Technology is the future of customer experience. The companies best prepared to succeed in the future understand the importance of leveraging new technology to create personalized, convenient solutions and interactions. These statistics show the grow of new technology and how it impacts everything about the future of customer experience.
1. VR/AR
More than 100 million consumers will use AR and VR technology to shop online and in store by 2020.
By 2021, the AR and VR market in the U.S. is expected to be worth $215 billion.
46% of businesses anticipate VR to become mainstream within the next three years.
By the end of 2019, 13% of the U.S. population will use VR.
VR spending for business is expected to reach $9.2 billion by 2021, outpacing spending for leisure use.
VR in retail and marketing is predicted to generate $1.8 billion in 2022.
VR is expected to reduce clothing returns by up to 25% in the fashion industry.
VR is predicted to account for 40% of all B2B experiences by 2022.
Globally, VR software alone is expected to be worth $6.4 billion by 2022.
53% of consumers are more likely to purchase from brands that have VR experiences.
2. AI/Machine Learning
Global AI spending is expected to reach $35.8 billion in 2019, up 44% from 2018.
85% of all customer service interactions will be done completely by AI by 2020.
80% of all emerging technologies will have foundations in AI in 2021.
The wearable AI market will be worth $180 billion by 2025.
By 2022, AI in analytics will free up one third of all human data analysts to work on other business priorities.
Eight out of 10 companies have already implemented AI in customer service or are planning to do so by 2020.
AI is projected to increase business productivity by as much as 40% by 2035.
AI could double annual economic growth rates in developed countries in 2035.
By 2020, companies that use insights from AI will gain $1.2 trillion more than their non-AI competition each year.
AI-powered facial recognition is expected to increase annual revenue by 20% in 2020.
3. Geolocation Services
Located-targeted mobile advertising spending will double from 2016 to 2021.
By 2021, location-specific advertising will account for 45% of all mobile ad spending.
94% of marketers plan to use location data in future ad campaigns.
Half of all marketers plan to increase their use of location data in the next year.
Marketers are increasing location-specific campaigns in growing channels, including advanced TV (46%), digital out-of-home (47%) and connected speakers (45%).
Spending on geotargeting is expected to hit $26 billion in 2019.
80% of consumers want location-based alerts from companies in the future.
85% of companies plan to use location data within the next 12 months to personalize the customer experience.
9 out of 10 marketers plan to use location data in the future, mainly for targeting and audience engagement.
By 2020, 94% of companies will use location data, an increase of 84% in 2019.
4. On-Demand
By 2020, 7.6 million Americans will provide services in the on-demand economy.
The on-demand labor market will increase 18.5% annually over the next five years.
On-demand food delivery is expected to be worth $161.7 billion globally by 2023.
60% of U.S. consumers say they are ready to pay extra for same-day delivery.
By the end of 2019, 65% of retailers are expected to be investing in on-demand services, up from 51% in 2018.
More than half of all online businesses plan to offer same-day delivery in the next three to five years.
The value of items delivered on the same day in the U.S. is estimated to grow 40x over the next four years.
The market for on-demand mobile apps will be worth $335 billion by 2025.
93 million Americans will participate in the on-demand economy by 2022.
On-demand services are growing at a CAGR of 52% over the next three years.
5. Sharing Economy/Apps
The sharing economy is projected to be worth $335 billion by 2025, up from $14 billion in 2014.
130 million shared cars will be on the road by 2030.
Ride sharing is expected to be worth $358 billion in the U.S. by 2025, a $300 billion increase from 2017.
86.5 million Americans will use the sharing economy by 2021.
Crowdfunding is expected to be the fastest-growing part of the sharing economy, with a 63% growth rate between 2013 and 2025.
Sharing economy revenue is expected to double between 2017 and 2022.
By 2025, the five markets with the most sharing economy services will split revenue evenly between sharing and traditional companies.
Airbnb will book a billion nights a year by 2025.
The car-sharing market will be worth more than $11 billion by 2024.
The number of coworking spaces worldwide is expected to grow 42% between 2019 and 2022.
6. IoT
20.4 billon devices will be connected to the IoT by 2020.
By 2020, 90% of cars will be connected to the internet.
Every second, another 127 devices are connected to the internet.
The IoT will have a worldwide global economic impact of up to $11.1 trillion by 2025.
The home IoT market is expected to be worth $53.4 billion by 2022.
The healthcare IoT market is expected to grow 12% annually between 2017 and 2023.
80% of retailers will use IoT to customize the in-store experience by 2021.
Worldwide IoT spending is expected to hit $1 trillion by 2022.
Smart cities with IoT are expected to be worth $2 trillion total by 2025.
By 2025, the top 600 smart cities will account for 60% of the world’s GDP.
7. Blockchain
The blockchain technology market is estimated to reach $20 billion globally by 2024.
By 2025, 55% of healthcare applications will be using blockchain for commercial deployment.
Spending on blockchain solutions worldwide is estimated to reach $11.7 billion by 2022, up from $1.5 billion in 2018.
The value-add of blockchain is expected to be more than $3 trillion by 2030.
By 2020, 77% of financial services companies expect to adopt blockchain as part of an in-production system or process.
By 2022, more than a billion people will have personal data stored on a blockchain, but many likely won’t be aware of it.
The U.S. will spend almost $1.1 billion on blockchain in 2019, making it the largest market in the world.
40% of companies are willing to invest $5 million or more in blockchain initiatives over the next 12 months.
7 in 10 consumer industry executives say they expect to have a blockchain production network within three years.
Blockchain spending by the U.S. government is expected to grow more than 1000% between 2017 and 2022.
8. Cyber Security
The cyber security market is expected to be worth $300 billion by 2024.
Cyber security damages will cost companies $6 trillion annually by 2021.
33 billion records will be stolen every year by 2023.
146 billion records will be exposed in data breaches between 2018 and 2023.
Global ransomware damages will be $20 billion by 2021, up from $5 billion in 2017.
Companies will fall victim to a ransomware attack every 11 seconds in 2021, an increase from every 40 seconds in 2016.
Global cyber security spending will be more than $1 trillion between 2017 and 2021.
The average cost of a data breach in 2020 will be more than $150 million.
By 2020, there will be more than 300 billion passwords used around the world.
The number of large-scale data breaches in the U.S. increases by 27% each year, on average.
Blake Morgan is a keynote speaker, customer experience futurist and the author of two books including her new “The Customer Of The Future.” Stay in touch with her weekly on her newsletter.