. With 5G, we will be able to provide the couch, the room and everything in it, toss in a realistic human avatar with artificial intelligence that walks into the scene and helps end user with any information needed to complete the purchase.”
Brands such
as Amazon, Ikea, and Estee Lauder have already started using AR and VR to
provide better customer experiences.
Impulse-friendly buying experience:
Brands can influence impulsive buying with the use of AR and VR in their marketing campaigns. For instance, brands like GAP implemented AR and VR to enhance customer experience with their “Dressing Room by Gap” app. This application allows users to “try on” different clothing items, view the garment from multiple angels, and purchase the item from their device.
Final Word
With 5G, it
will be easier for companies to target customers. The 5G mobile internet will
take revolutionize digital marketing and will take it to the next level,
0 Comments